Resolution No. 4,969

CMN RESOLUTION

NO. 4,969, OF NOVEMBER 25, 2021

Amends Resolution No. 4,662, of May 25, 2018, which provides for the requirement of bilateral margin collateral in operations with financial derivative instruments carried out in the country or abroad by financial institutions and other institutions authorized to operate by the Central Bank of Brazil, not settled through an entity that acts as a central counterparty.

The Central Bank of Brazil, in accordance with Article 9 of Law No. 4,595, of December 31, 1964, makes public that the National Monetary Council, in a session held on November 25, 2021, based on the provisions of Articles 3, items V and VI, and 4, item VIII, of the aforementioned Law, Articles 9 and 10 of Law No. 4,728, of July 14, 1965, Article 20, § 1, of Law No. 4,864, of November 29, 1965, Articles 7 and 23, item "a", of Law No. 6,099, of September 12, 1974, Article 1, § 1, and 12 of Complementary Law No. 130, of April 17, 2009, and Article 1, § 2, of Provisional Measure No. 2.192-70, of August 24, 2001,

RESOLVES:

Art. 1 Resolution No. 4,662, of May 25, 2018, shall enter into force with the following alterations:

"Art. 6 ............................................................................................................

§ 1 The aggregate average notional value referred to in Article 2, item II, item "b", must be calculated excluding hedging operations carried out by the entities classified under Article 2, item II, item "b", item 6, directly or through their exclusive investment funds.

..........................................................................................................." (NR)

"Art. 9 ............................................................................................................

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§ 2 Covered institutions are exempt from the obligation to post initial margin in hedging operations carried out with:

I - their foreign controlling entity;

II - foreign entities controlled by their controlling entity; or

III - investment funds constituted in Brazil, whose set of quota holders is formed exclusively by the foreign controlling entity of the covered institution or by the entities controlled by it." (NR)

"Art. 21. ..........................................................................................................

I - the covered institution is obliged to post margin collateral for the covered operations, defined in accordance with Article 7, respecting the requirements established in the regulation of the foreign jurisdiction in which it is constituted or to which its counterparty is subject; and

................................................................................................................" (NR)

Art. 2 This Resolution enters into force on the date of its publication.

Roberto de Oliveira Campos Neto
President of the Central Bank of Brazil