Moscow Exchange
Since 1992
Russia
Central Federal District of the Russian Federation
Moscow
125009 Bolshoi Kislovsky per., 13
Top managers:
Viktor Olegovich Zhidkov
Owners:
Central Bank of the Russian Federation - 11,78%
Sberbank - 10%
Softline - 5,3%
Fundament Capital Investment Management - 6,86%
ВЭБ.РФ (formerly Vnesheconombank) - 9,4%
European Bank for Reconstruction and Development (EBRD) - 5,29%
Assets | Owners |
+ Moscow Exchange (Moscow Exchange) |
Main article: Stock market of Russia
Moscow Exchange Group is a multifunctional exchange platform for trading shares, bonds, derivatives, currency, money market instruments and goods:
- provides its customers with a full cycle of trading and post-trading services
- offers information products and technology services
- actively promotes the development of the Russian financial market, its infrastructure, and the improvement of trade technologies
Aktivs
MICEX-RTS Group is the largest exchange in Russia, CIS countries, Central and Eastern Europe. MICEX-RTS has electronic trading, clearing, settlement and depository systems that meet modern world standards.
1. Euronext Pan-European Exchange - $3.379 trillion market capitalization
2. London Stock Exchange London Stock Exchange - $3.272
3. German stock exchange Deutsche Borse - $1.738 trillion
Information Technology
A separate article is devoted to the development of information technologies in the Moscow Exchange on TAdviser: Information technologies in the Moscow Exchange.
Products and Services
Performance indicators
2023
Profit growth by 67.5% to 60.77 billion rubles
Net profit of the Moscow Exchange in 2023 amounted to 60.77 billion rubles, which is 67.5% more than a year earlier. The press service of the site announced this on February 26, 2024.
From the materials of the Moscow Exchange, it follows that its commission income in 2023 reached 52.2 billion rubles, which is 39.4% higher than a year ago. The rise was due to high customer activity, as well as the launch of new products and services, the exchange said. The share of commission income in the structure of operating income of the Moscow Exchange in 2023 reached 50%.
Operating expenses of the Moscow Exchange in 2023 increased by 20.2% compared to 2022, to 28.7 billion rubles, due to additional accruals of reserves for the payment of bonuses and the implementation of a long-term incentive program after the revision of the remuneration system, as well as marketing expenses related to the Finservugi platform.
Commission income on the stock market increased significantly in 2023 - by 113.2%, to 6.96 billion rubles. The share market capitalization at the end of 2023 amounted to 58.1 trillion rubles. The volume of trading increased by 30.9%, to 23 trillion rubles. In 2023, eight IPOs and four SPOs were held at the Moscow Exchange, and a listing for one company was also provided.
Commission income from settlement and depository services in 2023 increased by 24.5%, to 9.72 billion rubles. The growth is primarily due to an increase in the average value of assets in storage by 19.9%. Commission revenues in the derivatives market in 2023 increased by 79.2, to 6.7 billion rubles, the press service of the site said.
According to the Moscow Exchange's own data, in 2023 7 million new private investors opened brokerage accounts, as a result of which their total number at the end of the year reached 29.7 million people.[1]
Trading volume growth by 24% to 1.3 quadrillion rubles
Trading turnover on the Moscow Exchange in 2023 increased by 24% compared to 2022 and exceeded 1.3 quadrillion rubles. The indicator became a record, the press service of the site reported on January 10, 2024.
It is clarified that record trading volumes at the end of 2023 were recorded in the money and stock markets, as well as in the bond segment. In the money market, trading volume for 2023 amounted to 837.6 trillion rubles (plus 24.5% to the level of 2022), on the stock market - 62.9 trillion (plus 69%). At the same time, in the securities market, the indicator doubled in annual terms and reached 39.9 trillion rubles.
The best dynamics in terms of trading volume in 2023 was shown by the commodity market. It grew 2.7 times compared to 2022, to 520 billion rubles. This was facilitated by the growth of the precious metals market by 3.8 times, to 470 billion rubles.. The grain and sugar market, on the contrary, decreased by 30% over the year, to 50 billion rubles.
The volume of trading in corporate, regional and state bonds amounted to 39.87 trillion rubles against 19.6 trillion rubles in 2022. The average daily volume of trading in bonds in 2023 increased from 77.6 billion to 133.3 billion rubles.
In the urgent market, trading volume at the end of 2023 increased from 77.9 trillion to 80.74 trillion rubles. The volume of trading in the foreign exchange market in 2023 amounted to 328 trillion rubles, compared to 267.8 trillion rubles in 2022. The average daily trading volume in the foreign exchange market at the end of 2023 increased from 1.06 trillion to 1.84 billion rubles.
At the end of 2023, the number of brokerage accounts opened on the Moscow Exchange increased by 10.7 million and reached 38.3 million, the site said. The number of individuals with accounts increased by 6.1 million, to 22.9 million people. Private investors took a share of 59% in the volume of trading in shares by the end of 2023, while in December 2022 the indicator was measured at 76%.[2]
2022
Net profit growth by 29.2% to 36.3 billion rubles
The net profit of the Moscow Exchange for 2022 increased by 29.2% compared to 2021 and reached 36.3 billion rubles. The trading platform released such data on March 10, 2023.
The capitalization of the share market at the Moscow Exchange by December 31, 2022 amounted to 38.4 trillion rubles ($530.1 billion). Commission income for the year decreased by 37.2% against the background of a corresponding reduction in the volume of exchange trading due to the curtailment of non-residents' operations.
Commission income in the bond market decreased by 17.6% following the reduction in trading volumes by 30.9% (excluding the placement of one-day bonds). Primary market volumes (excluding the placement of one-day bonds) decreased by 25.4% mainly due to a decrease in the placement of federal loan bonds and Bank of Russia bonds in the context of changing interest rates. Volumes in the secondary market decreased by 35.5%. The dynamics of the effective commission was due to the shift in turnover to more profitable trading modes based on the central counterparty, explained on the Moscow Exchange.
Commission income in the foreign exchange market increased by 35.1%, while trading volumes decreased by 16.8%. Spot deal volume rose 5.5% and swap transactions shrank 26.2%. The dynamics of the effective commission is due to two main factors: a shift in the trading structure to the more profitable spot segment, as well as the introduction of an updated tariff line from August 1, which contributes to improving liquidity and supports an effective commission.
Commission income in the money market decreased by 18.8%, despite an increase in trading volumes by 41.2%. The change in the effective commission is mainly due to a 38% reduction in the average terms of repo transactions. The volume of trading in repos with clearing certificates of participation increased by 58.8%, to 133 trillion rubles. The volume of repo transactions with the Central Committee increased by 22.6%. Commission income in the derivatives market decreased by 28.0% while trading volumes decreased by 50.9% following the curtailment of non-residents' operations. The discrepancy in the dynamics of commission income and trading volumes is due to a shift in the trading structure towards foreign currency derivatives, as well as a new asymmetric tariff structure launched in June 2022.[3]
Annual trading volume growth by 4.6%
The total volume of trading on the markets of the Moscow Exchange in 2022 increased by 4.6% and reached 1.1 quadrillion rubles. This is the maximum indicator in the entire history of exchange trading, the press service of the site reported on January 4, 2023.
The highest dynamics of trading volume in 2022 was demonstrated by the money market (an increase of 41.2%) and the grain and sugar market (an increase of 4.9 times, to 71.1 billion rubles). The average daily trading volume in the agricultural market in 2022 amounted to 280.9 million rubles (57.1 million rubles in 2021).
The volume of trading in corporate, regional and state bonds amounted to 19.6 trillion rubles against 22.4 trillion rubles in 2021. The average daily trading volume fell to 77.6 billion rubles from 88 billion rubles in 2021.
In 2022, the Moscow Exchange index decreased by 43.1%. The volume of trading in shares, depositary receipts and shares decreased from 30 trillion to 17.6 trillion rubles.
74% of the free float (free float) of the Russian stock market falls on "unfriendly non-residents," said Sergei Shvetsov, former first deputy chairman of the Central Bank, and now head of the supervisory board of the Moscow Exchange.
In the urgent market, trading volume at the end of 2022 fell from 158.5 trillion rubles to 77.9 trillion rubles. The average daily trading volume is 307.8 billion against 621.7 billion rubles in 2021.
The volume of trading in the foreign exchange market in 2022 amounted to 267.8 trillion rubles, while in 2021 this figure reached 322 trillion rubles. The volume of trading in spot instruments increased by 5.5%, to 100.4 trillion rubles, the volume of swap transactions and forwards amounted to 167.5 trillion rubles. The average daily volume of trading in the foreign exchange market in 2022 decreased from 1262.9 billion to 1,058,6 billion rubles.
The volume of trading in precious metals (spot and swap) amounted to 122.8 billion rubles against 209.2 billion rubles in 2021. The volume of gold trading in 2022 is estimated at 118.7 billion rubles (32.3 tons), silver - at 4.1 billion rubles (78.7 tons).[4]
Record fall in trading in October
The Moscow Exchange reported a record drop in trading volumes for October 2022. The total trading volume amounted to 71.7 trillion rubles - after 74.3 trillion in September. Trading on the stock market sank to 2 trillion rubles from 2.5 trillion in September. Shares, depositary receipts and shares accounted for 1 trillion rubles after 1.5 trillion in September.
2021
17 million individuals who opened brokerage accounts
The number of individuals who opened brokerage accounts on the Moscow Exchange reached about 17 million people in 2021, which corresponds to more than 10% of the population of the Russian Federation. They opened 27.7 million accounts. Over the year, the number of private clients on the trading floor doubled (at the end of 2020 it was 8.8 million), her press service said on January 13, 2022.
It is noted that the activity of private investors in 2021 reached the maximum level in the entire history of observations - more than 2 million people entered into transactions every month (847 thousand in 2020). Chairman of the Board of the Moscow Exchange Yuri Denisov believes that by the end of 2022 the number of unique customers of the site can reach 25 million.
In 2021, the activity of private investors accounted for 40% of the volume of trading in shares and 10.1% of the volume of trading in bonds at the Moscow Exchange. In the spot currency market, their share was 12.4%, in the derivatives market - 43.4%. Private investors invested 532 billion rubles in shares at the Moscow Exchange, and 819 billion rubles in bonds.
Private investors invested 1.35 trillion rubles in Russian securities on the Moscow Exchange in 2021. Among the three most popular Russian shares in terms of the number of shareholders among private investors registered on the Moscow Exchange since 2015 were shares of Sberbank (1.2 million people), Gazprom (979,000 people) and VTB (590,000).
At the end of 2021, the number of open individual investment accounts (IIS) is 4.9 million. In 2021, more than 1.4 million IIS were opened. Turnover on IIS accounts for 2021 - 1.6 trillion rubles, in the structure of turnover 87.4% were transactions with shares, 5.4% - with bonds, 7.2% - with exchange-traded funds.
Regions are the leaders in the number of open IIS: Moscow (527.2 thousand), Moscow region (298 thousand) and St. Petersburg (228.6 thousand). Of the other regions, the top 3 included the Sverdlovsk region (159.3 thousand accounts), the Republic of Bashkortostan (155.6 thousand accounts) and the Krasnodar Territory (144.8 thousand accounts).[5]
Total trading volume growth by 6.6% to RUB 1.01 quadrillion
The total volume of trading on the markets of the Moscow Exchange at the end of 2021 increased by 6.6% and amounted to 1.01 quadrillion rubles. The annual volume of operations in the exchange markets has crossed the mark of one quadrillion rubles. The exchange announced this on January 4, 2022
High trading volumes at the end of 2021 were recorded on the stock market - 30 trillion rubles (an increase of 25.5%), the derivatives market - 158 trillion rubles (an increase of 21.7%) - and the money market - 474 trillion rubles (an increase of 11.1%), as well as in the market for standardized derivative financial instruments (SPFI) - 2.8 trillion rubles (an increase of 4.8 times) - and the precious metals market - 209.2 billion rubles (an increase of four times).
In 2021, six IPOs and 12 SPOs were held on the Moscow Exchange for a total amount of more than 500 billion rubles (+ 96% by 2020).
In 2021, 885 bond loans totaling 12.3 trillion rubles were placed on the Moscow Exchange, including the volume of placement of one-day bonds for 3.8 trillion rubles.
The main indicator of the Russian stock market The Moscow Exchange index rose by 15.1% at the end of the year.
The volume of trading in shares, depositary receipts and shares increased by 25.5%, to 30.0 trillion rubles, which is a record figure in the entire history of exchange trading (23.9 trillion rubles in 2020). The average daily trading volume increased by 23.0%, amounting to 117.6 billion rubles (95.6 billion rubles in 2020).
The volume of trading in corporate, regional and state bonds amounted to 18.6 trillion rubles (26.2 trillion rubles in 2020). The average daily trading volume is 73.0 billion rubles (104.6 billion rubles in 2020).
The volume of trading in the derivatives market increased by 21.7% and reached 158.0 trillion rubles, which is the maximum value in the entire history of trading (129.9 trillion rubles in 2020), or 2.1 billion contracts (2.1 billion contracts in 2020). The average daily trading volume amounted to 619.6 billion rubles (519.5 billion rubles in 2020).
The volume of trading in futures contracts amounted to 2.0 billion contracts, option contracts - 54.0 million contracts.
The volume of open positions in the derivatives market at the end of the year increased by 41.5% and amounted to 793.3 billion rubles (560.5 billion rubles at the end of 2020).
The volume of trading on the SPFI market increased 4.8 times and amounted to 2,811,9 billion rubles.
The volume of trading in the foreign exchange market amounted to 319.8 trillion rubles (328.9 trillion rubles in 2020). Trading in spot instruments accounted for 95.2 trillion rubles, swap and forward transactions - 224.6 trillion rubles.
The average daily trading volume on the foreign exchange market of the Moscow Exchange amounted to 1,254,1 billion rubles, or 17.0 billion US dollars, compared to 1,315,8 billion rubles (18.2 billion US dollars) in 2020.
The volume of trading in the money market increased by 11.1% and amounted to 474.0 trillion rubles, which became an absolute record for the entire time of trading (426.8 trillion rubles in 2020). The average daily volume of operations is 1,859,0 billion rubles (1,707,1 billion rubles in 2020).
In the total volume of trading in the money market, the volume of repo transactions with the central counterparty increased by 11.1%, to a record 271.0 trillion rubles, the volume of repo transactions with clearing certificates of participation increased by 11.6%, to 83.8 trillion rubles, which is the maximum value in history.
The volume of trading in precious metals (spot and swap) quadrupled, to a record 209.2 billion rubles (52.6 billion rubles in 2020), including the volume of trading in gold - 206.8 billion rubles (48.5 tons), silver - 2.4 billion rubles (40.2 tons).
History
2024
UAE investment company Foundation Capital becomes co-owner of Mosbirzhi
On October 23, 2024, it became known that the investment company Fundament Capital Investment Management from UAE became the owner of a 6.86% stake in the Moscow Exchange. We are talking about the transfer to the direct disposal of 156 177 798 securities.
It is noted that Fundamental Capital provides a wide range of services. These include the creation and administration of funds, the management of customer assets, the provision of access to alternative investments and global markets, the development of strategies, etc. The investment company operates in the Middle East and North Africa.
It is also reported that the share of the American organization State Street Bank and Trust Company in the structure of the Moscow Exchange decreased from 5.26% to 2%. And on August 21, 2024, the American Capital Group reduced participation in the Moscow Exchange from 5.01% to 0.064%. Thus, as of October 23, 2024, the main shareholders of the exchange are:
- Central Bank of the Russian Federation - 268 151 437 shares, 11.78%;
- Public Joint Stock Company Sberbank of Russia - 227 682 160 shares, 10%;
- State Development Corporation "ВЭБ.РФ" - 191 299 389 shares, 8.4%;
- Fundament Capital Investment Management — 156 177 798 акций, 6,86%;
- European Bank for Reconstruction and Development - 120 472 902 shares, 5.29%.
According to Interfax, the Moscow Exchange and the National Clearing Center (NCC) and the National Settlement Depository ( NSD), which are part of its group, were included in the American sanctions list in June 2024. The Office of Foreign Assets Control of the US Treasury Department (OFAC) issued a license to curtail operations with them, which expired on October 12, 2024. At the same time, the Moscow Exchange announced that it has completely withdrawn from the capital of the Kazakhstan Stock Exchange (KASE ). UAE investment company[6]
Withdrawal from Kazakhstan Stock Exchange shareholders
In October 2024, the Kazakhstan Stock Exchange (KASE) announced the withdrawal of the Moscow Exchange from its shareholders and the termination of relations between trading platforms. Read more here.
Appointment of Viktor Zhidkov as Chairman of the Board
On September 30, 2024, the Moscow Exchange announced the change of chairman of the board. The place of Yuri Denisov was taken by the head of the National Settlement Depository (NSD) Viktor Zhidkov. Read more here
Opening of an exchange laboratory at MGIMO
On September 3, 2024, the MOEX Lab exchange laboratory was opened at the Faculty of International Business of the Moscow State Institute of International Relations (MGIMO). Read more [- Moscow State Institute of International Relations MFA of Russia#.2A2024:. D0.9E.D1.82.D0.BA.D1.80.D1.8B.D1.82.D0.B8.D0.B5. D0.B1.D0.B8.D1.80.D0.B6.D0.B5.D0.B2.D0.BE.D0.B9. D0.BB.D0.B0.D0.B1.D0.BE.D1.80.D0.B0.D1.82.D0.BE. D1.80.D0.B8.D0.B8 MOEX Lab|here.]
2023
Yuan first became the most traded currency on the Moscow Exchange
For the first time, the yuan became the most traded currency on the Moscow Exchange at the end of the year. In 2023, the volume of trading in Chinese currency reached 34.2 trillion rubles, having increased by about three times compared to a year ago. Such data were published in mid-January 2024.
According to Kommersant, citing materials from the Moscow Exchange, in 2022, about 87% of trading on the Russian site fell on the US dollar and the euro, in 2023 the shares of these currencies decreased - to 40% in the case of the dollar (32.5 trillion rubles) and to 18% (14.6 trillion rubles) in the case of the euro. As for the yuan, its share of trading on the Moscow Exchange in 2023 reached 41.6%.
In addition to the yuan, in 2023, the volume of trading in currencies of other friendly countries increased. In particular, the volume of trading in the Turkish lira increased 17 times to 465 billion rubles (0.6% share), Kazakh tenge - almost six times to 388 billion rubles (0.47%). The trading volumes of the Hong Kong dollar and the Belarusian ruble almost doubled - to 73.8 billion rubles (0.09%) and 50 billion rubles (0.06%), respectively.
In addition, operations with the Indian rupee have also intensified. If in January 2023 the volume of such transactions did not reach 0.5 billion rubles, then in November the figure already reached 37 billion rubles. The Moscow Exchange launched trading in futures for dirham UAE and Indian rupee, and also began trading in a pair of UAE dirham - the Russian ruble, but in a special mode. The bottom line is that from 10:00 to 19:00 standard spot and swap deals are concluded, and after 19:00 open positions in dirhams are transferred to rubles at the exchange rate CENTRAL BANK. However, investors showed no interest - not a single transaction was completed in four months, the publication said.
In 2023, the total volume of trading in major currencies relative to the ruble in trading modes "today" and "tomorrow" at the Moscow Exchange reached 82 trillion rubles, which is 4% more than a year earlier.[7]
The share of the Moscow Exchange fell below 50% of the total volume of currency trading in Russia
According to the results of the second or third quarters of 2023, more than half of the volume of foreign exchange trading in Russia falls on the OTC market, while the contribution of the foreign exchange section of the Moscow Exchange fell below 50%. This is stated in the report of the Bank of Russia, published on November 30, 2023.
The document says that the exchange currency market is characterized by a high trading volume, which in 2023 exceeds pre-crisis values. In particular, in 2021, the average monthly trading volume was 7.8 trillion rubles, and in the first 10 months of 2023 - 8.3 trillion rubles. The reduction in trading volumes in US dollars (the share of the USD/RUB pair decreased to 35% in October 2023) is offset by growing turnover in currency pairs with yuan (the share of the CNY/RUB pair reached 39% of trading volume).
 | We always monitor possible risks and work with market participants, including the Moscow Exchange, in case of possible sanctions. In general, it should be noted that, of course, the issue in terms of the Moscow Exchange is currency trading. But I wanted to say that we already have a significant part of trading in the foreign exchange market in the Russian market, more than half now fall on the OTC market, "says Elizaveta Danilova, director of the financial stability department of the Bank of Russia. |  |
Companies and the financial sector are gradually adapting to sanctions and changing cross-border settlement channels to reduce exposure to new restrictions, she said. The share of export revenue of the largest companies in "toxic" currencies decreased from 96% at the beginning of 2022 to 17% in September 2023.[8]
EBRD sold 5.3% of Mosbirzhi shares to Softline IT group
The European Bank for Reconstruction and Development (EBRD) sold its stake (5.3%) in the Moscow Exchange to Softline IT group. This deal became known on October 23, 2023.
According to Forbes, the subcommittee of the government commission for monitoring the implementation of foreign investments approved the transaction at a discount of 60% and an exit tax of 20% of the transaction amount. The financial terms of the transaction were not disclosed. However, as the newspaper notes, at 15:00 on October 20, 2023, the value of 5.3% of the shares of the Moscow Exchange was 22.76 billion rubles. Taking into account the discount, the price of a block of shares is 9.1 billion rubles, and the exit tax is 1.82 billion rubles. Thus, the bank could receive 7.28 billion rubles as part of the transaction, the magazine reports. The deal "reflects the realities for foreign investors in terms of asset liquidity," according to a Forbes source.
| | Assets can be high-quality, growing, profitable, leaders of their markets, but due to regulators, their sale is accompanied by such deductions, - says the source. - This is a precedent indicator: on the one hand - shares of a public company, on the other hand - the EBRD, not the last people on the horizon. They did not make emergency transactions for the sale of assets last year and did everything in an organized manner, the Russian government is also present in the capital of the EBRD in the amount of about €1 billion. | |
According to the investment strategist of Arikapital Management Company, associate professor of the Financial University Sergei Suverov, the decision of the EBRD to withdraw from the capital of the Moscow Exchange is associated with reputational risks, investments in Russian assets are considered toxic in the West. For Softline, the purchase of shares in the Moscow Exchange is an understandable investment, since the exchange, like the buyer of a share in it, is largely an IT company, the expert believes.[9]
The rise of trading activity in third-tier stocks due to the interest of participants with small accounts
In August 2023, the group of shares of the first echelon in the Moscow Exchange index accounted for only 58% in the structure of the total turnover of trading in all shares on the Moscow Exchange, a year earlier - 86%, in August 2021 - 84%, in August 2013 - 79%, and in August 2009 - 86% in accordance with the data of the Moscow Exchange and its own calculations.
In general, shares of the first echelon within the framework of the Moscow Exchange index occupied 80-90% of the turnover of all shares for more than 96% of the time over the past 15 years. Departure for the specified range was, but rather, as an exception.
By September 2023, up to half of the turnover takes place in the "deaf" third tier. Trading activity in previously illiquid stocks rose tens or even hundreds of times.
For example, the trade turnover in DVMP shares in August 2023 increased to 41.7 billion rubles, which is almost 15 times more than a year earlier. Shares Sovcomflot"" in August 2023 traded by 62.9 billion rubles, which is 53 (!) Times higher than the turnover a year ago, and TMK's turnover increased 16 times y/y to 37.1 billion rubles.
Trading turnover for many companies in the electric power segment increased hundreds of times.
On the contrary, shares of the first echelon, such as Sberbank, Gazprom, Lukoil, MMC Norilsk Nickel trade less actively than in 2009-2011 and even than in 2008, despite a significant increase in turnover since March 2023, Spydell Finance wrote.
For example, Gazprom now passes 80-180 billion per month, while in 2009 the turnover is 350-450 billion rubles. According to Sberbank, the current turnover is 220-330 billion rubles per month, and in 2009 they traded at 500-600 billion. MMC now has 50-60 billion, and in 2009 it was 120-140 billion and was especially active in 2008, when trading turnover reached 270 billion rubles.
In general, at face value, it is fair to say that the tops are now trading 2-3 times less actively than in 2009. The money supply has grown 7 times since then, i.e., relative to ruble liquidity, turnover fell 15-20 times for leading Russian companies! This is taking into account the doubling of turnover from the beginning of 2023, while in January-February 2023 everything was completely bad.
You can see how the market is transforming. Liquidity flows into previously forgotten and not interesting issuers. The current trade turnover in the third tier is a record in history.
Why is this happening?
The main operators and liquidity providers in the first tier were non-residents and professional bidders at the Moscow Exchange among residents. Non-residents were forcibly removed from the game, and the activity of professional participants is decreasing.
The stock market for professionals is of little interest due to high political and economic risks, "clouded" corporate reporting and a shift in the yield differential in favor of bonds and deposits.
Why is there no growth in turnover among the first echelon? Any attempt in the Pump and Dump mode to rock the first echelon will meet resistance through a wave of sales due to the high coverage of this segment by professional participants who know the boundaries of the fundamental value of issuers. The first echelon is quite effective, Spydell Finance wrote.
In the third echelon, arbitrators, trading robots and professional participants are not or are poorly represented - these issuers can be abnormally deviated from the fundamental value. This is where Ludomans are concentrated with accounts of up to 1 million rubles (mainly 100-300 thousand).
Inclusion of CFA exchange operators in the register
The Moscow Exchange became the first organization in the register of digital financial asset exchange operators (CFA), which is maintained by the Central Bank of Russia. The regulator announced this on August 3, 2023. In addition, the National Settlement Depository has included the Moscow Exchange in the register of information system operators issuing CFA. Read more here.
Admission to CarMoney shares trading
The Moscow Exchange admitted to trading shares of SmartTechGroup (STG), which is the parent company of the fintech service CarMoney. Securities will be included in the "Third Level" section. This was announced on June 21, 2023 by the press service of the Moscow Exchange. Read more here.
Acquisition of a 50.1% stake in ProCompliance
On April 5, 2023, the Moscow Exchange announced that it had acquired a 50.1% stake in ProCompliance LLC, a software developer in the field of automation of compliance services in the financial market. Within three years, the share of the exchange can be increased to 100%. Read more here.
2022
Trading in shares of the Whoosh electric scooter rental service
At the end of November 2022, the Moscow Exchange announced that it had admitted shares in the Whoosh electric scooter rental service to trading. The company is planning an initial public offering (IPO). Read more here.
Connecting an OTC Transaction Service
Professional participants in the securities market and their clients have become available a service for concluding OTC transactions with bonds and Eurobonds - bilateral transactions with a central counterparty (Central Committee). This was reported by the Moscow Exchange on April 25, 2022.
Market participants can now conclude OTC transactions with 2.5 thousand bond issues with settlements Russian rubles in and. dollars USA No additional connection to these services is required - the functionality is available by default.
Bilateral transactions with the Central Committee combine the flexibility of over-the-counter transactions and the reliability of exchange infrastructure. Transactions are made anonymously (without specifying the ultimate counterparty) with the central counterparty, which is the National Clearing House. At the same time, the parties to the transaction do not have to have open limits on each other, which significantly expands the capabilities of stock market participants and their clients. Transactions are concluded in OCBR modes "OTS: Bonds with the Central Committee" and OCBU "OTS: Bonds with the Central Committee (USD)." Settlements are carried out in the standard infrastructure - the same accounts and the total clearing pool with exchange transactions. Reports on over-the-counter transactions made will be submitted to the Moscow Exchange automatically.
"ВЭБ.РФ" sold its stake in the Moscow Exchange
At the end of March 2022, it became known about the sale of 8.4% of the shares of the Moscow Exchange of the Foreign Economic Association Almazyuvelirexport JSC owned by ВЭБ.РФ. The seller intends to spend the proceeds on investment projects. However, which ones are not specified.
| | This is a high-class asset, but non-core for us. The resources obtained as a result of the transaction will be redistributed in favor of projects in infrastructure, industry and the development of the urban economy, the press service of ВЭБ.РФ told Interfax. | |
"ВЭБ.РФ" sold 191 299 389 securities based on their current value (93.5 rubles apiece at the close of trading on March 28, 2022) the amount of the transaction could amount to 1.81 billion rubles. Officially, the value of the transaction at the time of its announcement is unknown.
The representative of the state corporation in a conversation with RBC noted that this asset (8.4% of the shares of the Moscow Exchange) was on sale for more than a year, it was implemented "taking into account new challenges and tasks to support projects in the real economy."
As follows from the data in the SPARK-Interfax system, 100% of Almazyuvelirexport belongs to the state through the Federal Property Management Agency. The company exports diamonds, diamonds, platinum group metals and jewelry.
By the end of March 2022, the main shareholders of the Moscow Exchange include the Bank of Russia (11.7%), Sberbank (10%), the EBRD (6%) and Capital Research and Management Company (5.7%). The share of free-float shares is 63%. The shareholders of the Moscow Exchange are more than 370,000 individuals and more than 1000 legal entities.
At the end of March 2022, the Supervisory Board of the Moscow Exchange recommended that the General Meeting of Shareholders not pay dividends for 2021. Payments for 2020 amounted to 9.45 rubles per paper.[10]
Record market collapse on the first day of the special operation to demilitarize Ukraine: -45.49%
Start of trading in delivery futures contracts for shares of eight Russian public companies
On February 15, 2022, trading in delivery futures contracts for shares of eight Russian public companies will start on the derivatives market of the Moscow Exchange.
The new instruments will enhance opportunities to diversify and manage securities portfolios for both private and institutional investors.
Contracts for shares will be admitted to trading:
- PJSC GK Samolet,
- Detsky Mir PJSC,
- PJSC Mechel,
- MKPAO OK RUSAL,
- PJSC Rosseti,
- PJSC "SPB Exchange,"
- PJSC PhosAgro.
For all contracts, the minimum price step is set - 1 ruble. Delivery on futures is made automatically by concluding transactions on the stock market of the Moscow Exchange with settlements on the second day.
The volume of trading in derivatives for shares in 2021 increased by 78.8% and amounted to 7 trillion rubles. In total, 37 contracts for shares of Russian and foreign companies are available to investors. Specifications of new instruments are posted on the website of the Moscow Exchange.
89 futures contracts and 47 options on them are traded on the derivatives market, the basis assets of which are stock indices, stocks, currency pairs, real estate, precious and industrial metals, oil, gas and other goods, interest rates. Trading on the derivatives market of the Moscow Exchange is held from 7:00 to 23:50 Moscow time. The total volume of trading in derivatives in 2021 increased by 21.7% and amounted to 158 trillion rubles.
2021
Buying 95% stake in digital currency trading platform NTPro BierbaumPro
At the end of October 2021, the Moscow Exchange announced the acquisition of a 65.5% stake in BierbaumPro AG, which is the sole owner of NT Progress LLC, the developer of the over-the-counter trading platform for currency market instruments NTPro. As a result of the transaction, which has already been closed, the share of the exchange in BierbaumPro AG increased from 29.5% to 95%. Read more here.
Purchase of a stake in the Potok crowdlend platform
On September 15, 2021, the Moscow Exchange announced the acquisition of a stake in the Potok investment platform. It is planned to close the deal within three and a half months. The financial and other terms of the agreement were not disclosed. Read more here.
Transfer 40% of employees to permanent remote work
In early July 2021, it became known about the plans of the Moscow Exchange to transfer about 40% of employees to permanent remote work. To do this, one of the offices in Moscow - on Vozdvizhenka Street opposite the Kremlin - will be closed and two will remain (in Kislovsky Lane and on Spartakovskaya Street).
The head of the Moscow Exchange, Yuri Denisov, in a conversation with RBC, said that the COVID-19 coronavirus pandemic that began in 2020 influenced the format of work of trading platform employees, in particular, there was a restructuring of the trading platform processes in terms of remote access and its security, as well as electronic document management.
According to Denisov, the exchange will save on moving from the office, "but some funds will have to be invested in creating a new flexible office in Kislovsky Lane."
300 people worked in the office on Vozdvizhenka. This is approximately 15% of the total headcount, which is 2,000 people (in three companies of the group - Moscow Exchange, NSD and NCC.). Refusal to work in this branch will allow the Moscow Exchange to significantly save money. Some of them will be spent on a new flexible office in Kislovsky Lane.
Rental savings will amount to several hundred million rubles a year, the press service of the Moscow Exchange specified to RBC. They also added that there are no plans to cut jobs.
According to data from the reporting of the Moscow Exchange for the first quarter of 2021, the cost of rent and maintenance of fixed assets amounted to 96.7 million rubles. Lease liabilities - 959 million rubles.
| | We are rather expanding due to business growth and the opening of new business areas, the exchange said. | |
As the newspaper notes, the Moscow Exchange is not the only financial institution planning to leave some of the employees remotely after the pandemic. In particular, the head of Sberbank German Gref noted that it is planned to leave about 30% of employees remotely.[11]
Buying Inguru Financial Product Matching Platform
On May 11, 2021, the Moscow Exchange announced the acquisition of Inguru. Under the terms of the agreement, the buyer receives 70% of the platform for the selection of financial products and the right to increase this share to 10% within five years. Read more here.
The first information security company is preparing to enter the Moscow Exchange - Positive Technologies
In mid-March 2021, it became known about the plans of Positive Technologies to place their shares on the Moscow Exchange. We are talking about the first IPO of an information security company on the capital's trading platform. Read more here.
The volume of trading in St. Petersburg for the first time exceeded the indicator of the Moscow Exchange
In January 2021 Russia , for the first time in history St. Petersburg Exchange , it had higher volumes than the Moscow Exchange, because on the first you can trade foreign shares. The volume of trading on St. Petersburg increased in January by 14% to 36.1 billion. dollars The Moscow Exchange, focused on Russian securities, recorded the equivalent of $30.2 billion.
Selectel places bonds on the Moscow Exchange
At the end of January 2021, it became known about the release of Selectel on the Moscow Exchange. This is the first Russian IT infrastructure supplier to take such a step. Read more here.
2020
Commission income growth by 30.9%, to 34.3 billion rubles, profit - 25.17 billion rubles
Commission income of the Moscow Exchange at the end of 2020 increased to a record 34.3 billion rubles. This is 30.9% more than a year ago. The growth was due to an increase in the volume of commissions in all markets, the group said.
Mosbirzhi's net profit in 2020 turned out to be 25.17 billion rubles, which is 24.6% more than profit in 2019. According to this indicator, the exchange returned to the level of 2016, but then the main result of the site was formed by interest income. Net interest income decreased by 15.3%, to 14.2 billion rubles, which the platform blames on a decrease in interest rates.
From the report for 2020, it also follows that the share of commission income in the structure of operating income of the exchange at the end of 2020 amounted to 71%. Operating expenses increased 8.5%, remaining within the forecast range.
Moscow Exchange noted its growing importance as the main platform for raising capital by Russian business. 170 companies, of which 48 entered the market for the first time, placed 688 bond issues worth almost 4 trillion rubles. Almost 5 million new private investors opened brokerage accounts in 2020, bringing their total to 8.8 million by the end of December.
| | Despite the pandemic, last year was very successful for the Moscow Exchange and the entire Russian capital market, "says Yuri Denisov, chairman of the group's board, whose words are quoted in the exchange's message. - Through the placement of shares and bonds on our site, Russian business attracted more than 4 trillion rubles of institutional and private investments. The increase in trading time, the launch of new instruments, including foreign shares, Eurobonds, derivatives, significantly expanded the opportunities for investors to trade on the stock exchange.[12] | |
The number of private investors rose by 5 million to a record 8.8 million
In 2020, 5 million private investors registered on the Moscow Exchange, which is more than in all previous years in total. As a result, the number of individuals with brokerage accounts on the trading platform rose to a record 8.8 million.
At the end of 2020, the volume of trading on the stock market reached a historic maximum and amounted to 23.9 trillion rubles, which is almost twice the result of 2019. At the same time, the share of private investors in the volume of trading in shares in 2020 amounted to 40.6%, in the volume of trading in bonds - 13%, in the spot market of currency - 12.3%, in the derivatives market - 42%.
At the end of 2020, the number of open individual investment accounts (IIS) reached 3.5 million. In 2020, more than 1.8 million IIS were opened. The turnover on IIS accounts exceeded 1.4 trillion rubles, in the structure of turnover 85.6% were transactions with shares, 10.1% - with bonds, 4% - with exchange-traded funds.
Regions are the leaders in the number of open IIS: Moscow (378.3 thousand), Moscow region (208.5 thousand) and St. Petersburg (158.5 thousand). Of the other regions, the top 3 included the Sverdlovsk region (115 thousand accounts), the Republic of Bashkortostan (113.3 thousand accounts) and the Krasnodar Territory (98.5 thousand accounts).
In 2020, private investors invested 301 billion rubles in shares at the Moscow Exchange. Investments in bonds amounted to 617 billion rubles. The largest share of investments in debt securities - 88.5% - fell on corporate bonds, 7.5% - on government bonds (6.5% were OFZs and 1% - regional bonds), 4% - on Eurobonds.
The "private investor portfolio" includes shares "" Gazprom(23.1%), "" Lukoil(11.8%), Norilsk Nickel"" (11.3%), ordinary and preferred shares Sberbank"" (10.5% and 8%, respectively), shares Aeroflot"" (8.2%), securities Mail.ru Group (7.4%). From foreign securities, investors chose shares (Alibaba 29.5%), (Pfizer 11.6%), (Apple 11.1%), (9.9 Tesla %), (8%), Intel (7.7%) Boeing , (7%). Amazon Almost 5[13]
IT and Construction Company Index Calculation Plan
On November 27, 2020, RIA Novosti reported that the Moscow Exchange will begin to calculate indices of information technologies and construction companies, the date for the start of calculations of industry indices will be announced later.
| | The Index Committee of the Moscow Exchange recommended starting the calculation of industry indices: information technology and construction companies. The indicators will demonstrate the dynamics of these sectors of the Russian economy and provide private and institutional investors with additional opportunities to analyze strategies for working on the securities market, the trading platform reports. | |
It is planned that the industry index of information technologies will include securities, Mail.ru Group HeadHunter Ozon and shares "," Yandex indicated in the message[14]
Launch of trading in Facebook, Amazon, Google, Visa and MasterCard shares
On August 24, 2020, the Moscow Exchange launched trading in shares of foreign technology companies. They will be held in the day and evening sessions.
On August 24, investors got the opportunity to buy shares in the following 19 companies:
- Boeing;
- Amazon;
- Nvidia;
- Facebook;
- Microsoft;
- McDonald's;
- Visa;
- Twitter;
- Intel;
- Alphabet (parent holding Google);
- AT&T;
- Exxon Mobil;
- Pfizer;
- The Walt Disney;
- AMD;
- Netflix;
- Micron Technology;
- Mastercard;
- Activision Blizzard.
| | We start with the most liquid securities of the largest issuers, - said Igor Marich, member of the board - managing director for sales and business development of the Moscow Exchange. - Trading and settlements in rubles will allow investors to avoid unnecessary transactions and costs, immediately see their financial result in the Russian national currency. | |
Dividends on foreign shares are planned to be accrued in US dollars. Boris Blokhin, director of the stock market department of the Moscow Exchange, says that within the framework of Russian legislation, the Moscow Exchange will initiate the listing of securities as an organizer of trading.
From September 7, 2020, Apple shares will be traded on the Moscow Exchange. The delay in the admission of Apple securities to trading is associated with a corporate event - the procedure for splitting the company's shares. On July 30, 2020, the Board of Directors of the American Corporation approved the split of shares in a ratio of 4 to 1, each Apple shareholder at the close of the register on August 24 will receive three additional shares for each paper owned by him at the reporting date.
Foreign securities on the Moscow Exchange can be bought through, Sberbank which previously did not allow retail investors to work with foreign shares. In addition, they plan to connect to trading "" and Opening brokerAlor"," and later - Tinkoff"," "" and AtonFreedom finance"."
According to VTimes, by the end of 2020, securities from companies such as Walmart and Jonson & Jonson will also appear on the Moscow Exchange. The exchange itself notes that in the fourth quarter of 2020, the list will be increased to 50[15]
Plan to launch trading in foreign shares in rubles
In mid-June 2020, it became known that the Moscow Exchange is launching trading in foreign shares in rubles. The admission of foreign securities will take place in two stages: trading in the first 25‒30 shares will begin before the end of summer, and in the fall the list will be increased to 50 securities, Boris Blokhin, director of the stock market department, told reporters.
According to him, the Moscow Exchange will launch trading in shares of the most liquid companies included in the American S&P 500 index. These shares will be traded in rubles, taking into account international experience, since the vast majority of exchanges in the world that trade in foreign shares conduct trading in national currency.
Previously, transactions with shares of companies such as Apple, Google, Microsoft and Amazon, within the framework of Russian legislation, were possible through the St. Petersburg Exchange.
The exchange will monitor customer activity and on the basis of this will add new shares, said Igor Marich, Managing Director for Sales and Business Development. According to him , the expansion of the list will take place at the suggestion of the exchange, without statements from issuers.
The exchange will not conclude agreements with share issuers, liquidity will be provided by market makers (brokers who, by agreement with the exchange, assume obligations to maintain quotes, demand or offer securities). If the market maker has a position for the supply of a large volume of securities, he will redeem them on the original market in order to fulfill his obligations to the buyer, Blokhin said.
| | We are implementing this project at the request of the bidders. This issue was discussed at many collegial bodies of the Moscow Exchange: both at the relevant committee on the stock market and at the board of the exchange. Participants support this initiative, "he said.[16] | |
Losses of traders by 1 billion rubles due to the unavailability of the exchange system to negative oil prices
The Moscow Exchange refused to revise the losses of 700 of its investors. Each of them lost from 100 thousand to 15 million rubles on contracts with American WTI oil, which traded in the negative zone (fell by minus $37.6). The total amount of losses is more than 1 billion rubles.
The exchange system on April 20, 2020 did not allow applications below $8.84, customers could not sell WTI oil. She was not prepared for negative prices, although there were warnings.
The next day, the May contract for WTI oil closed at a price of $1.5, but the Moscow Exchange refused to hold trading on April 21 and announced the contract price on the website - minus $37.6. Explaining this by caring for customers.
Hundreds of customers are going to sue the exchange, they are now required to pay millions of losses. The exchange does not want to recognize unwillingness to negative prices and spend insurance funds. Unlike Russia, in the United States, brokers incurred huge losses (from $88 million) from force majeure.
The capitalization of the Russian stock market fell to 37.1 trillion rubles ($475 billion)
The capitalization of the Russian share market, calculated on the basis of weighted average prices following the results of trading on Monday on the Moscow Exchange, amounted to 37.118 trillion rubles ($475.603 billion at the official exchange rate of the Central Bank of the Russian Federation).
The leaders of the market value at that time were Sberbank (4.439 trillion rubles), Gazprom (4.270 trillion rubles), LUKOIL (3.163 trillion rubles).
As of December 30, 2019, capitalization amounted to 48.667 trillion rubles, that is, since the beginning of the year, the indicator has decreased by 23.73%.
2019
Moscow Exchange recorded a record influx of private investors - 1.9 million people
The fall in bank deposit rates, a powerful "bullish" trend in the Russian stock market and the rapid development of investment mobile applications led to a record influx of private investors to the Moscow Stock Exchange in 2019. Their number has doubled: 1.9 million people opened accounts at the Moscow Exchange in a year - now there are 3.86 million, the Vedomosti exchange reported.
The influx of investors accelerates from year to year: 645,000 people registered on the exchange in 2018, and a little more than 207,000 customers in 2017.
Brokers are starting to trade assets inside their systems. Exchange loses profits
The Moscow Exchange will lose at least 10% of its profits in 2020. The Moscow Exchange has finally lost control of cash flows - brokers have become so large that they can already trade most financial instruments within themselves.
In internal documents, the Exchange calls this threat "the internalization of sell-side players" and assigns it the maximum level of danger. According to management estimates, some (read "all the largest") players will increase the level of internalization from 40% to 60% in 2020 alone.
This means that in 2020, the Moscow Exchange may lose a third of its income in the most profitable segments - to trade stocks, bonds and currency. Brokers can also be understood: on lower rates and a general drop in profits in the sector, you have to optimize all cash flows and get rid of intermediaries wherever possible.
Yuri Denisov replaces Alexander Afanasyev at the head of the exchange
In April 2019, the Supervisory Board of the Moscow Exchange decided to prematurely terminate the powers of the head of the exchange, Alexander Afanasyev, in connection with the "early fulfillment of the tasks provided for by the current strategy." As a successor, the supervisory board proposed one of its members, Yuri Denisov (also heads the supervisory board of the National Clearing Center, which is part of the exchange group). He must be approved in a new position after coordination with the Central Bank.
Alexander Afanasyev held the chair of the head of the exchange for seven years, on March 23, 2018, he was re-elected for two years. As explained by Alexei Kudrin, then head of the exchange's supervisory board (now Oleg Vyugin holds the post), the powers were extended to complete the implementation of the 2015-2020 strategy.
But according to Mr. Afanasyev himself, "the strategy has been implemented this year, that is, ahead of schedule." Now the development of a new five-year strategy is being completed, which will be presented "in the coming months." The rotation of top management in five to seven years is the adopted corporate practice of public companies, adds Alexander Afanasyev, calling the current moment "optimal" for the transfer of powers to Yuri Denisov.
The Central Bank said it was "satisfied with the seven-year activities of the exchange" under the leadership of Mr. Afanasyev. The decision of the Supervisory Board of the Exchange not to postpone the adoption of a new strategy and the formation of a new management team for its implementation in the Central Bank is called "logical." They support the appointment of Mr. Denisov, noting, however, that "formal coordination procedures are still ahead."
Yuri Denisov was a member of the supervisory board of the exchange for nine years (with a break in 2012). Over the years, he headed the risk management commission, the ethics and exchange practice commission, the audit commission, was a member of the strategic planning commission, the appointment and remuneration commission and the budget commission. The future new head of the exchange at VEB began his career, worked for a long time at Eurofinance Bank and VTB, where he led the work of the Treasury, the Asset and Liability Management Committee, and was also a member of credit committees.
Kommersant's sources both among large bidders and among those close to the exchange argue that the change may be related to the position of the Bank of Russia, in particular the first deputy chairman of the Central Bank Sergei Shvetsov[17].
This manifested itself openly when in October 2018, Mr. Shvetsov, on the sidelines of the Finopolis 2018 forum, said that the Moscow Exchange had suspended the listing for Russian issuers who fell under the most severe sanctions from the US Treasury. The exchange, oddly enough, did not confirm or deny the statement of the representative of the regulator. Moreover, Alexander Afanasyev was forced to make a very cautious statement that the site "has no obligation to accept all papers in the listing." According to one of the top managers of a large investment company, "a possible conflict may be connected with the idea of the Central Bank's leadership to create a section of sanctions assets, in which the Moscow Exchange, as a public company, is hardly interested."
As explained by the President of the Moscow International Monetary Association (MMBA) Alexei Mamontov, the specifics of the Moscow Exchange is that it is managed by one shareholder - the Bank of Russia, which is also a market regulator. At the same time, decisions are often determined by one person representing this shareholder. According to Mr. Mamontov, this was the case in the 1990s, and when the exchange was headed by Alexander Zakharov, and its curator was the first deputy chairman of the Central Bank Andrei Kozlov. And when Alexander Potemkin came to the exchange in the early 2000s, Konstantin Korishchenko, deputy chairman of the Central Bank, was the curator of the exchange. And after Mr. Korishchenko himself headed the exchange, its activities were supervised by the first deputy chairman of the Central Bank, Sergei Shvetsov.
At the same time, according to Mr. Mamontov, there are also objective reasons for the change of leadership. According to him, the activity of the trading platform "lost the charge of vigor," which she received after joining the RTS exchange. After the creation of the institutions of the central depository, the central counterparty and a number of others, it actually turned into a stock monopolist, the development of which slowed down. To stimulate further development, according to the head of the MMBA, the main shareholder in such conditions needed a person "from whom you can demand, who did not have the baggage of success."
2018: Dividends for the year 17.5 billion rubles
The exchange remains a fairly effective enterprise even in difficult economic conditions. Since 2011, its net profit has tripled, although it has declined in the past three years. Also, the exchange continues to pay high dividends. In particular, at the end of 2018, the Supervisory Board proposes to pay 17.5 billion rubles, that is, 89% of net profit.
2016: Chinese company withdraws from Moscow Exchange capital
The Chinese fund Chengdong Investment decided to sell its stake in the Moscow Exchange, Reuters reported in February 2016. The fund owned a minority 5.2 percent stake in the Russian trading platform.
The deal is estimated at 10.6 billion rubles, the Chinese company sells a total of 119.1 million shares. The organizer of the transaction is Goldman Sachs.
The transaction takes place according to the accelerated bookbuilding scheme, the price per share will be 89 rubles.
According to the Moscow Exchange itself, as of December 31, Chengdong Investment owned 5.58% of the shares (127 million 95.5 thousand securities). At that time, it was the fifth largest stake in the exchange after the Central Bank of the Russian Federation (11.77%), Sberbank of Russia (9.99%), VEB (8.4%) and the EBRD (6%).
2012: Unicredit Bank sells part of stake in stock exchange
- On July 20, 2012, the Direct Investment Fund Cartesian Capital Group and the Russian Direct Investment Fund RDIF () announced the purchase of interest in the Moscow Exchange MICEX-RTS from CJSC. UniCredit Bank
After this transaction, RDIF will own about 2.7%, and Cartesian - 2.5% of the share capital of the Moscow Exchange MICEX-RTS. As a result of the sale, UniCredit Bank's share in the company's capital decreased to 6.2%.
The investment is carried out within the framework of a long-term strategy for the development of the Russian capital market and increasing the attractiveness of the Moscow Exchange MICEX-RTS as a platform for local and foreign companies. Earlier, RDIF and the European Bank for Reconstruction and Development (EBRD) became shareholders of MICEX-RTS.
"We are pleased to be able to invest in an excellent Russian company together with such a respected private equity fund as Cartesian Capital," said Kirill Dmitriyev, CEO of RDIF. "This is our second investment in the combined exchange, and Cartesian and the EBRD and I are ready to continue to support MICEX-RTS in its growth and development."
2011
Largest exchange in Eastern Europe and the CIS: trading volume in all markets $10 trillion
The total volume of trading in all MICEX-RTS markets in 2011 amounted to 10.1 trillion dollars USA or 297.9 trillion. rubles The volume of trading on the stock market of the combined exchange reached 1.05 trillion US dollars or 30.7 trillion rubles, on the urgent - 1.9 trillion US dollars or 56.8 trillion rubles, on the currency - 7.1 trillion US dollars or 210.4 trillion rubles, on the commodity - 259 million US dollars or 7.6 billion rubles. According to the volume of trading on the stock market (shares and bonds), MICEX-RTS is one of the "twenty" largest exchanges in the world by the end of the year, and in terms of term market turnover - in the TOP-10 of world leaders. The total number of transactions in all MICEX-RTS markets in 2011 exceeded 358.5 million units. The total capitalization of traded shares in MICEX-RTS at the end of the year amounted to about 800 billion US dollars.
At the end of 2011, the exchange became the absolute leader in trading volume in all segments of the exchange market not only in Russia and the countries of the former USSR, but also in Eastern Europe.
At the beginning of 2011, with the help of global data transmission networks, more than 1,700 remote jobs were connected to the MICEX exchange in the offices of banks, brokerage companies and other financial institutions located in more than 100 Russian cities and abroad. More than 300 brokerage systems are connected to the MICEX trading complex, allowing investors to be served through remote terminals using Internet technologies.
Since mid-2011, all participants in the Russian stock market have been able to receive all exchange services through a single entry point. This allows them to minimize costs and improve efficiency. In 2011, a huge range of work was carried out on the integration of exchanges, which included: unification of the time of the start of trading in the stock, derivatives and foreign exchange markets; the start of trading in the first joint instruments - futures and options for the MICEX Index, the beginning of the calculation of the RTS Index and the RTS Index family at ruble/dollar prices directly from the MICEX foreign exchange market. The basic principles of integration of stock and term markets and stock exchange indices were also developed and implemented. A general list of securities admitted to trading has been formed. All shares traded in MICEX-RTS were admitted to circulation on the NSD-DKK bridge.
In 2012, the combined MICEX-RTS exchange will have a lot of work to build a trading and settlement infrastructure. Within its framework, it is planned to launch trading on the stock market in the T + n mode, the choice of a technological platform that will allow introducing a single trading account for instruments of the spot and term markets. Existing indexes will become a single family with uniform rules and a single calculation platform. One of the important integration stages of next year will be the merger of NPOs ZAO NSD, ZAO DKK and NPO RTS Settlement Chamber (CJSC).
RTS Stock Exchange ceased to exist
On December 19, 2011, RTS Stock Exchange OJSC ceased to exist as a legal entity as a result of its merger with MICEX CJSC, and many years of competition between the two largest Russian stock exchanges ended.
In addition to issues related to the unification of the markets of both exchanges, depositories and settlement chambers, the management of MICEX-RTS will have to prove the correctness of the decision to merge the exchanges. For the effective development of the stock market in Russia, it is necessary to unite not exchanges, but settlement structures - NSD and DKK. "There can be many exchanges, and the calculations are uniform, while it is important to participate in the capital of the depository of the Central Bank of the Russian Federation, which acts as a guarantor of liquidity provision at critical moments," said Vladislav Streltsov, who has worked at the RTS since 1998, and in 2003-2004 headed the exchange. In this case, in his opinion, the state would not have to take on the risks of an urgent market, which is more efficiently and promptly managed by market participants, and at the same time the state was able to be the guarantor of the reliability of settlements. "This will be the main problem in the work of the united exchange, which will lead to a conflict of interests of the state and market participants," he said.
An equally important problem that the management of the combined exchange will have to solve is the simultaneous existence of two spot markets within the same exchange: the classic RTS market and the MICEX spot market. The liquidation of the classic market may close access to the Russian stock market for foreign investors.
Dissatisfied with the service of the new exchange are expected only abroad. "There are no alternative trades in Russia yet. It remains to hope for the marketability of the unifiers themselves and their readiness to build correct corporate governance of the new structure. I really hope that market participants will be able to quickly adapt to new conditions and formats, and they will not have to look for stock happiness abroad, "Anatoly Gavrilenko, chairman of the supervisory board of the Alor group of companies, wrote in his blog.
"For me, the main event of 2011 is not the merger of the two largest exchanges, but what remains of NP RTS, which, I hope, will be able to implement no less ambitious projects than the creation of the RTS exchange," I. Tyryshkin said.
The composition of the shareholders of the exchange during this period looked like this:
- Central Bank of the Russian Federation - 29.79
- Unicredit Bank 12.74
- Vnesheconombank - 11.8
- VTB - Vneshtorgbank - 7.617
- Sberbank of the Russian Federation - 7.542
Integration with PTS
On February 1, 2011, the MICEX exchange signed an agreement on its intention to buy a controlling stake in the RTS exchange. It is sold by five shareholders: Renaissance Broker (9.4%), Aton (9.8%), Alfa Bank (9.6%), Troika Dialog (10%) and the Da Vinci Foundation (14.9%). Total 53.7% of the shares of the oldest Russian trading platform[18].
The first deputy chairman of the Central Bank (the main shareholder of the MICEX) Alexei Ulyukaev said that for the purposes of the transaction it was determined that the value of the RTS is $1.15 billion, the MICEX is $3.45 billion, that is, the ratio is 1:3. "It is assumed that 65% can be received in the capital of the combined company, 35% - in cash," Ulyukaev said. It turns out that five shareholders of RTS can receive up to 11.64% of MICEX.
RTS is valued at a significant premium: based on the price of the last transaction in RTS, the capitalization of the exchange is $605 million. The amount of $1.15 billion is the result of a business assessment ($840 million) plus a 37% premium for a controlling stake, Ulyukaev explained.
If RTS shareholders do not want to take MICEX shares and prefer to get the entire amount in their hands - and they have such an opportunity, Ulyukaev said - they will be left without a premium. In this case, the transaction will be made based on the valuation of the entire exchange at $840 million, said Sergey Shvetsov, director of the department of operations in the financial markets of the Central Bank.
If someone refuses money and wants to take 100% of their share in MICEX shares, the exchange will pay $200,000 for each percentage.
As a result, according to Shvetsov, the share of RTS shareholders in the combined exchange will not exceed 20% (17.9% based on the assessment of exchanges. - Vedomosti).
At the end of December 2010, the Board of Directors of MICEX CJSC approved the scheme for the transition to a single share, which provides for the additional issue in 2011, the size has not yet been determined, says MICEX President Ruben Aganbegyan. It is these securities that will be offered to the shareholders of the RTS, he clarifies.
"It is important for us to unite the brokerage community and corporate governance of the entire exchange infrastructure," says Aganbegyan.
Ulyukaev calls the agreements signed yesterday the first step to unite the two exchanges, a "friendly takeover." "We expect to sign all documents in the second half of April 2011," he added. "After that, the deal will be closed almost without delay." This will happen on April 15, 2011, a source familiar with the details of the agreement said.
The next step is the MICEX IPO and the Central Bank's withdrawal from its capital. By June 1, 2011, according to the instructions of the government, a plan will be presented to reduce public interest in the MICEX and in the proposed combined company, Ulyukaev recalled. In his opinion, this plan is a 2-3 year prospect. Now the Central Bank has 36% of MICEX shares, and after the merger of exchanges, its share will be reduced to less than 30%.
"IPO is our principal goal," Ulyukaev said and added that the shareholders of the combined exchange, including the Central Bank, will not participate in the IPO. One of the conditions of the transaction, according to Shvetsov, was the protection of RTS shareholders "from the refusal of the state to conduct an IPO of the MICEX." If the shareholders of MICEX, together with the Central Bank, decide not to conduct an IPO of the combined structure, then MICEX will have to redeem from the current shareholders of RTS their shares of the combined exchange, which they will receive as a result of the transaction, with a premium of 12% per annum to the price at which RTS is now valued - $1.15 billion.
"This is a decision of the shareholders, but I believe that the conditions are very good," says Roman Goryunov, RTS CEO. "It's a market offer." "The proposed conditions suit us as shareholders, they are fair for both parties and do not offend anyone," said Jacques Der Megredichyan, chairman of the board of directors of RTS and chief executive officer of business management at Troika Dialog.
The terms of the transaction were offered to all shareholders and others will be able to join it, Ulyukaev explained. "We hope other shareholders will join as well," Aganbegyan says.
Some are already ready. For example, KIT Finance, to which the government did not allow the EBRD to sell a 10% stake in RTS for 2.1 billion rubles. ($70 million). Under the terms of the deal with MICEX, KIT can earn $84 million for this package. "Through the efforts of shareholders, the Central Bank and Aganbegyan, the process of [combining exchanges] has moved off the ground and acquired concrete outlines, we will gladly consider any proposal, especially now that the prospects for the development of the two exchanges are clear," says Yuri Novozhilov, chairman of the board of directors of KIT Finance.
"I will be forced to join the deal," says Anatoly Gavrilenko, chairman of the supervisory board of Alora, which owns 2% of RTS, "although I consider the merger wrong - competition between exchanges will disappear because of it."
This is a positive event, says Vladimir Milovidov, head of the FFMS: "Now the exchanges will have single shareholders and they will be able to make coordinated decisions on the development of exchanges, not start parallel projects and not collide with their foreheads. They will concentrate on the competition of the external, not the internal. "
Milovidov has long called on exchanges to unite, believing that a single, stronger trading platform is necessary to turn Moscow into an international financial center. The Russian exchange infrastructure must line up vertically so that there is a single group of shareholders at the top, he told Vedomosti yesterday.
The combined company has great prospects, Goryunov is sure: "The deal will make it possible to build a consolidated structure using the best parties to the two exchanges." All key RTS employees will retain their positions within two years from the date of closing the transaction, says the shareholder of the exchange.
There was no serious competition between RTS and MICEX, Milovidov argues, but now, in his opinion, the funds will not be sprayed and will concentrate on global projects, as a result, an urgent and spot market will calmly develop and this will be reaching a qualitatively new level of exchange infrastructure.
- On June 29, 2011, MICEX CJSC and RTS OJSC announced the signing of a framework agreement on business combinations, which regulates the procedure and procedures for forming a single exchange holding.
On the part of MICEX, the deal was signed by President Ruben Aganbegyan, representatives of Sberbank, the Central Bank of the Russian Federation, UniCreditBank, VEB, VTB; RTS: Chairman of the Management Board Roman Goryunov, representatives of Renaissance Capital, Troika Dialog, Aton, Da Vinci Capital, Alfa Capital.
Key Deal Parameters
- The value of 100% of RTS shares, including preferred - 34.5 billion rubles.
- The value of 100% of MICEX shares is 103.5 billion rubles.
- Assets involved in the RTS business, but on the balance sheet of NP RTS, will be transferred to the balance sheet of RTS OJSC.
- Corporate procedures related to the merger of companies are planned to be completed in early 2012.
- In 2013, the IPO of the combined exchange is planned.
The MICEX's investment advisers are VTB Capital and Credit Suisse. Investment advisers to RTS were Morgan Stanley, Troika Dialog, Alfa-Bank, Renaissance Capital, as well as Da Vinci Capital and Aton.
As the first step of the merger, a management team of a single exchange was formed. MICEX President Ruben Aganbegyan will become Chairman of the Management Board. He will be responsible for the development strategy and building the exchange infrastructure necessary to create an international financial center in Russia. RTS Management Board Chairman Roman Goryunov will take the position of First Deputy Chairman of the Management Board. His duties will include the development of the markets of the combined exchange.
Significant attention will be paid to the integration process. As part of this process, working groups will be formed from employees of uniting companies, who, in close cooperation with users, will develop the business configuration of the created site. The integration committee will coordinate this work. As a result, a vertically integrated exchange holding will be created, which will provide a unique set of services for organizing trading, clearing, settlement and depository services and technological services, with strong positions in Russia, Ukraine and Kazakhstan.
To ensure an open and understandable process of unification, the site began to work www.exchange-integration.ru. It contains information on the composition of working groups and user committees, a calendar of integration events, presentation and other materials on the association.
2010: Aganbegyan - New MICEX President
- At the beginning of 2010 it became clear that the two MICEX and RTS nevertheless decided to separate the depositories. So, in June 2010. NDC sold 37.29% of the shares of CJSC DKK to RTS, as a result of which the depository completely came under the control of RTS.
- As part of the implementation of the new strategy, the management of the MICEX has also changed. So, in June 2010. Ruben Aganbegyan, Deputy Chairman of the Board of Renaissance Capital, was appointed President of MICEX CJSC. CEO of MICEX Stock Exchange in November 2010. became Marina Medvedeva, since September 2010. held the position of Vice President, Member of the Management Board of MICEX CJSC. As for Konstantin Korishchenko, who headed MICEX CJSC since 2008, and since March 2009. He was also the general director of the exchange, in November 2010. he left MICEX, heading the Russian division of Merrill Lynch MICEX[19].
2009: New strategy - IPO course
In the spring of 2009, the MICEX Group development strategy was approved until 2011, providing for the consolidation of the MICEX Group, the ultimate goal of which is the transition of the MICEX Group to a "single share" with the possibility of an IPO. The first stage of this transition was the merger of NDC CJSC and MICEX Settlement Chamber CJSC, as a result of which the Non-Bank Credit Organization closed joint-stock company National Settlement Depository was created (short name - NPO ZAO NSD). During this corporate procedure, MICEX increased its stake in NSD to 99.961%. The next step in this direction was the registration of 99.998% of the MICEX Stock Exchange, which ended in June 2011, into the ownership of MICEX CJSC.
2008: Konstantin Korishchenko - New MICEX President
October 24, 2008 President of MICEX was appointed President of NP Stock Exchange RTS in 2000-2001, from July 2002. Konstantin Korishchenko, who served as deputy chairman of the Central Bank of the Russian Federation.
2007: Stock derivatives
MICEX also tried to win back its position in the stock derivatives market - in June 2007. a fixed-term section was opened on the exchange, but by that time RTS had taken a strong position in this segment of the market. And the MICEX has not yet managed to compete with it in the derivatives market for stock assets.
2005-2006: Liberalization of trading in Gazprom shares
In late 2005 - early 2006. The Russian government lifted restrictions on trading in Gazprom shares, which before that could be traded only on the Moscow, Yekaterinburg, Siberian stock exchanges and the St. Petersburg stock exchange (part of the RTS group).
January 23, 2006 Trading in Gazprom shares began at the MICEX FB. The liberalization of trading in Gazprom shares brought MICEX additional significant trading volumes. After that, the separation of MICEX from RTS in the field of stock trading became overwhelming.
2004: Depositary Purchase
In October 2004 MICEX Group managed to buy a blocking stake in CJSC Depository and Clearing Company (DKK), which was the settlement depository of its direct competitor, the RTS Stock Exchange. The transaction was carried out by the MICEX settlement depository - the National Depository Center (NDC), which acquired from Rosbank first 28% of the shares of the DKK, and then brought its stake to 36.96% of the shares. Analysts suspected that banks sold their stakes in the DKK under pressure from the Central Bank, which is one of the owners of the NDC and the founders of the MICEX, although the participants in the transactions themselves denied this. At the same time, it was believed that the entry of NDCs into the capital of the DKK is the first step towards creating a single depository in Russia. However, the decision to create a single depository was never made.
2002-2003: Conflict with regulator
- In late 2002 - early 2003 the regulator, the Federal Securities Market Commission (FCC), filed claims on the exchange in connection with the entry into force on January 1, 2003. new version of the law "On the securities market." According to this law, the organizer of trading on the stock market can only be an open joint stock company, in which each shareholder owns no more than 20% of the shares. To bring the structure of the exchange in line with the legislation, MICEX CJSC allocated from its structure a subsidiary exchange of MICEX Stock Exchange CJSC - and received a stock exchange license for it.
In addition, the then head of the FCC Igor Kostikov accused the exchange and one of the market makers - the Alor company - of manipulating prices in the urgent market. As a result, MICEX was unable to launch the stock derivatives market at that time.
- In April 2003 the founder of the exchange A. Potemkin, who at that time worked as deputy chairman of the board of Rosbank, replaced A. Zakharov as president of the exchange, who left for Sberbank.
2001: Internet Trading Boom
- Between 2001 and 2003 a turning point in the Russian market: the interest of Russian private investors in the stock market sharply increased, which made trading with settlements in rubles extremely profitable, the role of Internet trading increased and interest in exchange trading in bonds appeared. MICEX managed to take advantage of the new trends and began to pull trading volumes from the competing RTS exchange, which was initially focused on the Western investor and traded in shares with settlements in dollars.
- The MICEX stock market showed explosive growth in securities turnover. "Practically, MICEX has created a perfect opposite of the classic RTS market: settlements in rubles, pre-deposition, anonymous trading, clearing," Ivan Tyryshkin, who was the head of NAUFOR in 1998-2001, told Interfax-AFI, and in 2001-2003 - the head of RTS.
According to him, MICEX introduced its spot market in 1997, when no one wanted to transact in an unstable ruble. "Then everyone doubted the success of this project. Now it is obvious that the RTS underestimated its opponent. When the country began to emerge from the crisis, and the ruble began to stabilize, the MICEX market showed explosive growth in turnover. By this time, RTS no longer had the technological capabilities to provide the market with a similar product, "Tyryshkin said. At that time, only 15-20 transactions worth $50-100 million were concluded on the classic RTS market every day.
"There was a situation when a foreign investor came in through the RTS, and a local investor traded on the MICEX, since the banks trading on the MICEX provided liquidity to this market through the wide possibilities of margin lending," explained V. Streltsov.
1999: Corporate Bonds
Since 1999 MICEX has taken up the creation of a corporate bond market. At the same time, the exchange began to actively develop the technology of remote access to trading via the Internet (Internet trading).
1998: GKO collapse
The MICEX had serious problems after the August 1998 crisis. On August 17, the Russian government defaulted on its obligations, the GKO trades held at MICEX were frozen (in the fall of 1998. through the exchange, the GKO was repaid to individuals). After the collapse of the public debt market, its participants began to urgently transfer their funds to dollars, and due to a sharp increase in the US currency rate, the Central Bank decided to suspend foreign exchange trading (with fixing established). As a result, MICEX's business has seriously shrunk.
Under the new conditions, the exchange, which previously specialized in currency trading and government securities trading, decided to develop the stock section and began to attract securities from new issuers. The role of quasi-government securities was played by Gazprom bonds (the company did not need loans, but issued securities to maintain the market).
1997: Start trading in company shares
In March 1997 The first trading in shares of Russian companies took place at MICEX. Since September 22, 1997 the exchange began calculating the MICEX Consolidated Stock Index, later (in 2002) it became known as the MICEX Index. However, in those days, the overwhelming volume of stock trading fell on the RTS.
1993: Start of GKO
In 1993 The first auction for the placement of government short-term bonds (GKO) was held at the MICEX, so the exchange began to acquire universal status. In the mid-90s, the exchange began to introduce other financial instruments of the stock and term market - corporate securities and foreign exchange futures.
1992: Creation of MICEX CJSC
On January 9, 1992, MICEX CJSC was established on the basis of the currency platform of the USSR State Bank, where in April 1991. the first exchange-traded currency trading in the modern history of Russia began.
At the beginning, MICEX trades were held once a week, from April 1992 - twice a week, from February 10, 1993 - four, and from June 1993 - five times a week, that is, every working day. MICEX carried out transactions for the purchase and sale of American dollars and the German brand. MICEX member banks participated in the exchange operations on behalf of their clients and on their own behalf. The Central Bank of the Russian Federation used MICEX to conduct foreign exchange interventions.
Since the founding of MICEX, its general director has been Alexander Zakharov, who came to this position from the post of deputy director of the Center for Interbank Foreign Exchange Operations of the USSR State Bank. Zakharov headed the MICEX until April 2003. At the same time, Alexander Potemkin, who from 1991 to 1993, stood at the origins of the creation of the exchange. worked as the head of the department of international operations of the Central Bank of the Russian Federation, and before that was responsible for interbank foreign exchange operations on the foreign exchange of the USSR State Bank. When creating the MICEX, it was assumed that it would be headed by A. Potemkin, but then he remained to work at the Central Bank.
Notes
- ↑ Moscow Exchange increased annual net profit by 67.5%
- ↑ The Moscow Exchange summed up the trading results in December 2023
- ↑ Moscow Exchange announces financial results for 2022
- ↑ The Moscow Exchange summed up the results of trading in 2022
- ↑ investors invested 1.35 trillion rubles in Russian securities on the Moscow Exchange in 2021
- ↑ Foundation Capital owns 6.9% of the Moscow Exchange
- ↑ Year according to the Yuan calendar
- ↑ The share of the Moscow Exchange fell below 50% of the total volume of currency trading in Russia
- ↑ Authorities approve Softline buyout of EBRD stake in Moscow Exchange
- ↑ VEB sold a stake in Mosbirge to the state-owned company Almazyuvelirexport
- ↑ Moscow Exchange will abandon its office near the Kremlin due to partial removal
- ↑ Moscow Exchange Announces 2020 Financial Results
- ↑ million people became investors on the Moscow Exchange in 2020
- ↑ of the Moscow Exchange will begin to calculate IT indices and construction companies.
- ↑ companies. Moscow Exchange launched trading in shares of foreign companies from S&P 500
- ↑ market/ 20200616/831634708.html The Moscow Exchange will launch trading in the 25-30 most liquid shares from the S&P 500 index in the summer
- ↑ The head of the exchange leaves after the strategy
- ↑ ixzz1CnNsRVqV Billion on the stock exchange
- ↑ Company
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