The settlement process
ASX operates two systems for the electronic settlement
and transfer of trades. The system used for settling equities trades is
known as CHESS (Clearing House Electronic Subregister System) and the
settlement system for derivatives is known as the Derivatives Clearing
CHESS and DCS are computerised systems providing electronic securities transfer and electronic Delivery versus Payment (DvP) settlement with monetary obligations between participants being met directly between participants and the funds transfer system of the banks. It currently takes three business days after a trade (T+3) to settle.
CHESS is an electronic subregister that forms part of each Australian listed entity's principal register of securities. Each entity admitted to the official list of ASX is required to participate in CHESS unless the law of a foreign jurisdiction precludes participation.
The electronic register allows securities to be transferred without paper documentation. The CHESS register is automatically updated when a transfer takes place.
If you want to access CHESS you need to become a CHESS participant.
You can also access CHESS through a third party clearer that provides specialist clearing services.
How ASX clearing & settlement works.