1. Securitization for new asset classes: still waiting for regulation? Presentation for : New York September 10, 2007 RuMAC Russian Securitization Forum

2. 2 Law & Securitization General Reg. Directly Related reg. Specific reg. RuMAC

3. 3 Specific regulation: bad , but getting better overregulation deregulation Specific regulation Russia Mortgage assets EU US Russia Other assets RuMAC

4. 4 Specific regulation: What we have now Federal law “On Security Market” (covered bonds) Federal law “On Investment Funds” (quasi- ABS) Federal law “On Mortgage-Backed Securities” (MBS) Regulations of Federal Financial Market Service RuMAC

5. 5 What we expect Federal law “On Asset-Baked Securitization” With regard to specific ABS regulation it leaves much to be desired RuMAC

6. 6 Related regulation OK  and improving Federal law “On Mortgages” Federal Housing Code Federal law “On State Registration of Real Estate Properties” Some amendments are currently being drafted RuMAC

7. 7 General regulation: good and becoming adopted with case practice Federal Civil Code Federal Tax Code Federal law “On bankruptcy” RuMAC

8. 8 One example 2005 – Bank of Housing Finance closed the first ever Russian covered bond issue (on- balance sheet securitization of apartment presales). Collaterization was fully based on Federal Civil Code provisions. No specific regulation applied. RuMAC

9. 9 Contact Information: aak@rumac.net www.rumac.net Tel.: +7 (495) 787-1177 RuMAC