Clearstream Business Day extension

26.02.2014

Effective

Monday 28 April 2014

Clearstream Banking1 will be extending its ICSD real-time processing day by two hours, providing increased same-day settlement and collateral management and securities lending and borrowing possibilities.

This significant improvement will bring numerous benefits to all our customers in terms of increased settlement turnaround, enhanced cash and securities deadlines for internal settlement as well as domestic settlement with local counterparties within the North American and Latin American markets. These extended operating times will be supported by additional intraday reporting and later end-of-day reporting, providing the appropriate support tools to our customers. We also take the opportunity of these changes to further improve some other market deadlines, as detailed below.

The extension of our real-time processing day, with these deadline enhancements, will in turn facilitate the free flow of collateral within Clearstream's Global Liquidity Hub:

  • For borrowers and collateral givers to move collateral from/to their domestic portfolios in the North American and Latin American markets;
  • For securities lenders and borrowers to maximise the opportunity until later in the day to open and close loans for North American and Latin American markets and also for internal instructions;
  • For foreign participants to reach local market counterparties taking advantage of the same processing windows as those available to local participants.

This ICSD settlement day extension is the continuation of an ambitious plan that started with the delivery of settlement and ICSD services to Asian counterparties in their local time zone. Clearstream Banking is now taking the same approach towards American markets in order to achieve a truly global ICSD service offering, available to all customers across the world in their local time zone.

This project will be delivered in separate phases between 2014 and 2016.

Specific deliverables of phase 1

Extension of the securities settlement input deadlines for domestic transactions in the following countries

  • Argentina, Canada, Mexico and the U.S.A.
    • 20:00 CET2 on settlement date (SD) for all free of (FOP) and against payment (AP) receipt and delivery instructions (Note: The current deadline of 17:252 for DTC-ID instructions remains unchanged.)
  • Denmark
    • 11:45 CET on SD for all AP receipt and delivery instructions
  • Finland
    • 14:35 CET on SD for all FOP and AP receipt and delivery instructions in equities
    • 15:55 CET on SD for all FOP receipt and delivery instructions in dematerialised debt securities
  • Hong Kong
    • 07:55 CET on SD for all AP receipt and delivery instructions in CMU instruments
    • 08:55 CET on SD for all FOP receipt and delivery instructions in CMU instruments
  • New Zealand
    • 05:55 CET2 on SD for all FOP receipt and delivery instructions
  • Portugal
    • 16:45 CET on SD for AP receipt and delivery instructions with domestic counterparties
    • 17:15 CET on SD for FOP receipt and delivery instructions with domestic counterparties
    • 18:40 CET on SD for FOP and AP receipt and delivery instructions with depository counterparties
  • Slovakia
    • 14:25 CET on SD for AP receipt and delivery instructions in equities
    • 15:55 CET on SD for all FOP receipt and delivery instructions
  • Spain
    • 16:55 CET on SD-1 for FOP and AP receipt and delivery instructions (first local cycle for Iberclear-CADE: Public debt securities and AIAF listed corporate bonds)
    • 18:25 CET on SD for FOP receipt and delivery instructions (Iberclear-SCLV: listed equities, corporate bonds, Matadors and warrants)
  • Switzerland
    • 20:00 CET on SD for all FOP receipt and delivery instructions

Improvement of the cash deadlines 2

  • 20:00 CET on value date (VD) in CAD (Canadian Dollar), MXN (Mexican Peso) and USD (U.S. Dollar)
  • 19:30 CET on VD in UYU (Uruguayan Peso)
  • 19:00 CET on VD in ARS (Argentine Peso)
  • 18:30 CET on VD in PEN (Peruvian Nuevo Sol)
  • 20:00 CET on VD-1 in QAR (Qatari Riyal) and SAR (Saudi Riyal)
  • 20:00 CET on VD-1 for MT103 in NZD (New Zealand Dollar)
  • 20:00 CET on VD-1 for MT103 in JPY (Japanese Yen)

Extension of the optional settlement period by two hours 3

The current customer input deadline for internal (CBL-CBL) free of and against payment settlement instructions:

  • In the mandatory period (14:45 CET on SD), will remain unchanged; and
  • In the optional period (18:00 CET on SD), will be extended to 20:00 CET on SD.

Improved processing times

  • CBL Real-Time Processing (RTP) will run from 21:30 on SD-1 until 20:00 on SD.
  • CBL End of Day processing will run from 20:05 on SD until 20:35 on SD.

Extension of the Triparty Collateral Management window by two hours

The deadline for Triparty Notifications sent via SWIFT MT527 by a trading party to CBL Triparty Collateral Management Services will be extended from 17:45 to 19:45. A similar deadline extension will also be offered for Triparty Notifications delivered to CBL via CreationOnline and ClearstreamXact.

Automated Securities Lending

All domestic financing currently occurs during the CBL settlement day at 05:00 CET, at the midpoint between 05:00 CET and the deadline for the provisioning period, and five minutes before the deadline according to the domestic market.

In addition to the existing ASF batches, a further batch will be processed at 17:00 CET for Argentina, Brazil, Canada, Mexico and the U.S.A.

Custody processes

With the extension of the settlement day, customers will benefit from an extended settlement window, which will be taken into account for the calculation of entitled positions in cases of custody events.

Customer reporting

Customers’ end of day reports are currently generated around 19:30 for all formats and connectivity media.

As from the first extended settlement day, end of day customer reports will be automatically generated around 21:15 CET. Customers will not need to reschedule their end of day.

A new optional intraday report will be available to customers at 19:00 CET.

The following reports will be impacted (all times mentioned below are CET and indicative only):

  • The MT290 Advices of Fees and Income report
    • Daily (21:15)
  • The Securities Lending and Borrowing Commissions Report
    • Daily (21:15), Weekly (21:15) and Monthly (21:15)
  • The MT508 Intra-Position Advices Messages
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:00, 13:00, 14:30, 15:30, 16:00, 16.30, 17:00, 18:00, 19:00, 21:15
  • The MT535 Statement of Holdings report
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:00, 13:00, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15
    • Daily (21:15), Weekly (21:15), Monthly (21:15), Quarterly (21:15), Yearly (21:15)
  • The MT536 Statement of Transactions report
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:30, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15
    • Daily (21:15), Weekly (21:15), Monthly (21:15)
  • The MT537 Statement of Pending Transactions report
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:30, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15, 21:30
    • Daily (21:15), Weekly (21:15), Monthly (21:15)
  • The MT538 Statement of Intra-Position Advices
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:30, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15
    • Daily (21:15), Weekly (21:15), Monthly (21:15)
  • The MT54x Settlement Confirmation
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:30, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15
    • Continuous, Real Time
  • The MT548 Settlement Status and Processing Advice
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:30, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15, 21:30
    • Continuous, Real Time
  • The MT564 Income Pre-Advice Report
    • Intraday: 03:00, 08:00, 21:30, 22:30
    • Continuous, Real Time
  • The MT564/568 Corporate Action Notifications
    • Intraday: 03:00, 08:00, 21:30, 22:30
    • Continuous, Real Time
  • The MT578 Settlement Allegement Reports
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:30, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15, 21:30
    • Continuous, Real Time
  • MT586 Statement of Allegements report
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:30, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15, 21:30
    • Daily (21:15), Weekly (21:15), Monthly (21:15)
  • MT900/910 Cash report
    • Intraday, if delivery channel is Creation Direct: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:30, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15, 21:30
    • Real Time, if delivery channel is Creation via SWIFT
  • MT94x Money Suspense report
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:00, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15, 21:30
    • Daily (21:15), Weekly (21:15), Monthly (21:15)
  • MT950 Cash Balance report
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:00, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15
    • Daily (21:15), Weekly (21:15), Monthly (21:15), Quarterly (21:15), Yearly (21:15)
  • MT950 Money Statement report
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:00, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15
    • Daily (21:15), Weekly (21:15), Monthly (21:15)
  • Holdings Distribution by Market report
    • Daily (21:30), Weekly (21:30), Monthly (21:30)
  • Custody Market Claims report
    • Daily (22:30)
  • Statement of Repaired Transactions report
    • Weekly (21:30), Monthly (21:30)
  • US Withholding Tax report
    • Monthly (21:15), Quarterly (21:15), Yearly (21:15)
  • Securities Financing Collateral report
    • Daily (21:15), Weekly (21:15), Monthly (21:15)
  • MT569 Triparty Collateral and Exposure Statement for Collateral Giver
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:00, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15
    • Daily (21:15)
  • MT569 Triparty Collateral and Exposure Statement for Collateral Receiver
    • Intraday: 23:00, 00:00, 01:00, 02:00, 03:00, 04:00, 05:00, 06:30, 07:30, 08:30, 09:30, 10:30, 11:30, 12:00, 13:00, 13:30, 14:30, 15:30, 16:00, 16:30, 17:00, 18:00, 19:00, 21:15
    • Daily (21:15)
  • CFF Funds Transaction Report A
    • Daily (21:30), Weekly (21:30), Monthly (21:30)
  • CFF Funds Transaction Report B
    • Daily (21:30), Weekly (21:30), Monthly (21:30)
  • CFF Funds Transaction (including Collateral Details)
    • Daily (21:30), Weekly (21:30), Monthly (21:30)

Further information

For further information, customers may contact Clearstream Banking Customer Service or their Relationship Officer.

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1. Clearstream Banking refers to Clearstream Banking S.A., registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Register of Commerce and Companies under number B-9248 (CBL).
2. Deadlines applicable as of 28 April 2014 and subject to daylight saving time changes when applicable.
3. There will be no changes to the existing input deadlines for settlement of Bridge instructions in the mandatory and optional periods.

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