Forum starts in

Customer Assets Segregation as a Prerequisite for Their Rights Protection upon Bankruptcy of a Financial Institution (chaired by the Bank of Russia)

Friday, 17 May
15:00 - 16:30

Hall #1, General Staff Building (6-8, Dvortsovaya sq.)

An effective property rights and other proprietary interests protection is the basis for investors’ trust in a financial market. Investors’ property rights safety is especially important upon transfer of investors’ assets to a financial intermediary for further deals and transactions.

The specifics of the present-day financial markets presuppose dematerialization of traded assets, proprietary rights are represented as entries on accounts of respective financial intermediaries. In view of the relationship between an investor and a financial intermediary, international financial markets regulation standards provide for national regulators to establish the requirements to client assets identification, custody and segregation (separate balances) by certain financial intermediaries.

Therefore, client assets segregation by financial intermediaries shall be deemed a key element of such assets’ legal status providing for clients’ proprietary interests protection.

The law of the Russian Federation includes fixed basic procedures for separation of financial intermediary’s assets from its clients’ assets. However, the said procedures do not presently take into account the multi-level and, sometimes, cross-border character of intermediary relationships. The related regulation gaps have an adverse impact on the national financial market development.

The agenda of the round table will include the following issues:

• Impact of a financial institution’s failure to separate clients’ assets on clients’ proprietary interests protection upon bankruptcy of the financial institution. May such assets return to the client be challenged within the “period of suspicions”?

• Would it be reasonable to include the accounting of client assets (transferred to a financial institution) in the financial institution’s responsibilities?

• Contractual segregation of assets upon bankruptcy: prospects of development, conflict with insolvency (bankruptcy) law mandatory provisions. Contractual segregation application to relationships including foreign elements;

• Different assets (money, securities, goods) segregation: specifics of protection upon bankruptcy of a financial institution;

• Segregation of a financial institution’s liabilities enforceable upon its assets provided as a collateral of such liabilities performance. Release from liabilities in the course of the financial institution’s bankruptcy procedure.


Vladimir Chistyukhin

Deputy Governor, Bank of Russia


Stephan Madaus

Professor of Law, Martin-Luther-University Halle-Wittenberg, Germany


Professor at Martin Luther University Halle-Wittenberg (Germany) where he teaches German, European and international insolvency law as well as property and tort law.

Area of professional interests: Insolvency Law, restructuring law, international law

Professional experience: 15 years of experience in research and legal advice in the field of insolvency and restructuring law.

He is a member of the International Insolvency Institute and a Founding Member of the Executive of the Conference of European Restructuring and Insolvency Law (CERIL). In 2017 he was mandated (with two colleagues) by the German Ministry of Justice to evaluate the 2012 reform of the German Insolvency Code.

With Prof. Bob Wessels (emeritus, Leiden University) he led the Project on the ‘Rescue of Business in Insolvency Law’ of the European Law Institute from 2013 to 2017. He has published in prominent legal journals in Germany, Europe and beyond, including a treatise on the fundamental and doctrinal nature of rescue plans entitled Der Insolvenzplan.

Tamara Manukova

Head of Legal Department, Moscow Exchange, Russian Federation

Tatyana Medvedeva

Senior Legal Advisor, Stock Market Development Center; Consultant of the Department of Legislation on Legal Entities, Private Law Research Centre under the President of the Russian Federation named after S.S. Alexeev

Olga Shishlyannikova

First deputy director, Securities and commodities markets department, Bank of Russia

Aleksey Timofeev

President, National Association of Securities Market Participants, Russian Federation

* The Programme may be subject to change