Transaction management rules - Austria

10.12.2018

Market claims and reverse market claims

 

Market claims

Reverse market claims

Processing of market claims and reverse market claims on the market

Applicable

Applicable

Eligible corporate action events  

All income and non-income distribution events in cash and securities (except CHOS events)

All income and non-income distribution events in cash and securities (except CHOS events)

Detection period

20 T2S opening days after the record date

20 T2S opening days after the record date

Eligible transactions

All as of status matched

All as of status settled

Detection key dates

Securities in units:

  • Ex date
  • Trade date
  • Record date
  • Effective settlement date

Securities in nominal:

  • Record date
  • Intended settlement date
  • Effective settlement date

Securities in units:

  • Ex date
  • Trade date
  • Record date
  • Effective settlement date

Securities in nominal:

  • Record date
  • Intended settlement date
  • Effective settlement date

Opt-out/Ex/Cum indicator

The Opt-out as well as the Cum-/Ex-Indicator can be used for matching purposes (additional matching field), but are not taken into account for market claims detection. This applies to all types of transactions.

The Opt-out as well as the Cum-/Ex-Indicator can be used for matching purposes (additional matching field), but are not taken into account for market claims detection. This applies to all types of transactions.

Characteristics of market claims/reverse market instructions

  • Transaction code “CLAI”
  • Status unmatched  
  • Same trade date as per underlying instruction
  • Settlement date being the payment date of the underlying event
  • Partial settlement indicator as per underlying instruction (always NPAR for claims in cash)
  • All market claims are generated with a status
  • “CSD Hold” and released only after the corporate action (cash and/or securities delivery) was settled.
  • Transaction code “CLAI”
  • Status unmatched 
  • Same trade date as per underlying instruction
  • Settlement date being the payment date of the underlying event
  • Partial settlement indicator as per underlying instruction (always NPAR for claims in cash)
  • All market claims are generated with a status “CSD Hold” and released only after the corporate action (cash and/or securities delivery) was settled.

Tax status of claims

  • Interest: Market claims are processed on a gross basis without tax adjustment.
  • Dividends: Market claims are processed on a net basis (at maximum withholding tax rate) without tax adjustment)
  • Interest: Market claims are processed on a gross basis without tax adjustment.
  • Dividends: Market claims are processed on a net basis (at maximum withholding tax rate) without tax adjustment)

Non T2S-eligible proceeds

Market claims not generated for:

  • Cash distributions in a currency other than EUR 
  • Securities distributions in non-T2S eligible securities

Reverse market claims not generated for:

  • Cash distributions in a currency other than EUR 
  • Securities distributions in non-T2S eligible securities

Processing of market claims and reverse market claims by Clearstream

Applicable

Applicable

Scenarios for market claim detection for securities in nominal

TD before 
Ex-datea

ISD before or on RD

ASD before or on RD

Opt-out indicator

Ex/Cum indicator

Market claim to be created

(T2S rules)

Direction

Issuer CSD
compliance

Y/N

Y

N

Blank

Blank

Y

From Seller  to Buyer

Y

Scenarios for market claims detection for securities in unit

TD before

Ex-datea

ISD before or on RD

ASD before or on RD

Opt-out indicator

Ex/Cum indicator

Market claim
to be created
(T2S rules)

Direction

Y

n/a

N

Blank

Blank

Y

From Seller  to Buyer

N

n/a

N

Blank

Blank

Y

From Seller  to Buyer

N

n/a

Y

Blank

Blank

Yb

From Buyer to Seller

Y

n/a

Y

Blank

Blank

Yb

From Buyer to Seller

No market claim detection for transactions in which opt-out and cum-ex is present

TD before

Ex-datea

ISD before or on RD

ASD before or on RD

Opt-out indicator

Ex/Cum indicator

Market claim

to be created

(T2S rules)

Direction

n/a

n/a

n/a

Opt-out

n/a

No

n/a

a. N means TD => Ex-Date but TD <= RD. 
b. Reverse market claims.

Fractions handling

If the calculated quantity of units from a market claim results in a decimal number, the resulting fractions are either compensated for in cash or not, as announced by the issuer.

If an issuer in the Austrian capital market does not grant a compensation in cash and there are fractions, the free of payment market claim instruction will show the quantity of units commercially rounded to a maximum of three places after the decimal comma. In the case of securities quoted in nominal value the amount will be commercially rounded to a maximum of two places after the decimal comma.

If the issuer compensates for any fractions in cash and a reference price for compensations is announced, the market claims would be generated as below:

• A free of payment instruction for units without places after the decimal comma; and

• A free of delivery instruction where the cash amount equals the product of the compensation price and the places after the decimal comma (fractions).

Transformations

 

Transformations

Comments

Processing of transformations on the market

Applicable

 

Eligible corporate action events 

All income and non-income mandatory reorganisation events in cash and securities (except CHOS events)

Voluntary reorganisations are subject to buyer protection

Detection period

20 T2S opening days after the record date

 

Eligible transactions

All as of status matched, but still pending

 

Detection key dates

Record date, for mandatory reorganisations without options

Market deadline, for mandatory reorganisations with options

 

Opt-out indicator

Supported as additional matching field

 

Characteristics of re-instructions due to transformations

  • Transaction condition  “TRAN”
  • Status unmatched 
  • Same trade date as per underlying instruction
  • Settlement date being the latest date between the payment date of the underlying event and the intended settlement date of the underlying instruction
  • Partial settlement indicator as per underlying instruction (always NPAR for claims in cash)

All market claims are generated with a status “CSD Hold” and released only after the corporate action (cash and/or securities delivery) was settled.

 

Non T2S proceeds

Transformations are not generated for:

  • Cash proceeds in a currency other than EUR;
  • Securities proceeds in non-T2S eligible securities.

 

Processing of transformations by Clearstream:

Applicable

 

Scenarios for transformations

Reorganisation

event type

Cancellation instruction to be created

Opt-out

Indicator

Transformed instruction to be created

MAND

Y

Blank

Y

MAND

Y

Blank

N

CHOS

N

Blank

N (using default option)

CHOS

N

Blank

N

VOLU

N

Blank

N

VOLU

N

Blank

N

Buyer protection

Subject to Manual Buyer Protection mechanism.

Fractions handling

If the calculated quantity of units from a transformation results in a decimal number, the resulting fractions are either compensated for in cash or not, as announced by the issuer.

If an issuer in the Austrian capital market does not grant a compensation in cash and there are fractions, the transformation instruction will show the quantity of units rounded down from the maximum number of places allowed for the ISIN to a maximum of three places after the decimal comma.

If the issuer compensates for any fractions in cash and a reference price for compensations is announced, the transformation would be generated as below:

  • A free of payment instruction for units without places after the decimal comma; and
  • A free of delivery instruction where the cash amount equals the product of the compensation price and the places after the decimal comma (fractions).