NCC receives Qualified Intermediary status from US Internal Revenue Service
Following the launch of foreign securities trading in August 2020, Moscow Exchange has been gradually increasing its foreign share count. In early December 2020, 15 additional US ISINs were admitted to trading, which drove the total number of foreign shares available via Moscow Exchange to 55.
Foreign securities are traded vs. RUB with the CCP; transactions are settled via the Russian Central Securities Depository - NSD.
On October 21, 2020, National Clearing Centre (NCC) – a subsidiary of Moscow Exchange in its full ownership, in charge of clearing and central counterparty activities - announced that it had received a Qualified Intermediary status from the US Internal Revenue Service. This status allows NCC to perform tax agent functions with respect to foreign securities trades, including repo transactions.
Introduction of additional foreign shares into the trading lists and winning the Qualified Intermediary status by NCC is expected to contribute to investment activity by facilitating the diversity of trading opportunities in Russia.