The Acupay System
Acupay builds and operates communications systems that connect thousands of financial institutions and investors globally with issuers and tax authorities around the world. It was created to provide the fastest, easiest route of communication between investors and issuers and any intermediaries in between. Users of the Acupay System include domestic clearing systems, the ICSDs, custodian banks, brokers, and hundreds of commercial banks and retail brokers in North America, Europe, Asia, Latin America, and Australia.
Information First - Paperwork Second
The underlying principle of the Acupay System design is “information first and paperwork second”. Custodian banks (or investors themselves) enter their information, which can be as detailed or as general as the market requires, but it is one of Acupay’s unique contributions to consider this investor information itself as the core element of entitlement processing. With this approach, Acupay can offer (i) seamless tax relief over an investor’s entire portfolio of international securities and (ii) efficient tax relief processing for the entire investor population for a debt or equity security. Depending on the source market of the investor income, the Acupay system supports tax relief via three channels: relief at source, quick refund and long form. If you are unfamiliar with the distinctions between these channels, please refer to our Glossary.
Automatic Reconciliation between Tax Relief and Tax Certificates in the CORE Library
The Acupay System is an innovative web-based information processing platform, which enables the efficient handling of tax relief requests with respect to corporate actions and income payments. It has been tailored specifically for this purpose and with back office staff in mind and therefore is tailored to fit in seamlessly with back office procedures and systems, heavily reducing the use of physical or manually processed certificates to accompany each request for certification, entitlement or reclaim. The Acupay System allows custodian banks to upload thousands of rows of investor data in one go, therefore making tax relief requests hassle-free and efficient.
Custodian banks enter investor details into the system (one-by-one or in a bulk upload) and the system will generate any relevant documentation or flag up any documentation that will have to accompany the tax relief request. Tracking elements are provided to allow the documentation to be automatically matched to electronically stored investor data. The Acupay System’s CORE library gives easy access to all tax certificates that have been entered into the system – be it tax residency certificates issued by the investor’s local tax agency or bulk KYC confirmations created by a custodian.
A Network of tax relief processing systems
The Acupay System offers comprehensive solutions for investors, their custodian banks and brokers as well as issuers of securities and their agents. It facilitates beneficial owner certification, entitlement calculations and allocation for both fixed-income and equity securities, including bonds, shares, deposit receipt, commercial paper and hybrid instruments. The system ties in seamlessly with other systems operated by Acupay, like Acupay Realtime and the Bondcom System (the system supporting tender offers, exchange offers and consent solicitations).
Secure web-link to the Acupay System (for custodial intermediaries, fund managers and asset managers).