T2S will provide a single technical platform for processing settlement
\ninstructions, in a harmonised manner, for 28 CSDs in Europe, in different currencies and at the same price for both domestic and cross-border operations.<\/p>\n
\nSGSS recently held a seminar on European financial services infrastructure at its Paris-based headquarters in La D\u00e9fense. In the final full presentation of the day, the end of December 2022 was
\npinpointed as arguably the ultimate landmark date for T2S. That is the
\ndate by which it is forecast that financial breakeven will have been
\nreached and all accumulated investment recouped, Vincent Bonnier,
\n4CB T2S Project Manager, Banque de France, reminded the audience.<\/p>\n
The 4CB project<\/strong><\/p>\n 4CB T2S Project is shorthand for the project being led by four of The Governing Council of the European Central Bank (ECB) took the T2S is a technical platform to support CSDs by providing core, borderless and neutral settlement services. Its well documented objective is to achieve harmonised and commoditised delivery-versus-payment settlement in euro-denominated central bank money (and possibly other currencies) in substantially all securities in Europe<\/p>\n Devil in the detail<\/strong><\/p>\n According to parameters set out by the Governing Council, the T2S service will be developed internally within the Eurosystem. It will be operated on the TARGET2 platform in order to exploit synergies with TARGET2 to the fullest extent.<\/p>\n The project has at its technical heart the synergies that can be Plans for the reuse or the sharing of T2 resources currently include the Common synchronised efforts<\/strong><\/p>\n The four central banks have been following a common and synchronised process focussing on technical specifications, Development will be followed by extensive and extended testing. User tests will have two objectives. Firstly, to verify that the T2S platform The complex process of full migration by CSDs will begin by September The road to recovery<\/strong><\/p>\n Full cost recovery through a charge of 15 eurocents per transaction will As CSDs, non-eurozone central banks will have their own steering In the meantime, much important work remains to be done by the “The move will provide support for competition between service providers in the securities industry and will create a single pool of assets, delivering considerable back office savings in operations, liquidity and collateral management. It will promote harmonisation, and contribute to a competitive and effective European market.”<\/em><\/p>\n","protected":false},"excerpt":{"rendered":" T2S will provide a single technical platform for processing settlement instructions, in a harmonised manner, for 28 CSDs in Europe, in different currencies and at the same price for both domestic and cross-border operations.<\/p>\n","protected":false},"author":20,"featured_media":17247,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[1471],"tags":[1655,1671,1719,1986,1711,1437,1921,1669,1984],"_links":{"self":[{"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/posts\/17249"}],"collection":[{"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/users\/20"}],"replies":[{"embeddable":true,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/comments?post=17249"}],"version-history":[{"count":0,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/posts\/17249\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/media\/17247"}],"wp:attachment":[{"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/media?parent=17249"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/categories?post=17249"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/tags?post=17249"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\nEurope\u2019s most senior central banks, those of France (Banque de
\nFrance), Germany (Deutsche Bundesbank), Italy (Banca d\u2019Italia) and
\nSpain (Banco de Espa\u00f1a).<\/p>\n
\ndecision to launch the T2S project on July 17 2008, building on the
\nsuccess of the earlier Target 2 project for the processing of large value
\neuro payments. If all goes according to plan, T2S will constitute a
\nmajor step forward in the delivery of a single integrated securities
\nmarket for financial services.<\/p>\n
\ncreated by the reuse of the existing technical architecture designed for T2. This is built upon a fully scalable central processing system, a storage sub-system with synchronous and asynchronous mirroring, a dedicated network connecting the different processing sites and \u2018single window\u2019 access.<\/p>\n
\nmutualisation of some components, time-sharing of equipments and
\nteams and the use of common tools. This overall concept is designed
\nto ensure the timely delivery of a cost-efficient solution in the interest
\nof Central Securities Depositories, Credit Institutions, CCPs and the
\nEurosystem, said Vincent Bonnier. It also removes technology risk
\nfrom the equation, he notes. “Financial and market risk are quite
\nenough risk for any single project,” he added, drily.<\/p>\n
\ndevelopment\/unit tests, module tests (functional) and integration tests
\n(application) and internal 4CB tests. The project has now reached the
\nend of the specification stage and the architecture design is
\nproceeding towards finalisation.<\/p>\n
\nfulfils the requirements placed upon it. Secondly, to guarantee that
\nCSDs and their community are ready to migrate to T2S. There will be a
\nseries of verification and certification processes based upon
\ninteroperability tests, community tests, business day tests, nonfunctional tests and free tests. A user book will be published in
\nSeptember 2012. User tests will begin at the start of 2014.<\/p>\n
\n2014. While its exact definition and duration are yet to be decided (by
\nthe CSDs involved), migration is currently expected to take place in
\nthree waves over a year. The first wave (covering less than 40% of
\nvolumes), with a significant coverage of functions, will be aimed at
\nconfirming the stability of the system. The second and third waves will
\nbe as balanced as possible in terms of volumes. There will in addition
\nbe a contingency window. Just in case.<\/p>\n
\ntake place over the following seven years. The ECB Governing Council
\nis aiming for a level playing field, and will not favour one community over another, Vincent Bonnier continued. Prices will be equal for all CSDs and there will be no discounts for larger volumes.<\/p>\n
\ngroup, through which they will enjoy some limited input into the project
\nbefore and after the platform has become operational. Level 2 and
\nLevel 3 contractual relationships should be signed by CSDs and non
\neuro National Central Banks by September 2011.<\/p>\n
\nCSDs and by the ECB in its management of the crucial co-ordination
\nprocess that lies ahead over the next decade and more. The benefits
\nwill be worth the prolonged effort, concluded Vincent Bonnier<\/p>\n