CDA - Central Depository Agent.These are agents appointed by CDSC to carry out CDSC related functions.
CDS Account - Central Depository Account
CDSC - Central Depository & Settlement Corporation
CMA - Capital Markets Authority
Custodian Bank -An authorised depository licensed by the CMA which has been appointed a CDA.
Dematerialisation - This is whereby the underlying physical certificate is no longer considered prima facie evidence of ownership under the Companies Act
Entitlement Date - The date fixed by an Issuer for the purposes of determining entitlements, dividends or other distributions.
Freezing/unfreezing of shares - It is the tagging/untagging of shares such that no transaction can take place on the shares
Fund - The Guarantee Fund established by CDSC.
Immobilisation - Is the process whereby the underlying physical certificate has been deposited with and is held by CDSC
Issuer - The Issuer or its agent, including its Registrar.It is the body that issued the security.
Market - Market means the official market of the Nairobi Securities Exchange.
Net Settlement Obligation - The sum of the total debit amounts netted off against the sum of the total credit amounts for the relevant trading day.
NSE - Nairobi Securities Exchange
Settlement Bank - The Settlement Bank , which provides services to clear funds between CDAs.
Settlement Date - This is the date when shares become balance free and ready for transaction.
Securities Lending and Borrowing - Is the temporary transfer of shares from one party, the lender, to the borrower at an agreed lending/borrowing fee with a formal agreement to return the securities in future either on demand or at a pre-agreed date.
Securities Lending and Borrowing (SLB) Agent - This is an institution appointed by CDSC to facilitate lending and borrowing requests on behalf of investors.
Statement of Account - A statement generated by CDSC showing transactions effected and balance of securities.
Stockbroker - A Member Company of the Securities Exchange and a Central Depository Agent
T - The day on which a trade took place on the Securities Exchange