Circular 6/2003 — Amending Circular 115/2002

CIRCULAR 6/2003 Mexico City, D.F., December 4, 2003. TO BROKERAGE HOUSES: SUBJECT: FOREIGN EXCHANGE OPERATIONS. The Bank of Mexico, based on articles 24 and 32 of its Law, in order to address various requests from these brokerage houses to facilitate the execution of spot foreign exchange operations, has resolved, effective December 5 of this year, to modify section CB.3.1.4 of Circular 115/2002, to read as follows:

“CB.3.1.4 DOCUMENTATION, RECEIPTS, AND RECORDS. Spot Operations carried out by brokerage houses with national and foreign financial entities, as well as with other clients, may be documented under master contracts executed in writing by the parties prior to the execution of any of these operations. Brokerage houses will be responsible for ensuring that the contracts they use and the operations they execute comply with this circular and with other applicable provisions.

With respect to clients with whom brokerage houses have executed a brokerage intermediary contract, in substitution of the aforementioned master contract, they may execute a modifying agreement to the aforementioned brokerage intermediary contract in order to provide for the conditions and other characteristics according to which Spot Operations will be carried out. In this regard, the provisions of article 91 of the Securities Market Law shall apply, where appropriate.

In cases where a master contract has been signed, each operation must be agreed upon through the forms established in it or in the brokerage intermediary contract.

Brokerage houses must issue, on the same day of its execution, a confirmation, through any means that leaves documentary evidence, including electronic media, of the corresponding operation. With respect to clients other than the entities mentioned in the first paragraph of this section, brokerage houses must issue a receipt that must be delivered upon concluding the transaction when the operation is executed at the counter, and when executed in any other manner, they must keep said receipt available for the client or send it to them if requested.

Likewise, in all cases, brokerage houses must make the corresponding accounting records for the Spot Operations they execute, on the same day of their execution.”