OneClearstream: Instruction specification changes for CBL counterparties in T2S
As previously published in Announcement A17129, Clearstream Banking S.A. (CBL1) will use Clearstream Banking AG (CBF) as a gateway to T2S for Belgian, Dutch, French and Italian securities.
For the migrated securities, CBL will no longer access the Italian market and ESES markets (Belgium, France and the Netherlands) via its own account in Monte Titoli or ESES but will instead access these markets through its account in CBF.
As a consequence, T2S counterparties that want to instruct against CBL customers, should no longer instruct against the CBL account in Monte Titoli or ESES but against the CBL account in CBF and standing settlement instructions must be updated accordingly.
Customer impacts
- No impact on Bridge or internal instructions;
- No impact on domestic instructions for CBL customers but a change for their counterparties (change of Place of Settlement from local CSDs to DAKVDEFFXXX for all migrated securities);
- The change of Place of Settlement is applicable to all CBL T2S counterparties (even if the counterparty is not located in Monte Titoli or in the ESES CSDs)2 that wish transact with a CBL customer on Italian or ESES migrated securities;
- New Realignment guides have been published to reflect the specification changes for the migrated securities;
Some of the securities will not be part of the migration and will be kept with the current depository. For these non-migrated securities, the counterparties must continue to use the current instruction format specifications.
Please find below the recommended formats that should be used by your counterparties from 26 March 2018 for Italian securities and from 9 April 2018 for ESES securities.
For ICP counterparties (SWIFT ISO 15022)
Note: ICP counterparties should ask their domestic CSDs for the proper formats to reach the CBL omnibus in CBF. Some CSDs may still have proprietary formats that differ from the below
Settlement party details of CBL | Migrated securities | Non-migrated securities |
Place of settlement (PSET) | DAKVDEFFXXX | SICVFRPPXXX CIKBBEBBXXX NECINL2AXXX MOTIITMMXXX |
Delivering/Receiving Agent (:95P::DEAG/REAG) | CEDELULLXXX | CEDELULLXXX |
:97A::SAFE of the DEAG/REAG | Should not be specified. If specified, it must be the valid CBL SAC within CBF for the given market | Should not be specified. If specified, it must be the valid CBL SAC within the ESES/Monte Titoli CSDs for the given market |
Buyer/Seller (BUYR/SELL) | BIC11 of the CBL customer | BIC11 of the CBL customer |
For DCP counterparties (SWIFT ISO 20022)
Settlement party details of CBL | Migrated securities | Non-migrated securities |
Depository | DAKVDEFFXXX | SICVFRPPXXX CIKBBEBBXXX NECINL2AXXX MOTIITMMXXX |
Party 1 | CEDELULLXXX
(Party 1 SAC should not be specified. If specified, it must be the valid CBL SAC within CBF for the given market) | CEDELULLXXX
(Party 1 SAC should not be specified. If specified, it must be the valid CBL SAC within ESES/Monte Titoli CSDs for the given market) |
Party 2 | BIC11 of the CBL customer | BIC11 of the CBL customer |
DEAG/REAG - Party 1 (safekeeping account) recommendation
We encourage our customers to ask their counterparties not to include the safekeeping account of the DEAG/REAG- Party 1 in their instructions to avoid any matching issues. If counterparties still wish to do so, please be advised that the T2S SAC of CBL at CBF for migrated securities are:
| Monte Titoli | DAKV7201106 |
| Euroclear Belgium | DAKV7201108 |
| Euroclear France | DAKV7201103 |
| Euroclear Nederland | DAKV7201110 |
It must be the valid CBL SAC for the given market, for example, DAKV7201103 for French securities (independent of where the counterparty is located in T2S).
By not mentioning the CBL T2S SAC in the instruction, the counterparty will be able to benefit from one single instruction specification for all ESES and Italian migrated securities.
BUYR/SELL - Party 2 recommendation
As T2S only matches BIC code (:95P:) with BIC code; or proprietary code (:95R:) with proprietary code the customer and its counterparty must ensure that they use identical BIC11s or identical proprietary codes in the BUYR/SELL – Party 2 information.
If the customer has not identified himself in the instruction, CBL will default the matching BIC linked to the account in their T2S instruction, if the counterparty uses a proprietary code this may lead to mismatches unless the customer has specified a proprietary code in its instruction. Please see Announcement A16033.
Therefore, Clearstream Banking always recommends that customers and their counterparty use a BIC11 rather than a proprietary code for the BUYR/SELL- Party 2 information.
Further information
For further information, customers may contact Clearstream Banking Client Services or their Relationship Officer.
1. CBL refers collectively to Clearstream Banking S.A., registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Trade and Companies Register under number B-9248, and Clearstream Banking AG (for Clearstream Banking AG customers using Creation Accounts), registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany and registered in Register B of the Amtsgericht Frankfurt am Main, Germany under number HRB 7500.
2. Provided that the counterparty CSD has established the relevant set-up to allow Cross-CSD settlement with CBF for these securities.