Membership in the Association of Financial Market Participants "Nonprofit Partnership for the Development of the RTS Financial Market"

Membership in the Association of Financial Market Participants "Nonprofit Partnership for the Development of the RTS Financial Market" (hereinafter referred to as the Partnership)

The terms and procedure of admission to the Partnership, the rights, and obligations of the Partnership members, as well as the termination of membership in the Partnership are regulated by the Partnership Charter.

The terms and procedure of admission to the Partnership

The Partnership membership can be issued to a legal entity, which meets all of the following requirements:

• a legal entity must be established in accordance with the legislation of the Russian Federation;
• a legal entity must be a professional participant of the securities market, a credit organization, a trading organizer, a clearing organization or a management company of an investment fund, a unit investment fund, a non-governmental pension fund and it must be licensed accordingly;
• a legal entity must have an impeccable business reputation.

Admission to the Partnership is made on the basis of an application of the entity that intends to become a member of the Partnership (hereinafter referred to as the applicant).

The Partnership membership application must be accompanied by:

• notarized copies of the constituent documents of the applicant, valid at the time of the application submission, including all amendments and additions to them;
• a notarized copy of the license of a professional securities market participant, a license to conduct banking operations, a license to conduct trading organization operations, a license to conduct clearing operations and (or) a license to manage investment funds, unit investment funds, and non-government pension funds;
• the questionnaire of the Partnership membership in the form established by the Board of Directors;
• any other documents determined by the Board of Directors.

Based on the submitted documents, the Board of Directors of the Partnership decides whether to accept or refuse an application to join the Partnership.

The procedure of withdrawal and exclusion from the Partnership

The withdrawal from the Partnership is carried out upon an application of the Partnership member.

A Partnership member is considered to have withdrawn from the Partnership at 00:00 Moscow time on the day following the last day of the calendar month, in which the Partnership received an application for withdrawal from the Partnership.

A member of the Partnership may be expelled from the Partnership in the following cases:

• revocation of all member’s licenses, the possession of which is a precondition for admission to the Partnership;
• repeated or gross violation of the obligations stated in the Charter;
• initiation of the insolvency (bankruptcy) proceedings against a member of the Partnership;
• provision of incomplete or unreliable information and (or) documents, on the basis of which an admission decision was made by the Partnership;
• commission by a member of the Partnership, members of its management bodies, its officials and/or other employees of acts, which can be considered harmful to the business reputation of this member of the Partnership, and/or other members of the Partnership, and/or the Partnership itself as well as members of its management bodies.

In case of the occurrence of bases for exclusion from the Partnership, the Board of Directors makes a decision to expel a member of the Partnership from the Partnership.

The rights and obligations of a member of the Partnership expelled from the Partnership shall terminate at 00:00 Moscow time on the day following the day, on which the decision to expel a member from the Partnership was made, unless otherwise decided by the Board of Directors. At the same time, the obligations of paying membership fees, other payments, transferring other property to the Partnership that occurred prior to the specified date, as well as the obligation to recover losses caused to the Partnership, and other obligations stated in the decision to expel a member from the Partnership shall not be terminated.

If a member of the Partnership is expelled from the Partnership, the Partnership member does not have the right to obtain the property (part of the property) of the Partnership or its value, including property (part of the property) transferred to the Partnership by the said Partnership member, or the value of such property (part of the property), including the Partnership membership fees paid by the said member.