Central Depository of Armenia and Russian National Settlement Depository Sign Correspondent Relationship Agreement

PanARMENIAN.Net - Russia’s NCD gained a right to open a nominee holder account with CDA, enabling NSD to buy Armenian securities on behalf of its clients.

Central Depository of Armenia open joint stock company (CDA) and National Settlement Depository(NSD), Russia's only settlement depository servicing the full range of debt and equity securities of Russian issuers, signed an agreement on opening and maintenance of NSD's nominee holder account with CDA. The signing ceremony took place in Yerevan on October 6, 2011.

As Eddie Astanin, NSD Chairman of the Executive Board said, "within the framework of NSD's strategic development directions we consider operational interactions with central depositories of CIS countries as one of our priorities. We are servicing securities of CIS countries' issuers (including settlements on transactions and conducting of corporate actions) on the basis of our customers' and issuers' needs; all this is being done in close interaction with central depositories-AECSD members."

Vagan Stepanyan, CDA Director, in turn, pointed out, "as a result of our cooperation, National Settlement Depository has gained a right to open a nominee holder account with the Central Depository of Armenia; it will allow NSD to buy Armenian securities on behalf of its clients. This is an important step towards facilitation of investment process and stimulation of Russian investments in Armenian securities."

The account opened with CDA allows NSD to provide to its customers depository services related to custody and recordkeeping of Armenian issuers' securities and to conduct settlements on securities. To date NSD receives Armenian issuers' securities for servicing upon its clients' requests.