Historical Highlights


In 2022, KDD continued upgrading the T2S project for the consolidation of the T2S and TARGET2 platforms. Following the ECB Governing Council’s decision, the migration to the consolidated platform T2-T2S was delayed by four months, i.e., postponed from 21 November 2022 to 20 March 2023.

In line with the Commission Delegated Regulation (EU) 2018/1229 providing for the adoption of measures to ensure settlement discipline, on 1 February KDD began levying cash penalties for late matching and/or late settlements.

Due to the deteriorated global security situation, we monitored even more closely the conditions in the field of cyber security, and we took necessary additional measures to strengthen cyber resilience.

For many years, we have been working as experts advising on the development and creation of ISO standards that are crucial for the functioning of financial markets. In 2002, we continued to participate as technical members in the ISO/TC 68/SC 8, more specifically in the Fintech TAG1 advisory and working group, as well as in many other working groups (ISIN, CFI, FISIN, LEI, vLEI, DTI, ELF, OOR). At the same time, KDD acts as a link between ISO and IEC, JTC 1/SC 27 "Information security, cybersecurity and privacy protection".

KDD is an active member of the Association of National Numbering Agencies (ANNA) and became member of the ANNA Service Bureau Supervisory Committee (ASB SC) in 2022.

In accordance with the new methodology, KDD successfully completed the Funds Accreditation.

In 2022, KDD continued its participation in the development projects within GLEIF and wider, inter alia Mapping ISIN and LEI, Digitized organizational identity vLEI (SSI) and Cross-border payment initiative.


In 2021, KDD continued upgrading the T2S project to facilitate the modification activities pertaining to support and the processes required for the consolidation of the T2S and TARGET2 platforms.

We have kept abreast of the changes in national legislation resulting from European regulations and we successfully harmonised our business operations. The latter was subject primarily to the CSDR requirements regarding settlement discipline and the Directive on the encouragement of long-term shareholder engagement.

At the end of the year, we successfully concluded the process of decommissioning registry accounts. In 2021, the assignment of the Global Legal Entity Identifier (LEI) was stepped up, and eventually successfully taken over from AJPES, who no longer provides the relevant service. Also, intensive preparations for the launch of the new reporting method for all types of funds were carried out.


In 2020, KDD enabled its system members to perform reconciliation immediately after the end of the settlement day and adapted certain online services in accordance with their requirements.

The Eurosystem, in cooperation with market participants, is exploring the options to minimise the costs and increase the efficiency as well as harmonise the primary issuance of debt securities at the conceptual level. A working group (Debt Issuance Market Contact Group) was set up to examine the actual extent of the issues in detail and propose solutions. The Group, in which KDD is an active participant, started its work in September 2020.

End of 2020, KDD offered a new service, named »KDD Digital«, which does not only represent an advanced framework for communication between public limited companies and shareholders, but is also used by the KDD as an indicator of interest from members-issuers for the use of more advanced blockchain-based technologies. Full functionality of the »KDD Digital« service is expected to be achieved in 2021, and it should cover a user-friendly review of the register of securities holders, the review of transactions, an efficient exchange of information regarding the interest in the sale/purchase of securities, the holding of virtual general assemblies and the notification of securities holders on corporate actions.

During the COVID-19 pandemic, KDD monitored the situation resulting from the emergence and spread of the coronavirus, and responsibly adjusted its operations, which ran smoothly throughout the pandemic


A new legislation on ZNVP-1 that stipulates the final phase of registry accounts disintegration encouraged holders of registry accounts to transfer their securities either to client accounts opened with KDD members or to a KAD joint special account  (KAD = Kapitalska družba d.d., eng: Pension Fund Management). This way the number of registry accounts decreased further.

In 2019, KDD operated successfully in the T2S environment and adjusted its CRVP information system to correspond member reconciliation requirements according to the EU Directive 909/2014.

The process of adaptation of KDD operations to the EU directive and related regulative technical standards had been ongoing since March 2017 and in September 2019 resulted in KDD having been granted CSDR license by Slovenian Securities market Agency.


A great part of KDD's endavours in the year 2018 was dedicated to adjustments required according to EU Directive 909/2014 and regulative technical standards. Requirements implementation and their compliance with the directive and regulative technical standards is an on-going process that shall continue after KDD is expected to be granted CSDR license in 2019.

Consolidation processes continued in 2018 as the number of KDD systemic members and members-issuers, number of securities holders, stock exchange and OTC transactions, as well as number of transactions arising from governmental agencies decisions, were all in decline.

KDD worked on expansion of the use of Legal Entity Identifier – LEI; KDD holds a capacity of a Local Operating Unit - LOU.

To provide up-to-date technological solutions to users KDD was testing new technical methods based on blockchain. KDD is active in this field also as a member of the ISSA Crypto Assests Working Group.

KDD successfully provides its services in T2S environment and in this way offers the Slovenian market a higher level of integration and harmonisation in securities business within European environment. By means of its webservices KDD provides real-time data dissemination and other electronic communication. Systemic members are additionally enabled to use SWIFT interface for automatic instructions forwarding.

KDD is continually improving and adjusting its central securities registry information system and in the year 2018 adopted a new graphic design and refreshed its web page, which supports user friendly use on mobile platforms, as well.


After intensive preparations in the technological, legal and operational field, extending over several years, KDD successfully integrated its central securities settlement system into pan-European settlement platform Target 2 – Securities. Integration brought a higher level of harmonization of the Slovenian settlement environment with environments of European counterparts. In this context, KDD launched in 2017 by the implementation of an extended set of corporate actions and systematic monitoring, information and implementation of corporate actions for system members and securities holders.

Regulation (EU) No 909/2014 of the European Parliament and of the Council of 23 July 2014 on improving securities settlement in the European Union and on central securities depositories foresaw implementation of 28 RTS - Regulative Technical Standards required by ESMA European Securities Market Agency and EBA European Banking Authority. With publication of the RTS in March 2017, central securities depositories were required to apply for a central securities depositories license within the following six months. Having analyzed impact of the EU Regulation requirements KDD adopted identified necessary adjustments and amendments in the legal, operational, and technical field. KDD completed its application for a central securities depositary license and filed it with Securities Market Agency.

KDD met all requirements to assign Legal Entity Identifier and having received the accreditation of GLEIF – Global Legal Entity Identifier Foundation, KDD was fully accredited as a Local Operating Unit authorized to issue Legal Entity Identifiers in designated jurisdictions. By the end of 2017 KDD had assigned 1.455 LEIs to Slovenian and foreign entities.

On the initiative of KDD, the amendment ZNVP-1A to the Book-Entry Securities Act was adopted in the beginning of 2017, which enabled abolishment of multiple pledges of a single security, transfer of pledged securities and introduction of a pledge account for collateralization and auto collateralization.


As a result of the process of European integration and enforcing uniform standards with regard to implementing corporate actions on securities, we saw cancellation of registry accounts with KDD in 2016. In other words, KDD is bound to integrate its settlement system with the uniform European settlement platform at the start of 2017, which is called T2S.

KDD has successfully completed its upgrade of its system, which has thus become compliant with T2S requirements and allows integration into the T2S system.

KDD has been intensively informing the users of its services and other stakeholders on the Slovenian market on T2S, both directly in bilateral contacts, at workshops and through relevant stakeholder groups. The model of integration with T2S has been discussed in detail, as it will introduce a standardised method of implementing corporate actions, with a presentation of the relevant technical documents also taking place, including training for use of the new system and user testing.

In relation to the adopted EU Regulation on improving securities settlement in the European Union and on central securities depositories, the European Commission confirmed all implementing regulations thereof, including regulatory technical standards on 11 November 2016. Considering the implementation of the Regulation, relevant acts were duly extensively amended in 2016, which included KDD's Rules of Operation and the KDD Guidelines.

In 2016, removed the option of obtaining special identification numbers (KID) for domestic holders in order to prevent potential abuse, and launched the process of dissolution of legal communities.

In January 2016, KDD officially obtained the status of pre-LOU.


In 2015, KDD upgraded its system for transmission of files to issuers, members and state authorities by enabling two-directional file exchange.

It is undergoing intense preparations for integration with T2S and has connected its test information system with the T2S test environment.

The T2S system is tightly connected to the process of implementing international standards for corporate actions, whereby KDD has begun adapting its information system.

Regarding development of the legal environment, KDD has continued to implement processes of harmonisation in undertaking corporate actions, as the adoption of the amended Companies Act (ZGD-1I), Acquisitions Act (ZPre-1G) and the new Dematerialised Securities Act (ZNVP-1) has overcome the majority of legislative obstacles to implement CASG/CAJWG standards for corporate actions.

KDD has been endorsed for (pre-) LEI. It has prepared everything necessary to perform KDDLEI services (issuing and maintaining LEI codes). In relation to this, it has set up an online portal to receive requests for transmission of data on LEI, an internal application for process management and a link with the Global LEI Foundation (GLEIF) system.  


In 2014 KDD began offering an additional online service, namely data on the value of accrued interest and principal on a select day for bonds that are traded on the Ljubljana Stock Exchange. Members were enabled to enter orders in the form of ISO 15022 (MTxxx) messages through the SWIFT network, which allows full automation between the CRVP system and the member’s back end application.

KDD also enabled daily mutual exchange of data between KDD and AJPES in order to ensure that both databases were as updated as possible.

It upgraded the connection with the auxiliary location, which allows individual applications to run alternatively at both locations.

It upgraded the information system so that connection to the T2S platform will be ensured together with experts from SWIFT.


KDD made a decision to have the connection between KDD and T2S run through SWIFT. In February 2017, KDD will become integrated into the live cross-border securities settlement transactions system T2S. The connection between the KDD and T2S systems will run through the VAN (Value Added Network) solution provided by SWIFT.

The goal of T2S is to facilitate the integration of post-trading services by ensuring harmonized settlement of securities in central bank currency for practically all securities throughout Europe.

Value Added Network services provided by SWIFT will allow T2S users to connect with T2S and to exchange business correspondence in format ISO 20022 in a secure setting, with the highest level of reliability, at competitive prices and with minimal costs of installation.
More information


In 2012, KDD adjusted its rules and regulations to novels of Dematerialised Securities Act-C and Financial Instruments Market Act-D. Rules and regulations, that became effective on 12 November 2012, abolished mandatory use of administrative proceedings and KDD’s operations were from that point on founded completely on civil law.

New regulations also enabled matching as a new stage in inter-accounts transfers.

For legal disputes between KDD and its members not exceeding EUR 15.000, KDD adopted Regulations on Arbitration Proceedings.


In 2011, KDD offered its members information on amount of accrued interest and principal of bonds, traded on the Ljubljana Stock Exchange, on a selected date. Members were also given access to informatiom on holders of all registered securities (by the end of 2011, there were 34 users taking benefits of the service).

By establishing a direct link with Polish CSD KDPW, KDD supported post trade activities for new issue of shares of Nova Kreditna banka Maribor which were listed simultaneously on the Warsaw and Ljubljana Stock Exchange.

Link with Clearstream Banking Luxembourg, which had first been established for post trade activities in government securities, was extended to other securities, as well.

KDD activated a web service user interface that enabled members to enter orders into the registry information system automatically. With the introduction of orders matching, it enabled members to enter orders in the ISO 15022 (MT5xx) form through SWIFT system. 

In the same year KDD further improved its IFin internal application used for processing requests for account balance statements and continued to extend the iFin application to other fields of document management. SEPA orders were included in the application, as well. 


In 2010, trading volume nearly halved in comparison to the year before. However, due to links between the Slovenian settlement platform and the European one, there was significant growth in offer and demand from abroad, which outbalanced the otherwise decreasing number of domestic transactions.

KDD offered its clients (issuers) a new service: information on security holders and claimants. It added a new web service for its members: daily information on incurred interest and principal of bonds traded on the Ljubljana Stock Exchange. From 2010, members have unlimited access to all registers of registered securities. Members have been enabled to have web access to the central securities registry system from home or abroad independent of a telecommunication provider.

In the same year, KDD consolidated its legal acts with the novel of The Financial Instruments Market Act and acquired the necessary approval of the Securities Market Agency to adopt changes and amendments to its Operations Rules, Regulations on Central Securities Registry Maintenance, Regulations on Members and Technical Regulations. It adopted new Regulations on Settlement of Stock Exchange Transactions.


The year was a harsh one; the global financial and economic crisis extended deep into the Slovenian securities market.

At the start of the year, we introduced new tariffs (comparable to tariffs in European markets):  compensations for maintenance of balance of securities accounts, which made our revenues less dependent on short-term movements on capital markets. In May, the board of directors confirmed the operating strategy for the period 2009-2014.

We implemented improvements which provide our clients with easier trading, while we were also certified by Microsoft within the scope of upgrading the information system behind the central registry. The mission of OECD’s Financial Markets Committee assessed our infrastructure as complying with all requirements and recommendations.

Evrosistem  confirmed all the self-assessments as suitable. The first assessment we received to confirm that the direct connection with Clearstream Banking Luxembourg and indirect connection with Clearstream Banking Frankfurt are suitable proved that our guidelines in setting up and developing the entire securities settlement system were correct.

On the project Evrosistem TARGET-2 – Securities (T2S) we signed a memorandum in July which committed us to the extent of negotiating with Evrosistem on integration with T2S. At the end of the year, we prepared a technical plan of potential adaptation of the securities central registry on T2S and a framework analysis of the impact on users of our services.

In line with the set strategy, we successfully prevented our autonomy to be reduced in deciding on the company's tariff system. In the field of risk management, we introduced a policy of managing and monitoring incidents, while also taking part in promoting the Slovenian securities market in Ljubljana, Belgrade, Stockholm and Vienna.


February of last year saw initiation of transactions through connections that KDD established with pan-European securities clearing corporations Euroclear and Clearstream Banking Luxembourg. By establishing the said connections, KDD enabled domestic issue of Slovenian government bonds, including bond trading and settlement in KDD’s central registry as well as in pan-European trading and settlement systems. This coincided with the issue of syndicate bond RS63 in KDD’s central dematerialised securities register and with initiation of trading with the said bond on the European trading platform MTS Slovenia.

Within the process of fulfilling accession criteria for full membership of the Republic of Slovenia in OECD, KDD was one of the first to be invited to cooperation as one of the institutions vital to the system.

Syndicate debt security issue procedures were revamped, the infrastructure for issue of structured and compound financial instruments was duly established; electronic data flow was produced and adopted for the issue of bonds of Slovenska odškodninska družba.

KDD provided the Supreme Court with automated insight into the balance of security account holders, which has since been integrated into its claims recovery application.

2008 saw the existing central securities registry system harmonised with the new CFI standard and upgraded for charging compensation for maintenance of security balances. New connections between the central securities registry  the AJPES business register to the Central Population Register were also established.

In order to provide long-term unhindered infrastructure to operations of the financial market as a systemically significant institution, and integrate itself into the European clearing and settlement infrastructure, KDD adopted a new, European-based tariff structure. 


With regard to adoption of the euro, KDD actively participated in the Coordination Committee for technical preparations for the introduction of the euro and its groups for the capital market, whose members also featured representatives of the Ministry of Finance of the Republic of Slovenia, the Ljubljana Stock Exchange, the Securities Market Agency, Association of Members of the Ljubljana Stock Exchange and Association of Management Companies. In the middle of the year, KDD, together with the Ljubljana Stock Exchange, even assumed coordination for information technology within the scope of this group from the Securities Market Agency and successfully concluded it. The beginning of the year thus marked a successful transaition into trading with the new currency.
KDD met all the deadlines in meeting requirements in accordance with the signed European Code of Conduct with regard to transparency of prices and access and system interoperability.
In September, it adopted new Rules based on the recently passed Market in Financial Instruments Act.
The end of October saw KDD establish a connection with the international clearing and settlement company Clearstream. The new connection which allows Clearstream's clients entry on to the Slovenian securities market, is an important setp towards integration of the Slovenian capital market with the common European capital market. The new partnership sees state securities, issued by the domestic clearing and settlement system in the Republic of Slovenia, marketed on a global scale and makes them more easily accessible and interesting to the global investment environment.


The Slovenian system of securities trade settlement provided by KDD meets all the standards of the European central Bank for operation within the scope of settlement of securities in Eurosystem's trading operations. This was the decision reached on 19 October by the European Central Bank's Committee based on a detailed analysis and review of KDD's existing system. The positive assessment passed by ECB's Committee also awards KDD a status of »a suitable system of securities settlement for the purpose of securing credit operations of the European System of Central Banks«, which is important from the perspective of Slovenia's accession into the European Monetary Union as of 1 January, 2007. The assessment of the ECB's Committee is an important endorsement for KDD in the sense that its guidelines in construction of the entire settlement system were properly set out.

Public announcement by the European Central Bank on its assessment of the Slovenian securities settlement system

Together with other European securities clearing companies and stock exchanges, KDD delivered a signed European Code of Conduct to the European Commissioner for the internal market in relation to clearing and settlement of equity securities on 7 November, 2006.
By signing the said Code, KDD joined its counterparts (within the framework of the European Central Securities Depositories Association, ECSDA) in its endeavours for greater efficiency and integration of the European capital market. The objective of the Code, which follows European Commission guidelines, is to enable investors trading with European securities within a firm, conformable, united and cost-efficient European market and provide freedom of choice amongst providers of trading and post-trading services throughout Europe.


On June 6, 2005, KDD successfully launched its completely new, complex central registry system with new information infrastructure. Advantages of the new solution, based on modern technological foundations and service approach, are: improved functionalities, faster and safer operations, manageability of the system and possible system extentions. The application was developed entirely by KDD's own experts.


According to the assessment of securities settlement systems of accession countries against the standards for their use in Eurosystem credit operations, carried out by the European Central Bank, KDD is assessed as eligible for use in Eurosystem credit operations. In March KDD launches a newly designed and updated home page. In November, it hosts the International ECB – ECSDA - CEECSDA Conference in Ljubljana. In December, a direct link is established between KDD and the data base of the Slovenian Central Register of Population (CRP) what enables automated harmonisation of data in the CRP with personal data on securities holders in the central securities registry of KDD.


Pursuant to the Investment Funds and Management Companies Act KDD prepares basis to support legal relations between management companies and custodian banks and offers additional services within the existing infrastructure. As required by the Central Bank of Slovenia, KDD prepares a DVP system for repurchase agreements as a part of the general OTC – DVP system.
According to Core Principles for Systematically Important Payment Systems of the Bank for International Settlement (Core Principle No 5), risk management methodology, used by KDD, indicates that settlement risk control complies with required standards set by BIS.


KDD's operation was marked by its moving to new business premises.
Cash settlements began to be executed through payment operations within the Bank of Slovenia.The European Central Bank gave a good rating to the payment systems and the securities clearing and settlement systems in place in Slovenia with regard to its forthcoming full membership of the EU.


To enable efficient, secure and prompt settlement of trades on the money market KDD joined the SWIFT system and started the system of simultaneous fulfilment of obligations from off-the-organised market (OTC-DVP trades).
KDD organised the general meeting of CEECSDA in Slovenia.


Within the Stability Treaty in the South-east Europe KDD signed an agreement with the Slovene Ministry of Economic Relations and Development and the Federation of BIH and the Republic of Srbska on the transfer of technology and knowledge related to the system of the central registry of securities.


The Dematerialised Securities Act, the new Securities Market Act and the Foreign Exchange Transactions Act were adopted. KDD enhanced its information system with new functions such as exercising of the right to select and transfer securities of the same or a new holder to the account, opened with another KDD member, access to the registers of holders of registered shares, transfer of data on balances in the share registers to issuers through the internet.
At the year end KDD obtained the register of tax numbers from the Tax Administration of the Republic of Slovenia, which ensured a more accurate and efficient running of the holders’ register and simplified the issuers’ payment of dividends and interest to holders of their securities.
KDD started implementing the provisions of the Takeovers Act in carrying out entries of limitation on disposal of securities, book-entry transfers and payments made with respect to public offer to buy securities, carrying over 25% of voting rights.
KDD’s operation was affected by the pension reform, and in relation to the issued pension coupons, trading in coupons and exercising the right to exchange them, KDD carried out over 200,000 entries.
KDD became a member of ANNA - Association of National Numbering Agencies, Brussels. Thus it obtained the status of a national agency for granting internationally valid ISIN codes to securities and other financial instruments.
KDD joined the association of international capital market institutions ISSA – the International Securities Services Association, Zürich.
KDD set up a back-up location in Koper and doubled the capacity of its computer hardware and expanded its information system in accordance with international standards of security of operation. Thus in the event of a natural catastrophe or sabotage KDD's information system would be able to resume its operation on the same day at the back-up location.


KDD provided for payment of interest on dematerialised bonds RS04, RS09, RS15, rehabilitation bonds of the Republic of Slovenia and bonds of the Restitution Fund.
KDD, together with eleven other members, founded and signed the Memorandum of Association of the Central and Eastern EuropeanCentral Securities Depositories and Clearing Houses Association (CEECSDA) headquartered in Budapest and became more active internationally.
KDD began developing a system of on-line data transfer from the share register through the internet.


The Takeovers Act and the Amendments and Supplements to the Investment Funds and Management Companies Act were passed.
The U.S. Securities and Exchange Commission recognised KDD as an eligible foreign custodian. The recognition meant that institutional investors from the U.S. could invest in the securities entered in KDD's central registry without prior approval from the Commission.
KDD enhanced the registry codes system, which enabled automatic, on-line and timely fulfilment of all or individual settlement obligations from concluded trades in connection with custody services.


KDD began to carry on most of its activities (issue of dematerialised securities, book-entry transfers related to concluded trades… ) in this year and started managing the assets of the Guarantee Fund.
Authorised participants in the securities market were admitted to KDD transfer and settlement system membership.


In January KDD was founded as the first and only institution in Slovenia to provide central securities custody services, clearance and settlement of securities transactions and maintenance of the central registry of holders of dematerialised securities.
The Government of the Republic of Slovenia adopted a decree on dematerialised securities.The most important bylaw of KDD was drawn up – the KDD Rules.


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