Initiative

Target2-Securities (T2S) and MX

Target2-Securities (T2S), the pan-European securities settlements engine, was launched in 2015. T2S uses ISO 20022 (MX) message formats to communicate with its users – the CSDs, NCBs, and a range of Directly Connected Participants (DCPs). 

But to say simply that “T2S uses MX” is an over-simplification. The T2S documentation specifies a large number of rules governing the completion of the data fields of these messages. For a message to be valid for T2S, it must conform with all of these points. 

This is just how MX message standards are supposed to be used: organizations can define many kinds of restrictions to make the base ISO 20022 message schema manageable for a specific usage, including:

  • Suppression of an element that should not be used
  • Restriction in the number of times a repetitive element can repeat
  • Making an optional element mandatory
  • Restricting a choice to fewer options
  • Reducing the size of a text item

How does Transformer deal with such situations?

In the specific case of T2S, as the schema (.xsd) containing these restrictions has been published, the easiest route would simply be to import this schema directly into Transformer, automatically creating suitable message definitions.

More generally, it is straightforward in Transformer to define one or a series of ‘validation rule sets’, together with logic to determine which rule set(s) are used in any given situation. In this way the validation of a message can be tailored to suit a particular context or use case, which is more tighly defined than the baseline standard. 

Find out more about Transformer’s functionality here

To discuss your particular requirements please contact us