About PARTAD

The Professional Association of Registrars, Transfer Agents and Depositories (PARTAD) was created in 1994. In 1997 it became a self-regulated organization of registrars and depositories. In 2000, these were joined by clearing houses, and later on by specialized depositories for unit investment funds (PIFs). The supreme body of the Association is the general meeting of its members. The general management of the PARTAD activities is performed by the Board of Directors. The Board Chair is V.S. Pleskachevsky, Chairman of the Property Committee of the State Duma of the Russian Federation. The Management Board of PARTAD is a collective executive body responsible for the day-to-day running of the organization.

Today, among the Association's members are the major registrars, depositories and specialized depositories. The basis of the PARTAD activities is the work of the core Committees of the Association, whose members are representatives of the stock market leaders. PARTAD has the Depository Committee, Registrar Committee, and Committee for Standardization and Certification. The Committees have Working Groups formed for the purpose of drafting documents required at the current stage of the stock market development.

In 2002, PARTAD created the Specialized Depositories Committee, the only public body on the financial market to address the issues of specialized depositories, i.e. organizations performing the functions of controlling the investment of the funds of the PIFs, pension funds, and savings.

The principal advantage of PARTAD membership is as follows.

The organizations that PARTAD members have a real opportunity to influence the development of the securities market regulation. Opinions of PARTAD members, which is summed up by the Committees and Board of Directors of the Association are brought to the attention of the regulatory authorities. PARTAD cooperates with the legislative bodies in drafting and improving the legal and regulatory framework, primarily of the Laws "On the Securities Market" and "On Joint-Stock Companies".

PARTAD establishes rules and standards for the activities of maintaining records of securities ownership, compliance with which ensures the quality of work of the Association's members on the stock market. The standards of professional activities of registrars, depositories, and clearing organizations are updated on a regular basis.

As a measure to assist securities industry participants and standardize their activities, PARTAD experts are working out methodological recommendations aimed at enhancing the reliable and efficient functioning of the recordkeeping segment of the stock market, raising the technological level of transaction processing by professional market participants, and protecting investors' rights and lawful interests. PARTAD members may use the Methodological Recommendations on the maintenance of share registers, on the drafting of the Rules for Carrying Out Depository Activities, Instructions on Internal Control, on the Document Interchange between a Specialized Depository and the Non-state Pension Fund (NPF), etc.

All documents developed by PARTAD are available to its members at the PARTAD's website: http://www.partad.ru.

PARTAD supports the implementation of technological processes in accordance with the target programs adopted by PARTAD on risk management, information disclosure, software certification, signature guarantee, and granting qualifications to staff.

Among the self-regulatory organizations uniting securities industry professionals, PARTAD enjoys an excellent reputation for its expertise in risk management of recordkeeping institutions. Within the framework of the Programme underway since 1998 to develop and implement a system of measures to reduce the risks inherent in the professional activities on the stock market, PARTAD is giving its recommendations on risk management and requirements imposed on insurance contracts and insurance providers insuring registrars and depositories.

In accordance with the requirements for software approved by the Board of Directors of PARTAD, the Association carries out certification of the software used in the activities of registrars, depositories, and specialized depositories by testing the software provided by developers.

In 2004, PARTAD produced and approved the Formats for Electronic Document Interchange of Registrars and Depositories. The Formats were worked out by the Working Group which comprised representatives of the major registrars and depositories. The Board of Directors of PARTAD recommended the use of the Formats by registrars and depositories in the EDI. It is planned to make them mandatory for use not later than 1 June 2005. The uniform standards for information interchange will help cut costs of securities industry participants and boost the market liquidity.

PARTAD protects the interests of its members in the event they are treated unjustly by the state authorities, and the interests of securities owners and clients of professional market participants that are members of PARTAD.

PARTAD provides consultancy services to its members, holds free conferences and roundtables for PARTAD members, and organizes meetings of industry members with representatives of legislative and regulatory authorities.

In accordance with the needs of PARTAD members and other stock market participants, the Association created unique databases, "Russia's Depositories" (http://www.rusdepo.ru), "Russia's Registrars" (http://www.rusreestr.ru) , and RETAN, a database on Registrars, issuers, re-registration agents and nominees (http://www.retan.ru). Publication of information in the PARTAD databases enables PARTAD members to present information about them in a vivid and effective manner, which ensures online 24/7 access to the information. The support and timely update of the information in the database is free for PARTAD members.

On the basis of the information collected in the PARTAD databases, the scientific, research and training division of the Association, PARTAD Infrastructural Institute (INFI) assigns ratings to Registrars (http://www.reestring.ru), depositories and specialized registrars ( (http://www.safedepo.ru), which are published by the leading printed media and information agencies.

INFI prepares and releases guidance manuals, information prospectuses, various kinds of scientific and research documents, and provides training in different aspects of recordkeeping organizations' activities.

PARTAD is also an organization authorized to conduct qualification examinations of the FSFM of Russia for registrars and depositories' staff.