OREANDA-NEWS. June 03, 2010. DCC expands and enhances its depositary services and, with effect from June 14, 2010, offers its Participants a service relating to purchase, exchange and redemption of units of unit investment funds registered in the DCC depository system.

For registration of investment units, ZAO DCC opens nominee accounts in registers of unit holders. In order to meet the requirements of the current legislation, DCC has established Electronic Document Interchange with all registrars maintaining registers of UIF unit holders, which enables real-time document interchange between registration institutions (depository and registrar).

Beginning June 14, 2010, purchase and exchange of investment units of the funds, included in the list published at the official web-site of DCC, with simultaneous crediting to DCC's nominee account will be available for DCC Participants..

Investment units registered at DCC may be redeemed during the period fixed by the rules of trust management of a unit investment fund.

Advantages for Participants:
no interaction with a management company and a registrar is needed;
minimization of expenses relating to purchase and exchange of investment units, as far as rules of trust management of some unit investment funds provide for reduced commission fees (allowances and discounts) charged by a management company for issuance or redemption of investment units upon requests submitted by nominee holders;
no necessity to establish Electronic Document Interchange with each registrar.

Purchase of investment units

To purchase investment units which will simultaneously be deposited to DCC's nominee account a Participant shall provide DCC with a request to purchase investment units.

On the basis of the received requests, DCC prepares requests for purchase or exchange of investment units in accordance with the rules of trust management of the unit investment fund, and submits them to the management company (agent).

After receipt of a copy of an accepted and registered request from the management company, a Participant shall be furnished with a notification containing the number of the request assigned by the management company.

Issued units are to be credited to a Participant's account in the DCC's depository system upon receipt of information on issuance and crediting of investment units to DCC' nominee account from the registrar via electronic facilities. Participants are simultaneously provided with an additional report on the executed operation.

Exchange of investment

To exchange investment units registered at DCC's nominee account, Participants shall provide DCC with requests to exchange investment units. On the basis of the received requests, DCC prepares requests for exchange of investment units, in accordance with the rules of trust management of the unit investment fund, and submits them to the management company (agent).

After receipt of a copy of an accepted and registered request from a management company, a Participant shall be furnished with a notification containing the number of the request assigned by the management company.

On the basis of the information relating to withdrawal and crediting of investment units to DCC's nominee account, relevant operations are executed in the Participants' accounts in the depository system of DCC. The Participants are simultaneously provided with an additional report on the executed operations.

When you purchase and exchange investment units therough DCC, it is essential to note the following:

Requests to purchase investment funds and requests to exchange investment units may not be recalled. DCC shall not be responsible for reliability of the data contained in the documents received from the Participant, and for sufficiency of these data for generation of requests in accordance with the rules of trust management of a unit investment fund.

Participants' Expenses

DCC services relating to preparation and transfer of requests to a management company, and relating to deposit of issued units shall be paid for in accordance with Item 1.3.7 and Item 5.2 of DCC Fee Schedule.

For more detailed information on depository operations involving purchase and exchange of investment units via DCC, please refer to the Specification of Details of Depository Operations with Fund Units upon Submission by the Depository to Management Companies of the Requests to Purchase or Exchange Investment Units, which Involves Credit / Debit of Investment Units to / from the Nominee Account of the Depository", and to the web-site of DCC, Section "Operations with Units".