🗊Презентация Primary dealership Ukraine

Introduction After a series of preliminary discussions with the local Banking community, the National bank of Ukraine, local SEC and international bodies (IMF among others), the Government has launched the process on Primary Dealership development in Ukraine via issuing it’s Resolution dd April 14, 2009 along with the Procedure dd June 10, 2009 from Ministry of Finance On Primary Dealer’s status, selection and ‘modus operandi’. This process was first initiated in 1998 but was postponed due to inefficient set-up initially proposed by MoF which was deemed to be weak due to the volatile market conditions that prevailed at such time and justifiable criticism of the local regulatory environment.

General set-up and regulatory pre-conditions

The club development in 2009

The general comment of SCO (Jacques Mounier) in support of this activity :

The rationale for CALYON to become a PD

The rationale for CALYON to become PD (Customers)

The specific risks and strategy

Market risk set-up changes required

H/C and Cost No additional HC is required – requirement of handling the ‘2-way’ quotation as stipulated by position as PD will be covered by existing H/C, with assessment made in due course on recruitment of 1 additional ‘trainee’ if senior trader needs to devote more time to this activity. On operations side we need Back-office HC reinforcement as for Trading and Custody activity there is only 1 person part-time involved in other Capital Market transactions processing. On system side, we need to shift to ‘on-line mode’ of connection with NBU Depository and create full-range operational set-up with local Exchanges to handle secondary market activity and assure proper data-feed for MtM purposes on risk-management side. - K+ to be used as FO system Thus, some extra IT investments would be required with maximum cost of EUR 50k  as one-time payment  with extra maintenance fee up to 10kEUR per year.

The Domestic bonds share in debts structure

The Government debt/GDP ratio dynamics

The yield dynamics over the liquidity squeeze period

The UAH Bonds holders structure changes 2006-2009

The UAH Bonds holders structure changes 2006-2009

The UAH Bonds maturity structure changes

The request deadline The last date when new candidate for the primary dealership should present their applications to MoF - March 1st, 2010 Should the MoF will select at this session (March 6th 2010) less than 2 names on top to existing ones i.e. the total number will be below 12 – the next session will be organized in three months (June 2010). In case of 12 but below 16 in total: next session will be held in 6 months (September 2010). Should they achieve 16 names: no session until somebody leaves the club for any reason.