The new versions of the Rules of Trading in the Derivatives Market of the MICEX SE and the Rules of Admission to Trading in the Derivatives Market of the MICEX SE, approved by the RF Federal Service for Financial Markets, come into effect today. The new versions of the rules have been adopted in the framework of the project to launch stock derivatives on the MICEX Stock Exchange. In accordance with the decision made by the Board of the MICEX Stock Exchange, organizations which have submitted their applications within the period of 9 April - 8 August 2007 will pay preferential entrance fee. For these organizations, the amount of the entrance fee is 1000 rubles independently of the category of participation in trading. It is intended that trading the MICEX Index futures will start within one month after the specification of the futures contract, adopted by the Board of the MICEX Stock Exchange, is approved by the RF Federal Service for Financial Markets. The specification was submitted to the RF FSFM on 21 March 2007.
According to the CEO of the MICEX Stock Exchange Alexei Rybnikov, “the MICEX Index futures has a good chance of becoming the main instrument of hedging risks and forecasting the situation on the Russian stock market. This is because the MICEX Index is the main indicator of the share market on the MICEX SE. In the first quarter of 2007, the volume of trading on the MICEX SE amounted to 98% of the total volume of exchange-based trading in Russia.” Over 90% of the Exchange’s total turnover is accounted for by stocks comprising the MICEX Index. At the beginning of 2007, the share of index funds based on the MICEX Index exceeded 75% of the total number of Russia’s index funds and 90% of the total value of their net assets.
On April 9, 2007, the Board of the MICEX Stock Exchange decided to put into effect
-
·
- the Rules of Trading in the Derivatives Market of the MICEX SE (the Rules of Trading) and ·
- the Rules of Admission to Trading in the Derivatives Market of the MICEX SE (the Rules of Admission).
Both documents are published on the web site of the derivatives market of the MICEX SE: http://www.micex.ru/stock_der/docs.html.
The Rules of Trading and the Rules of Admission have been put into effect in the framework of the MICEX Group’s project to launch trading in stock derivatives. The first derivative instrument to be offered is the MICEX Index futures.
The specification of the MICEX Index futures has the following parameters:
-
·
- contract size: 20 rubles X the MICEX Index value; ·
- tick size: 0.25 of the Index point; ·
- contract quotation: 100 X the MICEX Index value; ·
- contract months: 2 nearest series from the standard quarter cycle (March, June, September, December).
Find the draft specification of the MICEX Index futures on the web site of the derivatives market of the MICEX SE: http://www.micex.ru/stock_der/docs.html .
The Rules of Admission provide for three categories of participants in trading in the derivatives market of the MICEX SE: general participants in clearing (GPC), individual participants in clearing (IPC) and participants in trading (PT). They have different rights in the service of market participants and in settlements with the MICEX. For these categories of participants in trading, the amount of the entrance fee varies from 900 thousand rubles (for GPC) to 300 thousand rubles (for PT).
After putting the Rules of Trading and the Rules of Admission into effect, the MICEX Stock Exchange began to accept applications for participation in trading in the derivatives market of the MICEX Stock Exchange. Find more information on applying for participation in trading on the web site of the derivatives market of the MICEX SE: http://www.micex.ru/stock_der/how.html .
