SKDD-CCP granted with the license by HANFA

Zagrebacka Banka d.d.
Expected go-live for SKDD-CCP is 3 January 2022. From that day trades will be matched and settled in SKDD Trade-for-trade settlement (BIS Model 1) only
Fri, 05/11/2021

Croatian Financial Services Supervisory Agency (HANFA) on 29 October 2021granted license to the SKDD-CCP to provide services of a central counterparty.

Consequently, the Central Depository and Clearing Company Inc. (SKDD) is obliged to transfer the novation activities of the appropriate on-exchange transactions to SKDD-CCP in the period of maximum two months from the enforceability of HANFA’s approval.

Expected go live of SKDD-CCP is 3 January 2022 which will also be the last day of the Contractual settlement method (BIS Model 3) within the SKDD system. This means that it will be possible to match and settle through the SKDD Contractual settlement all transactions executed within 30 December 2021 included. In Contractual settlement method, SKDD has guaranteed the settlement, whereas the transactions of the market participants and clients are netted.

All transactions executed on or after 31 December 2021 will be matched and settled in SKDD Trade-for-trade settlement (BIS Model 1) only, which is considered as a true DVP. This settlement method implies the clearing and the settlement of transactions on a gross basis, without the netting possibility or guarantee of settlement from SKDD.

Impact on investors: Clients should take note of the above change of the settlement method in SKDD

Related Newsflashes:  Update on SKDD CCP Smart Clear licensing process