Depository Trust Company
Depository Trust Company (DTC) is a New York corporation that performs the functions of a Central Securities Depository as part of the US National Market System.[1] Since 1999 it has been a subsidiary of the Depository Trust & Clearing Corporation, a securities holding company.
| Founded | 1999 |
|---|---|
| Headquarters | New York |
| Subsidiaries | Depository Trust & Clearing Corporation |
History
DTC was formed under the special incorporation laws of New York for trust companies. DTC manages book-entry securities entitlement transfers for brokerage houses and maintains custody of global (jumbo) stock certificates and other stock certificates through its affiliated partnership nominee, Cede and Company. DTC maintains Omnibus Customer Securities Accounts for the account of the DTC Participant.
Functions
DTC participants own the non-voting stock of DTC. Depository Trust & Clearing Corporation owns all of the voting stock in DTC, which makes DTC a subsidiary of Depository Trust & Clearing Corporation.
DTC is not the holder of record of the securities for which it manages the custody. Instead, DTC designates Cede and Company as their main custodial nominee pursuant to New York's Uniform Commercial Code, Article 8: Investment Securities. Cede and Company's partners are employees of DTC.
See also
- National Securities Clearing Corporation
- Fixed Income Clearing Corporation
- Securities clearing and depository institutions
References
- "The Depository Trust Company - DTC". DTCC. Retrieved 2016-04-01.