Recommendation 1 Recommendation 2 Recommendation 3 Recommendation 4

Recommendation 5 Recommendation 6 Recommendation 7 Recommendation 8

Market selection

Recommendation 2

Securities Systems must allow the option of network access on an interactive basis. They should cope with peak capacity without any service degradation, and have sufficient standby capabilities to recover operations in a reasonably short period within each processing day.

1.	How often, over the last twelve months, has the depository been required to:
	Change its published settlement timetable?	DCC, NDC had no changes in the published settlement timetable. However if the business requirements change significantly, the depositories will change their timetable in accordance with the new established conditions. VTB has extended its timetable for accepting instructions from 9:00-13:00 to 9:00 -15:00 (Moscow time).
	Extend the time of opening for settlement input by users?	DCC - instruction input is done within the regular working hours, however the settlement itself is done within working hours from 10:00 till 18:00 (Moscow time). NDC - instructions input is done within the regular working hours. To settle the securities on the same day, the instructions must be sent before 17:00 on that day. All instructions received after 17:00 will be settled the next day. VTB - instructions input is done within the regular working hours. To settle the securities on the same day, the instructions must be sent before 15:00 on that day. All instructions received after 15:00 will be settled on the next day.
	Delay start of day processing?	DCC, NDC and VTB had no delay in the start of day processing for the last 12 months.
2.	Does the depository operate real time or multiple batch processing for settlement?	DCC - The settlement is not online. Settlement within DCC is done twice a day: at 16:00 and 18:00. For all external transaction the settlement is done upon the receipt of the extract of shares from the registrars. NDC - The settlement is done at the end of the day and the results of the settlement received on the next day. For GKO/OFZ bonds the settlement is done on MICEX online. At the end of the day the securities are transferred from MICEX to NDC. VTB - The settlement is not online. It is done within working hours from 9:00 - 18:00 (Moscow time). At the end of the day the depository sends out the information on all trades settled on that business day.
3.	Does the depository allow interactive communication (on line real time) with its users, enabling settlement input and amendment?	DCC - for the clients with installed electronic communication system between the client and DCC, the instructions input and amendments is done on line. The client receives the status of the instructions on his PC within the working hours of the depository. For the clients using manual instructions delivery (by fax or by courier), there is no online communication with the depository. NDC - the communication is done through special electronic system. All instructions can be amended, input or cancelled on line, the depository sends back the status of instructions electronically. VTB - the depository doesn't allow interactive communication (on line real time) with its users, enabling settlement input and amendment.
4.	Has the depository ever failed to recover an outage within the day or failed to start processing runs for a whole day; and, if so, when did that failure arise and what steps have been taken to prevent a similar event in the future?	DCC - It has never happened. NDC - It has never happened. VTB - It has never happened.