KELER CCP Company profile

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KELER CCP Introduction

KELER CCP, licensed under EMIR, is the leading clearing house in the Central Eastern European

region with its more than 20 years of experience and by its innovative solutions.

Our passion is to unleash the potential of financial intermediaries and energy

traders, our Clients, to enable those offering creative solutions and

accomplishing their objectives.

EMIR LICENSED CLEARING HOUSE

KNOW-HOW AND EXPERTISE

REASONABLE FEES

WIDE RANGE OF ADDED-VALUE

SERVICES

STREAMLINED SOLUTIONS

EASY ACCESS TO MAJOR MARKETS

We want to stay on the edge of innovation to seek sheer perfection. We keep

investing into state-of-the-art technology and top people, who catch every detail

and opportunity, when it comes to designing a new client solution. Apart from

the Hungarian capital markets, Clients can reach all major European energy

markets (EEX, EPEX, HUPX, PXE, Powernext, CEGH) through a sole and harmonized

connection.

KELER CCP History

2008

2009

2010

2012

2013

2014

2015

KELER CCP is founded by KELER, the National Bank of Hungary and the Budapest Stock Exchange

On 1 January KELER CCP begins operating, i.e. it takes over the central counterparty functions at the Budapest Stock Exchange

On 1 July KELER CCP begins to clear the then NFKP (Daily Natural Gas and Capacity Trading Market), currently Balancing Platform (BP)On 20 July HUPX and KELER CCP power market non-clearing member service is started MTS Hungary is launched, where KELER CCP acts as central counterparty

CEEGEX market is launched with KELER CCP acting as central counterpartyKELER CCP takes over clearing also from KELER, thus it becomes a fully fledged clearing houseCapital increase of HUF 4 billion by KELER

The MNB designates KELER CCP as the system operator pursuant to the Capital Market Act on the spot BÉTa market, the MTS market and then on the BSE derivative market, too.On 4 July KELER CCP is the first in the region and the ninth in Europe to be licensed under EMIR

KELER CCPLux is operational

CLIENTS OF KELER CCPThe KELER CCP is a leading clearing house in the region, serving exchanges, platforms and traders; it clears a broad range of asset classes, including securities, exchange-traded derivatives, foreign exchange derivatives, commodities, energy etc.

BANKS

BROKER-DEALERS

STOCK EXCHANGES

ENERGY TRADERS

ENERGY PRODUCERS

ENERGY EXCHANGES

LARGE ENERGY CONSUMERS

MARKET POSITIONKELER CCP as the first regional clearing service provider has emerged to be an innovative service provider, which plays a leading role in the Central-Eastern European region.Our service offering now spreads to not only the capital markets, but also to the energy markets as we can serve our energy trader partners on HUPX, EPEX, EEX and PXE markets in the electricity segment and CEGH in the gas trading, while we act as clearing house for the CEEGEX (Central Eastern European Gas Exchange) and the Balancing Platform (Balancing natural gas market in Hungary) markets.

78.2 MIO EUR CONSOLIDATED EQUITY

4.9 MIO EUR CONSOLIDATED EBITDA GENERATED

35008 TRANSACTIONS CLEARED AND SETTLED FOR BUDAPEST STOCK EXCHANGE PER DAY

78.6 GWH DAILY TURNOVER SETTLED FOR THE ENERGY MARKETS ACROSS EUROPE

30.1 GWH DAILY TURNOVER CLEARED AND SETTLED FOR BALANCING PLATFORM (BALANCING NATURAL GAS MARKET IN HUNGARY)

KELER CCP KEY FIGURES AS OF EOY 2014

Power markets

European Power Exchange (EPEX) and European Energy Exchange (EEX)› Spot and derivatives markets for power, gas, CO2, coal, etc trading in DE, FR, AT, CH Power Exchange Central Europe (PXE)› Trading for Czech, Slovak and Hungarian power

OTE Electricity› Trading for Czech, Slovak and Hungarian power on spot market Hungarian Power Exchange (HUPX)› Exchange for power trading in Hungary› Spot and futures products

MAVIR - Hungarian Transmission System OperatorManaging the deposit for:› the Hungarian balancing energy market› the feed-in tariff / system› the cross-border capacity auction

Gas markets

Central European Gas Hub (CEGH)› Austrian trading platform for gas with spot and futures products

Central Eastern European Gas Exchange (CEEGEX)› Gas exchange with spot and futures products

Balancing Platform (BP)› Balancing natural gas market in Hungary

PowernextGas› Spot futures product in FR, NL

KELER’S SERVICES FOR THE CAPITAL MARKETS

PARTNER EXCHANGES - ENERGY MARKETS

Our clearing markets include:

• Budapest Stock Exchange (spot, derivatives, commodities),• BÉTa, MTF market,• MTS Hungary, secondary government bond market,• CEEGEX, Central Eastern European Gas Exchange,• Balancing Platform

(Balancing natural gas market in Hungary), • The HUPX, EPEX, EEX, PXE, OTE and CEGH markets are

cleared by ECC; KELER CCP is a Clearing Bank for these markets.

Simple and easy market reach

CLEARING SERVICES

Stock exchange and energy market-related clearing and settlement services of the KELER Group include account management (HUF, foreign currencies and securities), record keeping and financial settlement of daily on-exchange and OTC transactions, collateral management, guarantee undertaking and reporting. The above activities of KELER Group are shared between KELER and KELER CCP in a way that KELER CCP provides clearing services and ensures the safe settlement of the market through its guarantee system and Clearing Membership requirements, while KELER creates the technical conditions for the settlements by providing banking services.

CENTRAL COUNTERPARTY FUNCTIONS

A central counterparty (CCP) novates all the transactions conducted on the cleared markets, i.e. a CCP is buyer to every seller and seller to every buyer. This way it stands between the parties, so it bears most of the risks of an on exchange transaction, which ultimately makes the entire trading system and venue almost free of risks. First in the region, KELER CCP started operation on 1 January 2009, since then it acts as central counterparty for the Budapest Stock Exchange; and throughout the years KELER CCP extended the scope of its services thus now we serve the below markets:

KELER CCP SERVICES

Capital markets Budapest Stock Exchange BÉTa MTF MTS Hungary

Energy marketsBalancing Platform (Clearing House)CEEGEX (Clearing House)

RISK MANAGEMENT

KELER CCP endeavors to minimize market players’ settlement risks and to eliminate system risks inherent in an integrated settlement system. KELER CCP ensures that only prudent players with adequate financial strength and resources, being able to meet their settlement obligations in a timely fashion can participate in the settlement system. KELER CCP operates a guarantee system in order to ensure the settlement of guaranteed transactions and requires collateral, as a bail of settlement, to be provided by clearing members and non-clearing members to cover calculated risks.

CASH MANAGEMENT

The cash accounts held by KELER are identical to the ones held by any other commercial banks, with the only limitation of only settlement-related financial transactions can be carried out on them, in which activities and transactions your company can seek assistance from KELER Treasury. Clients’ assets are kept separately from KELER’s assets, which increases the safety of these assets and facilitates Clients’ risk management activity.

TRADE REPOSITORY

KELER will participate in the reporting process as a data intermediary and collects the trading data of market participants that contracted KELER and forwards them to the selected trade repository. Through the Trade Repository of KELER, KELER and KELER CCP will be able to report to ESMA and ACER all transactions going through KELER CCP.This way the KELER Group will be able to fully support its Clients in their entire activity from trading to complying with their reporting obligation.

Reliability

Innovation

Flexibility

Client Focus

OUR VALUES

Viktor NagyHead of Risk Management

Ágnes JuhászChief Advisor, International

Strategy and Policy

Tamás HorváthHead of Clearing

Operations

Károly MátraiChief Executive Officer

KELER CCP MANAGEMENT

Mária Fülöp

Client Relations and Sales Manager

Telephone: +36 1 483 6261E-mail: fulop.maria@keler.hu

Address: 1074 Hungary, Budapest, Rákóczi út 70-72.Mailing address: H-1426 Budapest, Hungary P.O. BOX 57

Telephone: (+36 1) 483 6100 Fax: (+36 1) 342 3539E-mail: kelerccp@kelerkszf.huWebsite: www.kelerkszf.hu

CONTACT US