Tata Consultancy Services (TCS) has enabled Euroclear Finland, the National Central Securities Depository (CSD) of Finland, to integrate its core platform with the European securities settlement engine. This transformation program ensures easier cross-border settlements for investors in Finnish securities and has resulted in the most modern post-trade platform in Europe.
With TCS BaNCS™ for Market Infrastructure, Euroclear Finland’s core platform is now integrated with the European Central Bank’s TARGET2-Securities or T2S platform. The modernized platform will reduce cross-border settlement risks and costs for investors, attract more investment into the country, and improve access to capital for Finnish issuers. Banks, central counterparties, and issuers will benefit from longer trading hours. Banks can now support transactions across all 24 countries within the T2S ecosystem with one centralized cash account, simplifying collateral management and improving their liquidity.
Hanna Vainio, Chief Executive Officer, Euroclear Finland, said, “Connecting to T2S is critical to the growth and prosperity of the Finnish market. Our clients will benefit from more efficient processes and access to greater investment avenues, making Finland an attractive place for issuers and investors. As a direct holding market with end investor accounts, this program was amongst the largest of its kind in terms of the number of book-entry accounts and holdings moved to the platform. With our core platform based on TCS BaNCS for Market Infrastructure, we are glad to have partnered with TCS in our business and IT transformation journey, creating one of the most modern and efficient CSD systems in Europe.”
The transformation is a significant milestone in the decade-long multi-phase transformation journey of Euroclear Finland, which holds more than 2 million accounts with a total value of over 460 billion EUR. During 2015-2018, the CSD became the first European depository to replace multiple legacy systems with a single, standards-based settlement and custody platform called Infinity. This future-ready platform enabled higher levels of straight-through processing and greater flexibility, helping CSD harmonize its business processes with EU standards.
Vivekanand Ramgopal, President, BFSI Products & Platforms, TCS, said, “TCS is proud to have partnered with Euroclear Finland to create a flexible, scalable, secure, and robust platform for the future growth and development of the Finnish market. Euroclear Finland’s decade-long business transformation journey has been powered by TCS BaNCS and we join them in celebrating this latest milestone of successful integration with T2S.
Euroclear Finland’s digital transformation offers a roadmap for other CSDs in their journey to become future-ready. TCS BaNCS for Market Infrastructure caters to the evolving business needs of CSDs and supports their end-to-end operations across multiple asset classes.
“This successful digital transformation sets a precedent in Europe. The rich functionality, high level of parameterization, forward-looking market-sensitive roadmap, and straight-through processing of TCS BaNCS firmly establishes our next-generation solution as a leader in the European post-trade landscape,” Vivekanand added.
