NSD: Nominal Holder of Central Depository (Service Description)
Personal Account of the Nominal Holder of the Central Depository
General Information

The NHCD (Nominal Holder of Central Depository) account can only be opened with a person carrying out registry maintenance activities based on the appropriate license, including with a specialized depository [3].

On Opening an Account in Registers of Russian Securities

NSD opens or reclassifies an already opened Nominal Holder (NH) account to NHCD in the registers of owners of registered securities of issuers depending on the requirements of current legislation [3].

For issuers obligated to disclose (provide) information in accordance with Article 30 of the Federal Law dated April 22, 1996 No. 39-FZ "On the Securities Market", the determining criteria for having an NHCD personal account in the register are:

  • presence of a registered securities prospectus, both for shares and bonds, admission of exchange bonds or Russian depositary receipts to organized trading;

  • the issuer is a joint-stock company created during privatization of state and/or municipal enterprises, and in accordance with the privatization plan approved in the established order and serving as the prospectus of share issue at the date of its approval, the possibility of alienation of issuer's shares to more than 500 acquirers or to an unlimited circle of persons was provided;

  • absence of exemption from the federal executive authority for the securities market from the obligation to disclose information for the issuer.

For units of Unit Investment Funds (UIF) or Mortgage Participation Certificates (MPC), the determining criterion for having an NHCD personal account in the register is:

  • presence in the Trust Management Rules of UIF or Trust Management Rules of MI of the possibility of circulating units on organized trading.

Qualification of UIF or MPC as central-depository, as well as non-central-depository, is carried out by NSD based on corresponding documents received from the Management Company [3].

Reclassification of NHCD account to NH in NSD accounting system is carried out based on notification received from the registry holder [3].
For Depositors. Procedure for Interaction with Registry Holders in Connection with Carrying Out Operations on NHCD Account in Owners' Registers

Features of filling in instructions MF036 and MF035 when carrying out operations on NHCD account in owners' registers.

In connection with the fact that for carrying out operations of debiting (crediting) securities on the NHCD personal account in the owners' register it is necessary to ensure identity of information in reciprocal instructions, before submitting to NSD depository instructions in form MF036 "Removal of Securities from Custody and/or Accounting" (operation code 36) and in form MF035 "Acceptance of Securities for Custody and/or Accounting" (operation code 35), it is required to coordinate with the registered person, to whose personal account (from whose personal account) in the securities owners' register securities are credited (debited), the following data [3]:

Name (title) of the owner (trust manager) of securities; when carrying out operations with the possibility of changing the owner of securities, it is necessary to specify the name (title) of the person alienating securities
Number of the registered person's personal account in the owners' register, to which securities are credited (from which securities are debited)
Reference (unique identification number) of the instruction. The reference specified in the Depositor's instruction must necessarily match the reference specified in the corresponding instruction of the person, from whose personal account securities are debited to the personal account of the nominal holder of the central depository

This information must be specified in the corresponding fields of depository instructions MF036 "Removal of Securities from Custody and/or Accounting" (operation code 36) or MF035 "Acceptance of Securities for Custody and/or Accounting" (operation code 35) [3].

More detailed features of filling in depository instructions for operations 36, 35 are described in Appendix No. 1 to "Procedure for Interaction between the Depository and Depositors" [3].

Execution of instructions in ISO 15022 format (messages MT540/MT542) is carried out in accordance with Specification of Electronic Messages Used by NSD (Appendix No. 3 to the Electronic Document Exchange Agreement), also with mandatory specification of the above-described data [3].

For Registrars

In accordance with the Federal Law dated 07.12.2011 No. 414-FZ "On Central Depository" (hereinafter referred to as the Law), exchange of information and documents between the central depository and the person carrying out maintenance of owners' registers must be carried out in electronic form [3].

Organization of electronic document flow is carried out in accordance with Electronic Document Exchange Agreement (Electronic Document Flow Rules of NSD (hereinafter referred to as NSD EDF Rules) are Appendix 1 to this Agreement, concluded by NSD with registrars (hereinafter jointly referred to as the Parties)) [3].

The procedure for interaction of the Parties during exchange of corporate information related to carrying out the general meeting of shareholders with the possibility of conducting electronic voting at general meetings of shareholders (E-proxy voting) is determined by the Rules for Interaction with NSD during exchange of corporate information, carrying out corporate actions and other operations [3].

Have Questions? Contact Us
NSD Registrar Relations Department
Client Support
For service connection issues+7 495 956-27-90
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