Spain: First phase of market Reforma: Temporary support for Bilateral Ancillary Transactions
Clearstream Banking1 would like to advise its customers that, effective
2 May 2016
Clearstream Banking will introduce a temporary supporting measure for customers’ bilateral “Ancillary” transaction settlement instructions in the Spanish market. This is to support customers in the implementation of changes being introduced by the Spanish Reforma.
Further to announcement A16061, dated 22 April 2016, Clearstream Banking would like to remind customers that for all settlement transactions with a settlement value date of 2 May 2016 or later, should their financial intermediary choose to execute transactions as an “ancillary” transaction type, customers of Clearstream Banking must advise that the trade is an “Ancillary” transaction via one of the following two instruction messages:
Option 1:
:95P::DEAG//REAG - Counterparty’s BIC
:97A::SAFE// - 35 digit account of the Financial Intermediary (Broker)
Option 2:
:70E::SPRO//OAUX
If none of these indicators is received, the market will consider the trade as a “traspaso”.
To avoid settlement delays, Clearstream Banking highly recommends its customers align with their respective counterparts regarding the type of transactions to instruct.
To support Clearstream Banking customers in the implementation of the above changes, Clearstream Banking’s agent will transform all transactions received as “traspasos” and involving one of the below listed BICs/NIFs belonging to Special Financial Intermediaries (SFI), into “ancillary trades”. These BICs/NIFs have been identified as settling trades via a financial intermediary account (i.e. via an ancillary transaction).
"Traspaso" instructions of Clearstream Banking customers will be transformed into "ancillary" transactions whenever the counterparty's customer is one of the following BICs/NIFs:
- ISNTGB2LXXX
- SBILGB2LXXX
- BARCGB33XXX
- ROYCGB22XXX
- DEUTGB22EEQ
- DEUTDEFFXXX
- NWSCUS33XXX
- SOGEGB22XXX
- JBBRFRPPXXX
- NEFOSESSXXX
- PAREFRPPXXX
- BBVAESMMXXX
- A48265169
- A79204319
Clearstream Banking customers that do not wish their “traspaso” to be transformed into an ancillary instruction during this period of transition into the new Spanish settlement regime must specify so explicitly via the message: “NO OAUX “ in field 70E::SPRO//.
The above Clearstream Banking measure will enter into force on Monday 2 of May 2016 and will be temporary. There will be no additional cost to the customer for this service.
Clearstream Banking will advise its customers in advance of when this procedure will no longer be applied.
Further information
For further information, customers may contact Client Services or their Relationship Officer.
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1. Clearstream Banking refers collectively to Clearstream Banking AG, registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany and registered in Register B of the Amtsgericht Frankfurt am Main, Germany under number HRB 7500, and Clearstream Banking S.A., registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Trade and Companies Register under number B-9248.