Thomas Murray, the specialist custody rating, risk management and research firm issues a Public Depository Rating to The Tel Aviv Stock Exchange Clearing House (TASECH) of Israel. TASECH has been awarded a Public CSD rating of ‘A’.
The evaluation of a low overall risk rating was done on the assumption of the following details. The role of The Tel Aviv Stock Exchange Clearing House on Israeli market is rather significant for its the sole clearing house and depository for all securities issued in Israel. TASECH possesses its Board of Directors reporting to the Board of Directors of TASE (Tel Aviv Stock Exchange).
Thomas Murray appreciated also a low risk exposure profile and a ‘Stable’ outlook indicating that the rating of ‘A’ is unlikely to change in the near future. But TASECH tries to mitigate the risk promoting the plan to move both
corporate bonds and equities to settle on a T1 cycle in 2009, rather than the present TD settlement cycle.
TASECH acts as central counterparty to all TASE and MTS Israel executed transactions. Concerning asset servicing TASECH provides reliable, primary sourced event information. Most core operations are highly automated despite a number of services with manual usage. IT infrastructure as well as managed alternative office facilities and resources are on a good level. Company utilizes Disaster Recovery and Business Continuity Plans to manage work comprehensively.
For the recent years TASECH has increased profits.
TASECH plays a critical role in the Israeli capital market infrastructure, acting as both central counterparty and central securities depository, and the review determined TASECH’s commitment to high service quality, prudent risk management and responsiveness to market needs, says Simon Thomas, CEO and chief ratings officer, Thomas Murray. The current rating and review process should help support this commitment to quality.
TASECH is pleased to have worked with Thomas Murray in order to obtain an independent view of our existing capabilities and processes, says Ester Levanon, CEO, the Tel Aviv Stock Exchange. The rating process involved a thorough review of TASECH’s clearing and settlement process, and the ‘A’ rating demonstrates that TASECH is in an excellent position to support the Israeli capital market.
L.D.