The Central Bank of Russia is amending the Regulation on license requirements for professional securities market participants
A project to amend the Regulation on license requirements for professional securities market participants has been published by the Russian Central Bank.
According to the proposed changes, all professional market participants will be divided into three categories: small sized, middle sized, and large and systemically important market participants. Categorisation is based on the volume of trades and the quantity of clients – for brokers and management companies, the volume of trades – for dealers and the assets under custody – for custodians.
As a first step, it is planned to decrease the requirement regarding the number of specialists employed in the small-sized companies. Further steps in proportional control development envisage changes in the requirements in the number of other specialists, reporting and other requirements.
The proportional regulation principle is expected to increase market transparency and allocate the controlling burden adequately depending on the size of the company and reducing expenses of small - and medium-sized companies.
Contact
Ksenia Liskina
Relationship Manager
GSS Rusia