BM&FBOVESPA has just presented the Post-Trade Integration Project (IPN), which includes a new risk system that is unprecedented in global markets.
The presentation involved all the market participants (banks, brokerage houses, distributors, regulators and investors), who were fully informed of the implementation timetable up until 2014 and of the new technology, concepts and solutions that will revolutionize important services provided by the Exchange.
The objective of the project is the integration of the current four clearinghouses - equity, derivatives, securities and FX - into a new unified platform that is extremely secure and robust, based on a faster data processing architecture with the capacity to process over 10 million transactions a day, with real time risk calculation.
Simplified and standardized processes will also be essential characteristics of the new post-trade platform. For the Exchange, the new challenge will mean an opportunity to enhance its operational model, particularly in regard to risk, which is already considered among the best in the world. It will also mean agility, flexibility and innovation in the launch of products, due to the simplicity and the modular character of the new technological solution. For the capital market there will be an opportunity for greater growth due to the increased speed and processing capacity of the clearinghouse.
The IPN project, for which studies began in the middle of 2010, is the result of an endeavor by more than 200 professionals from across a range of areas at the Exchange, who worked simultaneously on 14 projects, among which the Matching Engine, the unified clearinghouse being developed together with the Swedish company Cinnober; the settlement platform that will harmonize processes currently treated in distinct manners at the four clearinghouses, integrating the clearing of values from different products; ICAD-X, for the development of integrated participant registration; and the CORE risk evaluation system that will integrate the risk methodologies.
14 integrated projects
200 Exchange professionals
2013 is when the IPN development phase ends
2013 is when derivatives clearinghouse migration starts to the new structure
2014is when equities clearinghouse migration starts to the new structure