T2S approaches maximum speed
21 June 2017 Berlin
Image: Shutterstock
The Target2-Securities (T2S) platform is on track to achieve 95 percent compliance with EU post-trade harmonisation standards by the final September deadline, heard attendees of the ISLA Securities Finance and Collateral Management Conference in Berlin.
The T2S project is currently in its final phase of bringing financial markets online. Volumes on the platform had risen significantly as previous waves brought in larger EU markets. The fourth wave saw the large German market go live, which contributed significantly to overall volumes on the platform.
The last phase will see central securities depositories (CSDs) in Estonia, Latvia and Lithuania brought onto the platform by the final 18 September deadline, bringing the overall project to nearly full compliance.
The seventh Harmonisation Progress Report, which was published in January, first highlighted that full compliance of T2S markets would not be reached by the fifth wave deadline.
It also noted that a further 2 percent faced obstacles that may stop full compliance being reached, but this demographic now appears to be on track.
The report stated that 70 percent of T2S markets were fully compliant in January, with a further 23 percent categorised as facing no further obstacles to full compliance.
Euroclear Finland will be the missing piece of the puzzle in September following an announcement in January that it had postponed its Infinity Release 2, which would have prepared it for access to T2S. It’s currently unclear how long after September it will go live.
The T2S project is currently in its final phase of bringing financial markets online. Volumes on the platform had risen significantly as previous waves brought in larger EU markets. The fourth wave saw the large German market go live, which contributed significantly to overall volumes on the platform.
The last phase will see central securities depositories (CSDs) in Estonia, Latvia and Lithuania brought onto the platform by the final 18 September deadline, bringing the overall project to nearly full compliance.
The seventh Harmonisation Progress Report, which was published in January, first highlighted that full compliance of T2S markets would not be reached by the fifth wave deadline.
It also noted that a further 2 percent faced obstacles that may stop full compliance being reached, but this demographic now appears to be on track.
The report stated that 70 percent of T2S markets were fully compliant in January, with a further 23 percent categorised as facing no further obstacles to full compliance.
Euroclear Finland will be the missing piece of the puzzle in September following an announcement in January that it had postponed its Infinity Release 2, which would have prepared it for access to T2S. It’s currently unclear how long after September it will go live.
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