On 1 July 2024, Clearstream introduced a direct link to South Korea with the Korea Securities Depository (KSD).
This innovative link provides clients with seamless market access to settle and safekeep Korean government bonds, including Korean Treasury Bonds (KTBs) and Monetary Stabilisation Bonds (MSBs), through a unique omnibus account structure. Clients will benefit from Clearstream’s usual range of value-added services, including access to collateral management services, incorporating triparty repo and pledge. Korean Won (KRW) will be supported for FX services.
This major milestone is the result of joint efforts to establish a cross-border link between Clearstream and the Korean CSD via a streamlined omnibus account operating model in line with global standards, following the signing of an agency agreement with Clearstream in August 2023.
With the omnibus account, eligible foreign investors no longer need to open segregated accounts with a local custodian in South Korea but can instead settle and safekeep KTBs and MSBs directly through their existing Clearstream accounts.
