CENTRAL COUNTERPARTY (CCP)

In the central counterparty practice; Takasbank commits to complete the clearing and settlement for markets and capital market instruments through open offer, novation or another legally binding method by acting as buyer against seller and seller against buyer. The risks that Takasbank is exposed to, arising from services that Takasbank provides as a CCP are safeguarded through collaterals, guarantee fund and amount allocated from Takasbank’s capital.

From the perspective of legal and financial consequences, the CCP practice is a financial market infrastructure service which is both preferred by the market participants and required by the supervisory authorities to be mandatorily implemented. Having been established for more than a century in various organized markets globally, the CCP application has recently been considered a solution to manage the risks arising from over-the-counter (OTC) markets following the CCPs success in the global financial crisis. As a result, the CCPs are regarded as institutions that takes quasi-public responsibilities in management of the systemic risk; and a broad set of rules which should be applied in providing this service has arisen.

Based on the legal framework provided by the new Capital Market Law No.6362 which came into force on 30.12.2012, Takasbank initiated central counterparty services on 02.09.2013 for the Securities Lending Market operated by itself, for the Organized Derivatives Market on 03.03.2014, for BİAŞ Money Market on 14.10.2016, for BİAŞ Equities Market on 19.06.2017, for BİAŞ Debt Securities Market on 02.07.2018, for BİAŞ SWAP Market on 01.10.2018 and finally for the over-the-counter derivatives instruments that take place between the banks established in Turkey on 19.12.2019.In line with the implementation of technological infrastructure transformation carried out within the framework of strategic partnership between BİAŞ and NASDAQ, the CCP services are running on BISTECH platform for derivatives, equities and debt securities are traded, cleared and settled  in the same platform.

Takasbank’s CCP regulation and its business model are constituted by taking into account the CPMI-IOSCO principles and European Union regulations and technical standards. On 23.03.2016, CMB announced that it recognized Takasbank as qualified CCP (QCCP) which fully complies with CPMI-IOSCO Principles for Financial Market Infrastructures. Subsequently, Takasbank applied for ESMA recognition as a third country CCP as of August 2016.

Key benefits of the CCP services to the market and the investors can be summarized as below

Disclosures and information regarding Takasbank’s CCP activities which have been provided in accordance with its own regulation and international principles are given below.