INSTRUCTION OF CENTRAL BANK OF THE RUSSIAN FEDERATION

of July 25, 2014 No. 3349-U

About single requirements to Rules of implementation of broker activities when making transactions with property of the client of the broker

This Instruction based on 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; 2003, No. 2, Art. 157; No. 52, Art. 5032; 2004, No. 27, Art. 2711; No. 31, Art. 3233; 2005, No. 25, Art. 2426; No. 30, Art. 3101; 2006, No. 19, Art. 2061; No. 25, Art. 2648; 2007, No. 1, Art. 9, Art. 10; No. 10, Art. 1151; No. 18, Art. 2117; 2008, No. 42, Art. 4696, Art. 4699; No. 44, Art. 4982; No. 52, Art. 6229, Art. 6231; 2009, No. 1, Art. 25; No. 29, Art. 3629; No. 48, Art. 5731; 2010, No. 45, Art. 5756; 2011, No. 7, Art. 907; No. 27, Art. 3873; No. 43, Art. 5973; No. 48, Art. 6728; 2012, No. 50, Art. 6954; No. 53, Art. 7591, Art. 7607; 2013, No. 11, Art. 1076; No. 14, Art. 1649; No. 19, Art. 2329; No. 27, Art. 3438, Art. 3476, Art. 3477; No. 30, Art. 4084; No. 49, Art. 6336; No. 51, Art. 6695, Art. 6699; No. 52, Art. 6975; 2014, No. 19, Art. 2311, Art. 2317; No. 27, the Art. 3634) and according to 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; 2001, No. 33, Art. 3424; 2002, No. 52, Art. 5141; 2004, No. 27, Art. 2711; No. 31, Art. 3225; 2005, No. 11, Art. 900; No. 25, Art. 2426; 2006, No. 1, Art. 5; No. 2, Art. 172; No. 17, Art. 1780; No. 31, Art. 3437; No. 43, Art. 4412; 2007, No. 1, Art. 45; No. 18, Art. 2117; No. 22, Art. 2563; No. 41, Art. 4845; No. 50, Art. 6247, Art. 6249; 2008, No. 52, Art. 6221; 2009, No. 1, Art. 28; No. 18, Art. 2154; No. 23, Art. 2770; No. 29, Art. 3642; No. 48, Art. 5731; No. 52, Art. 6428; 2010, No. 17, Art. 1988; No. 31, Art. 4193; No. 41, Art. 5193; 2011, No. 7, Art. 905; No. 23, Art. 3262; No. 27, Art. 3880; No. 29, Art. 4291; No. 48, Art. 6728; No. 49, Art. 7040; No. 50, Art. 7357; 2012, No. 25, Art. 3269; No. 31, Art. 4334; No. 53, Art. 7607; 2013, No. 26, Art. 3207; No. 30, Art. 4043, Art. 4082, Art. 4084; No. 51, Art. 6699; No. 52, of the Art. 6985) establishes single requirements to rules of implementation of broker activities when making transactions with property of the client of the broker and extends to the professional participants of the security market performing broker activities (further - brokers).

1. The broker for whom according to Item 3 of the Instruction of the Bank of Russia of July 21, 2014 No. 3329-U "About requirements to own means of professional participants of the security market and managing companies of investment funds, mutual investment funds and non-state pension funds", No. 33608 registered by the Ministry of Justice of the Russian Federation on August 15, 2014 ("the Bulletin of the Bank of Russia" of August 15, 2014 No. 33608), establishes numerical value of the standard rate of sufficiency of own means 1,5 equal to coefficient (further - the client broker), can attract to execution of orders of the clients only the broker who is the bidder and the participant of clearing.

2. The client broker accepts from the clients only the orders providing transaction (transactions) at the organized biddings following the results of which clearing is performed or not at the organized biddings if obligations from this transaction (these transactions) are subject to clearing with participation of the central partner or specified (specified) the transaction (transactions) is (are) repurchase agreements.

3. The money in currency of the Russian Federation and foreign currency (further - money) which arrived to the client broker from his client under the agreement on broker servicing for transactions with securities and (or) for the conclusion of the agreements which are derivative financial instruments is transferred to the broker (brokers) with whom (with which) at the client broker the agreement on broker servicing is signed. At the same time such transfer is performed no later than the working day following behind day of cash receipt into the special brokerage account of the client broker.

4. In case of receipt of customer requirement about return of money, the client broker sends to the broker with whom it signs the agreement on broker servicing, the requirement about return of money no later than the working day following behind day of receipt of customer requirement about return of money.

The client broker returns to the client money from the special broker account no later than the working day following behind day of their revenues to the specified special broker account.

5. The client broker has no right to demand from the broker with whom he signs the agreement on broker servicing, return of money of the client of the client broker if the client broker did not receive from the specified client of the relevant requirement about return of money to it, except for case of satisfaction of monetary claims of the client broker to the client according to the agreement, and also discharges of duty on payment for customer account of obligatory payments.

6. The broker whose client is the client broker performs the separate cash accounting of the client broker and money of clients of the client broker.

The client broker shall demand from the broker with whom he signs the agreement on broker servicing, and the broker shall provide conducting separate accounting on each client:

1) property of the client of the client broker;

2) the obligations which are subject to execution at the expense of the specified property;

3) debts of the client of the client broker;

4) requirements which satisfaction is performed for benefit of the client of the client broker.

7. The client broker, in case of receipt of the relevant requirement of the client, demands from the broker with whom it signs the agreement on broker servicing, the directions of the requirement of the clearing organization about obligatory ensuring separate accounting of the property of the client of the client broker which is individual clearing providing which cannot be used for providing and (or) the obligation fulfillments of this broker which are subject to execution at the expense of other clients of the last.

In case of receipt of the specified requirement of the client broker the broker demands from the clearing organization to provide separate accounting of the property of the client of the client broker which is individual clearing providing which cannot be used for providing and (or) the obligation fulfillments of this broker which are subject to execution at the expense of other clients of the last.

8. The broker upon the demand of the client broker returns cash amount of the client of the client broker, except for money which he promised before the third parties at the request of the client broker, given to advantage of this client, and (or) amount of debt of the client broker before the broker who arose owing to execution (termination) by the broker of obligations from the transactions made at the expense of property of the specified client of the client broker in the terms provided by the agreement on broker servicing, but no later than the working day following behind day of receipt of the requirement of the client broker about return of money.

9. The broker guarantees to the client broker execution of its order submitted to advantage of the client of the client broker at the expense of property of this client of the client broker, except for property which the broker promised before the third parties at the request of the client broker given to advantage of this client of the client broker or concerning whom the broker accepted the order on transaction performed by which it cannot be refused according to the agreement on broker servicing.

10. The broker has no right to meet the requirements to the client broker at the expense of property of the client of the client broker, except for requirements for the obligations which arose owing to execution (termination) by the broker of obligations from the transactions made at the expense of property of this client of the client broker.

11. The broker who is the participant of clearing who is not granted the right to exploit money of the client demands from the clearing organization of maintaining the separate cash accounting and other property of this client transferred to the clearing organization to individual clearing providing. The specified money and other property cannot be used for providing and (or) the obligation fulfillments of this broker which are subject to execution at the expense of other his clients.

12. This Instruction becomes effective after 10 days after day of its official publication in "the Bulletin of the Bank of Russia".

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