The Depository Trust Company (“DTC”)

A central securities certificate depository through which Securities are held in Book-Entry Only form.

DTC is a U.S. registered clearing agency for all types of Securities (i.e., an entity that is responsible for maintaining the records regarding clearing and settlement of trades and payments of Securities), including Bonds.  For eligible Book-Entry Only Securities, DTC receives Debt Service payments from the Paying Agent and distributes the Debt Service payments electronically to the ultimate beneficial owners of the Bonds.  Cede & Co., DTC’s nominee, is typically the only registered bondholder. 

Life’s a Party

Learn more about the various parties involved in a municipal securities transaction and their roles.


  • Reports and Resources

Demystifying DTC: The Depository Trust Company and the Municipal Bond Market

Anyone who practices in the world of municipal securities has been there: in a closing room filled with executed documents, anxiously anticipating the funding of the transaction. Months, maybe years,…

See Also

Book-Entry Only

Term used to describe a bond which cannot be purchased in physical or certificated form.

Registered Bond

A bond whose owner is designated on records maintained for this purpose by a registrar, often the paying agent or trustee. 

Fast Automated Securities Transfer (FAST)

Program of Depository Trust Company (DTC) with a goal of reducing certificate movement by having bond certificates held by FAST transfer agents rather than by DTC. 

Hudson Yards Rail Yards

Start with the Bond Basics


A judgment by a rating agency as to the credit quality of a bond.