In 2012 KELER launched the System Modernisation Programme (SMP) with the objective of replacing its almost twenty-year old account management system, which also aims at ensuring that the new application is fully compliant with T2S functionalities by September 2016. In line with KELER's SMP project plan two further System Replacement Focus Group (SRFG) meetings were held in November.
The aim of these meetings was to consult with the market participants on the handling of master data, account keeping and transaction processing. Until the end of this year KELER is working on the specifications for the new system and within this task it invited the market players to share its system enhancement plans and to discuss these with them.
Among others, the following topics were discussed: handling of the data of KELER's members and of the financial instruments registered in KELER; account keeping; linked instructions; back-to-back transactions; settlement optimisation; portfolio transfers; use of reference numbers; blocking, reservation and earmarking. For the time being these were only discussed, with further details expected to become available once the system specifications are finalised by KELER around the end of March 2014.
The next SRFG meeting will be held in early December with collateral and securities lending to be discussed.
Impact on investors: 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 management system, KELER takes the opportunity to enhance its services and to assess the market's needs and for this purpose it has established the SRFG.
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KELER held the Second System Replacement Focus Group Meeting