CPMI-IOSCO Principles for Financial Market Infrastructures
Central securities depositories and exchange-of-value settlement (Principles 11 and 12) – CPMI-IOSCO Principles for Financial Market Infrastructures

CPMI-IOSCO Principles for Financial Market Infrastructures P11: Principle 11 Central securities depositories

A central securities depository has rules, procedures and controls, including robust accounting, to protect the rights of issuers and holders, prevent unauthorised creation or deletion of securities, and reconcile issues at least daily. It prohibits overdrafts and debit balances in securities accounts; keeps securities immobilised or dematerialised for book-entry transfer; protects assets against custody risk; segregates its own assets from participants' securities and participants' holdings from each other, supporting segregation of customer holdings where law allows; and manages risks from its other activities.

Maintained by Gerard Blokdyk

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