Central Depository (CDP)

SGX's clearing and depository arm. CDP accounts hold Singapore-listed securities in your own name (vs broker-custodied, where shares are held under the broker).

What CDP is

The Central Depository (CDP) is a subsidiary of Singapore Exchange (SGX) that holds securities listed on SGX in book-entry form on behalf of investors.

If you have a CDP account, your SGX-listed shares are held in YOUR name — directly, with no broker between you and the company's share register.

CDP vs broker custody

CDP custody: shares held in your name at CDP. You receive dividends and corporate-action materials directly. Listed as a registered shareholder.

Broker custody (also called nominee or street-name): shares held by the brokerage on your behalf. The broker, not you, appears on the share register. They receive dividends and pass them through to you.

Cost: CDP-held shares typically incur slightly higher commission per trade (full-service brokerages) but pay full Singapore dividends with no withholding. Broker-custodied shares typically have lower commissions (online brokers) but may incur small custody fees and dividend handling fees.

When to use CDP

Long-term Singapore equity holders: you'll receive AGM notices, dividend cheques, scrip option offers directly. Useful if you want full shareholder rights and identity.

Estate planning: CDP-held shares are easier to identify and transfer to heirs than nominee-held shares.

Government bonds: SSBs and T-bills are settled into CDP — you'll need a CDP account anyway to buy these.

Open via DBS / POSB, OCBC, or UOB once. Linked to your bank for funding.

When broker custody is better

Active traders: lower commissions per trade make a big difference if you transact frequently.

International access: most online brokers (IBKR, Tiger, Webull) custody all your holdings — you can't put US-listed shares in CDP.

Convenience: a single broker statement covers everything; CDP requires reconciling separately.

Recommendation: a casual buy-and-hold Singapore investor benefits from CDP. An active or international investor benefits from broker custody. Many people use both — CDP for long-term SG holdings, broker for international and frequent trades.

Frequently asked questions

What is the CDP?

Central Depository — SGX's subsidiary that holds securities listed on the Singapore Exchange in book-entry form. A CDP account holds shares in your name directly, with no broker in between.

What's the difference between CDP and broker custody?

CDP: shares held in your name; you appear on the company register, receive dividends directly. Broker custody (nominee): the broker holds shares on your behalf; they receive dividends and pass them through. CDP offers full shareholder rights; nominee is usually cheaper to trade.

How do I open a CDP account?

Apply online via the CDP website using Singpass. Link to a DBS / POSB, OCBC, or UOB account for funding. Free to open. You'll need a CDP account if you want to buy SSBs or T-bills (which are settled into CDP).

Should I use CDP or a broker's nominee?

For long-term buy-and-hold of Singapore stocks: CDP. For active trading or international portfolios (US, UK ETFs): broker nominee (lower commissions, single statement). Many investors use both — CDP for SG long-term, nominee for active and international.