1Q 2018 Business Overview

NCC is now regulated as a clearing organization and a CCP Dec 2015 Changes to law "On Clearing" that regulate NCC as a CCP instead of a banking institution were approved Dec 2016 Bank of Russia developed a set of new regulatory ratios for the CCP Nov 2017 Dec 2017 NCC applied for a new license, switching from banking regulation to CCP regulation NCC operates and is regulated as a CCP, licensed as a non- banking credit organization Target capital New regulation requires: Capital adequacy Adequacy of total resources Adequacy of initial margin Liquidity ratio Collateral concentration Target capital in FY 2018 that complies with new regulatory requirements: RUB 55 bln At all times NCC's own capital shall exceed the sum of "skin in the game", the minimum capital to maintain 11% of RWA and a reserve of 75% of annual operating expenses At all times the sum of "skin in the game" and the guarantee fund shall exceed potential losses in the event of default of the two largest counterparties Price fluctuations of each asset shall not exceed the initial margin amount in at least 99% of cases of price changes The amount of liquid assets of the CCP at any time shall exceed the amount of potential losses in the event of default of the two largest counterparties A certain type of asset is eligible as collateral as long as its addition does not exceed 25% in total assets placed as collateral by market participants ☑ MOSCOW EXCHANGE 27

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