BRIEF INFORMATION
Within the scope of Article 22 of the “General Regulation on the Establishment and Operating Principles of Central Clearing and Settlement Institutions” (Regulation), Central Clearing and Settlement Service has been provided to the Electronic Warehouse Receipt (EWR) Market, which is a side activity of the Payment and Securities Settlement System operated by our Bank, since 25/06/2015.
Within the scope of the “TMEX Technological Transformation Project” for the renewal of the Turkish Mercantile Exchange (TMEX) infrastructure, the work on order transmission to the Electronic Warehouse Receipts (EWR) Market through Commodity Market Intermediary Institutions (CMII) was completed and the intermediary system was switched to on January 13, 2025.
With the new structure, Takasbank started to provide clearing, settlement, risk, collateral and default management services for EWR trading transactions realized in the Market.
EWR Trading Transactions
In the TMEX EWR Market, order transmission is carried out through Commodity Market Intermediary Institutions (CMII) and settlement transactions are carried out by Clearing Member Intermediary Institutions (CMII)
Electronic Warehouse Receipts (EWR) Settlement
Orders are transmitted to the Market by the UPAKs and matched orders are instantly transmitted to Takasbank from TMEX. There are two different types of settlement: Trade and Commission Settlement. Trade settlement is performed on a contract basis with the method specified in the contract received from TMEX and by multilateral netting method. In net settlement, it is essential to apply the multilateral netting method on the basis of EWR and transaction currency in calculating the net debit or credit amount in the transactions realized in the Market. On a contract basis, the transactions executed in the market are subject to settlement on a contract basis between two members without netting.
Commission settlement is made on a Clearing Member basis according to the commission data reported by the Exchange to Takasbank, and the commission debt is offset against the member's market clearing receivable.
EWR Collateral Management
Risk management in the market is performed by Takasbank. Customer accounts and the member's own transactions, collaterals and positions are monitored separately.
In the calculation of the transaction margins requested within the scope of risk management, the members' trading volumes in the past period and the price changes of the products are taken into account. Trade margins are updated once a month. A margin call is made for accounts with collateral that is lower than the required trade margin. Members are obliged to fulfill their margin call obligations made at the end of the day until 10:00 on the next business day at the latest. For the obligations that cannot be fulfilled within this period, default provisions shall apply.
For Exchange Membership, an Exchange Membership Collateral is collected from the IPACs. In addition, the UPAKs shall also deposit a commission deposit for fees, commissions and other obligations arising from the transactions executed at the Exchange. Clearing and Settlement Members shall deposit Takasbank Membership Collateral.
Assets accepted as collateral by the members for the fulfillment of their collateral obligations may be used within the composition limits determined. The group limit indicates the maximum percentage of the relevant collateral type that can be accepted for the collateral type in which it is deposited. If applied, group limits are calculated over the total collateral deposited for the relevant collateral type.
Valuation coefficients to be applied to collateral are the rates used to determine the value of collateral. Parametric, nonparametric or simulation-based statistical methods deemed appropriate by Takasbank are used in the calculation of the valuation factors. In determining the collateral valuation multiples, the credit risk, maturity, volatility under extraordinary market conditions, liquidity and, if any, exchange rate risk of the relevant asset assessed by Takasbank are taken into account.
Procedure on Central Clearing Servıce to Be Conducted By İstanbul Takas ve Saklama Bankası A.Ş. In Türkiye Ürün İhtisas Borsası A.Ş. Elus Market and Principles for Such Service
Directive on Central Clearing Servıce to Be Conducted By İstanbul Takas ve Saklama Bankası A.Ş. In Türkiye Ürün İhtisas Borsası A.Ş. Elus Market and Principles for Such Service
