According to preliminary results for 2005 operating income of the Not-for-profit partnership “The National Depository Center” (NDC) grew by 150.8 million rubles (35%) compared with 2004 and reached 578.7 million rubles. In particular, income from depository services for the issuers contributed 70.1 million rubles, services for other types of NDC’s clients – 508.6 million rubles.
The growth was supported by increase of assets under custody, as well as growth in the number of on-exchange and OTC operations due to the growth of the stock market and strengthening of NDC’s position in the infrastructure. Revenues from servicing corporate, municipal and sub federal bonds grew by 62% compared to 2004, from servicing shares – by 20%, from servicing government bonds – by 16%.
At the same time, in line with the strategy for NDC’s capitalization and fees optimization policy aimed at decreasing market participants’ costs, NDC in 2005 twice lowered fees for its services which allowed to decrease clients' cost by more than 20 million rubles. In particular, from 01.04.2005 fees for safekeeping of government, municipal and corporate bonds were reduced by 5% in all lines of the regressive fee scale, while for big portfolios (over RUB 50 billion) the fees have been reduced by 7%. At the same time, the fees for the NDC Clients, - settlement depositories, for safekeeping of shares and assets, deposited at international depositories were reduced by 10%. From 01.10.2005 fees for safekeeping of bonds were reduced by 5% in all lines of the regressive fee scale, while for big portfolios (over RUB 50 billion) the fees were reduced by 7%.
The latest reduction of fees for NDC’s services by 15% for safekeeping of bonds and by 20% for safekeeping of shares was introduced starting 1 January 2006.