First AGM ACI Russia – The Financial Markets Association March 31 st, 2005 Godfried De Vidts President of ACI

Godfried De Vidts President ACI – The Financial Markets Association 1st AGM of ACI Russia

What is ACI ?  Founded in Paris in 1955 as Association Cambiste International  Initially aimed at members of the FX & Money-market community  Name changed in 1995 to ACI – The Financial Markets Association  Largest trade association in the wholesale financial markets  In excess of 13,000 members - national associations in 64 countries  We celebrate 50 years in Sweden (26/28 May) and in Paris (28 Oct)

Main Committees and Services Committee for Professionalism Market and Regional Representatives The Model Code – Arbitration – Dispute Resolution – Lobbying Board of Education International and Professional Staff representation Management, Promotion Quality-Control of Education programme €uribor ACI Committee Part of the continued construction and development of the financial markets in Europe. Participation in management of the Euribor and Eonia indicesS.P.G. Special Projects Group, world-wide representation and initiatives

The Model Code  Launched at ACI’s Congress in Paris in 2000  The guideline to best market practices globally  Updated regularly by the CFP to reflect market changes ‘Soft Copy’ on the ACI website amended as required with the hard-copy version republished every 3 years  A growing number of countries have accepted The Model Code in its entirety or in part - copy for you  Current work : looking at Central Counterparties in light of the CPSS/IOSCO recommendations

ACI Education Programme ACI Dealing Certificate: Basic Interest rate Calculations, Cash Money Market (to include calculations), Foreign Exchange (to include calculations), Forward-Forward/Money Market, Futures/FRA’s/Swaps, Options, Principles of Risk, The Model Code ACI Settlements Certificate:(under review) Risk Environment & Control, Payments & Confirmations, Derivatives, Money Markets, Foreign Exchange, Market Conventions, Settlements & Accounts, Documentation ACI Diploma: Foreign Exchange, Money Markets, Foreign Exchange, Derivatives, Short Term Interest Rate Derivatives, Repos, Capital Markets & Long Term Interest Rate Derivatives, Risk Management, Fundamental & Technical Analysis, Foreign Exchange Calculations, Money Market Calculations, Short Term and FX Derivatives Calculations, Repo Calculations, Capital Markets Calculations

Target Groups ACI Dealing Certificate: ACI Dealing Certificate:  New entrants to the market  Traders with some experience  Financial analysts  Staff working for vendors e.g. Reuters, EBS, Bridge, Cognotec etc ACI Settlements Certificate:  Operations & middle office personnel  Traders ACI Diploma: ACI Diploma:  Experienced traders and middle management Additional training by ACI Australia: simulation course for FX  Board of Education advisory role

Total Exam Numbers

€uribor ACI Committee € Initiative started with the creation of the €  MMLWG (money market & liquidity working group)  Derivatives working group  STEP working group  EU Commission  Work with Central Banks, Regulators, European Banking Federations (Euribor and Eonia swap index and the European Repo Council Eurepo fixing), other Associations  Export our experience and knowledge to others (Gulf States, Africa)

European Repo Council  ISMA sponsored ( merger into ICMA !)  Basle 1 & 2  From unsecured to secured money markets  Growth in European Repo Markets €  Dec 2002 = € 3,377 billion € 3,788 billion  Dec 2003 = € 3,788 billion  Dec 2004 = € 5,000 billion  4 th European Repo Seminar joint initiative from ISMA & ACI : 15 & 16 Nov 2005 Milan hosted by Banca Intesa 15 & 16 Nov 2005 Milan hosted by Banca Intesa Members of both associations get discount, book early ! Members of both associations get discount, book early !

Communication with Members ACI Briefing  Published on behalf of ACI by P & L Publications  Six issues published annually  Industry information plus news from Associations and Committees  Distributed to all members of ACI ACI Website –  Current postings of press releases, opinions, etc.  Information on education, global events and national associations  Updated version of The Model Code available on-line for easy access

ACI in the Future  Excom looking at new Business Plan  Increase communication both internally and externally  Monthly letter from President - information  Increase lobbying activities  World-wide conferences Basle 2 - Brussels October 7 th  Respond to suggestions and consultations from Central Banks, Regulators, financial institutions and market participants

ACI Russia  Hard Currency Ruble Project = ACI has always helped emerging markets as we promote open markets as the best way forward for economic growth - make Ruble convertible by 2007  Adopt Model Code = acceptance by ACI community as prove of professionalism  Open communication with your Central Bank and regulator = use the Euribor ACI example  Inform your members of Education = ACI Foundation can give financially support to individual members  Join the European education events - you will meet your counterparties - they want to meet you too !!!!!!