SINGAPORE: To ensure public health and safety amid COVID-19, Singapore Exchange (SGX) will close The Central Depository (CDP) Customer Service Centre from 18 April 2020 until further notice.
SGX will also refine its processes to cater to the new operating environment, and similarly encourages customers to increase the use of online services.
This is in line with the government’s efforts and directives, including the Monetary Authority of Singapore’s (MAS) 17 April 2020 announcement urging customers of financial institutions (FIs) to minimise visits to FIs’ premises during the current circuit breaker period. The MAS announcement is found here: https://www.mas.gov.sg/news/media-releases/2020/mas-urges-customers-to-minimise-visits-to-premises-of-financial-institutions.
SGX strongly encourages all account-holders of CDP to use online or electronic methods to access services or make payments. All CDP services continue to be accessible through the internet, telephone and mail. More details on CDP services are available here: https://www.sgx.com/practise-safe-distancing-going-digital
With banks temporarily closing a number of branches, individual shareholders should apply for rights issues via automated teller machines. They should not go to bank branches to purchase cashier’s orders needed for paper form applications.
In order to receive cash distributions directly into their designated bank account, CDP customers should sign up for CDP’s Direct Crediting Services as physical cheque services will progressively cease to be provided by CDP.
To ensure the safety of our market participants while maintaining the resiliency of our marketplace, SGX has also reviewed all activities that require the physical presence of SGX staff or CDP customers in member firms’ or CDP’s premises.
SGX’s onsite reviews of member firms have been temporarily suspended in favour of offsite inspections. These inspections focus on trading activities of members and are aimed at ensuring SGX markets remain orderly.
Members’ business continuity plans continue to be actively monitored so as to minimise the risk of any disruption to their business and operations.
SGX has also stepped up its offsite monitoring of members’ financial and liquidity condition in light of increased market volatility, including performing more stress tests on their financial positions. Members continue to be able to meet their financial obligations to SGX.
In addition, as part of prudent planning to cover even unlikely scenarios, SGX will update its existing contingency plan to handle material disruptions in members’ trade settlement. The updated plan will ensure that investors need not visit the CDP Customer Service Centre to settle trades directly with CDP. It will also minimise the number of staff from SGX and member firms needed on premises.
“Everyone has a role to play if COVID-19 is to be stopped. This means that essential services providers like SGX must examine our businesses and processes for ways and means we can support measures to curb COVID-19 while preserving our customers’ interests. We will continue to listen and work with our customers and stakeholders as we battle this outbreak together,” said Loh Boon Chye, CEO of SGX.
