Whole Section

  • 12.18A Broker-linked balances

    • 12.18A.1

      A Trading Member linked to a broker-linked balance must have a written agreement with the holder of the broker-linked balance setting out (a) the circumstances under which the Trading Member may cause securities to be delivered or transferred into the broker-linked balance; and (b) the conditions to which the Trading Member's rights over the securities in the broker-linked balance are subject. The Trading Member must provide the written agreement to SGX-ST for inspection if requested.

      Added on 10 December 201810 December 2018.

    • 12.18A.2

      The Trading Member shall act in accordance with the written agreement, the Rules and the Act, save that nothing in the Rules shall prevent a Trading Member from releasing securities from the broker-linked balance linked to it into the customer's main balance.

      Added on 10 December 201810 December 2018.

    • 12.18A.3

      Subject to Rule 12.18A.4, a Trading Member must approve the release of securities from the broker-linked balance linked to it by the end of the Market Day following the day on which it receives the customer's request for such release. SGX-ST may, at its discretion, waive or vary this timeline. In accordance with Rule 12.1.1, a Trading Member must maintain proper, complete and accurate records of each customer's requests and its response to such requests.

      Added on 10 December 201810 December 2018.

    • 12.18A.4

      A Trading Member may withhold approval for the release of any securities from a broker-linked balance linked to it only to the extent necessary to secure an obligation owed to it by the holder of the broker-linked balance.

      Added on 10 December 201810 December 2018.

    • 12.18A.5

      A Trading Member that does not approve a customer's request for release of any securities must:

      (a) by the end of the Market Day following the day on which it receives the customer's request, inform the customer that the request has been rejected and the securities will not be released;
      (b) provide the reason(s) for not releasing the securities, including details of the obligation(s) which is owed by the customer to the Trading Member, including the value thereof, if so requested by the customer, by the Market Day following the day on which it receives the customer's request for reason(s) and/or details; and
      (c) provide the customer with such information and by such time as SGX-ST may prescribe from time to time.
      SGX-ST may, at its discretion, waive or vary any of the timelines in this Rule.
      In accordance with Rule 12.1.1, a Trading Member must maintain proper, complete and accurate records of each customer's requests and its response to such requests.

      Added on 10 December 201810 December 2018.

    • 12.18A.6

      SGX-ST may, in respect of any Securities Account that is maintained directly with it:

      (a) transfer securities out of a broker-linked balance into the main balance, notwithstanding that the Trading Member linked to the broker-linked balance has not approved the transfer, if SGX-ST is of the view that the Trading Member has failed to comply with the Rules;
      (b) refuse to transfer securities into a broker-linked balance if the Trading Member linked to the broker-linked balance has had its trading rights ceased, is suspended, or has been terminated under the Rules.

      Added on 10 December 201810 December 2018.

    • 12.18A.7

      A resigning Trading Member must, in respect of each customer that has a broker-linked balance linked to it, release all securities in the broker-linked balance into the customer's main balance by the effective date of resignation.

      Added on 10 December 201810 December 2018.