Paperless securities Service

Paperless securities

As the central depository, the DC/BR is responsible for the centralization and safekeeping of dematerialized securities on behalf of its members. It acts on behalf of both issuers and intermediaries to simplify the administration and circulation of financial securities.

Dematerialization involves, on one hand, the elimination of the physical representation of an issuer’s unlisted securities, and on the other hand, their registration in electronic form in the central depository's securities accounting system.

This process offers two key advantages :

• In terms of security – There is a reduced risk of loss, deterioration, destruction, or theft of paper securities. Additionally, the ever-present risk of errors associated with the manual management of securities is eliminated.

• In terms of ecology – A reduction in the company's carbon footprint as it moves towards a paperless management approach (less paper usage).

Additional advantages when custody is handled by a Central Depository include:

• In terms of visibility – Dematerialization can be accompanied by ISIN coding, making the company visible on investor dissemination screens or attracting private equity funds seeking to develop unlisted companies.

• In terms of corporate actions payment – Electronic and automated management facilitates periodic payments and other activities related to securities operations.

• In terms of competitiveness – There is a reduction in management and administration costs of the financial instrument.