Recommendation 1 Recommendation 2 Recommendation 3 Recommendation 4

Recommendation 5 Recommendation 6 Recommendation 7 Recommendation 8

Market selection

Recommendation 1

Securities Systems* have a primary responsibility to their users** and other stakeholders. They must provide effective low cost processing. Services should be priced equitably.

* Securities Systems = depositories, settlement and clearing systems
** Users = customers of the securities system, and all other parties to whom the securities system owes a duty of care

1.	Is the board that governs the depository answerable to its users?	Yes. The board of the local securities system (= Clearstream Banking Luxembourg ) is composed of representatives of its users and its shareholders are forming a large part of the local banking industry.
2.	Does any single organisation, or sector (e.g. brokers, custodians, Stock Exchange) have a large voting position at the board of the depository?	There is no single organisation nor sector which has a large voting position at the board of directors of Clearstream Banking Luxembourg.
3.	Is there cross subsidisation of products (e.g. international services subsidised by local ones or transaction costs subsidised by asset servicing charges)?	No, there is not.
4.	What process is in place at the depository to ensure that it meets the needs of all its stakeholders (e.g. institutions, broker dealers, retail investors, issuers)?	Different committees and boards, either at the level of Clearstream Banking are in place in order to ensure that this is achieved.
5.	What is the communications strategy of the depository to its stakeholders and how is this run?	In accordance with the provisions of Luxembourg law, there is an annual general meeting open to all shareholders. Customer information bulletins provide details of any change to an operational service or product offering, these are sent as required and are available on the web-site.