We do not have a license to use the native system after stock exchange transactions
According to Tejarat News, Ruhollah Dehghan, CEO of Tehran Stock Exchange Technology Management Company, said regarding the system of registration and settlement of transactions of the Central Depository of the Stock Exchange: The Central Depository Company was established in 1984 according to the Securities Market Law. One of the most important parts of this company is the systems of settlement of funds and maintenance of assets (stocks). The Central Depository Company is the reference of individuals’ assets in the securities market, and everything that is traded on the stock exchange is stored in the depository company’s systems.
He explained: “As a rule, the deposit system is separate from the trading systems and is known in the capital market as the post-transaction system.” Also, the trading system and the post-trading system are inherently separate, but their transactions are exchanged with each other. That is, part of the post-transaction system update is done through the trading system, and the two systems have a transactional relationship.
The CEO of Tehran Stock Exchange Technology Management Company stated: There are subsystems that perform transactions and post-trading processes. Some of these actions and processes include; Asset maintenance and settlement of funds, corporate actions, registration of capital increase and distribution of profits.
Dehghan added: “The basis of the deposit system is the Canadian system, which was purchased, installed and commissioned in 1973.”
He stated: The deposit system has had many changes and developments in the fields of hardware and software after 1973, but the basis of the system is the same system that was purchased in 1973. The need for this change and update is due to the fact that when we intend to release a new financial instrument in the market, part of it usually goes back to the post-transaction processes, which perform operations related to this new financial instrument in post-transaction systems. No need to make changes.
Regarding the localization of the central depository system, the CEO of Tehran Stock Exchange Technology Management Company said: “Systems such as settlement of funds, data collection system and SJAM system, which is for authentication, are domestic products.”
He said: “It is true that the external system is the main engine of the system after the transactions used today and the storage of people’s assets, but in this external system, many changes have been made by internal experts so far.”
He added: “The native post-transaction system is also called IRPT, which was produced several years ago by an external contractor.” But in the field of capital market business, they have not yet reached a conclusion to use this system.
Source: Young Journalist Club
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