CDP Depository Rules
2.1 Category of Applicants
An applicant to become a Depository Agent must be an entity belonging to one of the following categories:
2.1.1 a Trading Member or a Clearing Member;
2.1.2 a trust company registered under the Trust Companies Act 2005;
2.1.3 a bank licensed under the Banking Act 1970 or merchant bank approved by the MAS under the Monetary Authority of Singapore Act 1970; or
2.1.4 such other institution or person approved by the Depository from time to time.
Amended on 18 January 2022.
2.2 Conditions
A Depository Agent (or applicant to become a Depository Agent) shall furnish to the Depository information sufficient to demonstrate to the satisfaction of the Depository that it satisfies the requirements of this Rule and such other conditions the Depository may impose, including but not limited to the following requirements:
2.2.1 it has the competence, physical capacity and financial resources to discharge its duties under the Depository Agent Agreement and it is able to meet any obligation it might reasonably be expected to incur thereunder;
2.2.2 it is a fit and proper person to perform its duties under the Depository Agent Terms; and
2.2.3 it holds a valid capital market services licence for providing custodial services for securities or is excluded or exempted from such requirement by the MAS or pursuant to the Securities and Futures Act.
2.3 General Duties
An applicant whose application to become a Depository Agent has been approved by the Depository shall:
2.3.1 perform services as a Depository Agent for Sub-Account Holders in accordance with the Depository Agent Terms; and
2.3.2 deposit book-entry securities with the Depository on behalf of the Sub-Account Holders.
2.4 Nominee Company Applicant
Where an applicant to be a Depository Agent is a nominee company:
2.4.1 its holding company or parent bank must be a company regulated either by MAS or SGX-ST;
2.4.2 it must furnish a banker's guarantee from a bank unrelated to the applicant, and acceptable to the Depository, to guarantee the due performance of its obligations under the Depository Agent Terms, and indemnify the Depository against all claims, losses, damages, costs, and expenses that may be incurred as a result of the breach, failure or inability of the applicant to perform any of its obligations; and
2.4.3 its holding company or parent bank must provide a letter of undertaking in a form satisfactory to the Depository to be liable for any amount owing by the applicant.
2.5 Applicant's Agreement
An applicant whose application to become a Depository Agent has been approved by the Depository shall:
2.5.1 abide by and be bound by the Depository Agent Terms as amended from time to time;
2.5.2 pay to the Depository fees and charges, as reviewed from time to time, for providing operations, facilities and services, based on the Depository's fee schedule and any charges as may be set out for any failure to comply with the Depository Agent Terms;
2.5.3 furnish to the Depository upon request all such information in respect of operations, facilities and services provided to it as may be required by the Depository which information shall be in the form certified by external auditors of the Depository Agent, or certified by a senior officer of the Depository Agent or by a person acceptable to the Depository, and verified by the external auditors of the Depository Agent. The Depository's right to be furnished with information under this provision shall extend to information relating to operations, facilities and services provided by the Depository under the Depository Agent Terms and the discharge of the Depository Agent's obligations thereunder, but shall not include information concerning its Sub-Account Holders unless disclosure of such information is required under the circumstances described in Rule 6.3; and
2.5.4 comply with any other conditions that the Depository may from time to time prescribe for Depository Agents (whether generally or specific to any person).