Usage

CDS 1

Completed by the investor who wishes to open a CDS account to trade that the stock market. This form is also used to change details of an existing account. He form is filled with your Central Depository Agent (CDA) is then sent to the Central Depository & Settlement Corporation (CDSC) for action.

CDS 2

This form is used to deposit share certificates into existing CDS accounts (immobilisation). The investor completes the form at our offices and we deliver both the form and the certificates to the CDS for provisional crediting of the shares awaiting approval from the share Registrar.

CDS 3

Completed by the investor who wishes to withdraw their shares from the CDS system. Should such an investor wish to trade the same later, they must immobilise them. The CDSC charges KShs 500 for this withdrawal.

CDS 4A

Completed by the investor who wishes to transfer their securities from one CDA (Stockbroker or Custodian) to another. It serves as a clearance form by the CDA where the securities are held. It is signed by both the client and the CDA and then transferred to the CDSC by the CDA.

CDS 4B

This form is completed by the investor at the office of the new CDA and serves as a securities acceptance form by the new CDA. The investor must register their CDS account by filling the CDS 1 account opening form and submitting 2 photographs and an ID or passport copy before executing this form.

CDS 5

Used for borrowing money against securities held in the CDS account. The form is completed and signed by the investor and the CDA as evidence and authenticity of ownership of the securities. The lending institution then signs and delivers the form to CDSC through the CDA for action. This form must be accompanied by a letter in duplicate copy written to the CDSC by the lender giving instructions to place a lien on the shares, and KShs 1,000 payable to the CDSC. The CDSC ensures that the lenders interests are protected until the loan is fully paid.

CDS 6

This form is used to release securities for which the loans have been repaid. The lending Institution signs and stamps the form and sends the form to the CDSC through us, the CDA, with a letter in duplicate copy requesting the release of the shares and KShs 1,000 payable to the CDSC. The form is also used to deposit foreclosure securities for the purpose of sale once an individual has defaulted.

CDS 7

This form is used for private transfers of securities from one account to another. Approval for private transfers must be obtained in accordance with the CMA requirements before submitting the form to CDSC for action.