Market Link Guide - Dubai (NASDAQ Dubai)
Key features
CSD link as defined under CSDRa | Yes |
Type of link | Indirect via Deutsche Bank AG, Amsterdam branch and sub-deposited at Deutsche Securities and Services Dubai |
a. CSD Regulation (EU) No 909/2014 art. 2 (29)
CSD | Custodian | |
Name | Nasdaq Dubai Limited | Custodian: Deutsche Bank AG, Amsterdam branch Sub-custodian: Deutsche Securities and Services Dubai |
FATCA GIIN | Not available | Custodian: Y0M5J7.00000.BR.528 Sub-custodian: Not available |
LEI | 213800QL3V1PYPQMLU38 | Custodian: 7LTWFZYICNSX8D621K86 Sub-custodian: 7LTWFZYICNSX8D621K86 |
Country of incorporation | United Arab Emirates | Custodian: Netherlands Sub-custodian: United Arab Emirates |
Account type | Omnibus account | Custodian: Omnibus account Sub-custodian: Omnibus account |
Legal Account name / holder | Deutsche Securities and Services Dubai holds individually segregated account at the CSD for Clearstream Banking SA | Custodian: Clearstream Banking SA Sub-custodian: Deutsche Bank AG for Clearstream Banking SA |
Operational arrangements
| Yes/No | Remarks | |
| Settlement free of payment | Yes | For NCBO transfers only. |
| Settlement against payment | Yes | Eligible settlement currencies can be either United States Dollar (USD) or (UAE Dirham) AED, depending on the currency that the security trades in. |
| Settlement against payment in central bank money account of CBL/CBL customers | No | Against payment settlement takes place on the cash account of Deutsche Bank AG, Amsterdam branch. |
| Bridge settlement | Yes | For fixed income instruments only. |
| Shaping facility | No | |
| Partial settlement | No | Yes |
| Settlement penalty fees | Yes | Refer to the Market Profile. |
| Pre-matching | No | |
| Back-to-back processing | No | |
| Allegements | No | |
| Automatic compensation | No | |
| Registered securities | Yes | Registration takes place automatically upon settlement. |
| Multi Market Securities | Yes | Refer to the Multi-Market Securities Guide. |
| Lending and borrowing | No | |
| Proxy voting | Yes | |
| Investment Funds | No | |
| Liquidity Hub Connect | No | |
| Sale and purchase of rights | No | |
| Repo services | Yes | Internal. Refer to the CmaX Product Guide. |
| Market restrictions | Yes | Refer to Investment Regulation. |
| FTT | No | |
| Daily reconciliation | Yes | |
| Link eligible for use in Eurosystem credit operations | No |
Moment of entry of instructions | At the time of orders reaching Nasdaq Dubai. |
Irrevocability of instructions | Order matching. Trade cannot be cancelled once confirmed at Nasdaq Dubai. |
Finality of instructions | Securities transfer into account provided by buyer, cash credited into Nasdaq Dubai account. |
Legal Arrangements
The below section is based on the legal opinions obtained by CBL that were issued on 4 November 2018 (Dubai International Financial Centre (DIFC) law) and 30 January 2019 (Dutch law). 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 | Confirmed |
Custodian’s liability for negligence | Deutsche Bank AG, Amsterdam branch is not immune for any legal action of CBL as account holder |
Book-entry regime with in rem rights at the custodian/sub-custodian | Deutsche Bank AG, Amsterdam branch: the laws of the Netherlands provide for a book-entry regime for the transfer of fungible securities deposited with the Deutsche Bank AG, Amsterdam branch, thereby conferring to CBL a right in rem on title on the securities credited from time to time to the account opened with such Custodian. Deutsche Securities and Services Dubai: under DIFC laws, the right in rem is not recognised as such but under the concept of “personal property law” which leads local counsels to consider that comparable level of protection appear to be provided. |
Recognition of nominee concept at the custodian/sub-custodian | Deutsche Bank AG, Amsterdam branch: confirmed Deutsche Securities and Services Dubai: while the concept of “nominee concept” is not recognised as such, DIFC laws provides with similar legal concepts of beneficial ownership and investment entitlements. |
No right of retention for the custodian/sub-custodian | Deutsche Bank AG, Amsterdam branch: confirmed Deutsche Securities and Services Dubai: confirmed |
Segregation of assets at the custodian/sub-custodian | Deutsche Bank AG, Amsterdam branch: confirmed Deutsche Securities and Services Dubai: confirmed |
No right of use at the custodian/sub-custodian | Deutsche Bank AG, Amsterdam branch: confirmed Deutsche Securities and Services Dubai: confirmed |
No upper-tier attachment at the custodian/sub-custodian | Deutsche Bank AG, Amsterdam branch: confirmed Deutsche Securities and Services Dubai: confirmed |
Insolvency of the custodian with no impact on CBL's rights Insolvency of the sub-custodian with no impact on the custodian’s rights | Deutsche Bank AG, Amsterdam branch: confirmed Deutsche Securities and Services Dubai: confirmed |
Shortfall pro-rated among holders at the custodian/sub-custodian | Deutsche Bank AG, Amsterdam branch: confirmed Deutsche Securities and Services Dubai: confirmed |
Record keeping of at least 10 years | Deutsche Bank AG, Amsterdam branch: confirmed Deutsche Securities and Services Dubai: DIFC laws require a minimum of 6 years |
Settlement finality in case of insolvency, at the custodian/sub-custodian | Deutsche Bank AG, Amsterdam branch: no confirmation obtained from relevant local counsels Deutsche Securities and Services Dubai: DIFC laws appear to provide the similar relevant protections. |