Bank of Russia to expand list of underlying assets of derivatives
The regulator proposes that the list of underlying assets whereupon derivative financial instruments are calculated be updated to include new circumstances and indicators. The relative draft ordinance has been published for public discussion.
The Bank of Russia proposes expanding this list with securities issued in accordance with foreign law, results of works (services), statutory accounting (financial) indicators, as well as payments or non-payments of dividends on shares and announcements about such payments.
Currently, underlying assets include securities, goods, foreign currency, interest rates, the rate of inflation, official statistics, physical, biological and (or) chemical environmental indicators, as well as the emergence of certain circumstances.
The Bank of Russia believes that the expansion in the list of underlying assets will have a positive impact on the development of the Russian financial market and will offer its participants additional risk management opportunities.