The Securities Depository Center of Jordan (SDC) is a public utility institution established in the Hashemite Kingdom of Jordan by virtue of the Securities Law. The SDC was established and commenced operation in May 1999 and it is the only entity in Jordan that is legally empowered to oversee the registration of securities, deposit of securities, transfer of ownership, safekeeping of securities and clearing and settlement of securities transactions. The SDC is subject to monitoring and supervision by the Jordan Securities Commission (JSC).
The SDC’s governance structure consists of a five member board of directors and a full time Chief Executive Officer. Two of the board members are elected by the general assembly of the SDC representing SDC members, whilst three of the board members are appointed by the JSC.
The SDC’s ability to perform its tasks, accomplish new projects, and meet market demand and new developments comes from the SDC’s electronic system, SCORPIO® (Securities Central Operation Registry Processing & Information Online). This is an SDC-designed system that allows it to undertake technical, strategic, and administrative initiatives to build and strengthen its infrastructure, implement and achieve its
tasks and responsibilities.
The SDC has been recognized by the Association of National Numbering Agencies (ANNA) and the JSC as the sole numbering agency in Jordan for the assignment of codes adopted by ANNA, regarding financial instruments including International Security Identification Numbers (ISIN), Classification of Financial Instruments (CFI), and Financial Instrument Short Name (FISN). All securities registered at the SDC are numbered according to each code numbering scheme.
As for the recent milestone of the SDC, it developed an e–voting system to elect the SDC’s board of directors which took place in October, 2020. The SDC also launched the “short message applications (SMS)” service, allowinging investors to follow complementary trading operations on their accounts such as the sale and/or purchase of securities at the ASE, as of December 2019. To contain the spread of COVID19, the SDC developed and set-up electronic linkages for both SDC’s staff and its members to work remotely and to ensure the continuity of business while applying the standards of cyber security to protect the information.
Based on the SDC continuously seeking to enhance transparency and disclosure, it also publishes all the information that matters to investors through its website on the Internet (www.sdc.com.jo). This information includes the following: electronic services, names of the board members and representatives, ownership and trading of the public shareholding companies’ board of directors members, shareholders who own significant percentages of the shares in companies, trading of members of the boards of directors of those companies and representatives of legal members, financial ratios, statistical data and corporate actions.
In the coming years, the SDC plans to:
• Develop the short message service.
• Develop a new mechanism of lien to ensure justice between all parties.
• Link with the new trading system of Amman stock exchange (ASE).
• Develop and introduce new services (lending and borrowing and short selling, and the completion of the project of the depository receipts for securities).
• Provide dividends distribution on behalf of the Issuers.
• Develop the SDC's website.
• Implement the plans included in the Capital Market Development Report, by the EBRD, related to the SDC assignments.