Investors may choose to open the CDS accounts directly with the Central Bank of Kenya or open a client account through an authorized agent which includes, commercial banks, investments banks, stockbrokers and investment advisors. It should, however, be noted that no fee is charged for opening and maintenance of the CDS accounts opened directly at the Central Bank of Kenya.
CDS accounts may be opened in the names of individual investors or corporate entities. Individual investors may open CDS accounts either singly or jointly, while the corporate investors include companies, co-operatives and other societies, insurance companies, banks, non-bank financial institutions, NGO’S and entities established by statutes, which are mainly State Corporations.
A CDS account may be opened in the names of corporate entities or individuals. Corporate investors may, therefore include:
- Cooperative societies
- Insurance companies
- State Corporations
Moreover, an individual CDS account may also be jointly owned or singly owned.
Requirements for Opening a CDS Account with the Central Bank of Kenya (Individuals or Joint Accounts)
1. Individuals may hold a single or joint CDS accounts but NO minor accounts.
Each individual CDS account holder/applicant MUST complete the CDS accounts specimen signature mandate card (the card) which can be collected from any of the Central Bank of Kenya Branches in Nairobi, Mombasa, Kisumu, Eldoret or the Currency Centers in Meru, Nakuru, and Nyeri.
2. The card (s) should be completed in BLOCK LETTERS, neatly and clearly.
3. Names MUST be written in the order that they appear on the identification document.
4. NO alternations/errors.
5. The card MUST not be folded or disfigured in any way.
6. Signatories to the CDS account will be required to sign the card in the presence of a designated CBK Officer or any Authorized Agent.
7. On completion applicants will personally submit the duly completed card (s) together with: One recent coloured Passport size photograph of the Account Holder.
The reverse side of the photograph MUST be certified by the applicants’ Bankers and stamped. The photograph must NOT be stapled or glued to the card.
8. The original and clear copy of the National Identity card/valid Passport/alien certificate for verification. (Note that the copies will be retained by CBK)
9. Two signatories of your Bankers, whether a Commercial Bank or Financial institution must sign and stamp the card on the space provided, confirming the Bank account details.
The Commercial Bank/Financial institution under note 9 above must be licensed by the Central Bank of Kenya.
Payments will be made to the Bank account specified in the mandate card.
On receipt of all the requirements, CDS account application (s) will be processed within seven working days.
Change of address may be advised through a letter signed by signatories as per the mandate.
To change details of the CDS account one completes a CDS card and follows all the requirements mentioned from no. 1 to 9.
CBK office can be contacted on Tel +254 020 2860000 or via email:firstname.lastname@example.orgemail@example.com/visit our offices in Nairobi, Kisumu, Mombasa, Meru, Nakuru or Nyeri.
How to open a CBK-CDS Account for Kenyans in Diaspora
Please note that ONLY Kenyans living in the diaspora and who hold a local (Kenyan) commercial bank account are eligible to apply for a CDS account directly at Central Bank of Kenya (CBK).
Non-Kenyans and Kenyans without a local commercial bank account can however still invest in Kenya government securities as nominees of authorised CBK agents which include commercial banks, investment banks, and stock brokers domiciled in Kenya.
Here are the steps:
1. Visit the Central Bank of Kenya website www.centralbank.go.ke and download mandate card. (Individual) for individual investors and Mandate card (Corporate) for corporate investors
2. Print the appropriate mandate card and fill out your details.
3. Attach a recently taken coloured passport size photograph and a copy of investor’s Kenyan National Identity Card (ID) or Passport. These documents MUST be certified by your bankers (A local commercial bank based in Kenya).
4. Have the filled in CDS mandate card certified by your Commercial bank.
5. The investors’ Commercial bank will certify the completed CDS mandate card by way of appending the bank’s stamp and signatures of two of their authorised signatories on the space provided
6. Scan the completed CDS mandate card and email to firstname.lastname@example.org
7. Send the physical mandate and attachments by post to The Director, Financial Markets Department P.O. Box 60000- 00200, Nairobi, Kenya
8. Once the CDS account has been opened, the investor will be notified of the CDS account number via email as provided on the CDS mandate card submitted to CBK. A formal letter of notification will follow thereafter.
Guidelines for Submission of Diaspora Bids (Application) for the Bond
1. Once the investor has been allocated and notified of their CDS account number, they can then proceed to apply for the Treasury bond that is on offer.
2. To apply for the bond, download the bond application form www.centralbank.go.ke/images/docs/forms/modm/TREASURYBONDSFORM-2016.pdf
3. Fill in the following key details: • Issue Number • Duration • Value date • Total Face Value – Amount the investor is willing to invest in Kenya Shillings • (Minimum Kes 100,000 and additional in Multiples of Kes. 50,000 with a maximum of Kes 20 million per CDS account per investor for) • Interest Rate (Price)
4. Investor’s details- complete the investor’s details as provided required in the form. i.e. Name, CDS Number, telephone contact etc.
5. Append a signature on the application form and email to email@example.com or fax to +254202863726/3666
6. Please note that the deadline for submission of application forms.
7. Do not make payments for the bond until notified by the Central Bank of Kenya of the actual amount to pay. It is the responsibility of the investor to contact Central Bank of Kenya to obtain details of the tap sale results.
Dissemination of results for Successful Diaspora Applications
1. All successful applicants will be notified of the allocation and Amount they are required to pay by contacting Central Bank of Kenya on Tel No. +254-020-2860000. MODE OF PAYMENT FOR SUCCESSFUL BIDS
1. Deadline for payment for successful bids is on the following Monday at 2.p.m Kenyan time
2. All successful applicants will be required to pay the exact payable amount (no less, no more).
3. Investors whose applications were successful will instruct their local commercial banks to remit the payable amounts.
Note: For any queries and information, please contact The Director, Financial Markets Department P.O. Box 60000-00200, Nairobi, Kenya Tel +254202863060.Or email firstname.lastname@example.org
CDSC SMS Service
With the growth in investor numbers, CDSC introduced an SMS service which gives investors 24-hour access to their CDS accounts enabling them to keep track of their shares on their mobile phone anywhere and at any time.
SMS service access
One can access the SMS service by sending an SMS with the word Register to 22372 and following the instructions thereof to complete the registration.
The SMS service allows you to access your CDS account and keep track of your shares on your mobile phone anywhere and at any time. By registering to the service, you will always be aware of your current shares portfolio and of any transactions in your account.
- Secure access to your CDS account from anywhere and at any time.
- Receive updates on announcements made by listed companies
- Easy and simple registration from your mobile phone.
- Instant alerts on any activity in your CDS account.
- Receive instant alerts on your mobile phone whenever a transaction occurs in your account (e.g. Purchase, sale, shares transfer, deposit, pledges etc)
- Check your shares portfolio balance anytime.
- Receive a mini-statement from your CDS account, showing your last few transactions.
Each SMS costs Kshs 10, and the service is currently available on Safaricom and Airtel network.
Own a piece of public listed companies by investing in shares and grow your money
We have a dedicated team to offer advice about investment in Shares and Bonds.
Through our Kingdom Securities Ltd, we assist investors in:
- Transfer of shares
To buy and sell shares, an investor requires a CDS account. To open a CDS account follow the following simple steps:
- Fill in the application form and send it back to us on DiasporaBanking@co-opbank.co.ke
- Attach a recent passport size photo
- Attach a scan of your certified ID or scan of certified Passport
- For Company – certificate of incorporation, an organization registered in any other way you need a certificate of registration (Directors of the Company will have to provide their ID cards and passport size photo graphs.
You can also access and track your shares through our secure and encrypted online portal https://www.kingdomsecurities.co.ke where you are able to:
- Access to your share trading accounts real time 24/7 from the convenience of your home and office
- Real time order placement and market information
- Access to portfolio valuations, stock holding reports and transaction statements
A CDS account is an essential thing if you would like to begin online stock trading in Kenya. It is, however, necessary to keep in mind that whichever the third party you are dealing with, it has to be licensed by the Capital Markets Authority and the Central Bank.