Settlement (Part II) Flashcards
Define “margin”
A payment made or guarantee provided by a member to the JSE to assure settlement of transactions in equity securities by that member or its clients.
Define “non-controlled client”
A client or an account holder on whose behalf a client is acting, who has appointed his own CSDP to settle transactions in equity securities on his behalf.
Define “registered owner”
A person or entity which appears on the main register of an issuer kept in terms of the Companies Act, and a person or entity which appears on the uncertificated securities register of that issuer kept by a CSDP in terms of the Companies Act.
Define “ring-fencing”
The process in terms of which linked deliveries and receipts which emanate from off book trades are separated and distinguished from deliveries and receipts which emanate from transactions in the central order book of the JSE equities trading system.
Define “settlement agent”
Means a CSP or other member appointed by a member in terms of directive FI to assist the member in managing the settlement of transactions executed by the member on behalf of non-controlled clients.
Define “Settlement Authority”
The person or persons appointed by the JSE to manage the settlement of transactions in equity securities effected through the JSE equities trading system in terms of the rules and directives.
Define “settlement commitment”
An electronic undertaking by a CSDP to settle a transaction in equity securities.
Define “settlement date”
Settlement date means, in respect of a transaction in equity securities, the date on which the transaction is due to be settled.
