EAEU countries approve agreement on mutual access of brokers and dealers to trading
CHOLPON-ATA. Aug 7 (Interfax) - The heads of government of the Eurasian Economic Union (EAEU) countries approved an agreement on admitting brokers and dealers of one member state to participation in organized trading on the exchanges of trading organizers of other union countries at a meeting on Friday.
The draft agreement was approved back in 2020 and underwent domestic approval processes. The document was developed "for the purpose of creating proper conditions for the functioning of a common financial market within the Eurasian Economic Union and ensuring the protection of the rights and legitimate interests of consumers of financial services and investors," the Eurasian Economic Commission (EEC) said.
Admission to participation in organized trading on an exchange is granted to brokers and dealers on the basis of a license issued in accordance with the legislation of the member state on whose territory the broker or dealer is registered. The agreement therefore grants national exchanges the right to recognize licenses of brokers and dealers issued by the authorized body of an EAEU state and to ensure the opportunity for direct participation in trading for concluding contracts for the purchase and sale of securities and derivative financial instruments.
Conditions for admission to participation in organized trading include compliance with the requirements of the legislation of the EAEU state in which the exchange is registered in the field of regulation of the securities market, and countering abuses in the securities and derivative financial instruments market as well as in the field of exchange, clearing and depository activities.
Admission of brokers and dealers of one country to organized trading on the exchange of another EAEU state is granted on equal terms.
Upon admission to exchange trading, the opportunity arises for brokers and dealers to submit orders and conclude transactions in organized trading, to become participants in clearing using the services of a clearing organization, to obtain technical access to organized trading and clearing, and to open corresponding accounts in depositories of the EAEU states. In addition, admission to participation in organized trading on an exchange may be granted to brokers and dealers of other states of the union through remote access to organized trading, depository and clearing services.
