Dematerialized new system book entry transfer system for stocks etc
This presentation is the property of its rightful owner.
Sponsored Links
1 / 14

-Dematerialized New System- Book-Entry Transfer System for Stocks, etc. PowerPoint PPT Presentation


  • 71 Views
  • Uploaded on
  • Presentation posted in: General

-Dematerialized New System- Book-Entry Transfer System for Stocks, etc. Kohshi Nagaoka Japan Securities Depository Center, Inc. July 3, 2009. Dhaka, Bangladesh. ACG Cross-Training Seminar Organized by Exchange of Information Task Force. TANSU. Stock Dematerialization Overview.

Download Presentation

-Dematerialized New System- Book-Entry Transfer System for Stocks, etc.

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


Dematerialized new system book entry transfer system for stocks etc

-Dematerialized New System-Book-Entry Transfer System for Stocks, etc.

Kohshi Nagaoka

Japan Securities Depository Center, Inc.

July 3, 2009. Dhaka, Bangladesh

ACG Cross-Training SeminarOrganized by Exchange of Information Task Force


Stock dematerialization overview

TANSU

Stock Dematerialization Overview

January 5, 2009

Japanese listed Stocks were dematerialized.

JASDEC provides several new services

under Dematerialized New System.


Dematerialization of securities certificates

Dematerialization of Securities Certificates

  • Benefits of Dematerialization

    • Elimination of costs (printing, stamp duty, registration)

    • Removal of risk (loss, robbery, forgeries)

  • Implementation

    • 2003 : CP

    • 2006 : Corporate Bond

    • 2007 : Investment Trust

    • 2008 : ETF

    • 2009 : Stocks, etc


These financial instruments were dematerialized at jan 5 2009

These financial instruments were dematerialized at Jan 5, 2009

  • Stocks

  • Bonds with Share Option (CB)

  • Investment Units (REIT)

  • Preferred Equity Investment


Statistics of depository and book entry transfer system pre dematerialization

Statistics of Depository and Book-Entry Transfer System“Pre-Dematerialization”

Dematerialized New System,

Book-Entry Transfer System

for Stocks, etc., implemented.

January 5, 2009


What is depository and book entry transfer system pre dematerialization

Issuer

Shareholder Registry

Number of Shares

Notice of

Beneficial

shareholders

Name

Address

Request for

Registration

Participant

Participant

Customer

Customer

Customer

Account

transfer

What is Depository and Book-Entry Transfer System?“Pre-Dematerialization”

Beneficial

Shareholder

Registry

JASDEC

Shareholders

(Owner of stock certificate)


What is book entry transfer system for stocks etc dematerialized new system

What is Book-Entry Transfer System for Stocks, etc.?-Dematerialized New System-

Issuer

Shareholder Registry

Custodian Bank

Financial Institution

Financial Institution

Financial Institution

Account

transfer

Customer

Customer

Customer

Customer

Customer

Uniform Management

Multi-Layer Holding Structure

JASDEC

Direct AMI

Direct AMI

Indirect AMI

Indirect AMI

Indirect AMI

AMI : Account Management Institution


How does multi layer holding structure work

Transfer Account Book

A Stock Exchange

C Securities

Direct AMI

B Securities

(Self Account 40)

Participant A

Holding

Account

Pledge

Account

Customer

Account

20

0

35

Transfer

Account Book

Participant A

Indirect AMI

C Securities

(Self Account 45)

Participant B

Holding

Account

Pledge

Account

Self Account

Holding

Account

Pledge

Account

35

0

45

0

Participant B

How doesMulti-Layer Holding Structure work?

Transfer Account Book

JASDEC

A Stock Exchange

B Securities

Holding

Account

Pledge

Account

Self Account

Customer Account

Holding

Account

Pledge

Account

50

0

40

0

100

AMI : Account Management Institution


Number of account management institution

Number of Account Management Institution


What is uniform management

Shareholder

Registry A

Beneficial

Shareholder

Registry A

B

B

C

C

Shareholder

Registry A

Shareholder

Registry B

Shareholder

Registry C

Beneficial

Shareholder

Notice

Request for

Registration

Participant

Information

Participant F

Participant G

AMI F

AMI G

AMI I

What is Uniform Management?

Old System

New System

Issuer A

Issuer B

Issuer C

Issuer A

Issuer B

Issuer C

complicated & inefficient

Administrator of

Shareholder Registry D

Administrator of

Shareholder Registry

E

Administrator of

Shareholder Registry D

Administrator of

Shareholder Registry

E

Integration Participant

Account Information

JASDEC

Data for reporting

Shareholder Information

Integration Participant

Account Information

Shareholder / Beneficial Shareholder H

Shareholder H


Protection from ami s miss record

OBLIGATED

“NOT perform of duties”

“NOT perform of duties”

Joint and Several

Guarantee

Trust

Contract

Joint and Several

Guarantee

compensation

claim

claim

compensation

Assessment

Protection from AMI’s Miss Record

Miss Record

JASDEC

AMI

bankrupt

bankrupt

Participant

AMI

“Perform of duties”

AMI

Participant

Participant

Participant

Protection

Trusts

Trustee

Order to Pay

Supervise

Operating

Committee

Trustee

Supervisor


Dematerialized new system book entry transfer system for stocks etc

Broker

Broker

Broker

Custodian Bank

Custodian Bank

JASDEC’s Role in Japanese Securities Market

Non-Exchange Trade

Non-Exchange Trade

Exchange Trade

Exchange Trade

【Market】

【Market】

Trade

Data

Trade

Data

Trade

Data

Trade

Data

Stock Exchange

Stock Exchange

JASDEC

(PSMS)

JASDEC

(PSMS)

【Matching】

【Matching】

JDCC

(DVP Clearing)

Gross-Net

JDCC

(DVP Clearing)

Gross-Net

JSCC

(DVP Clearing)

Net-Net

JSCC

(DVP Clearing)

Net-Net

【Clearing】

【Clearing】

Securities Settlement

Securities Settlement

Cash Settlement

Cash Settlement

【Settlement】

【Settlement】

JASDEC

Bank of JAPAN


Dematerialized new system book entry transfer system for stocks etc

Securities Market Infrastructure in Japan

G=gross N= net RTGS: Real Time Gross Settlement

BOJ: Bank of Japan JGBCC : Japanese Government Bond Clearing Corporation

JSCC: Japan Securities Clearing Corporation JDCC: JASDEC DVP Clearing Corporation

PSMS: Pre-Settlement Matching System


Question answer thank you

Question & AnswerThank you


  • Login