Institute Presentation at the Russian Derivatives Market International Conference
On November 11, leading researcher of the Institute Maxim Bashkatov presented at the 10th "Russian Derivatives Market" International Conference, organised by the National Securities Market Association SRO, with the participation of the Central Bank of the Russian Federation, the International Swaps and Derivatives Association (ISDA), the European Bank for Reconstruction and Development (EBRD) and The Financial Markets Association (ACI FMA). The conference was attended by more than 320 people; representatives of the Regulator, professional associations, the press, and experts on the Russian derivatives market. The conference is held annually and is a major event for specialists in the field of financial derivatives.
Bashkatov presented at the third session of the conference, "Legal and Regulatory Aspects of the Derivatives Market", in which the participants discussed a range of issues - new regulations for financial securities and derivatives transactions, the implementation of the institution of 'close-out netting', the impact of the reform of the Civil Code of the Russian Federation on the derivatives market, and the transfer of standardised transactions to the new central clearing institution.
In closing, Maxim considered the question of the legal nature of the security deposit as a new way of ensuring performance of obligations (Articles 381.1 and 381.2 of the Civil Code), detailing the procedure for the enforcement of creditor's rights and the possibilities to use this mechanism to design margin payments for clearing participants. He also commented on the issue of the contractual models which may be used in relations between parties to derivative transactions and the Central Counterparty (CCP), a special intermediary, which shall enforce the fulfillment of derivative transactions by its parties.