KSD - Korea Securities Depository

12/02/2022 | Press release | Distributed by Public on 12/01/2022 19:58

KSD Signs MOU with ICSDs on the Implementation and Operation of Omnibus Accounts for KTB Investment

KSD signed MOUs*on the implementation of omnibus accounts** for KTBs with Euroclear and Clearstream on November 29 and December 1, respectively. The ceremonies were also attended by a Ministry of Economy and Finance official.


□ In order to improve the market system to befit the scale of the Korean government bond market capitalization, the Ministry of Economy and Finance has been making various efforts to enhance the accessibility of the Korean government bond market, including offering tax exemption on KTB investment by foreign investors and promoting the inclusion of KTBs in the FTSE Russell WGBI.


Procedure

Direct Account

Omnibus Account

？Investor Registration

Needed (FSS)

Need NOT

？Appointing Standing Proxy(Custodian)

Needed (Banks, Securities Companies)

Need NOT

？Domestic Direct Account

Needed

Need NOT

◇ Euroclear ("Euroclear Bank SA/NV")

ㅇ As a world's biggest ICSD, it was established in 1968 at Brussels Belgium

ㅇ Euroclear Bank is subsidiary ofEuroclear Holding SA/NV, along withCSDs of U.K., France, Sweden, Netherlands and Finland.

ㅇ As of 2021, it's AUM is about €37.6 trillion.

◇ Clearstream("Clearstream Banking S.A. Luxembourg")

ㅇ Established in 1970 as an ICSD and its Head Quarter is in Luxembourg.

ㅇ Deutsche Borse Group hold Clearstream Banking Luxembourg (ICSD) and Clearstream Banking Frankfurt which is CSD of Germany.

ㅇ As of 2021, it's AUM is about€16.6 trillion.