Notification - depositaries (CSDR)
Safekeeping of securities
Disclosure of security levels and activity-related costs
UniCredit Bulbank AD (hereinafter “the Bank”) is an investment firm registered with the Financial Supervision Commission (hereinafter “FSC”).
In its capacity as an investment firm and a registration agent, the Bank provides the following investment services and activities:
- Services and activities pursuant to Art. 6, para. 2 of the Markets in Financial Instruments Act (“MFIA”), excluding portfolio management and investment advisory services related to financial instruments as per Art. 6, para. 2, item 4 and item 5 of the MFIA, and it has not concluded an agreement with an investment consultant.
- In accordance with the requirements under Art. 6, para. 3, item 7 of the MFIA, the Bank trades in various types of OTC financial instruments;
- In accordance with the requirements under Art. 6, para. 3 of the MFIA, the Bank also provides the following additional services:
Safekeeping and administration of financial instruments for the account of clients, including custody and custody-related services such as cash and collateral management, with the exception of centralized securities account maintenance in accordance with section A, item 2 of the annex to Regulation (EU) No 909/2014 of the European Parliament and of the Council of 23 July 2014 on improving securities settlement in the European Union and on central securities depositories and amending Directives 98/26/EC and 2014/65/EU and Regulation (EU) No 236/2012 (OJ, L 257/1 of 28 August 2014), hereinafter referred to as “Regulation (EU) No 909/2014”;
Main regulatory requirements for protection of the assets of clients
In line with Ordinance No. 58 of 28.02.2018 on the requirements for the protection of clients' financial instruments and cash, for the management of products and for granting or receiving remunerations, commissions, other monetary or non-monetary benefits, UniCredit Bulbank AD, in its capacity as an investment firm, applies the following requirements for protection of clients’ financial instruments:
- UniCredit Bulbank AD keeps account of and maintains accounts of the financial instruments of its clients, which:
1. allow the Bank to distinguish at any time the assets held for one client from the assets held for another client and its own assets;
2. reflect accurately the financial instruments held for clients;
3. can be used for documented traceability (audit trail).
- UniCredit Bulbank AD shall reconcile the accounts and records it maintains with those of the entity pursuant to Art. 94, para. 1 of the MFIA, where the assets of the Bank and its clients are held and the reconciliation of the financial instruments shall be on a regular basis, in accordance with the regulatory requirements. The reconciliation referred in sentence one shall be made in a way and under a procedure defined in the Internal Rules of the investment firm.
- UniCredit Bulbank AD shall take the necessary measures to ensure that all financial instruments of clients deposited with an entity under Art. 94, para. 1 of the MFIA, at any time can be clearly distinguished from the financial instruments of the investment firm as well as from the financial instruments of the entity under Art. 94, para. 1 of the MFIA, through accounts with different names in the financial reporting of the entity under Art. 94, para. 1 of the MFIA or through equivalent measures that achieve the same level of protection.
Levels of segregation and protection of clients’ securities
In its capacity as an investment firm, UniCredit Bulbank AD maintains different types of client accounts at the respective depositary institutions where it performs segregated keeping and maintenance of clients’ assets in securities.
In accordance with the applicable law, the Bank offers:
- (A) omnibus client segregation according to Art. 38, para.3 of Regulation (EU) No 909/2014;
- (B) individual client segregation according to Art. 38, para.4 of Regulation (EU) No 909/2014;
In accordance with Art.92, para.2 of the MFIA, UniCredit Bulbank AD, in its capacity as an investment firm, shall not be liable to its creditors with the financial instruments of its clients and no enforcement on the financial instruments of clients shall be allowed for obligations of the Bank.
Costs associated with individual or omnibus client accounts
The costs for maintenance of client accounts – omnibus or individual ones – with UniCredit Bulbank AD and the respective depositary institutions used by the Bank, are determined in accordance with the Tariff of UniCredit Bulbank AD for individuals or legal entities and/or the respective agreement with the client and in general, such costs may include the following:
- Fees for maintenance of a securities account
- Fees for safekeeping of securities
- Fees for settlement of securities transactions/transfers
- Fees for corporate events
- Fees related to obtaining tax relief in connection with income from client securities
- Actual costs incurred by the Bank in connection with and/or on the occasion of the execution of its obligations under the respective agreement with a client or the applicable law.
Links to the web addresses of depositary institutions where UniCredit Bulbank AD, in its capacity as an investment firm, maintains various types of client accounts
|
Depositary institution |
Link to the web address |
|---|---|
|
Central Depository AD |
http://csd-bg.bg/ |
|
Bulgarian National Bank |
https://www.bnb.bg/ |
|
Clearstream Banking S.A. |
https://www.clearstream.com/clearstream-en/ |