Depository

BCS is a licensed depository, which provides custodian services to clients, who wish to safekeep their assets directly at BCS. BCS flexible custodian strategy is far less cost-intensive and, thus, is highly recommended to both retail and institutional clients, who are not overly concerned about corporate and country risks.

Custody

BCS maintains successful relationships with local departments of foreign-domiciled custodians and their global networks. Many clients opt to use services provided by their current custodians (ING, CITIBANK, DEUTSCHE BANK, etc.). In order to minimize perceived market risks, BCS works with every client individually and strives to provide best solutions.

Settlement & Delivery

Pre-depositing is an integral part of the MICEX standard settlement procedures. The pre-depositing settlement structure implies the preliminary depositing of funds and/or securities necessary for trading via an independent custody account, specifically registered at an authorized financial institution. The client's assets deposited to the personal account are freely available to the client for trading purposes.

The limits set by BCS do not typically exceed the value of pre-deposited assets, with extra trading limits being defined by BCS after the appraisal of the client's counterparty risks and financial health of the latter. Besides, loan facilities in the form of money funds and securities are also available at BCS.

True DVP

In addition to the above settlement structures, BCS offers T+3 Delivery-Versus-Payment settlement option allowing payments either in rubles or in US dollars. When using this option, the client's FX risk can be managed by BCS with costs incorporated in the transaction fee.

Tax

Russia maintains Double Tax Treaties with many countries throughout the globe. Over the last decade, the Russian tax law has been in a constant state of flux and, thus, it is vital to keep finger on the pulse, follow changes and understand differences between various financial instruments and their current tax status. BCS maintains productive relationships with four big tax-consulting firms in Moscow. Our clients are highly recommended to use their expertise either during face-to-face meeting or by telephone. Besides, never hesitate to contact your personal tax consultant, if the need arises.