The negotiated securities lending and borrowing service will be available in production as of October 1st, 2014.
KDPW in co-operation with KDPW_CCP is planning to introduce negotiated securities lending and borrowing in order to improve the liquidity of clearing and settlement of securities in the systems operated by KDPW_CCP and KDPW. The negotiated securities lending and borrowing service is an important addition to KDPW’s automatic securities lending system as the former offers enhanced flexibility of the terms of loan agreements negotiated by the parties. The role of KDPW is to match entities interested in securities lending and to perform settlement. The role of KDPW_CCP is to clear loan agreements and to organise a collateral system covering return of securities by the borrower and return of contractual collateral by the lender guaranteed with own funds of KDPW_CCP.