Clearstream firmly on track for T2S with successful migration test
Clearstream’s CSDs in Germany and Luxembourg have achieved two important milestones in preparation for their migration to the T2S platform.
Clearstream conducted a first major T2S migration test, the Migration Weekend Dress Rehearsal (MWDR), with excellent results. All of Clearstream’s technical targets were fully achieved (performance, stability and data quality), proving Clearstream’s technical readiness for T2S.
In addition, Clearstream successfully implemented its final release with core T2S components such as the introduction of optional matching criteria and enriched status reporting on 21 and 22 November.
Uncertainty of the T2S migration schedule
In late October, Euroclear announced a migration delay of the ESES markets to T2S of at least six months. The CSD Steering Group (CSG) and the T2S Board are assessing the impact of this delay. A joint working group has been mandated to assess the impact on the T2S migration plan from a technical, operational and risk perspective by 7 December 2015.
At the same time, the CSG and T2S Board are assessing the legal and financial impacts of the delay. They aim to conclude on a new migration plan on 10 December 2015, which is scheduled for final endorsement by the ECB Governing Council in January 2016. These external factors might delay the T2S implementation schedule.
Clearstream is open to support any of the options being considered by the joint working group, provided the result is a stable delivery schedule.
Impact of the updated T2S migration
In case of changes to the sequence or composition of the T2S migration schedule, Clearstream’s CSDs would be required to:
- Revise operational and market readiness activities and ensure that the testing periods for the market participants are kept as today
- Specify, build and test the affected CSD links again
- Repeat the multilateral tests.
Clearstream will keep customers updated about the new T2S migration schedule and any major T2S testing and migration activities.
Independently of the T2S schedule, Clearstream will continue to roll out its harmonised services across all asset classes for its ICSD and the CSDs.
These service enhancements will be rolled out as planned in early 2017 for the German and Luxembourgish markets and in late 2017 for the Investor CSD services for all other markets.
