INSTRUCTION OF CENTRAL BANK OF THE RUSSIAN FEDERATION

of April 13, 2020 No. 5436-U

About establishment of the obligatory standard rate of short-term liquidity for the broker who by clients is granted right to use of their money in its interests

This Instruction based on article 76.4 of the Federal Law of July 10, 2002 No. 86-FZ "About the Central bank the Russian Federation (Bank of Russia)" (The Russian Federation Code, 2002, No. 28, Art. 2790; 2013, No. 30, the Art. 4084) (further - the Federal Law "About the Central Bank Russian Federation (Bank of Russia)"), Item 3 of article 42 of the Federal Law of April 22, 1996 No. 39-FZ "About the security market" (The Russian Federation Code, 1996, No. 17, Art. 1918; 2019, No. 52, the Art. 7772) (further - the Federal Law "About the Security Market") and according to the solution of the Board of directors of the Bank of Russia (the minutes of the Board of directors of the Bank of Russia of March 20, 2020 No. 6) establish the obligatory standard rate of short-term liquidity for the broker who by clients is granted right to use of their money in its interests.

Chapter 1. General provisions

1.1. The obligatory standard rate of short-term liquidity (further - NKL) for the broker who by clients is granted right to use of their money in its interests (further - the broker) is established in the following minimum admissible numerical values (further - the NKL minimum value):

70 percent since October 1, 2021;

80 percent since October 1, 2022;

100 percent since October 1, 2023.

1.2. Calculation of NKL shall be perfromed by the formula broker:

where:

VLA - the size of assets which are available and (or) will arrive to the broker during the present working day and the working day following it can be implemented and provided by the broker as providing obligations of the broker to the third parties for the purpose of receipt of money in the time specified in this paragraph (further - highly liquid assets), calculated by the broker according to Items 2.1 - 2.6 presents of the Instruction;

VK - the size of adjustment of highly liquid assets calculated by the broker according to Item 2.7 of this Instruction;

ChOODS - the size of the net expected cash outflow calculated by the broker according to Items 3.1 - 3.11 these Instructions.

1.3. The broker shall expect NKL monthly the last calendar date of month, and in case of the direction of the requirement of the Bank of Russia according to Item 7 of article 44 of the Federal law "About the Security Market" (The Russian Federation Code, 1996, No. 17, Art. 1918; 2019, No. 52, the Art. 7772) - for the date provided in the requirement specified in this Item (further - settlement date).

1.4. The broker shall calculate NKL, including the size of the indicators accepted to calculation of NKL as of settlement date, having provided storage of information on them, and also about value of the calculated NKL, within five years from settlement date.

1.5. The broker shall calculate NKL based on accounting data, and in case of their absence - based on data of internal accounting of the broker.

Inclusion by the broker in calculation of NKL of assets and liabilities based on accounting data shall be performed on their book value, except as specified, provided by the paragraph the fourth Item 2.6 and Item 3.6 of this Instruction.

1.6. The broker shall include in calculation of NKL the balance sheet and off-balance assets and liabilities nominated in foreign currency, in the ruble equivalent calculated on the official rate of foreign currency in relation to the ruble established by the Bank of Russia according to Item 15 of article 4 of the Federal law "About the Central Bank Russian Federation (Bank of Russia)" (The Russian Federation Code, 2002, No. 28, Art. 2790; "The official Internet portal of legal information" (www.pravo.gov.ru), on April 3, 2020) (further - the official rate of foreign currency in relation to ruble), for settlement date.

If the official rate of foreign currency in relation to ruble is not established by the Bank of Russia, the rate of this currency shall be determined with use of the official US dollar exchange rate in relation to ruble operating for date of determination of rate, and rate of this foreign currency to US dollar for the date preceding date of determination of rate.

1.7. The broker shall provide respect for the NKL minimum value on permanent basis.

1.8. If the broker revealed decrease in NKL below the NKL minimum value, the broker shall eliminate the discrepancy specified in this paragraph in the following terms:

within two months from the date of publication on the official site of the Bank of Russia on the Internet of information on the solution of the Board of directors of the Bank of Russia on the increase in level of credit ratings specified in the paragraph the second subitem 3.1.1 of Item 3.1 of the Instruction of the Bank of Russia of March 22, 2019 to No. 5099-U "About requirements to calculation of the size of own means when implementing professional activity in the security market, and also in case of receipt of the license (licenses) for implementation of professional activity in the security market", No. 55315 registered by the Ministry of Justice of the Russian Federation on July 19, 2019 (further - the Instruction of the Bank of Russia No. 5099-U), - if decrease in NKL below the NKL minimum value resulted from discrepancy of the assets taken into consideration of size of highly liquid assets of the broker to requirements of subitems 2.2.2 - 2.2.4 Items 2.2 of this Instruction in connection with acceptance by the Board of directors of the Bank of Russia of the decision specified in this paragraph;

within one month from the date of increase by the clearing organization in rate of risk of reduction of cost of the security provided by the paragraph the fifth Item 2.6 of this Instruction - if decrease in NKL below the NKL minimum value resulted from increase by the clearing organization in the risk rate specified in this paragraph.

1.9. Requirements of this Instruction do not extend to brokers, being credit institutions.

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