1. What is the data collection system underlying your CPIS?

Response

Aggregated end-investors and custodians as well as other indirect sources (e.g.: securities depositories or registers)

1. Legal and institutional environment

1. 1. What is the legal basis that governs the collection of the CPIS information? (Ref.: CPISG2, par. 4.8 & 4.9)

Response

Comments

CPIS is collected under statistical or other legislation that empowers the collection of statistics in general

CPIS is collected under specific legislation empowering the collection of CPIS statistics

CPIS is on a voluntary basis

Other

1. 2. Which institution(s) is/are responsible for collecting the CPIS statistics.? (Ref.: CPISG2, par. 4.8 & 4.9)

Response

Comments

National central bank

National statistical office

Ministry of Finance or other ministries

Financial regulator

Other

1. 3. Which domestic institution(s) is/are responsible for publishing the CPIS statistics? (Ref.: CPISG2, par. 4.8 & 4.9)

Response

Comments

National central bank

National statistical office

Ministry of Finance or other ministries

Financial regulator

Other

1. 4. If there are restrictions placed on cross-border portfolio investments, which of the following sectors (i) is not allowed to invest in foreign securities or (ii) is allowed to invest in foreign securities only within a certain threshold? (If there are not restrictions on outward portfolio investment, please go to the next question.)

Not allowed to invest in securities issued by nonresidents

Allowed to invest in securities issued by nonresidents only within a certain threshold (Please specify the threshold in terms of %)

Comments

Banks

Insurance

Pension funds

Mutual funds, unit trusts, etc

General government

Monetary authorities

Nonfinancial corporations

Households

Other

1. 5. How did you organize your survey in order to avoid double-counting between end-investors and custodians?

Resident custodians report the value of securities held on behalf of resident beneficial holders. End-investors report the value of securities held with resident custodians (as well as the value of securities held in self-custody or with nonresident custodians). The value of securities held by resident custodians on behalf of residents not included in the end-investor survey is derived by residual. These holdings are attributed to households and assumed held in securities issued by U.S. residents.

2. Concepts and Definitions

2. 1. Residence of the securities holder

2. 1. 1. Was the CPISG2 principle for determining the country of residence of the security holder adopted? (Ref.: CPISG2, par. 3.6 to 3.10)

Response

Comments

Yes

Partly

No

2. 1. 2. Were you able to implement the definition of residence of holders of securities in accordance with the CPIS principle? Please pay attention to resident Special Purpose Entities (SPEs) if relevant; those are defined in the IMF's Balance of Payments Textbook as entities "(1) generally organized or established in economies other than those in which the parent companies are resident and (2) engaged primarily in international transactions but in few or no local operations." SPEs commonly provide business and financial services connected with the management of financial assets and liabilities. The residence of an SPE should be its legal domicile, which, in most cases, is the country where it is incorporated. (Ref.: CPISG2, par. 3.17 to 3.27)

Response

Comments

Yes

Partly

All entities that have established legal domicile in the banking, insurance, and mutual funds industries were treated as resident regardless of whether they had physical presence. All other entities without physical presence were treated as nonresident.

No

Do not know

2. 2. Residence of the issuer of securities held by domestic investors: principle adopted and practical implementation

2. 2. 1. Was the CPISG2 principle for defining the country/jurisdiction of nonresident entities issuing securities adopted? (Ref.: CPISG2, par. 3.17 to 3.27)

Response

Comments

Yes

Partly

Other

2. 2. 2. In practice, were respondents generally able to implement the definitions of residence of the issuer of securities in accordance with the principle underlining the CPIS?

Response

Comments

Yes

Partly

No

Do not know

2. 3. Distinction between long-term and short term debt securities: principle adopted and practical implementation

2. 3. 1. Was the CPISG2 principle on distinguishing short and long-term debt securities adopted? (CPISG2, par. 3.87 to 3.94)

Response

Comments

Yes

Partly

No

2. 3. 2. In practice, were respondents generally able to implement the distinction between short and long-term debt securities in accordance with the principle underlining the CPIS?

Response

Comments

Yes

Partly

No

Do not know

2. 4. Distinction between direct and portfolio investment: principle adopted and practical implementation

2. 4. 1. Were the CPISG2 principles for distinguishing between direct and portfolio investment adopted? (Ref.: CPISG2, par. 3.51 to 3.58)

Response

Comments

Yes

Partly

No

2. 4. 2. In practice, how did you implement the distinction between direct and portfolio investments in accordance with the principle underlining the CPIS?

Response

Comments

A separate direct investment survey was run for sectors believed to have direct investment relationship

Guidance note was supplied to respondents to clarify the definition of direct and portfolio investment

Other

2. 5. Valuation of portfolio investment holdings

2. 5. 1. Were the CPISG2 principles on valuing stock of assets at current market prices at the appropriate reference date adopted? (Ref.: CPISG2, par. 3.33 to 3.42)

Response

Comments

Yes

Partly

No

2. 5. 2. In practice, were respondents able to implement the market valuation of securities in accordance with the principle underlining the CPIS?

Equity securities

Debt securities

Comments

Listed on organized market / readily tradable

Not quoted on stock exchanges/not regularly traded

Yes

Partly

No

Do not know

2. 6. Recording debt securities on accrual basis

2. 6. 1. Was the following CPISG2 principle adopted: interest accrued, but yet not payable, should included in the price of the debt security.
(Ref.: CPISG2, par. 3.35)

Response

Comments

Yes

Partly

No

2. 6. 2. In practice, were respondents able to implement the recording on accrual basis in accordance with the principle underlining the CPIS?

Response

Comments

Yes

Partly

No

Do not know

3. Statistical techniques

3. 1. Was there any exemption threshold? (if yes, please specify the sector where the threshold applies, the value and the currency and currency unit used)

Threshold Value

Type of Threshold

Comments

Simplification

Exemption

For all respondents

For some class of respondents only

100 mln Antillean Guilders

International banks with total assets less than Naf 100 mln were excluded from the survey.

60 mln Antillean Guilders

Pension funds with total assets less than Naf 60 mln were excluded from the survey.

Between 25 and 50 mln Antillean Guilders

Life insurance companies with total assets less than Naf 30 mln, nonlife insurance companies with total assets less than NAF 25 mln and international nonlife insurance companies with total assets less than NAF 50 mln, were all excluded from the survey.

3. 2. If exemption thresholds exist, do you know the proportion of securities held by the population below these thresholds? (Otherwise please go to next question.)

Response

Comments

Yes

The proportion of holdings below the thresholds is measured at less than 5%.

No

3. 3. What steps were undertaken to deal with nonresponse?

Response

Comments

Grossing-up techniques

Other estimation techniques

Contact with respondents

First we sent reminders to nonrespondents. Thereafter, we called them.

No action

Other

4. Assessment and validation of data

4. 1. Are independent checks made on CPIS data supplied by respondents? (Ref.: CPISG2, par. 5.28 to 5.52)

Response

Comments

CPIS data compared with totals obtained from regulatory sources

For international banks, insurance companies and pension funds, the CPIS data were compared with specific items from their balance sheets.

CPIS data reconciled with IIP data supplied by respondent

CPIS data reconciled with BOP flow data for the respondent

CPIS data compared with data supplied from other statistical collections

Other

No

4. 2. What kind of action was taken when the checks showed some errors?

Respondents were contacted by telephone to explain the differences between the balance sheet and the CPIS reporting, and submitted revised returns.

5. Consistency issues

5. 1. Which institution is in charge of compiling the international investment position (IIP) statement in your country/jurisdiction?

Response

Comments

The same institution(s) that is/are in charge of compiling the CPIS

Institution(s) other than the institution(s) in charge of compiling the CPIS

International investment position data are not compiled

Other

5. 2. If the IIP is compiled, will your 2001 CPIS results be used to compile the portfolio investment item of the 2001 IIP?

Response

Comments

Not applicable - international investment position data are not compiled

5. 3. If the IIP data are compiled and differ from the corresponding CPIS results, will the differences be documented and explained for data users?

Response

Comments

Not applicable - international investment position data are not compiled or are identical to CPIS data.

Yes, differences between 2001 CPIS and 2001 IIP will be documented and explained

No

6. Other

6. 1. Are there any other comments that you wish to make that would assist users in the interpretation of the CPIS results?

No additional comment

1. Source data

1. 1. Which domestic sectors are surveyed in your CPIS by directly addressing end-investors?

Reporting equity securities

Reporting long term-debt instruments

Reporting short-term debt instruments

Comments

Banks

Insurance

Pension funds

Mutual funds, unit trusts, etc

General government

Nonfinancial corporations

Households

Other

1. 2. What was the reason for adopting a collection system based on reporting by end-investors? (Ref.: CPISG2, Chapter 4)

Response

Comments

Investment in foreign securities is mostly carried out by a relatively small number of large domestic institutional investors.

There is a tradition and/or sound legal framework for collecting cross-border financial statistics from end-investors

Resident investors keep securities mostly with nonresident custodians

Reporting preference by respondents

Other

1. 3. If your end-investor CPIS collection system covers the household sector, could you describe the main difficulties encountered in approaching this sector?

Data for the household sector were derived by residual from a comparison of data reported by resident custodians and end-investors. This residual calculation for households may include differences in valuation and coverage in the data reported by custodians and end-investors.

1. 4. In the framework of your end-investor approach, what steps were taken to ensure that (end-investor) respondents provide the correct identification of the residence of issuers of securities?

Response

Comments

Respondents were provided with comprehensive explanatory notes for completing the CPIS forms

Respondents were required to check against ISIN or other security identification codes

Respondents were told that the market of issue should not be a proxy for residence of the issuer

Other

1. 5. What are the sources used to build up registers of resident entities included in the CPIS and to maintain them over time? (Ref.: CPISG2, par. 5.9 to 5.24)

Main

Secondary

Occasional

Comments

Government administrative sources

International Transaction Reporting System

Taxation records, files, or lists.

Information held by foreign investment approval or monitoring boards.

Central bank records

Information held by other regulatory authorities

Statutory company reports and company registration details.

Records held in foreign exchange controls or international transaction reporting systems

Other

Publicly available databases

The stock exchange register.

Commercial equity registers’ information services.

Market research reports or services

Media reports

Trade associations and their associated reports and releases.

Other

1. 6. Could you please indicate the number of end-investors approached and the number of end-investors reporting CPIS data?

Entities approached

Entities reporting

Comments

Total

61

60

Banks

34

34

Insurance

17

17

Pension funds

4

4

Mutual funds, unit trusts, etc

6

5

Shows numbers of mutual fund administrators and not numbers of legally domiciled mutual funds. Mutual fund administrators were asked to report data for funds they manage that are legally domiciled in the Netherlands Antilles.

IBCs / SPEs

0

0

General government

0

0

Nonfinancial corporations

0

0

Other

1. Source data

1. 1. Which sectors are indirectly surveyed in your CPIS via resident custodians and other indirect sources (e.g.: securities depositories or registers)?

Response

Comments

Banks

Insurance

Pension funds

Mutual funds, unit trusts, etc

General government

Nonfinancial corporations

Households

Other

1. 2. Could you please explain the reason for adopting a collection system centered around resident custodians and other indirect sources?

Response

Comments

There is a tradition and/or sound legal framework for collecting cross-border financial statistics from custodians.

Domestic investors by large keep their securities with resident custodians.

Ability to reduce reporting burden on respondents

Other

Most households keep their securities with resident custodians

1. 3. Are custodian services provided by resident entities other than banks? (e.g. investment managers, brokers, dealers, etc)

Response

Comments

No

1. 4. If "yes" or "partly" to question 1.3., are investment managers likely to use the services of resident custodians? (If "no" to question 1.3, go to the question 1.6)

Response

Comments

1. 5. If "yes" or "partly" to question 1.3., are resident brokers/dealers likely to use the services of resident custodians? (If "no" to question 1.3, go to the question 1.6.)

Response

Comments

1. 6. What are the main difficulties that resident custodians encounter in identifying the residence of beneficial holder?

Because we only used the custodian survey to derive the portfolio investments of the households with resident banks, there were no dificulties in identifying the residence of the beneficial owner.

1. 7. How did you organize your survey in order to avoid double-counting between custodians (resulting from chains of custodians responsible for the same security)?

Resident custodians were able to identify the resident beneficial holder.

1. 8. How did you organize your survey in order to avoid inclusion of securities held on behalf of direct investors?

A guidance note was provided to end-investors and custodians. Custodians are unlikely to hold securities for direct investors issued by related companies abroad.

1. 9. If your survey includes custodians, investment managers and brokers/dealers, how did you organize your survey to avoid the double counting between custodians, investment managers and brokers/dealers?

Not applicable

1. 10. How did you organize your survey to cover holdings of residents with nonresident custodians?

End-investors (other than household) directly provide data on total crossborder holdings, hence covering also holdings kept with nondomestic custodians. Households' holdings are covered only by reports of domestic custodians.

1. 11. Could you please indicate the number of custodians approached and the number of custodians reporting CPIS data?

Entities approached

Entities reporting

Total

9

9

Custodians

9

9

Investment managers/ brokers/ dealers