Advances and challenges of the securities deposit industry

JAVIER JARA TRAUB, VICE PRESIDENT OF ACSDA, DELIVERS THE ADVANCES AND CHALLENGES OF THE SECURITIES DEPOSITORY INDUSTRY.

At the XXI General Assembly of the Americas’ Securities Depository Association, ACSDA (its acronym in English), Javier Jara T., DCV’s Commercial and New Businesses Manager, was reelected as vice president of ACSDA. In this interview he provides details on the principal trends that have marked the securities depository industry, the experiences of the markets and their principal challenges, especially around innovation in the financial industry, cybersecurity and the FinTech world.

What are the great advances that the securities depository industry has experienced worldwide?

he last few years have been marked by different advances that have had an impact on the industry. The first is the increase in volumes, which has allowed, through technology, to increase the number of transactions processed (and settled), the custodied volumes, the diversity of instruments and automation in all transaction cycles. The second is the growth of trust towards depositories, which has allowed us to generate new businesses and services, boosting all post-trade activities. And finally, we have seen high levels of integration between securities depositories at a regional and global level, which has expanded the coverage of services internationally.

How is Chile positioned in that scenario?

With the Chilean securities market, DCV has been carrying out a technological modernization, security and efficiency process. Likewise, we have been focused on keeping pace with research, expanding new businesses and adopting standards. We are also part of the international community through partnerships with ACSDA, ANNA, ISSA and the World Association of Securities Depositories (WFC), which allows us to be up to date with the latest trends.

What are the principal challenges that can be seen?

The challenges involve improving efficiency levels in the provision of core services by securities depositories. Also, the ongoing and systematic security concern in providing services and being prepared against contingencies and cyber-attacks, which is extremely important considering what defines us as depositories: suppliers of trust and security.

Regarding the foregoing, we are balancing this effort by searching new businesses in parallel with new technologies of the Fintech world, Blockchain and similar ones. Particularly seeing how to use them as an opportunity rather than as a threat.

¿Cuál es la hoja de ruta que se puso la nueva mesa directiva de ACSDA?

What is the roadmap that the new Board of Directors of ACSDA has defined?
In ACSDA our main challenge is to support the educational task and advise all the securities depositories of America, from the largest ones such as those found in the United States, Canada and Brazil, to the small ones that face their own challenges. Together with this educational task we must propose new standards and review the best practices in the securities market. Thus, being a bridge between international organizations and institutions and our members. In this line we want to be a channel that contacts the depositories of the region with other similar organizations in the securities depository industry in the world while searching for collaboration schemes within the same region. More details can be seen at www.acsda.org

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