FEDERATION OF EURO-ASIAN STOCK EXCHANGES
ANNUAL REPORT JUNE 2010
FEDERATION OF EURO-ASIAN STOCK EXCHANGES
Emin S. Catana, Ph.D.
Chairman
FEAS Affiliate Members Task Force
President and CEO
Takasbank
It is my pleasure to congratulate the 15th
anniversary of the foundation of
Federation of Euro-Asian Stock
Exchanges (FEAS). After 15 years of
remarkable success, FEAS was
transformed from a stock exchanges
federation into a mutual cooperation
platform embracing all capital market
institutions operating in the FEAS region.
The success of FEAS in years is the
evidence of the good timing for the
establishment of FEAS. Today, FEAS
became a momentous regional
association by increasing the number of
its members as well as by enlarging its
area.
In the course of time, through its
activities, FEAS links with the industry
from around the region and works closely
with the post-trade institutions which are
the integral parts of the securities markets
as much as stock exchanges. Then, the
FEAS membership included the post
trade institutions as its affiliate members.
The crucial element for providing a safe
and efficient clearing and settlement
system is to create an environment where
regulatory and technical infra-structure is
mostly consistent for the market players
at international level. As a result, all local
capital markets have to re-structure and
re-shape their infra-structure in order to
achieve harmonization among markets
and hence, increase cross-border trading
volume. Organizations like FEAS play a
very crucial role in helping to achieve
the level of harmonization needed for
local capital markets. This level of
harmonization is tried to be achieved
through the studies made in meetings.
The inclusion of post trade institutions to
FEAS family should be expected to
complement all the hard work that the
Stock Exchanges have endeavored to
accomplish, since the inception of this
organization, for the sake of FEAS
markets. This initiative brought enriched
expertise and knowledge into FEAS, in
the areas of clearing, settlement and
custody, which are key components
of organized securities markets. As
providing an efficient and productive
working platform and better
understanding the needs and goals of
affiliate members, a task force was
formed. Consequently, Takasbank
assumed the convenorship of Affiliate
Members Task Force (TF) which started
studying issues that will create added
value to FEAS markets.
Contribution of FEAS to the securities
industry in the region and to its members
consists of the harmonization of rules and
regulations among the members’ markets
as well as the exchange of know-how and
information relating to the securities
organizations. I am pleased to say that,
affiliate members, as active and
respected participants of the International
Securities Industry, are always excited
and ready to exchange views and ideas
on securities services with their peers at
FEAS and to share the experience and
knowledge that have been accumulated
in their markets and in the international
markets.
With the cooperation of the Affiliate Task
Force Members and the FEAS Secretariat
prepared three leaflets named “Global
Recommendations and Standards on
Clearing and Settlement Issues”,
“International Corporate Governance
Principals for Clearing and Settlement
Institutions & CSDs Recommendations
and Best Practices” and “ Business
Continuity and Disaster Recovery
Standards and Best Practices for post-
trade institutions” and distributed them to
all TF members in the TF meetings.
Looking at the history of FEAS, it is
clear that FEAS and its membership
have made a significant contribution to
the efforts of harmonization of the
securities transactions in the FEAS
region. Implementation of the
internationally accepted standards and
recommendations in order to reduce the
causes of fragmentation and inefficiencies
based in market practice/regulatory
requirements, tax procedures and issues
of legal certainty as well as central
counter party practice and evaluation of
the principles of “European Code of
Conduct” were some of the topics that
were studied in TF meetings. Within the
context of studying on the adoption of
international standards already used in
the securities markets worldwide to the
FEAS region and developing compliance
with European markets, FEAS Affiliate
Task Force maintains its studies on the
latest developments in the post-trade
service industry.
As per date, the Affiliate Members Task
Force realized remarkable contributions
for improving the post trade services in
FEAS region, but in a world getting closer
to global integration in financial areas,
industry’s needs are both increasing and
also changing day by day. So, continuous
efforts and contributions should be more
actively maintained in order to assist in
the mission of the FEAS for future
development and promotion of the
individual securities markets.
Having enjoyed the honor of being a
member of the FEAS family, we shall
endeavor to take this excellent
relationship further ahead. Takasbank
sincerely wishes to continue the good
and fruitful relationship it has enjoyed with
FEAS in the future.
I reiterate my sincere greetings to FEAS
for completion of 15 years of operation
and wish every success for the coming
years.
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