Market Link Guide – Iceland
Reference
Key features
CSD link as defined under CSDRa | Yes |
Type of link | Direct link to LuxCSD for holding Nasdaq CSD SE, SSS Iceland eligible securities. |
a. CSD Regulation (EU) No 909/2014, Article 2(29).
CSD (as LuxCSD’s depository) | Custodian (as CBL’s depository) | |
Name | Nasdaq CSD SE (Nasdaq CSD) | LuxCSD |
FATCA GIIN | Not available | N1V1GJ.00001.ME.442 |
LEI | 485100001PLJJ09NZT59 | 222100T6ICDIY8V4VX70 |
Country of incorporation | Nasdaq CSD SE is incorporated in Latvia and operates the Icelandic Settlement System through Icelandic branch, which is governed by the Icelandic law. | Luxembourg |
Account type | Omnibus account | Omnibus account |
Legal account name/holder | LuxCSD S.A. | Clearstream Banking S.A. |
Operational arrangements
(CBL link to LuxCSD – for details on LuxCSD link to Nasdaq CSD Iceland, please refer to the LuxCSD website)
Yes/No | Remarks | |
Settlement in T2S | No | |
Settlement free of payment | Yes | |
Settlement against payment | Yes | |
Settlement against payment in central bank money account of CBL/CBL client | Yes | |
Bridge settlement | No | |
Shaping facility | No | |
Partial settlement | No | |
Settlement penalty fees | Yes | Please see details in Settlement services |
Hold and Release | Yes | Please see details in Settlement services |
Recycling | Yes | Please see details in Settlement services |
Bilateral cancellation | Yes | Please see details in Settlement services |
Pre-matching | Yes | Immediate release flag. |
Back-to-back processing | No | |
Allegements | Yes | Via the CSD on against payment transactions only. |
Automatic compensation | No | |
Registered securities | No | |
Multi Market Securities | No | |
Lending and borrowing | Yes | |
Proxy voting | No | |
Investment Funds | No | |
Liquidity Hub Connect | No | |
Sale and purchase of rights | No | |
Repo services | Yes | |
Market restrictions | Yes | Foreign investment is not allowed in any company involved in “fish operations” or the primary fish processing industry. Only Icelandic citizens and other Icelandic entities, as well as individuals and legal entities domiciled in another member state of the EEA, are permitted to own energy exploitation rights for non-domestic use of waterfalls and geothermal energy. The same applies to enterprises that produce or distribute energy. Positions held in Icelandic securities by Clearstream clients, may only be held by the following:
|
FTT | No | |
Daily reconciliation | Yes | |
Link eligible for use in Eurosystem credit operations | No |
Moment of entry of instructions | A transfer order is considered to have entered the system of Nasdaq CSD Iceland when the matched transfer orders have been transferred to the securities settlement system. |
Irrevocability of instructions | Matched transfer orders irrevocable and cannot be unilaterally cancelled by the parties. |
Settlement finality | The full and final settlement of matched orders at Nasdaq CSD Iceland. |
Local legislation
The below section is valid on the date of the legal opinions that were issued and might be subject to change. 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. The scope of the legal opinions is limited to the local legislation applicable to the relevant CSD (and intermediary, if any). For links using an intermediary located in another jurisdiction, please find a separate Local legislation section for the jurisdiction of the intermediary below. For clients accessing local markets via other Clearstream entities, please also review the Local legislation section in the relevant Market Link Guide for such Clearstream entity.
Local legislation of the CSD | |
Date of legal opinion | 30 June 2025 |
Nature of rights on securities | Substantive law of the jurisdiction will govern the nature of the rights on the Securities. Rights on the securities are securities entitlements or contractual rights. No differences in conclusions in case of sub-accounts for Clients within the Direct CSD Account. |
Recognition of nominee concept | Nominee concept recognised under local law. |
No right of retention to the CSD under local law | CSD does not have a lien or similar encumbrances on the Securities under local law. |
No upper-tier attachments | Securities would not be subject to attachment. |
No right of use without prior consent | Laws of the jurisdiction restrict CSD from using securities without Clearstream’s prior consent. |
Segregation of assets at the CSD | CSD is under legal/regulatory obligation to segregate the securities held for each participant. |
Loss of assets | No general restrictions on ability to recover lost assets or on indemnification under local law, subject to certain exceptions noted by counsel (such as force majeure, no negligence by the CSD, liability caps, sovereign immunity, etc.). |
Ability to recover client assets in the event of insolvency of CSD | Securities would be recoverable. |
Ability to recover client assets in the event of insolvency of Agent | CSD does not hold cash |
Shortfall pro-rated among holders | Shortfall in the Securities may be allocated pro rata, but counsel noted certain nuances. |
Settlement finality in case of insolvency | Transfer orders may be revoked in certain circumstances. |
