Summary of the Strategy of the KDPW Group for 2020-2024
The KDPW Group is comprised of the companies KDPW S.A. and KDPW_CCP S.A. Its offer includes typical infrastructure services, such as clearing of transactions on the organised market, management of the clearing liquidity guarantee system, settlement of transactions, operation of the securities depository, processing of corporate events, and identification of shareholders. The KDPW Group also offers value-added services closely related to the Group’s core business, including clearing of OTC derivatives, processing of tri-party repo transactions, recording of reported trades in all classes of derivatives in the Trade Repository under EMIR, recording of securities financing transactions in the Trade Repository under SFTR, reporting of details of trades in financial instruments to a supervisory authority under MIFIR (Approved Reporting Mechanism - ARM), issuance of LEIs, and the eVoting service for General Meetings of Shareholders.
The core and value-added services make up an integrated offer in post-trade chain for both Polish and foreign financial market participants operating in Poland.
The KDPW Group Strategy 2020-2024 was approved by the KDPW S.A. Supervisory Board in March 2020. It covers the four main business lines and presents strategic goals for each line based on known and foreseeable future market conditions.
Mission of the KDPW Group
To offer services in an effective and reliable way ensuring safety of trade on the financial market, including depository, clearing and settlement infrastructure, trade reporting, and value added services.
Vision of the KDPW Group
To provide financial market participants with integrated services in the post-trade chain covering diverse classes of assets based on state-of-the-art technology.
Strategic goals for the four business lines of the KDPW Group for 2020-2024
I. Krajowy Depozyt Papierów Wartościowych
KEY STRATEGIC GOAL: To diversify KDPW activities as a provider of services and IT solutions using digitalisation of post-trade and issuer servicing processes.
To expand the scope of operations and increase the volume of assets recorded in the depository system in line with the growth potential of the Polish economy and the needs of key financial market stakeholders;
To build KDPW’s position as a technology company by creating proprietary solutions to ensure KDPW Group’s development and entry into new business areas on the financial market;
To expand the scope of cross-border services for foreign entities operating on the Polish market and Polish entities operating on foreign markets.
II. Trade Repository
KEY STRATEGIC GOAL: To increase KDPW’s share in the European market of trade reporting and LEI issuance services.
To develop a complementary offer of trade reporting services using a single access system for participants;
To strengthen the competitiveness of trade reporting and LEI issuance services in Europe supporting the acquisition of new client segments from foreign markets;
To develop distribution channels for trade reporting and LEI issuance services.
III. KDPW_CCP – organised trading
KEY STRATEGIC GOAL: To enhance the competitive edge and complementarity of services provided by KDPW_CCP S.A. and to maintain their high quality including the clearing of diverse classes of assets.
To expand the scale of cleared financial instruments and to extend the scope of clearing to new classes of assets;
To improve the accessibility and competitive edge of KDPW_CCP S.A. for Polish and foreign clearing members;
To prepare KDPW_CCP S.A. for the provision of services on European organised markets.
IV. KDPW_CCP – OTC trade
KEY STRATEGIC GOAL: To expand the scale of KDPW_CCP S.A. OTC derivatives clearing and services combined with effective risk management aiming to mitigate systemic risk.
To implement an IT system in KDPW_CCP S.A., developed in-house by the KDPW Group, for OTC derivatives clearing and services;
To increase KDPW_CCP S.A.’s share of OTC derivatives clearing and to diversify revenue by clearing bilateral trade in PLN and EUR on the Polish market;
To enhance the importance of KDPW_CCP S.A. as a provider of PLN and EUR clearing services to foreign entities.
Common strategic goal of the four business lines of the KDPW Group
To leverage and strengthen synergies and to maintain high quality of IT infrastructure in the KDPW Group aiming to improve effective operation of the business lines faced with technological challenges while protecting the profile of an infrastructure institution.