AUSTRALIA - Capital Market Infrastructure Summary

Central Securities Depositories
ASX Settlement
ASX Austraclear

BIS Model
Model 1

Settlement Cycle

ASX will transition to a T+2 Settlement cycle for cash equities and bonds 7 March 2016.

The Australian Securities Exchange (ASX) owns ASX Clear and ASX Settlement Corporation. ASX Clear is Australia's clearing facility and central counterparty for securities listed on the exchange's trading platform for cash market securities (comprising equities, pooled investment products and warrants) and derivatives (comprising exchange traded options and futures, predominantly equity-related). ASX Clear operates the Derivatives Clearing System (DCS), to clear and settle equity-related derivative products. ASX Settlement Corporation has two wholly-owned subsidiaries, ASX Settlement and ASX Austraclear, which provide all settlement and central registration of equities and debt instruments respectively. ASX Settlement operates CHESS (Clearing House Electronic Subregister System), a system for the electronic settlement and transfer of equities on a T+3 cycle. Debt instruments often settle on a T+3 cycle, but in some cases this can fall between T and T+3. Settlement of securities occurs on a gross basis, simultaneously with real time gross settlement (RTGS) of cash, so that a final transfer of securities only occurs once the transfer of cleared funds is confirmed.

Key terms defined in our glossary:

Central Securities Depository
BIS Model 1
Settlement Cycle

The above information is written as a general guide only and is subject to change. Please refer to our 'Terms' page for more details.