[ESMA70-156-4448 CSD General Q&A 4]

(a)    Article 3(2), second subparagraph, of CSDR concerns all transferable securities which are admitted to trading or traded on trading venues.  

 

(b)    Article 2(1)(12) of CSDR defines the intended settlement date as “the date that is entered into the securities settlement system as the settlement date and on which the parties to a securities transaction agree that settlement is to take place”, with settlement being defined under Article 2(1)(7) of CSDR as “the completion of a securities transaction where it is concluded with the aim of discharging the obligations of the parties to that transaction through the transfer of cash or securities, or both”. In respect of financial collateral arrangements, the intended settlement date should therefore be on the date when the relevant securities are to be transferred to the collateral taker under the conditions laid down in the FCD, in particular Article 2(2) thereof, i.e. “so as to be in the possession or under the control of the collateral taker”, and not on the date when the relevant financial collateral arrangement is to be enforced.