The Stock Exchange of Thailand (SET) rolls out its new clearing and depository systems, which are ready to start operation on August 24, 2015.
This will accommodate growing demand in the capital market as the new engine would enhance overall Straight-through Processing (STP) in the market, risk management, and increase operational efficiency in order to build infrastructure and quality services for all member.
SET Executive Vice President Bordin Unakul, said that “Thai bourse will adopt the new systems on August 24 after working closely with securities firms, custodians and depository members, as well as completing several tests to ensure smooth and seamless migration and implementation. Significantly, this is to make sure that the implementation won’t be affected investors.”
The clearing system has been integrated into one single platform so as to accommodate settlement of equity and derivatives products,. This new system enhance overall straight through processing (STP) in the market via Pre-settlement matching solution between members and custodians, truly being enhanced to meet international standards. Thus this will improve efficiency of the process.
Furthermore, the depository system of Thailand Securities Depository Co., Ltd. (TSD), a SET’s subsidiary, will also adopt the STP system for more efficiency, while Securities Borrowing and Lending (SBL) system will be enhance to facilitate transactions for the borrowing and lending.
In addition, SET initiates the Member Buy-in process to allow member to buy the securities when its client fail to deliver obligated securities on delivery date in order to cover the failure in delivering the securities.
The launch of new clearing and depository systems reinforce SET's key strategic plan in diversifying products and assets, while expanding business internationally.