Federal Register #SRDTC2026009

Notice of Proposed Rule Amendment to DTC Redemptions Service Guide and Operational Arrangements

This notice announces a proposed rule amendment by The Depository Trust Company (DTC) regarding its Redemptions Service Guide and Operational Arrangements. - Government Buyer: - Securities and Exchange Commission (SEC) - OEM/Vendor Mentioned: - The Depository Trust Company (DTC) - Key Details: - The amendment updates the Redemptions Service Guide and Operational Arrangements, which govern eligibility for DTC services. - The Payment without Presentation (PWP) process would become mandatory for eligible securities, removing the need for physical certificate presentment and related documentation for redemptions and maturities. - Opt-out from PWP is only allowed under specific legal or regulatory circumstances. - The amendment establishes protocols for the retention and destruction of physical certificates. - The process for agents to receive automated notifications is codified. - No products, part numbers, or purchase quantities are requested. - No unique procurement requirements are present beyond the procedural rule changes described.

Description

This notice pertains to the filing of a proposed rule amendment by The Depository Trust Company related to the Redemptions Service Guide and operational arrangements, which are necessary for securities to become and remain eligible for DTC services. The proposed rule change would update the Payment without Presentation (PWP) process to eliminate the need for physical certificate presentment and related physical documentation for eligible redemption and maturity events. It includes making participation in the PWP process mandatory with opt-out only where necessary, establishing retention and destruction protocols, and codifying the existing process for automated notifications.

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