stocks on the Bermuda Stock Exchange (BSX).

The Bank of Bermuda Ltd., which acts as trustee of the certificates, sponsored the listing as a BSX member. Depositary certificates act like a derivative representing a set amount of stock in a company, in this case Russian companies. The certificates are sold through a trust company to institutional and qualified investors.

Graham Marshall, assistant director of Eastern Europe & Russian at ING Barings said the BSX listing would help promote the certificates to institutional investors.

"Since very few Russian shares are listed at present, the BSX listing will also assist those investors facing local regulatory constraints over the portion of unlisted securities they may hold within their portfolio,'' he stated in a press release.

A BSX spokesman said institutional investors often had restrictions on the amount of unlisted securities they could hold in their portfolios. Now, since the certificates fell under the BSX's regulations, they became more acceptable as an investment.

The certificates are part of ING Barings' Russian Depository Trust (RDC) Programme which began operating in 1995. The programme helps foreign portfolio investors invest in Russian equity by simplifying registration, settlement, and custody issues in that market, stated the press release.

The BSX has a total market capitalisation of about $37 billion and lists 115 equities, bonds, mutual funds and warrants.

The BSX yesterday also announced the appointment of Henry Smith, President and Chief Executive Officer of The Bank of Bermuda Ltd., and of John Tugwell, President and Chief Executive Officer of The Bank of N.T. Butterfield and Son Ltd., to its Council. They will also serve as additional deputy chairmen of the exchange, along with Jeffrey Conyers, President of First Bermuda Securities.

HENRY SMITH -- Bank chief appointed to BSX council.