SUO NSD - Management system for providing

SUO NSD is the automated control system of providing using electronic document management of NSD allowing to perform selection of securities.

2018

SUO for a repo of the Bank of Russia

For December, 2018 it is service of liquidity provision to the Russian commercial banks which is based on the conclusion of transactions of a tripartite repo with the Bank of Russia with the Management system for providing NSD (SUO NSD). The aspiration to expand trade and settlement opportunities of market participants and to minimize their costs became the purpose of creation of service. Service also allowed to improve technologies of management of providing in repo transactions.

SUO for a repo of the Bank of Russia with a basket of securities has a number of features:

• The minimum discounts on securities
  • SUO NSD allows to reduce risks of the Bank of Russia and to lower discounts for all terms of a repo to the level of one-day

• The increased efficiency of use of assets.
  • The credit institution has an opportunity to specify specific papers with quantity and priorities for selection in providing. Selection and replacement of providing SUO NSD allow to use in paper calculations, transferred to providing to the Bank of Russia.

• Cost reduction
  • When carrying out transactions the fee for the conclusion of transactions is not charged. The depository transactions commission, connected with management of providing, joins in the cost of management of providing, the number of such transactions does not influence costs.

SUO for an interdealer repo

For December, 2018 the NPO of JSC NSD offers the clients a range of services, directed to increase in operational efficiency at performing transactions of an off-exchange repo, due to outsourcing of functions on management of providing and post-trade of service.

Opportunities for the client

• Decrease in transaction costs due to service of a repo based on a single platform with Global creditors (Bank of Russia, Federal Treasury)
• Decrease in load of the front office at the conclusion of a repo with a basket of securities (instead of a set of a repo with one release it is possible to conclude one bargain for all amount)
• STP data transfer process from the terminal of Bloomberg in a web office allows to obtain quickly information on the concluded bargains to a back office and to carry out calculations
• Giving of clearing instructions through a web office, web service, SWIFT and software the Beam
• Possibility of a nettirovaniye of obligations for money and securities on a multilateral basis in clearing sessions (12 p.m., 2 p.m., 4 p.m., 7:40 p.m.)
• Algorithmic selection of securities for calculations from the accounts opened in Group perimeter the Moscow Exchange without collection of the commissions for depository transfers
• Individual preferences and control of limits of concentration of securities (in quantitative and value term)
• Revaluation of obligations under transactions from the neutral agent
• Automatic drawing of margin requirements to partners in case of exceeding of threshold values of revaluation
• Possibility of replacement of securities during repo term
• Hands-off processing of corporate actions on securities in open transactions (payment of the coupon or dividends, depreciation/repayment, converting)
• Formation and sending the reporting to Repozitary for the participant

Web office of SUO

For December, 2018 the web office of SUO is the modern graphical interface of data access about repo transactions with a management system for providing NSD which succeeded software Beam. It allows the user, including, to create and send to the address of NSD and also to receive electronic documents from NSD.

Description

For December, 2018 SUO NSD is used at service:

• repo transactions of the Bank of Russia with a basket of securities (clearing of NSD),
• repo transactions of Federal Treasury with the federal loan bond basket (clearing of NSD),
• other transactions with calculations of DVP (clearing of NSD),
• selection of securities in providing (clearing of NKTs).

SUO NSD is convenient as:

• Provides timely delivery of assets for execution of margin requirements;
• As a source of assets all custody accounts in NSD are used;
• It is not necessary to give depository instructions especially as for transfer to sub-accounts of depot of clearing accounts of NKTs depot of order from depositors of NSD are not accepted;
• Calculation of necessary number of securities is performed automatically;
• A transfer is made online.^[1]

Notes