Markets regulator Sebi on Friday streamlined the framework for centralised database for company bonds to offer additional ease of entry of data for traders.
Beneath this, it has offered an up to date checklist of knowledge fields to be maintained within the database together with the style of submitting the identical, Sebi mentioned in a round.
The regulator has additionally specified duties of events concerned, contents of the database and method of submitting the knowledge.
The regulator had in October 2013 mandated depositories to collectively create, host and preserve a centralised database of company bonds held in demat type.
“Pursuant to discussions with market contributors, it has been determined to additional streamline the database and supply additional ease of entry of data for traders,” Sebi mentioned.
This new framework shall be relevant for debt securities issued on or after August 1, 2021.
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With regard to depositories, Sebi mentioned they should proceed to collectively create, host, preserve and disseminate the centralised database of company bonds held in demat type.
All historic information obtainable within the database will proceed to be hosted by the depositories.
They should guarantee to have sufficient programs and safeguards to keep up the integrity of knowledge and to forestall manipulation of knowledge. Every depository should synchronise the database in session with the opposite depositories.
The depository which receives data from an issuer should host the identical in addition to share it with the opposite depository for internet hosting inside three working days from the date of receipt of the knowledge.
Additionally, they should present safe login credentials to issuers, inventory exchanges, credit standing businesses and debenture trustees for updating and verifying requisite data within the company bond database throughout the required timelines.
Moreover, depositories want to offer the knowledge obtainable with respect to the redeemable desire shares and securitised debt devices, in a separate part throughout the database, within the type as obtainable with them, after sharing the identical with the opposite depository for synchronising and updating the information.
In respect of issuers, Sebi mentioned they should present particulars pertaining to issuer, difficulty, instrument classification and its element, credit standing with title of credit standing company and date of credit standing and default historical past data, amongst others, within the database on the time of allotment of the ISIN.
Additional, depositories should confirm the knowledge as offered by issuer on the time of activation of ISIN (Worldwide Securities Identification Quantity).
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