Notes Operations

Credit-Moscow Bank offers brokerage services in the over-the-counter bills of exchange market.

The Bank’s intense activities in various sectors of the stock market enable it to manage clients’ funds with maximum efficiency in order to achieve maximum yield at a reasonable risk level.

The Bank offers the following services in the over-the-counter bills of exchange market:

  • purchase and sale of notes from third party issuers;
  • issue, payment, discount (advance redemption), resale of its own notes;
  • REPO operations;
  • acceptance of notes for collection;
  • acceptance of notes for commission;
  • avalization;
  • crediting on the security of own notes or notes from third party issuers;
  • notes safe custody;
  • authentication of notes;
  • consulting and support of transactions.

Purchase and sale of notes from third party issuers

If the Client needs to convert a note in monetary funds or, conversely, to obtain a note for settlements in its economic activity, it can apply to the Bank and perform the necessary operation on mutually profitable terms.

Issue, payment, discount (advance redemption), resale of its own notes

For the convenience of settlements, the Client can obtain our notes for payment for supply contracts with its partners, or, by obtaining our notes, it can place temporarily free monetary funds; we can also offer credits in the interbank credit market on the security of our notes.

REPO operations

We can assist in placing the Client’s temporarily free monetary funds in notes for the period (one day or more) required by the Client by selling a note to the Client and repurchasing it after the period required by the Client at a higher price (the difference between the purchase price and the sale price is the Client’s income).

Acceptance of notes for collection

At the Client’s request, we accept notes of third party issuers and submit them for payment on the Client’s behalf. In order to simplify this procedure to the utmost, the Bank assumes responsibility for any complications of interaction with the note issuer on the payment procedure and delivery of the note by armoured vehicle to the payment location. The Bank charges a minimal fee for this service.

Acceptance of notes for commission

Notes operations on the Bank’s behalf at the client’s expense. At the Client’s request, our experts will monitor the market and inform the client on the real purchase and sale prices of a specific security indicated by the Client. Upon reaching an arrangement, the Client signs a commission agreement with the Bank. Under this agreement, the Bank undertakes to sell or purchase the specified note at the price agreed on with the Client. The period of fulfillment of the agreement is, depending on the market situation, 2 to 3 days.

Avalization

The Bank’s guarantee of a note. The Bank can act as a guarantor of payment of a Client’s bill of exchange. The aval is, in essence, an additional guarantee of payment of the note.

Loans collateralized by the bank's notes or notes from third party issuers

A Client holding a note can be granted a credit on the security of these notes; the evaluation of the said notes is performed by our experts.

Note safe custody

A note is a cash security, and it gives rise to the necessity of safe storage of notes. The Bank is ready to undertake the responsibility for the safety of securities.

Authentication of notes

At the Client’s request, the Bank checks the authenticity of a presented note. Authentication is performed at a guarded cash-in-transit vehicle.

Consulting and support of transactions

During the settlements between a Client and its partner using notes, the Client may receive advice on the paying capacity of the issuer of the note and on the advisability of such settlements.

Branches: 
Moscow: tel.: (495) 72-707-72, msk@cmbank.ru

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