Entitlement Compensation Rules - Netherlands

06.10.2014

Bonds, Short-Term Notes, Medium-Term Notes

Market compensation basis:Trade Date
Automatic Compensation Managed by Local CSD:Yes
Restriction on custody events/transaction types:No restriction
Additional information:
Compensation is based on Trade Date before Ex-Date. Settlement of compensation is effected on the Settlement Date on/after the Ex-Date.
The following conditions must be fulfilled in order that automatic compensation is performed by Euroclear Netherlands:
-Ex-Date and Payment Date for interest payments are recognised by the NECICOM system.
-Settlement must not exceed the period of Ex-Date +9 business days.
Service offered by CBL:Adjustment is performed based on information received from the depository.

Equities

Market compensation basis:Trade Date
Automatic Compensation Managed by Local CSD:Yes
Restriction on custody events/transaction types:No restriction
Additional information:
For entitlement, the Record Date is equal to the Ex-Date +1 business days and is always the day before the Payment Date. The Record Date position is therefore a client’s firm position at the close of business on Payment Date -1.
For compensation, the following rules apply:
-If the Trade Date is before the Ex-Date and settlement happens after the Record Date, the trade is settled cum-dividend and an automatic market claim compensation is generated.
-If Trade Date is on/after the Ex-Date, then the instruction is settled ex-dividend.
-Settlement must not exceed the period of Ex-Date +9 business days.
Service offered by CBL:Adjustment is performed based on information received from the depository.