Market Link Guide - Denmark
Key features
CSD link as defined under CSDRa | Yes |
Type of link | Direct Operated |
a. CSD Regulation (EU) No 909/2014 art. 2 (29)
CSD | Account operator | |
Name | VP Securities A/S | Danske Bank A/S |
FATCA GIIN | MM0S16.00000.LE.208 | MQ79H2.00000.LE.208 |
LEI | 529900HDNBQ2DD0QHJ07 | MAES062Z21O4RZ2U7M96 |
Country of incorporation | Denmark | Denmark |
Account type | Omnibus account | Mirror omnibus account |
Legal account name / holder | Clearstream Banking SA | Clearstream Banking SA |
Operational arrangements
T2S (Yes/No) | VP system (Yes/No) | Remarks | ||||
Settlement in T2S | Yes | No | ||||
Settlement free of payment | Yes | Yes | All T2S eligible securities will settle in T2S. Only non-eligible T2S securities will remain in VP system. | |||
Settlement against payment | Yes | Yes | VP system-eligible settlement currency: Danish Krone (DKK). | |||
Settlement against payment in central bank money account of CBL/CBL customers | No | CBL holds a cash account at Danske Bank. Against payment settlement takes place on Danske Bank’s account at the Central Bank of Denmark for DKK and on the DCA of Danske Bank for EUR. | ||||
Bridge settlement | Yes | Yes | ||||
Partial settlement | Yes | No | ||||
Settlement penalty fees | No | No | ||||
Hold and release | Yes | Yes | VP System: Pre-matching is available. T2S: The hold and release feature available in T2S will be used by CBL for pre-matching only. | |||
Transaction linking (back-to-back processing) | Yes | Yes | ||||
Allegements | Yes | Yes | VP System: Via the CSD on against payment transactions only. | |||
Registered securities | Yes | Yes | ||||
Transaction management | Yes | Yes | ||||
Multi Market Securities | Yes | Yes | ||||
Lending and borrowing | Yes | Yes | ||||
Proxy voting | Yes | Yes | ||||
Investment Funds | Yes | Yes | ||||
Liquidity Hub Connect | No | No | ||||
Sale and purchase of rights | No | No | ||||
Repo services | Yes | Yes | ||||
Market restrictions | No | No | ||||
FTT | No | No | ||||
Daily reconciliation | Yes | |||||
Link eligible for use in Eurosystem credit operations | Yes | |||||
| Moment of entry of instructions | VP system: Upon receipt of the transfer order for settlement, VP will make an acknowledgement available to the instructing party and any other participants in the settlement of the transaction in question. As from that moment the transfer order is deemed "entered" into the VP Clearing and Settlement system. T2S: Whereas a transfer order for T2S settlement has been passed on to the T2S System, is deemed “entered” into at the moment at which it has been declared compliant with the technical rules of T2S by the T2S platform. |
| Irrevocability of instructions | VP system: When matching of a transfer order has occurred, the transfer order cannot be cancelled or revoked unilaterally by either the participant or a third party. T2S: When a transfer order has been given the status matched on the T2S platform, the transfer order cannot unilaterally be cancelled or revoked. |
| Finality of instructions | VP system: A transfer order for Settlement in a batch is finally settled (unconditional, irrevocable and enforceable) as from the moment when the batch in which the transfer order is settled is completed (the Moment of Settlement Finality). T2S: A transfer order is finally settled (unconditional, irrevocable and enforceable) as from the account entry (credit) of the securities on the receiving settlement participant’s account on the T2S platform. The corresponding account entry will hereafter be mirrored in the VP Clearing and Settlement System. |
Legal arrangements
The below section is based on the legal opinion obtained by CBL that was issued on 14 October 2019. 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 account operator or the CSD | Confirmed |
Liability for negligence | Account operator: confirmed CSD: Liability limited to direct losses of CBL (excluding any amounts that CBL might have had to pay to a third party), except in case of loss caused by the CSD's wilful act or gross negligence. Furthermore, the liability of the parties is made subject to force majeure limitations under local law of general application. |
Book-entry regime with in rem rights | Confirmed |
No entitlement of the account operator/CSD | Confirmed |
Recognition as direct CSD account-holder | Confirmed. |
Recognition of nominee concept | Confirmed (subject to applicable conflict of law rules, which point, from a local law perspective, to Luxembourg law). |
No right of retention for the account operator/CSD | Confirmed |
Segregation of assets at the CSD | Confirmed |
No right of use | Confirmed |
No upper-tier attachments | Confirmed |
Insolvency of account operator/CSD with no impact on CBL's rights | Confirmed |
Shortfall pro-rated among holders | Confirmed, noting that the registrations in the relevant CSD accounts will determine the rights of the individual account holders and that the CSD will be liable if the shortfall is caused by it. |
| Record keeping period of at least 10 years | Confirmed |
Settlement finality in case of insolvency | Confirmed |