Transcript STEADY an STP initiative

NSDL Presentation Automation and STP initiative
10th Cross Training Seminar
Asia-Pacific CSD Group
June 1 – 5, 2008
7/16/2015
Visit us at : www. nsdl. co. in
1
NSDL’s Automation Initiatives –
Capital Markets
• Automatic Settlements (Auto DO)
• Online Access (IDeAS)
• Online Delivery Transactions (SPEEDe)
• Straight Through Processing STeADY
7/16/2015
Visit us at : www. nsdl. co. in
2
NSDL Automation Initiatives –
Other Sectors
• Tax Information Network
– Tax accounts
– Tax reconciliation
• Central Recordkeeping Agency
– Online Pension accounts & transactions
• National Skills Registry
– Reference repository of employees
7/16/2015
Visit us at : www. nsdl. co. in
3
STP Implementation
• Previous System
– Delivery of Contract Notes
– Processing of trades for settlements
• Regulatory Support
• NSDL’s initiative - STeADY
7/16/2015
Visit us at : www. nsdl. co. in
4
STP Benefits
•
•
•
•
•
•
Reduced Settlement Cycle
Increased Transparency & Audit Ability
Reduced Counterparty Risk
Reduced Operational Risk
More time for exception processing
Improved attractiveness of markets
7/16/2015
Visit us at : www. nsdl. co. in
5
Background Work on STP
 To assess feasibility and suitability of
introducing STP
 To identify components of current settlement
life-cycle involving manual intervention
 To identify and establish messaging standards
for information communication
 To identify options for establishment of a
communications backbone
7/16/2015
Visit us at : www. nsdl. co. in
6
Steps/Components in STP
• Legal recognition of Electronic Contract
Notes (ECN)
• Communication in ISO 15022 Format
• Interoperability between service providers
7/16/2015
Visit us at : www. nsdl. co. in
7
STeADY
• Interface for
– Trading Members,
– Fund Managers &
– Custodians
• Delivery of Contract Notes in ISO 15022
Format
• Operation through
– Smart Card
– Digital Signature Certificate from CA
7/16/2015
Visit us at : www. nsdl. co. in
8
Information Flow - Domestic
Trades
Trade Intimation
Fund Manager
Trading Member
Upload
Contract
Note
Download
Response
STEADY
Upload Status Change
Contract
Note
Download
Instructions
Download
Custodian
7/16/2015
Visit us at : www. nsdl. co. in
9
Information Flow - FII Trades
Fund
Manager
Trade Instructions
Trading Member
Upload
Contract
Note
Download
Response
STEADY
Contract
Note
Download
Upload
Status
Change
Custodian
Instruction over SWIFT Network
7/16/2015
Visit us at : www. nsdl. co. in
10
Indian Capital Market – STP Progress
• T + 2 Rolling Settlement
• Online Trading Platforms
• Connected trading members, custodians and
clients
• Fast banking channels – RTGS, NEFT
7/16/2015
Visit us at : www. nsdl. co. in
11
Thank You
7/16/2015
Visit us at : www. nsdl. co. in
12