To render contract management more efficient, B3 implemented the functionality rejection per lot on its post-trade platform, RTC (Real Time Clearing). Currently, participants need to reject each amendment, renewal or early settlement individually. With this improvement, clients can reject all available transactions at once, providing greater agility and convenience to the process.

Specific enhancements for the 2024 peak season include new treatment for votes originating from the same investor and custodian, which were previously rejected for duplicity. Performance improvements were also implemented to generate the vote map. In addition, B3 made improvements to the CICORP system, including an adjustment to minimize errors when selecting ISIN numbers during Distance Voting Bulletin (BVD) registration. None of these changes require market adaptations.

B3 has changed the concentration limits for open positions for the lending, forward and options markets. These limits are calculated based on the free float of shares and will now be 10% for each investor or group of investors, considering each market separately. Furthermore, groups of instruments will be created to aggregate positions from these markets, with a 15% limit applied to the free float. This means that if an investor uses 10% of their portfolio in one of the markets, only 5% will be available for allocation to another market within the group. The change aims to offer greater flexibility to participants, allowing for a better distribution of limits according to their investment strategies.

In seeking to facilitate the work of brokerage houses operating on B3, it will incorporate automatic return of subscription rights for internal lenders of broker dealer accounts. With this, it will no longer be necessary to manually return subscription rights contract by contract.

A subscription right is when a company decides to increase its capital by issuing new shares. In this situation, the company's shareholders have preference right to purchase the assets in the new lot. Currently, the posting of subscription rights (transfer of rights from the Company's Registration Book to B3’s environment) is carried out entirely manually with physical documents sent to B3, which makes the whole process time-consuming and with a lead time of approximately 3 days. Through this initiative, we intend to automate the entire flow, providing process autonomy to requesters while eliminating operating risks and physical documentation flows. Furthermore, lead time will be reduced by 60%.

The Brazilian Securities and Exchange Commission (CVM) has published, through CVM Resolution No. 35/2021, the obligation to carry out load tests on post-trade infrastructure for all brokerage houses as of December 2023 to be submitted in the 2024 BSM audit. The Capacity Testing Module aims to enable, as per CVM Instruction No. 35/2021, the insertion of mass data and execution of load tests in the SINACOR system (with a focus on Post-Trade) in the test environment of Brokerage Houses and Intermediary institutions. It also aims to generate the indicators necessary for the preparation of the BSM audit report. For more information, please contact our Proximity team SINACOR - [email protected]

B3 created an automatic Income Tax (IR) withholding transaction for CFF – Closed-End Fund Shares. If the IR withholding transaction for CFF is entered before 10.00 AM, the event settlement message will be sent in Gross settlement mode with the tax amount already withheld.  On the other hand, if the IR withholding transaction is entered after 10:00 AM or the event is entered in T0, the flow will be the same as that currently adopted. In other words, two messages will be generated: one with the full amount of the event and one with the amount to be withheld from IR.

RTC – Inclusion of the field 'Change of executing participant' in the position transfer screen The new functionality will allow participants to also transfer the executing participant during position transfer if it is the same as the carrying participant at the origin of the trade. This functionality will be available via messaging through an optional field in file bvmf.028. At the end of the transfer process, the executing participant will be the same as the carrying participant.