1 Interface with Depositary Systems

This topic gives the systematic instructions to provide interface with depositary systems.

Oracle Flexcube Investor Servicing (FCIS) provides the facility to interface with external depositary systems. A depositary system is an agency that maintains the holdings of investors in an electronic form. An AMC could also function as a depositary. Investors who hold investment units in a depositary system are known as beneficiaries.

Depositary systems may have registrar systems, which maintain records of the balances (known as positions) held by each beneficiary, and also process and disburse dividend payments for the beneficiaries. In some cases, depositaries could also interface with external systems that will provide registrar services for the depositary.

Another function served by a registrar is the conversion of the physical shares to electronic format, and vice versa.
  • When a physical share is converted to an electronic form, it is said to be de-materialized.
  • When the reverse occurs, it is said to be rematerialized.

Oracle Flexcube Investor Servicing (FCIS) provides the facility of functioning as a registrar system to an external depositary. In such a scenario, FCIS receives details of positions held by beneficiaries in the depositary and updates these positions whenever a dividend is disbursed. FCIS also processes requests for de-materialization and re-materialization of shares held by the beneficiaries.

To configure the FCIS system to act as a registrar to an external depositary, you must ensure that the following processes and maintenances are in place:
  • Maintain the depositary as a unit holder in the system.
  • Associate a fund with the ISIN Code.
  • Maintain interfaces for importing beneficiary positions.

This topic contains the following sub-topics: