Source: Australian Stock Exchange
ASX today released the Code of Practice for Clearing and Settlement of Cash Equities in Australia (the Code), which will be effective from 9 August 2013.
The Code has received final approval from the Boards of ASX Limited, ASX Clear Pty Limited and ASX Settlement Pty Limited. It has also been reviewed by the Council of Financial Regulators. A draft Code was released for industry consultation in April 2013. Since then, ASX has undertaken a comprehensive industry consultation process and incorporated feedback into the final version of the Code. ASX acknowledges and thanks its customers and other industry organisations that have contributed to the Code's development.
ASX developed the Code following an an nouncement by the former Deputy Prime Minister and Treasurer on 11 February 2013, to defer a decision on any licence application from a central counterparty seeking to offer cash equities clearing services in Australia for a period of two years.
The Code sets out ASX's commitment to:
* establish an ongoing advisory forum (the Forum) that allo ws users of ASX's clearing and settlement services and other industry stakeholders to provide input to the Boards of ASX Clear and ASX Settlement;
* transparent and non-discriminatory pricing of clearing and settlement services; and
* transparent and non-discriminatory terms of access to clearing and settlement services.