In line with its vision to facilitate Capital market participants and as per the guidelines of SECP to reduce cost of doing business, CDC has again taken a step forward by further reduction in the base tariff for its major depository services.
To facilitate the induction of physical share certificates and to promote digitization, processing charges for induction have been slashed by 50 %; likewise, to support leverage products, transaction fee on corporate action has been waived by 100% and certain tariff items for mutual funds have also been reduced. Since its inception, CDC has reduced its tariff considerably on transactions, and even last year, CDC has reduced the tariff for Asset Management Companies. For the last three years CDC is consecutively reducing its tariff structure.
Commenting on the above reductions, Badiuddin Akber, CEO CDC, said that despite the pandemic induced circumstances since last year, CDC has performed exceptionally well and ensured to pass on the benefits to the market players by undertaking these tariff reductions. This decision is in line with CDC’s strategy of reducing cost of doing business and facilitating all market players, including Brokers, Asset Management Companies and most importantly, Investors. He further mentioned that he is thankful to SECP in this regard as they have always encouraged CDC to bring out reforms to enhance ease of doing business and tariff reductions to reduce cost of doing of business for the market participants.
Ever since start of operations in 1997, it has been CDC’s endeavor to provide efficient and cost effective services to all its participants and rationalize its tariff over the period. Being cognizant of the prominence of ease of doing business and the larger interest of the capital market, CDC’s Board & Management have always put greater emphasis on passing on the benefit of increased transaction volume and economies of scale to investors by substantially reducing its tariff over the years which has duly been acknowledged and appreciated by all market players and the apex regulator, SECP.