Bulgarian Stock Exchange Transfers Guarantee Fund to Central Depository
Friday, 01 November 2013
The Bulgarian Stock Exchange (BSE) closed its Guarantee Fund, transferring its assets to the recently-established Settlement Guarantee Fund with the Central Depository.
The Guarantee Fund provided funds for settling stock exchange transactions in the event of default of one of the parties. Over the past years its funds were rarely used, the BSE said. Now its role will be entirely taken over by the Settlement Guarantee Fund. Some 936,000 levs ($655,599/478,585 euro) will be transferred to it from the closed fund.
The Guarantee Fund was established some 20 years ago. Its proceeds come from payments from brokers and dealers.