Leading financial and environmental intermediary
Contact UsBack to AFS Execution & Custody
AFS payment bank account, the RAV
Payment services via AFS payment bank account the RAV
AFS Execution Services BV, in collaboration with ABNAMRO Clearing bank, provide clients of AFS in the capacity of Investors in via AFS offered assets, and/or Investors of clients of AFS, and/ or companies and each individual security holder of that company, with a Segregated Payment Account, in Dutch “Rekening Afgescheiden Vermogen” (RAV).
With a RAV the AFS client can make and/or receive payments to or from AFS services, or services from AFS clients, in relation to investments and/or purchase and/or sale of AFS offered products.
AFS provides the following specific services via the RAV:
- For (retail) Investors of Asset Managers, the transfer of cash, with the purpose of buying or selling of the assets (investment) of the individual investor.
- For companies, the transfer of cash, with the purpose of buying or selling for the by AFS offered assets.
- For primary issues, the collecting of the funding of the individual investor and transfer this to the issuing company.
- For corporate actions, the collecting of interest, coupon or principal payment from the company and transfer this to the specific investor (bond certificate or equity holder) of that company.
- For secondary trading (the buy and sell on the trading venue), the collection of the buyer to transfer the cash to the seller under the guarantee of delivery versus payment.
A RAV always needs an offset account with a European Bank with an IBAN ban account. A RAV can only be used in a closed system and only for investment-related activities.
A RAV is set up in a way that the funds will not be affected by a default of AFS Execution Services BV (or any other AFS entity). Deposits on the RAV are also covered by the Deposit Guarantee Scheme in the Netherlands. So up to Eur100.000 also not affected by a default of ABN AMRO Clearing Bank N.V.
On 7 July 2022, the Financial Markets Amendment Act 2022 entered into force. Part of this Amendment Act was the introduction of the Segregated Assets Account (Rekening Afgescheiden Vermogen (RAV)). The Act gives regulated investment firms like AFS Execution Services BV the opportunity to store their clients' funds at a RAV with a Dutch bank. In this way, the client funds on the RAV will not be affected by a possible default of the investment firm. Deposits on the RAV are covered by the Deposit Guarantee Scheme. AFS has an agreement with ABN AMRO Clearing Bank for the provision of a RAV.
Technical AFS Execution Service BV.. hold client cash amounts for and on behalf of our respective client, by use of individual client bank account held in the books of ABN AMRO Clearing Bank N.V. The client money deposits fall under the Dutch deposit guarantee system, governed by the Dutch regulatory and legal framework. So, the AFS bank account is set up in a way that the client money will not be affected by a default of AFS Execution Services (or any other AFS entity). While the AFS client will have their respective cash accounts held in the books of ABN AMRO Clearing Bank N.V., AFS Execution Services will remain the “owner” of the client relationship. The AFS clients will manage and monitor their respective cash accounts through our website and/or related tools and/or apps. https://www.abnamro.com/clearing/en/what-we-do/information/banking-as-a-service