Market Link Guide - Australia


 Key features

CSD link as defined under CSDRa


Type of link

Indirect link via JPMorgan Chase Bank, N.A. (Sydney Branch), to:

  • ASX Settlement and CHESS (Clearing House Electronic Subregister System), Sydney
  • Austraclear, Sydney (unlisted corporate bonds, sovereign bonds)

Physical or book-entry settlement at registrar (for unlisted equities only).

a. CSD Regulation (EU) No 909/2014, Article 2(29).




ASX Settlement / CHESS as subregister


JPMorgan Chase Bank N.A. (Sydney branch)


CHESS: Not available

Austraclear: IPRD0Z.99999.SL.036



CHESS: Not available

Austraclear: 549300SW1A0SWG24LO05


Country of incorporation



Account type

Omnibus account

Omnibus account

Legal Account name/ holder

All CHESS eligible securities are registered in the name of J.P. Morgan Nominees Australia Pty Limited.

All Austraclear eligible securities are registered in the name of Austraclear Limited.

JPMorgan Chase Bank N.A. (Sydney branch) as the participant in CHESS and Austraclear does not hold an individually segregated account for CBL.

Clearstream Banking S.A.

Operational arrangements

Settlement free of paymentYes  
Settlement against paymentYes Eligible settlement currency: Australian Dollar (AUD).
No internal settlement or transfer restrictions within CBL.
Settlement against payment in central bank money account of CBL/CBL customersNoCBL holds a cash account at the custodian. Against payment settlement takes place on J.P. Morgan’s single account in CHESS and a single account in Austraclear. 
Bridge settlementYesOnly for Australian debt securities that fulfil Australia's Public Offer test and hence qualify for withholding tax exemption.
Shaping facilityNo 
Partial settlementNoExcept when the local CSD imposes the partial delivery of securities.
Settlement penalty feesNo 
Pre-matchingYes Subject to counterparty availability.
Back-to-back processingYes  
Automatic compensationYes For equities only (CSD automatic compensation for on market transactions only).
Registered securitiesYes 
  • For dematerialised securities, registration takes place automatically upon settlement.
  • For physical securities, manual intervention will be required and registration is not automatic.
Multi Market SecuritiesYes Refer to the Multi-securities Guide.
Lending and borrowingYes Internal. Debt securities only.
Proxy votingYes  
Investment FundsYes ETF and Listed Managed Funds only.
Liquidity Hub ConnectNo 
Sale and purchase of rightsNo 
Repo servicesYes Internal Repo service for Bonds and Equities (refer to Cmax Product Guide). 
Market restrictionsNo 
Daily reconciliationYes 
Moment of entry of instructionsThe CHESS or Austraclear rules do not define the moment of entry within the meaning of the Settlement Finality Directive.
Irrevocability of instructionsMatched instructions are irrevocable and require bilateral cancellation.
Finality of instructions

Settlement is considered final once cash and securities are exchanged and a confirmation is received from the CSD.

Legal arrangements

The below section is based on the legal opinion obtained by CBL that was issued on 1 May 2020. The information is provided for guidance only and should not be considered in isolation or as constituting a complete or definitive legal advice on any specific matter.

No insolvency proceedings against the custodian


Liability for negligence


Book-entry regime with in rem rights

Book-entry regime is not provided by local laws but would be recognised if contractually agreed.

Recognition of nominee concept


No right of retention to the custodian

Confirmed, except when the custodian has liabilities over CBL for acting as its trustee.

Segregation of assets at the custodian

Confirmed, though the custodian could be dispensed from segregating assets in the case where it would be inappropriate for reasons of increased costs to account holders without materially increasing any risk. However, if the custodial property is not held separately, the custodian has a number of obligations including, among other things, having a written policy setting out reasons why that policy is appropriate and reviewing such policy, maintaining records, and performing reconciliation procedures.

No right of use

Local law does not prohibit the use of securities without consent.

No upper-tier attachments

Confirmed, though upper tier attachment is allowed only in limited circumstances (for example where the lower tier intermediary refuses, fails or is unable to initiate proceedings against the upper tier intermediary in respect of securities in which the account holder has a beneficial interest).

Insolvency of the Custodian with no impact on CBL's rights 


Shortfall pro-rated among holders


Record keeping period of at least 10 yearsConfirmed

Settlement finality in case of insolvency

Local law does not prescribe circumstances in which non-provisional transfers will be irrevocable and unconditional.