Securities
Getting into custody is not easy; it requires investments in systems and development of a specialised cadre capable of meeting the different needs and changing demands of fund managers and investors (customers).
What is a custodian? A custodian is a keeper and a care taker. In our profession, it is the bank that performs a multitude of functions in order to assist the fund manager (the investment decision maker), in executing its SECURITIES sales and purchase orders (settlements), safekeeping such securities, collecting its revenues, reporting corporate actions...and other services that will be addressed later.
The essence of this definition is that the global custodian carries out the duties of a master record-keeper rather than just being the actual caretaker, of the securities.
For a pre agreed charge, the global custodian agrees to handle all operational concerns that occurs after the investment decision is made i.e. dealing with "post - trade" aspects of the investment, thus allowing the investment manager to get on with the job of managing the fund.
For the charge received, the global custodian typically provides the following package of services to the fund manager.
- Safekeeping
- Foreign Exchange
- Settlement
- Custodian Services
- Corporate Action Processing
- Income Collection
- Multi-Currency Accounting
- Stock Lending
- Tax Reporting and Reclamation
- Cash Management
- Portfolio Reporting and Valuation
- Proxy Voting
Establishing a strong custody services can mean the difference between forging ahead and falling behind; the difference between remaining local or regional and emerging global.
With JSCS securities experts, you can rest assured you made the right choice in contracting us to establish or review your securities operations. We're proud of our profound knowledge in this domain because it is a direct reflection of our dedication and commitment to custody services in particular and banking operations in general. Our custodial services include putting in place a system of operations for settlement, securities registration, safekeeping, income processing, corporate actions, proxy voting, cash management, and real time trade and portfolio reporting.
More specifically, we can assist in establishing a Securities Department with sophisticated automation, soundly placed procedures and well trained staff to achieve the following accountabilities:-
Efficient settlement
To guarantee accurate and timely movement of securities and funds associated with trading it.
Serving investment managers at the highest standards can be achieved with a feasible securities system provided staff receive a specialised training.
Securities safekeeping
To provide a secure facility for the safekeeping of your clients' stocks, bonds, notes and other securities — in both physical and book-based environments. Furthermore, to ensure that clients' assets are held securely and recorded accurately on your custody system.
Income processing
To process the income generated by the investments of your clients. You will be able to efficiently collect interest and dividends on securities in custody, and offer contractual income processing on securities. An Income Entitlement Help Desk will be staffed by knowledgeable professionals, supporting all your clients' income inquiry needs.
Corporate actions
To keep your clients up to date on corporate action activity affecting their securities held in your custody. They must receive timely corporate action notices about rights, warrants, conversions, name changes, stock splits, and other corporate action types. You notification procedures will focus on control and optimum information turnaround so that your clients have the maximum time possible to submit an informed response. You must promptly act on your clients instructions with respect to voluntary corporate actions.
Proxy voting
To notify your clients on upcoming meetings for which they may cast their vote via SWIFT, fax, telephone, mail or the Internet. To also provide front line service support through a Corporate Actions Help Desk, to be staffed by a team of dedicated specialists.
The combination of our team of knowledgeable professionals and an adequate technology we can come into a relationship that will most assuredly help you to establish and build up your custody business.
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