Infinity Release 2 Euroclear Finland

Euroclear Finland has announced that the target launch date for the implementation of Infinity release 2 is scheduled for Monday 12 February 2018.

This is the second phase of Euroclear Finland’s project in preparation for its migration to the Target2 Securities settlement platform (T2S). In the first release, the debt market migrated to Infinity on 02 February 2015 and in the second release, Infinity will be introduced for the Finnish equity market. The launch date for the third release and the migration to T2S is yet to be confirmed.

The purpose of this newsflash is to provide our clearing participants and their settlement agents with further information on the implementation of the Infinity release 2 by covering the following topics:-

  • Clearing participants and EuroCCP’s Standard Settlement Instructions (SSIs).
  • Settlement agent Power of Attorney (POA).
  • EuroCCP’s Reporting (CIF and POAs)
  • Infinity release 2 migration and Dress Rehearsals.
  • Client testing.
Standard Settlement Instructions

With the migration of the Finnish equity market to Infinity, clearing participants and EuroCCP’s settlement arrangements and SSIs of will change.  EuroCCP will contact those clearing participants that are active on this market to obtain new SSIs for the production environment via the EuroCCP Infinity Information Form, which should be returned to EuroCCP no later than 15 November 2017.  It is recommended  that production SSI’s are used for testing purposes in EuroCCP’s client testing environment.

The new EuroCCP SSIs, detailed below, will apply from settlement date Monday 12 February 2018:-

EuroCCP SSIs Euroclear Finland:

Delivery / Receiving party BIC (DEAG / REAG) EMCFNL2AXXX
Securities Account APKE0000000000008500000000000008558
CSD of Delivering / Receiving party (PSET) APKEFIHHXXX
Client of Delivering / Receiving party (Seller / Buyer) EMCFNL2AXXX
Settlement agent Power of Attorney

EuroCCP will continue to support the Settlement Agent POA service, where settlement instructions are delivered to the clearing participant’s settlement agent,  following the implementation of Infinity release 2.

Clearing participants should update their current settlement agent POA agreements with their new SSI’s in the  Annex section no later than 15 November 2017.

 EuroCCP Reporting (CIF and POAs)

From Trade Date 16 Jan 2017, EuroCCP’s settlement instructions and the Client Information File (CIF) will contain the new PSET, the BIC11 of the local CSD in the Finnish market.

The 8-digit CSD BIC will change to CSD BIC11 as follows:-

  • From APKEFIHH to APKEFIHHXXX

In addition, the updated clearing participants SSIs will be reflected in the CIF for settlement instructions that will be reinstructed by EuroCCP in Infinity after the go-decision is confirmed by Euroclear Finland.

 Infinity release 2 migration and Dress Rehearsals

Settlement instructions with trade date Thursday 8 and Friday 9 February will not be submitted by EuroCCP in Hexclear Euroclear Finland’s  legacy settlement system, prior to the migration weekend and will be forwarded to Infinity once the go-decision has been made. Settlement instructions that fail to settle prior to the migration weekend will not be migrated and will need to be reinstructed and matched in Infinity. The migration of Infinity release 2 is scheduled as follows:-

  • Friday 9 February 2018
    • Last Settlement Date in Hexclear
  • Friday 9 February to Sunday 11 February 2018
    • Migration Weekend.
    • EuroCCP will instruct settlement instructions with trade date Thursday 8 and Friday 9 February and those settlement instructions that fail to settle on the Friday before migration weekend. This will include those settlement instructions that are delivered to the settlement agent on behalf of a clearing participant under the PoA.
  • Monday 12 February 2018
    • First Infinity Settlement Date for settlement instructions with ISD 12 February and those settlement instructions that failed to settle on the Friday prior to the migration weekend.
    • At close of business, EuroCCP will send settlement instructions for the Finnish market to Infinity with Trade Date 12 February

In order to ensure the successful matching and settlement of all settlement instructions in Infinity on the first settlement date, clearing participants and their settlement agents should be aware that EuroCCP’s new SSIs will apply to all settlement instructions that are reinstructed by EuroCCP.

Those clearing participants that are set up for the settlement agent PoA must ensure that their settlement agent processes the settlement instructions it receives from EuroCCP under the PoA, as these instructions will include EuroCCP’s new SSIs.

Reporting during the Migration Weekend

EuroCCP’s CIF file will be sent out on Friday 9 February 2018 as usual.  Settlement instructions which are sent by EuroCCP to settlement agents under a POA will also be distributed on Friday 9 February 2018.

Migration Dress Rehearsal

Euroclear Finland has scheduled two dress rehearsals prior to the implementation of Infinity release 2 in February 2018.  These dress rehearsals are scheduled as follows:-

  • Weekend of 7-8 October, with first settlement date on Monday 9 October 2017.
  • Weekend of 2-3 December, with first settlement date on Monday 4 December 2017.

During these dress rehearsals, EuroCCP will copy the production flow in its client test environment and submit the pending and failing settlement instructions in the Infinity test environment. Settlement instructions that are created on behalf of a clearing participant will be delivered to the settlement agent.  Prior to each Dress Rehearsal, EuroCCP will clean its client test environment for the Finnish market.

Client testing

EuroCCP strongly recommends that clearing participants undertake different test cases for the Finnish market prior to the implementation of Infinity release 2 in February 2018. EuroCCP’s client test environment is already available for testing.  In order to participate in client testing, those SSIs that are used for testing should be confirmed by completing EuroCCP’s Infinity information form   In order to ensure a smooth migration, clients should use these same SSIs in their UAT environment that will be used in production, following the implementation of release 2.

Clearing participants that require further information on  testing arrangements should contact clienttesting@euroccp.com.