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Even if terminology can vary depending on jurisdictions, I would make the following distinction (Sorry in advance but I will have to generalise):
- "Depository" is generally (or historically) used to talk about central institutions (nearly utilities) that register the initial deposit of securities on request of the issuer. CSDs are most of the time local organisations built to accomodate the clearing and settlement needs of local traditional exchanges.
- "Custodian" describes a firm (generally banks) that holds securtities on behalf of trading firms.
Patent synergies exists between both activities so the above mentionned distinction is blured in a number of cases:
- A custodian can offer initial depository services to issuers. This model is notably very efficient when the securities are not 100% freely transferable (basically not bearer shares) or when it comes to organising clearing and settlement in multiple currencies.
- A well known European custodian owns several local CSDs and indifferently offers equivalent services via the different entities of the group.
If I stick to the general picture I have just drawn, the custodians are the typical clients of CSDs. To sum up a (very simple) trade life cycle:
1- A trade is carried out on the exchange between two trading firms.
1'- The trade is notified by the exchange to countperparts.
2- It is sent to CCP/Clearing/Settlement agent(s)
2'- The trade is notified by CCP/Clearing
What else can I help you with?
Is there a difference between a janitor and a custodian?
No
What is the difference between and IRA trustee and an IRA Custodian?
Custodian has passive control vs. a trustee who can invest, funds etc.
Two way fungibility?
The two way fungibility means that the Depository Receipts (ADRs/GDRs) can be converted into underlying shares & underlying shares can be converted into Depository Receipts. Every Depository Receipt has underlying shares backing it. The Depository Receipt is issued & traded outside the country of the issuer, but the underlying shares backing the receipts are lodged in custody with a custodian in the country of the issuer.
What is the difference between depository bank and custodian bank?
On the simplest level, depository is used to refer to any place where something is deposited for storage or security purposes. Custodian is responsible for safeguarding a firm's or individual's financial assets
What is difference between custodian and housekeeping?
A housekeeper generally does the cleaning in a facility or building. A custodian may have duties that include security; opening and locking a building at designated times. There are many examples where a custodian also does the job of housekeepers. It all depends on the building or facility in question.
What is the difference between depository law and copyright law?
Federal depository law guarantees access to government documents stored at more than 1200 depository libraries across the country. Copyright law gives creators of works the exclusive right to copy, alter, distribute, or perform/display the work, or authorize others to do so.
What is the difference between a janitor and a custodian?
a maintenance worker usually requires more training such as electrician, plumbing or HVAC
Difference between depository and non depository institution?
Depository institutions---is a financial institution (such as a savings bank, commercial bank, savings and loan association, or credit union) that is legally allowed to accept monetary deposits from consumers.It contribute to the economy by lending much of the money saved by depositors.financial non depository institutions are financial intermediaries that do not accept deposits but do pool the payments of many people in the form of premiums or contributions and either invest it or provide credit to others. Hence, nondepository institutions form an important part of the economy. These institutions receive the public's money because they offer other services than just the payment of interest. They can spread the financial risk of individuals over a large group, or provide investment services for greater returns or for a future income.Nondepository institutions include insurance companies, pension funds, securities firms, government-sponsored enterprises, and finance companies. There are also smaller nondepository institutions, such as pawnshops and venture capital firms, but they constitute a much smaller portion of sources of funds for the economy
What is the difference between a trustee and a custodian?
A custodian is always a person; one who has charge of something (a caretaker) of a minor child's estate or an absentee landlord's property. The custodian does not hold title to the property. A trustee is often an institution such as a bank, that holds legal title to a property in order to administer it for a beneficiary, or can be a member of a board elected or appointed to direct the funds and policy of an institution. [source: this information reprinted from Answers.Com]
What is the General term for janitor?
Janitor. Or custodian.
How much money does a custodian earn weekly?
between 9.50 and 12.50 an hour
When was The Book Depository created?
The Book Depository was created in 2004.
