Yerevan /Mediamax/. Supervisory Board of “NASDAQ OMX Armenia” Stock Exchange approved drafts of a number of new rules for the exchange, as well as amendments and changes in the current rules on November 16. They will come into effect after registration by the Central Bank (CB) of Armenia.

On the request of Mediamax, the press service of the Exchange provided explanations for the new decisions of the Board.

In particular, one of the offered innovations will be the launch of a new exchange platform for interbank credit resources. All commercial banks will be able to participate in trading at the new exchange platform. By the launch of the new platform, the Exchange will offer the market participants a new service, the demand for which, according to NASDAQ OMX Armenia, makes about 1bln AMD daily.

At the initial stage, only one-day tool in AMD called overnight will be circulating at the platform: in future, they plan to introduce longer-term financial tools. The trading at the given platform will be realized in the form of constant two-way auction and anonymously (similar to trading on foreign currency). There will be participation fee established for banks, which wish to participate in trading. Meanwhile, commission fees, collected by the exchange as a result of deals, will be very low, and this will be done in order to rule out any influence on the price for credit resources.

The changes in other rules include introduction of the mechanism of additional depositing in foreign currency, corporate and governmental bonds’ markets, which will allow market participants increasing the efficiency of their participation in exchange trading.

In the market of corporate bonds, exchange members, besides preliminary depositing, may also carry out additional depositing from 11:30 to 13:00. Simultaneously they will be provided the chance to realize reverse depositing by means of the trading system and receive the preliminary deposited means back to their accounts twice during the trading (at 11:30 and 14:00).

Participants of governmental bonds’ and foreign currency markets, besides the current opportunity of preliminary and one additional depositing, will be able to use two more opportunities of additional depositing. Thus, additional depositing will be carried out at 11:30, 13:00 and 14:30. The number of operations on reverse depositing will be increased from current 3 to 5. In the course of the latest two operations on reverse depositing, the means will be transferred to the credit exchange platform, which will attach additional liquidity to the market and will allow market participants efficiently using idle financial resources. Thus, the operation of reverse depositing will be realized at 11:30, 12:30, 14:00, 14:30 and 15:05.

They also plan to organize post-trade sessions on governmental bonds, when after conclusion of the trade session in the course of a particular period of time, market participants are allowed purchasing and selling governmental bonds at average weighted prices, formed during the day. This mechanism has already been introduced and is successfully applied in the market of foreign currency.

Besides the mentioned changes, the Supervisory Board of “NASDAQ OMX Armenia” approved a new concept of control, which is coordinated with the global standards of NASDAQ OMX. The functions of exchange control over the capital market are focused first of all on exchange deals and the actions of market participants, related to those deals, which allows increasing efficiency of control and ruling out deals, which provide for potential abuse or ones concluded with the use of insider information.