Source: Central Bank of the Russian Federation in English
11 January 2021
News
According to the ordinance drafted by the Bank of Russia, professional securities market participants will be prohibited to carry out a range of transactions on behalf or at the expense of non-qualified retail investors for the period until the launch of the testing provided for by the law.
Specifically, professional market participants will be prohibited to offer Russian or foreign bonds to non-qualified investors where payments depend on whether or not particular circumstances occur. Exceptions are mortgage-backed securities and bonds with a coupon rate of at least two-thirds of the key rate, the issuer’s obligation to buy back a bond from its holder for its full amount, and the bond issue’s or issuer’s credit rating not below the level established by the Bank of Russia Board of Directors.