1. PUBLIC
Media Release
2nd
December 2014
Colombo:
The CSE launches a new generation CDS
and
Inaugurates the Bell Ringing Ceremony on the trading floor to formally declare
open trading
The Colombo Stock Exchange (CSE) launched a state-of-the-art new generation
Depository System for its fully owned subsidiary, the Central Depository Systems (Pvt.)
Ltd (CDS) and an upgrade to the Automated Trading System (ATS).
The significant event that took place today was the inauguration of the Bell
Ringing Ceremony, from the purpose built platform on the trading floor, at the CSE’s
World Trade Center offices to open the day’s trading. This tradition is followed by many
stock exchanges globally. Commencing today, the CSE in keeping with the tradition
followed by many of its peer exchanges globally will open trading with the formal bell
ringing ceremony on the first day of trading for all new companies listing on the CSE and
at other special events, such as today. The CSE would also make the bell ringing
ceremony a regular feature by inviting special guests to perform this task.
The Bell Ringing Ceremony was officially launched today by the Chairman of the
Securities and Exchange Commission of Sri Lanka Dr. Nalaka Godahewa and the
Chairman of the Colombo Stock Exchange Mr.Vajira Kulatilaka in the presence of a
gathering of Directors, Management and staff of the CSE, Commission Members and
Directors of the SEC, CEO’s of Member Firms, Investors, other invitees and the media.
The new generation CDS system which was also formally launched today and
lays the platform for future enhancements relating to post trade Clearing and Settlement
services and moving to a Delivery Verses Payment” (DVP) system of settlement and a
Central Counter Party (CCP) System.
The new CDS features avant-garde technology that supports multi-asset classes
and caters to the overall strategic goals of the CSE to improve trading infrastructure. The
new system uses technology that comprises of a three-tier architecture which ensures
system robustness, flexibility and adaptability.
The CDS for shares and Corporate Debt in Sri Lanka was first launched in 1991
and was the first depository in South Asia and one of the first depositories globally. The
19 year old legacy system is now being replaced as a part of the CSE’s strategy for
infrastructure development. The upgrade also brings the CSE on par with other Asian
Exchanges, by the adoption of best practices for post trade depository services.

2. PUBLIC
This evolution from the legacy system to a system that uses cutting-edge
technology is the first step in transitioning towards a more accessible platform for the end
user.
“The Securities and Exchange Commission of Sri Lanka (SEC) intends to
develop the CSE to become one of the most technologically advanced modern Stock
Exchanges in the world comprising of proper risk management systems and an effective
Central Counter Party (CCP). The upgraded CDS system will be able to offer more
efficient depository services to market participants and investors and lead to broad-basing
the investor base and increase share ownership among the populace of Sri Lanka”, SEC
Chairman Dr. Nalaka Godahewa said.
“The CSE was one of the leading Exchanges in the migration to a scrip-less
trading environment and today, we seek to maintain that prestige by continuous
improvement to our clearing and settlement infrastructure. An easily accessible system
that is both secure and without impediments enhances the user experience of our ultimate
stakeholders – our investors. Therefore care is taken to ensure that all improvements to
the system will result in a perceptibly progressive experience for CDS account holders,”
CSE Chairman Mr. Vajira Kulatilaka said.
“MillenniumIT has enjoyed a long standing relationship with the Colombo Stock
Exchange. We are pleased to have one of our flagship products, “Millennium CSD”,
implemented in a customised manner for the use of the CDS. The “Millennium CSD” is a
highly reliable, extensible, multi-asset class clearing, settlement and depository system
which is built around revolutionary architecture. It is designed to meet the needs of
custody and settlement services for markets operating in a scrip-less environment such as
the CSE,” CEO MillenniumIT Mr. Mack Gill said.
The new generation CDS was supplied and maintained by Millennium IT
Software (Private) Limited, now part of the London Stock exchange (LSEG) group, and
facilitates a secure electronic environment for the safekeeping of instruments and the
transfer of ownership pursuant to trading.
Caption: Officer-in-Charge / Deputy Director General of the Securities and Exchange
Commission Mr. Dhammika Perera, Chairman of the Securities and Exchange
Commission of Sri Lanka Dr. Nalaka Godahewa, Chairman of the Colombo Stock
Exchange Mr. Vajira Kulatilaka, CEO of the CSE Mr. Rajeeva Bandaranaike and CEO
MillenniumIT Mr. Mack Gill at the Market Opening of the Colombo Stock Exchange and
launch of the state-of-the-art new generation Depository System for its fully owned
subsidiary, the Central Depository Systems (Pvt.) Ltd (CDS) and an upgrade to the
Automated Trading System (ATS)
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3. PUBLIC
About CSE
The Colombo Stock Exchange (CSE) operates the only share market in Sri Lanka and is
responsible for providing a transparent and regulated environment where companies
and investors can come together. The CSE is a company that is limited by guarantee
established under the Laws of Sri Lanka. The CSE is licensed by the Securities and
Exchange Commission of Sri Lanka (SEC) and is a mutual exchange consisting of 15
Members and 16 Trading Members. All Members and Trading Members are licensed by
the SEC to operate as Stockbrokers. For more information, please visit: www.cse.lk.
For more information:
Niroshan Wijesundere
Head of Market Development
Colombo Stock Exchange
Level 4, West Block,
World Trade Center, Echelon Square,
Colombo 01.
Sri Lanka.
Direct + 94 112356510
Mobile + 94 777 819999
Fax + 94 112445279