Deposits of securities
Unsecured deposits of securities
Securities or financial instruments will not be secured if they have been deposited with a credit institution to perform investment services and supplementary activities in territories classified as tax havens under prevailing tax laws or in a country or territory that does not have a securities market regulator or, when one does exist, said regulator refuses to exchange information with the Spanish National Securities Market Commission (CNMV).
The countries or territories in the latter case will be specified by the Ministry of Economy as proposed by the Spanish National Securities Market Commission.
Securities and financial instruments deposited with branches of Spanish credit institutions located in non-European Union countries that have national investor compensation schemes equivalent to those in Spain will also not be secured.
The following securities will not be considered as secured, and will therefore not be covered by the Deposit Guarantee Fund for Credit Institutions.
- Deposits by other credit institutions on their own behalf and in their own name, and any by the subjects and financial institutions listed below:
- Stock exchange brokers and companies;
- Insurance undertakings;
- Real estate investment companies;
- Undertakings for collective investment in transferable securities and pension fund, securitisation fund and venture capital management companies and the deposits of the entities they manage;
- Financial advisors and portfolio management companies;
- Venture capital companies and the management companies thereof; and
- Any other financial institution defined in article 4.1.26) of Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013.
- The institution's own funds as per the definition in article 4.1.118) of Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013, irrespective of the amount qualifying as such.
- Debt securities issued by the credit institution in question, including promissory notes and trade bills.
- Deposits whose holder has not been identified, pursuant to Act 10/2010 of 28 April on money laundering and the financing of terrorism, or which derive from transactions that resulted in an irrevocable criminal sentence for money laundering.
- Deposits held by the institution on behalf of public administrations, except for those held on behalf of local authorities with an annual budget of EUR 500,000 or less.
Moreover, and irrespective of whether they are included when calculating contributions, the obligation to reimburse secured amounts will not apply for deposits that were made:
- In breach of prevailing legal provisions, especially those deriving from operations that have resulted in a criminal conviction for money laundering crimes.
- By clients obtaining, for personal gains, financial conditions that have contributed to worsening the institution's position, provided this has been determined in an outright sentence.
- By parties acting on behalf of any depositors excluded in accordance with this and the previous section, or jointly with any parties stipulated in the previous two points.
Nevertheless, as per the deadlines stipulated in article 9.1 of the aforesaid royal decree, should the Management Committee decide that circumstances exist demonstrating a relationship with or the involvement of a depositor that give rise to the obligation to indemnify, payment of the corresponding compensation may be suspended while no court ruling is handed down, at the request of a party, stipulating that there is no such relationship or involvement. The Fund will have the same powers when a depositor or any other party with entitlement to or interest in the deposit has been indicted or convicted for crimes related with money laundering, should the summary procedure regulated by Title III of Book IV of Spain's Penal Procedural Act have commenced and until completion of said procedure.