Central Trading System

"CTS" ("Central Trading System") is a trading system licensed by the Bank of Russia. CTS conducts regular auctions for standardized goods under the Federal Law of 21.11.2011 No. 325-FZ "On Organized Trading."

History

2024: Obtaining an exchange license

On September 12, 2024, the Financial Supervision Committee of the Bank of Russia decided to issue an exchange license to the Central Trading System ("CTS"). This will allow the company to conduct organized trading in goods.

The activities of the exchange are licensed by the Bank of Russia in accordance with the Federal Law of November 21, 2011 No. 325-FZ "On Organized Trading." It is noted that the issuance of the license will help CTS increase the volume of liquidity in the spot commodity market, make it possible to attract new bidders, the industry regulation of which requires transactions to be concluded at exchange trading, and will also expand the list of available markets and instruments.

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Freepik

CTS was established in 2000, and in May 2024, the Bank of Russia issued a license to the company for clearing activities. The CTS website says that its task is to develop an organized commodity market, including for small and medium-sized businesses. The project is aimed at maximizing the coverage of the commodity market and at modernizing the infrastructure of organized trading for SMEs. The company conducts trading in timber, metals, agricultural products, etc.

The technological component of CTS is aimed at the digital transformation of the commodity market in terms of providing a new licensed institute for organizing trading in goods, combining the features of a marketplace, exchange, procurement portal and electronic trading platform, the organization says.

As of September 2024, there are six exchanges in Russia. Thus, CTS became the seventh organization in the country to receive such a license. "CTS" plans to expand the register of goods - it will be possible to put up for auction any goods corresponding to the list of stock exchanges. The rules for conducting exchange trading will remain unchanged.^[1]"

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