CABS Custodial Services (Pvt) Limited is a 100% wholly owned subsidiary of Old Mutual Zimbabwe Limited. The unit was borne out of a de-merger with the group’s asset management company, Old Mutual Asset Managers (OMAM) in 2000. This de-merger was in recognition and acceptance of industry “best practice” whereby an asset management company cannot perform the dual role of Fund Management and Custodianship. It then operated as a division within the life company until it became a separate company registered as Three Anchor Investments trading as Old Mutual Custodial Services (OMCUS) in 2011. As part of following the International best practice whereby a custodian is housed under a banking Institution, Old Mutual Custodial Services rebranded to CABS Custodial Services.
The company offers a wide range of services to local institutions and individuals trading on the Zimbabwe Stock Exchange (ZSE), Alternative Trading Platform (ATP) and the Money Market.
CABS Custodial Services’ primary service offering constitutes Trustee Services which the institution was licensed on 1 April 2016 and Safe custody and settlement of securities in both physical and electronic form.
Our primary offering consists of:
Trustee Services
Offer trustee services to Unit Trusts products and Debt Instruments such as Bonds and Debentures, and is done in accordance with the Collective Investment Schemes Act (Chapter 24:19).
Safe Custody of Securities
CABS Custodial Services provides safe custody of physical instruments e.g. share certificates, bonds, title deeds, etc. This is done through our secure vault facilities.
Settlement and Registration of Securities
We settle all transactions for clients on receipt of instructions from the Asset Managers and processing takes place in highly secure environment. There is a process of pre-matching and confirmation with the parties concerned to ensure settlement on the due date.
Once settled, the Securities are registered in the name of the investor and cannot be tempered with except on receipt of proper instructions from the asset manager or investor.
This segregation of duties between the Asset Manager and Custodian ensures the protection of the interest of the investors.
Central Securities Depository (CSD) Account Opening
CABS Custodial Services open accounts for Corporate and Retail Investors, for safekeeping of shares in the electronic form for shares trading on our primary exchange the Zimbabwe Stock Exchange (ZSE).
Alternative Trading Platform (ATP) Account Opening
CABS Custodial Services open accounts for Corporate and Retail Investors, for safekeeping of shares in the electronic form for shares trading the secondary exchange, FINSEC ATP.
Corporate Action Admin and Income Collection
CABS Custodial Services keeps up to date with any forthcoming market and corporate events.
All events (mandatory and voluntary) are pre-advised to the asset manager giving the salient dates, client eligibility, action required and where clients are required to make a choice, the custodian obtains and effects instructions from the clients. We are responsible for the collection dividends, interest and the registration of any entitlements on behalf of our clients.
The list of corporate actions that we attend to includes: cash/stock options, rights issues, bonus share issues, bond issues (submit tenders), splits, consolidations, name changes, mergers/demergers and share buybacks.
Reporting
We provide comprehensive reporting on client holdings and asset movements (the reports are available at the end of each month), as well as scrip count procedures for self-administered funds.
Our client base is diverse and includes:
- Life Assurance Companies
- Pension Funds
- Private Investors
- Unit Trust Companies
- Corporate Investors/Companies
Custody encompasses much more than settlement and safekeeping. As a custodian of equity certificates and other assets, we have earned a reputation for integrity and trust. We assure our clients that assets entrusted to us are fully secure and are released only upon receipt of proper instructions. We pride ourselves in our ability to handle any size or type of (local) custody arrangement allowing our clients to focus on the important issues confronting their business every day – with the knowledge that their assets are secure.