Press Release

This is significant as it enables transactions effected through non-ASX AMOs to be accepted for clearing and settlement in an identical fashion to trades executed on other cash equity markets in Australia. This delivers a standardisation of post trade processes for market participants, irrespective of which market the trade was executed on. Three significant changes to the NSX market model would occur as a result of gaining access to the TAS: 1. A straight through digital process would be adopted for the management of post trade actions for participants, thereby removing present limitations of the manual Delivery versus Payment (DVP) process currently required for NSX trades; 2. An alignment of post trade processes and messages between NSX, ASX and Chi-X, thereby reducing costs and increasing efficiencies for participants; and 3. The introduction of clearing to the NSX transaction flow, whereby ASX Clear will accept the counterparty risk for eligible trades executed on the market, replacing the existing bi-lateral structure. NSX looks forward to working in cooperation with ASX to implement TAS and bring forward the market wide benefits and efficiencies from harmonizing the post-trade processes across the Australian cash equities markets.