National Settlement Depository (NSD) took part in the 12th International Forum “Russian Derivative Market.”
The event was focused on analysing the current state and development trends in Russian and international derivative markets, recent legislative and regulatory changes, changes in infrastructure for conducting transactions with derivatives, and on discussing problems and new trends in the derivative market.
The forum was organized by the self-regulatory National Financial Association supported by the Bank of Russia, the International Swaps and Derivatives Association (ISDA), the European Bank for Reconstruction and Development (EBRD), and the Financial Markets Association (ACI FMA).
Sergey Shvetsov, First Deputy Governor of the Bank of Russia, opened the forum. In his speech, he pointed out that structural instruments were in demand, and that interest in derivatives was growing against a backdrop of reduced rates for deposits. Mr. Shvetsov stressed that OTC instruments, such as NSD’s tri-party services (a complex of services aimed at increasing operational efficiency when conducting OTC repos via outsourcing collateral management and post-trade services), were very promising. Also, Mr. Shvetsov announced the launch of NSD’s collateral management system for OTC repos and emphasized the service’s popularity and convenience.
Mr. Shvetsov described the Bank of Russia’s initiative of creating a Russian “financial supermarket” platform which could identify investors remotely, maintain their accounts and assets, register their transactions, and place information about various providers’ financial products and other data about investors’ operations; this initiative was already presented by him at the FINOPOLIS conference.
Anastasiya Kiseleva, Managing Director for Repository Services, NSD, participated in the forum. In her report, she presented the Repository’s core projects, new products, and prospects. NSD’s Repository registers 99% of all Russian transactions and is a systemically important organization. Ms. Kiseleva pointed out that the Repository’s platform already has all the features required to build a “financial supermarket.”
Ms. Kiseleva named the development of the formatted logic check (FLC) service as one of the Repository’s priority. This is a system of “soft” checks (which do not affect data registration processes) of message parameters. The service is designed to help clients correctly complete key message fields and meet the deadlines for regular reports.
Ms. Kiseleva said: “In recent years, the systemically important NSD Repository has made significant progress in improving OTC services. We see great opportunities to expand our service range. NSD’s key advantages include customer focus, technological effectiveness, and the flexibility of NSD’s solutions, as well as its wide client base which include more than 1,100 customers.”