BCS takes a very flexible approach to collateral and margin trading.

Unified Account:

The following currencies can be held on account and will be assessed as collateral for trading all domestic Russian platforms

• $USD
• PRUB
• £GBR
• €EUR

Margin Trading:

In addition, any assets held on the account will be assessed for margin trading. The approach is a simple discounted scheme, where margin assets are subject to a discount based on liquidity and volatility before being assessed as margin collateral.

Margin Offsets:

Cash Equity: The core margin offset available is for DR vs local where there is sufficient liquidity and the DR program is open. FX: Driven by client demands we are now offering leverage and cross margining to trade FX on MoEx versus EBS and Reuters in London.

Index Arbitrage: Leverage and margin offset for the RTS Index Futures vs underlying basket of stocks - We have developed a service to offer extra leverage for arbitrage strategies between the RTS Index Futures and a correlated basket of stocks, which can be composed of Russian DRs and local stocks (MICEX Market).

Multi-Netting, Futures vs SPOT: This is our latest offering which allow us to reduce margin requirement for executed positions.

Stock borrow:

BCS is one of the most active members of the local Russian REPO market. Over $4 Billion of clients’ assets in custody provides for stable borrow and our deep and broad inventory allows us to offer aggressively priced stock loan supply.