Integrated Collateral Management Thailand Securities Depository ACG Cross

Integrated Collateral Management Thailand Securities Depository ACG Cross Training 11 th

Agenda • Current Architecture • Conceptual Framework • Benefit • Obstacles

Current Architecture • Market Structure Cash Market Exchange Clearing House CSD Derivatives Market

Current Architecture • Account Structure TSD/TCH Cash Market House Client SBL/REPO Market House Client Derivatives Market House Client

Current Architecture • Excess Collateral are manually moved by the member Derivatives Market Excess Collateral Cash Market Member Excess Collateral

Conceptual Framework • Excess Collateral will be automatically moved to deficit account by Clearing House Derivatives Market Excess Collateral Clearing House Cash Market Excess Collateral

Conceptual Framework Derivatives Market Fixed Income Market Collateral Management Equity Market SBL/Repo Market

Conceptual Framework Clearing House et Asset Class - Cash - Equity - Government Bond Member Ass et Member Collateral Pool Cash Settlement SBL/Repo Margin Derivatives Margin

Conceptual Framework • Excess Collateral can be moved from House A/C to Client A/C but not vice versa Market B Market A House A/C Omnibus Client A/C

Conceptual Framework • Excess Collateral can be used in Collateral Pool – Collateral Process – Clearing & Settlement Process for Cash Market – Margining Process for Derivatives Market Cash Others Collateral Cash House A/C Cash Clearing & Settlement Cash Securities House A/C Others Client A/C Securities Client A/C

Benefit • • Enhance Efficiency Reduce back-office work Reduce Cost Reduce Risk

Obstacles • Regulation Rules