Custody Bank
According to the Decision of the RS Securities Commission No. 01-UP-051-1126/07, Nova banka a.d. Banja Luka received a license to conduct the activities of the custody bank. The custody bank, as a new participant in the capital market, significantly contributes to market confidence, reducing systemic risk, insurance and increasing the efficiency of the overall market. The beginnings of the development of custody operations are related to the end of the 19th century, when the capital of European banks participated in capital investments in the USA, in the construction of railways and cities ... The need for investors in the United States to monitor investments in which capital is invested, and to keep certificates of shares of their clients in their vaults, has led to the fact that today custody services represent a whole set of services provided by the Bank to its clients in the framework of operations with securities, which clients purchase for themselves or on behalf of their clients.
Custody services
As part of its regular activities, the Custody Operations Department of Nova banka provides clients with the following services:
- opening and maintaining securities accounts in the Central Registry of Securities (hereinafter the Registry) on behalf and for the account of the owner - its clients (custody account in the name),
- opening and maintaining a securities account in the Registry on behalf of the custody bank, and for the account of the owner, i.e. nominated owners - its clients (collective custody account),
- execution of orders for transfer of rights from securities and orders for registration of rights of third parties on securities and taking care of transfer of rights from those securities,
- collection of receivables from the issuer on the basis of due securities, interest and dividends for the account of the owners of these securities and taking care of the exercise of other rights belonging to the owners of securities that are its clients,
- provision of securities lending services,
- informing shareholders about the annual meetings of shareholders’ assemblies of joint stock companies and representing them at those shareholders’ assemblies,
- notification of rights related to securities, and execution of client's orders related to the exercise of these rights,
- notification of legal changes that directly or indirectly affect a client's reporting on the balance of securities on the custody account,
- taking care of the execution of tax obligations of the owners of securities,
- other services related to securities, exercise of rights and fulfillment of obligations arising from securities, agreed between the client and the custody bank, which are not in conflict with legal regulations.
Paying agent activities
Paying agent activities refer to the opening of a dedicated account by the custody bank from which payments of the corresponding principal and interest will be made at the due annuity to the owners of securities using payment security instruments (bill of exchange, guarantee). In the case of security using bills of exchange, the paying agent keeps and records the deposited bills. He/she keeps records of payments and withdrawals from special purpose accounts and takes care of the implementation of forced collection of annuities before the bank on behalf of the bondholders in case of improper performance of obligations by the Issuer.
Advantages
The Bank, aimed at creating a lasting and quality service, has the following advantages in working with custody operations:
- experience in performing securities operations,
- individual and professional approach, in accordance with the individual requirements of the client,
- daily verbal, written and electronic communication with the client,
- availability and reliability,
- "trust zones"
- trading on foreign stock exchanges in the region and the world.
More information can be obtained from our website www.novabanka.com or at the following address:
Kralja Alfonsa XIII, 37A
78000 Banja Luka
Tel: 051 / 333-390
Fax: 051 / 241-932
Mail:
Contact person:
Ana Mrđa
Head of Custody Department
Treasury Division
