WHAT WE DO
Fixed Income Fund Services
Processing of Principal Repayment & Coupon / Rental Payment
This covers the periodic and final payments associated with fixed income instruments. It ensures that investors receive both their scheduled coupon or rental income and the repayment of principal at maturity or as defined in the instrument’s terms.
CSCS facilitates this process through accurate record reconciliation, verification of investor holdings as at the record date, and coordination with registrars, trustees, and settlement banks to ensure timely and error-free disbursement of proceeds to all eligible holders.
This service supports the integrity of the fixed income market by ensuring that income distributions and redemptions occur efficiently, transparently, and in line with market settlement standards.
Redemption of Fixed Income Securities
The process includes receipt of instruction from registrars, compare securities holdings (registrars vs CSCS), effect redemption as advised (partial/full redemption) and update registrars accordingly, to maintain the accuracy of depository records.
At maturity, the principal amount is repaid to investors, and the corresponding security units expunged from the investors' depository account whilst for amortize bonds, security units are redeemed as instructed by the registrars.
Ensures that redemptions are processed seamlessly and in line with regulatory and market requirements, CSCS supports the process of redeeming securities units, maintains data integrity, and enhances confidence in the post-trade infrastructure.
Initiate this request via the RegConnect portal
Processing of closure advice
This service involves the generation and delivery of closure advice to registrars ahead of corporate actions.
The closure advice provides a comprehensive list of investors and their corresponding balances as of the record or closure date, serving as the authoritative source for determining payment entitlements.
Through this process, CSCS enables registrars and issuers to accurately compute and execute coupon disbursements.
This service plays a critical role in the fixed income lifecycle by providing validated data that underpins the correct payment of coupon, supports transparency, auditability and compliance with market protocols.
Initiate this request via the RegConnect portal
DVF transfer of FGN securities
This service entails the transfer of Federal Government of Nigeria (FGN) securities from investors whose holdings are maintained under the custody of the Central Securities Clearing System (CSCS) to counterparties, typically banks or Pension Fund Custodians, whose securities are held and administered under the custody of the Central Bank of Nigeria (CBN).
Key Features
- Provides an optional platform for transaction of securities.
- Transactions can be completed as quickly as T+1 or even T+0.
- No price restrictions: Investors are not limited to the prevailing market price when trading FGN bonds.
Get started by engaging your stockbroker or market operator.
For enquiries, leave us a message using the form below.
