Scope - Clearstream

MARKET PRACTICE BOOK - BEST PRACTICES
16
1.2.
For instruments in definitive form:
• reflect an open business day of the named financial centre for payment
currency and the place of presentation;
• DO NOT state the financial centre being open for the fiscal agent/principal
paying agent, trustee or the issuer.
ICMSA Recommendation on Record Dates (Annex 11)
• DO NOT, as issuer of bearer securities,
- include definitions referring to a record date, or
- create provisions within the governing documentation referring to a snap
shot date different from Payment Date -1 Business Day;
• DO, for all instruments in global registered form with Closing Dates after
1st January 2010 word legal documentation with a record date as at the ‘close
of the Business Day (in the ICSDs) prior to the Entitlement Date’.
Information timeliness
End-to-end parties roles and responsibilities for the timely dissemination of new
issues information, corporate action event notifications, income event notifications
and payment processing have been described in respective chapters and
summarised below (please also refer to the ICMA Guidance Note - Annex 2).
At Issuance
To ensure that investors are informed of the events and conditions affecting
their securities, Lead Managers and Issuing and Paying Agents to distribute
and push final documentation to all relevant parties, including the ICSDs, by
Closing Date + 1 Business Day, from the Lead Manager for a stand alone
security, and from the Issuing and Paying Agents for a programme or an issue
under programme (New Issues section 2.2.3.).
During the life cycle of the security
For variable rate securities (Income section 4.2.2.):
• Rate notification will occur no later than Fixing / Determination Date + 1
Business Day from Calculation Agent to Paying Agent
For corporate action events notifications (Corporate Actions section 3.2.2.):
• Predictable events: CD/CSP to inform ICSDs prior the start of the exercise
period;
• Unpredictable events: pre launch: Corporate Action Agent to inform ICSDs
on confidential basis; at launch: Corporate Action Agent to inform CD/CSP