FEAS Yearbook FEAS Yearbook 2013 | Page 98

FEDERATION OF EURO-ASIAN STOCK EXCHANGES ANNUAL REPORT JUNE 2013 TAKASBANK - ISE SETTLEMENT AND CUSTODY BANK, INC. During the course of 2012, Takasbank continued its studies to become a Central Counterparty (CCP) for all organized cash and derivatives markets as well as Securities Lending Market. Murat ULUS General Manager & Board Member Gaining the trust of sector through the quality and resilience of services provided since its foundation, Takasbank continues its studies endeavoring to become an international settlement and custody institution competing in the global post-trade arena by the structural transition it is passing through. Takasbank is changing its institutional profile according to its new vision and mission targeting to be an institution providing services compatible with international standards. Takasbank is going through a serious transition in both institutional identity and product variability in line with the vision to provide central counterparty services and to become an international clearing and settlement institution at the first place. During the course of 2012, Takasbank continued its studies to become a Central Counterparty (CCP) for all organized cash and derivatives markets as well as Securities Lending Market it operates and establish a central collateral management system. On November 2012, Takasbank and the Misr Central Clearing, Depository and Registry (MCDR) signed a “Memorandum of Understanding (MoU)”. The MoU will provide added value to the technical cooperation and post-trade services development in terms of market linkage carried on between Borsa Istanbul and Egypt Exchange. On April 2012, Takasbank, Central Registry Agency and SIX Securities Services Group (SIX x-clear and SIX SIS) signed a MoU aiming to establish a mutually beneficial relationship between the signatory institutions. On March 2012, Takasbank Form of Settlement and Transfers: Book-entry GENERAL INFORMATION Takasbank is incorporated as an investment bank and is authorized as the Central Clearing Institution, the Custodian for the Mutual Funds and Pension Funds incorporated in Turkey and the National Numbering Agency. Services Provided • Clearing and settlement for the organized cash and derivative markets, • Domestic and cross-border cash settlement and transfer facilities, • International custody services, • Real Time Gross DvP settlement among brokers and custodians for equities via SWIFT system • Central counterparty (CCP) on the Takasbank Money Market (TMM) for short term TRL borrowing and lending transactions, • Operates the Takasbank Securities Lending and Borrowing Market (SLBM), • Operates the Turkish Electronic Fund Distribution Platform Allocates ISIN for securities issued in Turkey • Settlement bank services for Turkish Electricity Market. • Collateral Agent for Mortgage Financing Firms • Trade Repository Services for OTC Derivatives Transactions Brief History Takasbank started as a department within the Istanbul Stock Exchange in 1988. In 1996, it was transformed into an investment bank and renamed as Takasbank Form of Securities Dematerialized Within the context of studies in order to become an international settlement and custody institution which started in 2011, Takasbank aims to provide settlement & custody services in a standard manner to a wide variety of customers globally. Parallel to this aim and within the framework of capital market linkages project carried on by Borsa Istanbul, throughout the year, Takasbank also contributed to the enhancement of international settlement transactions via developing post-trade account structure with foreign counterparties. Legal Status Joint stock company Settlement Period Equities: T+2 Debt Securities: T+0 Derivatives: T+1 (single stock futures and options T+3) Type of Commercial Entity Private sector for-profit company Does Takasbank Act as a CentralCounter Party? Takasbank acts as a CCP for TMM, CCP for regulated derivatives market, expected to be for cash and Takasbank SLBM within 2013. Regulated by Capital Markets Board of Turkey Banking Regulation and Supervision Agency Central Bank of Turkey Size of Guarantee Fund (As of December 2012) ISE Equities Market: US$ 34 million ISE Bonds and Bills Market: US$ 41 million TurkDEX: US$ 61 million Ownership Borsa Istanbul Banks (16) Brokerage Houses (63) : 36.66% : 31.34% : 32.00% and Korean Securities Depository (KSD) signed “Information Exchange, Training and Technical Support Agreement” aiming to establish cooperation between TURKEY Electronic Fund Platform and FundNet operated by KSD. Within the responsibility of its FEAS membership, Takasbank actively participated to the FEAS Investors Summit and the Working Committee (WC) meeting of FEAS held in Istanbul, Turkey on May 2012. In this WC meeting, Takasbank presented “Post-Trade Linkage Models” report. Takasbank also participated to the General Assembly (GA), Executive Committee (EC) and WC meetings held in Sofia, Bulgaria on September 2012. In this GA, Takasbank was elected as the member of the EC. Within the context of FEAS efforts of sharing accumulated knowledge and experience with its peers, Takasbank filled out FEAS Dealers’ Associations Task Force Questionnaire on “Handling Investor Complaints”. Board of Directors 11 Members Istanbul Stock Exchange: 4 Banks: 3 Brokerage Houses: 2 Capital Markets Board: 1 and the President and CEO of Takasbank. Memberships to International Organizations ANNA ECSDA FEAS IIF ISSA ISO TC68/SC4 OIC SWIFT Future Outlook In 2013, Takasbank intends to: • Actively participate in the studies of “Istanbul International Finance Center” project; • Continue its efforts to become a CCP for all markets and, SLBM and establish a central collateral management system; • Contribute to develop post-trade account structure with foreign counterparties • Continue its efforts for attracting interest for Turkey Electronic Fund Platform, and developing the infra- structure for the integration with international fund platforms • Contribute to the enlargement of the range of trade repository services which began on September 2011, with the For-Ex trades & transactions, to encompass other OTC derivatives products. * Please refer to page 51 for the Turkey country report. CONTACT INFORMATION Contact Name Ms. Necla Küçükçolak PAGE 96 E-mail [email protected] Website www.takasbank.com.tr