Industry
Unlocking Exponential Future Growth in Capital Market Firms
Solution
TCS BaNCS™: Enabling Transformation in Banks and Financial Institutions
Highlights
- TCS BaNCS for Market Infrastructure performs clearing and settlement in over 25 markets worldwide.
- With its unique High Performance Transaction Manager (HpTM) framework, our solution supports multiple assets and market capabilities that are benchmarked to global regulatory standards such as G30, General Data Protection Regulation (GDPR), and others.
- Equipped with the Quartz™ for Markets plugin, HpTM offers end-to-end services around tokenized securities to drive future growth for market infrastructure institutions.
In this article
A comprehensive suite for depositories, CCPs, exchanges, central payment infrastructures, and central banks.
Abstract
TCS BaNCS for Market Infrastructure adapts to the specific needs of the marketplace, regulators, investors, financial institutions, and other stakeholders. With its ability to support multiple markets, currencies, and asset classes on the same platform, it has been a key catalyst in driving transformation in many markets worldwide.
Challenges
The pandemic has brought about new challenges for market infrastructure institutions (MIIs), who are now witnessing a sea change in regulatory terms. MIIs now need to combine high performance, low latency, and best-in-class resilience with agility to introduce new products/asset classes. Most MIIs are actively looking at possibilities for supporting regulated cryptocurrencies, NFTs, and next-gen tokenized assets.
MIIs’ indices reflect economic growth and capital and are under constant scrutiny. Hence, they need to change faster and more comprehensively than ever before.
Solution
TCS BaNCS for Market Infrastructure is designed for high performance and low latency, thanks to its high-performance transaction management (HpTM) framework, which supports end-to-end trade and post-trade functions, including unified clearing, settlement, integrated risk, and collateral management. The solution also offers trade matching, surveillance, issuance, depository, and registry functions across multiple asset classes in a single solution.
Its unique ability to support multiple markets, currencies, and asset classes on the same platform, has been continuously benchmarked to global regulatory standards such as G30, Principles for Financial Market Infrastructures (PFMI), Securities Financing Transactions Regulation (SFTR), General Data Protection Regulation (GDPR), Securities Market Practice Group (SMPG), Foreign Account Tax Compliance Act/ Common Reporting standard (FATCA/CRS), European market infrastructure regulation (EMIR), and Central Securities Depositories Regulation (CSDR). It also supports messaging standards such as ISO 20022, ISO 15022, Financial Information eXchange (FIX), Financial Information eXchange Extensible Markup Language (FIXML), and Financial products Markup Language (FpML), in addition to standard APIs for integration.
TCS BaNCS’ continuous focus on regulatory needs and messaging standards helps financial institutions stay ahead of market changes and drive efficiencies in their businesses. The flexible and configurable solution can adapt to the specific needs of the marketplace, its regulators, investors, financial institutions, and other stakeholders.
Our long partnership with TCS, complemented by TCS BaNCS’ successful track record for transformation program delivery, has been instrumental in the successful deployment and operationalization of the platform, including supporting five exchanges in South Africa. The new solution has created common reference data and uniform messaging standards across all asset classes and business processes for all the markets we service, as well as enabling us to roll out new services faster.
Benefits
- Supports a comprehensive range of business functions of market infrastructure operators such as central counterparties (CCP), and central securities depositories (CSD), exchanges, and central banks.
- Designed for high performance using our unique HpTM framework, the solution provides ‘unified clearing’ across cash and derivatives markets.
- Supports real-time interfaces with market participants using a wide range of messaging standards.
- Allows the seamless launch of newer asset classes and creates derivative contracts by leveraging QuartzTM—The Smart Ledgers plugin.
- Leverages AI and ML for real-time monitoring of capital market transactions, ensuring filtering of alerts to increase operational efficiencies.
