T+2 to be Launched on 25 March 2013

AO UniCredit Bank
Summary: 
The Moscow Exchange has announced that T+2 trading will be launched on 25 March 2013. T+2 trading will work simultaneously with T+0 trading. Once the changeover to T+2 is complete it is to be the main mode of trade in 2013.
Fri, 15/03/2013

The Moscow Exchange has confirmed that the plan for the T+2 project will be consistent with the road map and first stage of the project. The T+2 launch for the 15 most liquid equities and 33 OFZ is planned for 25 Match 2013.

T+2 trading will be available for participants along with current T+0 trading within the main trading mode and the CCP negotiated trades mode. Once the changeover to T+2 is complete it is to be the main mode of trade in 2013. The trading regimes of the other trading modes of the stock exchange such as negotiated trades mode, REPO trading mode etc. will remain unchanged.

The main characteristics of T+2 trading are as follows:

  • Partial pre-funding;
  • CCP, National Clearing Center (NCC) as a clearing house;
  • Trading hours: 10:00 to 19:00 (main trading session) and 19:00 to 23:50 (evening trading session);
  • Delivery until 17:00;
  • Execution of margin calls until 17:30;
  • Consolidated cash position on "T+2", "T+0" and " REPO with the CCP" segments;
  • Instruments (planned):
    • 1st stage: 15 most liquid equities and all OFZ;
    • 2nd stage: 50 most liquid equities and all OFZ;
    • 3rd stage: All securities.

Currently the stock exchange is conferring with the brokerage houses about the ability of their IT and risk systems being able to cope with the changeover to T+2.

Impact on investors: The launch of T+2 shows the commitment of the Moscow Exchange to reinforce the development of the trading floor in line with international standards.