Recording title to safe custody assets - CASS Provision: Difference between revisions

@@ Line 1: / Line 1: @@
 {{casssnap|6.2.5}}
-This provision was reworked in the [[great CASS rewrite]] of 2015. Here's what PS 14/9 had to say about it:
+This provision was reworked in the [[great CASS rewrite]] of 2015. Here’s what [[PS14/9]] had to say about it:
+{{box|where a {{fcaprov|firm}} is acting for a proprietary purpose, it should be registering its proprietary assets in a separate name to the name in which it registers any custody assets it holds for a {{fcaprov|client}}.
+[However] there are a number of situations in which a firm may need to hold its own assets in the same name as the custody assets belonging to clients to facilitate, or
+as a result of, a transaction for a client, such as:
+*correcting dealing or transaction errors that relate to client positions [...] to reverse the transaction [[and/or]] correct the error);
+*processing or allocating assets for bulk deals (e.g. as a rounding mechanism when offering aggregated dealing services);
+*maintaining a small balance of the firm’s own assets for purely operational or compliance purposes (e.g. as a float to cover custody breaks);
+*allowing clients to trade in fractional shares or units and when processing corporate actions attributable to a client’s fractional entitlement; and
+*making good a {{fcaprov|shortfall}} in custody assets with a firm’s own assets.}}
 {{anat|cass}}

Navigation menu