Further to our previous communication on 18 September 2013 and on 07 October 2013, last year KELER launched its System Modernisation Programme (SMP) with the aim of replacing its almost 20 year old account management system and ensuring that the new application is fully compliant with T2S functionalities by September 2016. Last month KELER has selected the vendor (Tata Consulting Services) after an extensive multistage selection process.
The aim of the second meeting was for KELER to consult with the market participants on the possible new and/or extended services and products that KELER would be able to provide within the new system. Until the end of this year KELER is working on the specification of the new system and within this exercise KELER invited the market players to share its system enhancement plans and to discuss those with them.
Among others these plans include improvement in account keeping and transaction processing (for example: repo, partial settlement, back-to-back trades or fail management, new T2S transaction types); collateral management and securities lending; corporate actions handling (for example: centralised corporate action database, market claims, buyer protection); and communication (for example: differentiated reporting, additional SWIFT messages).
At the moment these are only preliminary plans, thus further details on them will be available once the plans along with the system specifications are finalised by KELER, expectedly by the end of March 2014.
The next SRFG meeting will be held in two weeks when the handling of master data will be discussed.
Related Newsflashes:
Newsflash Hungary - KELER To Replace Its Account Management System
Newsflash Hungary - KELER Establishes System Replacement Focus Group
In the autumn of 2016, as part of the third migration waive, KELER and the Hungarian securities market will join T2S and by that time KELER must have a new account management system that is fully compliant with the settlement platform's functionalities. With the implementation of the new account managements system KELER takes the opportunity to enhance its services and to assess the market needs for this purpose KELER has established the SRFG.