Citi Wins Mandate from Korea Securities Depository

Citi has been appointed by the Korea Securities Depository (KSD) as its special segregated accounts (SPSA) custodian for Shanghai-Hong Kong Stock Connect.

Korean investors, whose accumulated trading volume for the past six months approximately amounting to US$5bn, are one of the most active investor groups employing Citi’s Stock Connect trading, clearing and settlement solutions.

Established in 1974, the KSD is Korea’s sole central securities depository in Korea, providing depository and settlement services for all types of securities traded in the Korean securities market. KSD also provides cross-border deposit and settlement services through foreign custodians for local Korean securities companies.

“It’s a great privilege to have been selected by KSD as their partner for Shanghai-Hong Kong Stock Connect and this partnership is a great example for other markets’ infrastructures to facilitate local investors’ cross-border investments” said David Russell, regional head of securities services at Citi.

“This partnership will provide a good platform for facilitating cross-border investment flow from Korea to China A-share market and enable local brokers in Korea to transact using different China Connect brokers,” added Jaehoon Yoo, chairman and chief executive (CEO) of KSD. “KSD will also be able to better safeguard Korean investors’ investment in A-shares.”