TCS and ASX Launch CHESS Release 1, Modernizing Australia's Financial Core

TCS consolidated revenues stood at $31.2 billion for FY26, while the new CHESS system is benchmarked to process over 20 million trades daily.

Launch Details

Tata Consultancy Services (TCS) and the Australian Securities Exchange (ASX) have successfully launched CHESS Release 1. This marks a crucial milestone in modernizing Australia's financial market infrastructure for cash clearing and settlement.

The deployed solution utilizes TCS BaNCS for Market Infrastructure and Quartz Gateway. It is cloud-hosted, engineered for high performance, scalability, and resilience.

This system is benchmarked to process over 20 million trades per day, setting a strong foundation for ASX's future growth and future-proofing its critical systems.

Significance

This launch signifies a major achievement for TCS, bolstering its global credentials in providing complex market infrastructure solutions. It also represents a significant step for ASX in upgrading its post-trade services, aiming for greater efficiency and capability.

Background

ASX has been undertaking a multi-year CHESS Replacement Program to overhaul its existing clearing and settlement system. TCS was selected as a key technology partner for this ambitious initiative.

Over the years, TCS has developed and deployed its TCS BaNCS suite, recognized for its capability in handling large-scale financial market operations, emphasizing performance and stability.

Impact for Stakeholders

• For TCS: Strengthened position in global financial market infrastructure, enhanced partnership with ASX, and potential for future business in market modernization projects.
• For ASX: A modernized, cloud-hosted clearing and settlement system designed for future scalability and resilience, reducing operational risks.

Implementation Approach

The CHESS Replacement Project is being delivered in two releases through a staged approach. This is designed to manage change and reduce implementation risk for critical market infrastructure systems.

Competitive Landscape

Other major Indian IT services firms like Infosys, Wipro, and HCLTech are also actively engaged in the financial services sector, offering digital transformation and cloud solutions to global financial institutions, competing for similar large-scale projects.

Financial Context

• TCS's consolidated revenues were $31.4 billion for the fiscal year ended March 31, 2025.
• TCS's consolidated revenues were $31.2 billion for the fiscal year ended March 31, 2026.

Next Steps

• Progress and timelines for Release 2 of the CHESS Replacement Program, which is targeted for a 2029 go-live.
• TCS's continued success and expansion in other critical financial market infrastructure projects globally.
• ASX's performance and stability of the new CHESS system post-launch.
• Any further updates on the CHESS Replacement Program's next phases and their timelines.