RTS STOCK EXCHANGE AND COMMODITIES MARKET

Transcription

1 RTS STOCK EXCHANGE AND COMMODITIES MARKET 23 FEBRUARY 2011 LONDON

2 CONTENT RTS KEY FACTS 3 RUSSIA: ECONOMIC SNAPSHOP 4 RTS TARGETS 5 GLOBAL RUSSIA 6 ORGANISATIONAL STRUCTURE 7 15 YEARS AND CONTINUING... 8 GEOGRAPHICAL EXPANSION 9 RTS TRADING PLATFORMS : FORTS 10 TRADING HOURS 11 KEY FACTS ABOUT COMMODITY TRADING IN RUSSIA 12 SECTIONS OF COMMODITIES CONTRACTS 13 COMMODITIES MARKET TRADING VOLUME 14 MARKET PARTICIPANTS (2010) 15 EXISTING COMMODITY CONTRACTS 16 A LISTING OF THE MOST ACTIVE FUTURES AND OPTIONS 17 CONTRACTS WORLDWIDE TICKERS COMMODITIES CONTRACTS IN BLOOMBERG AND 18 THOMSON REUTERS EXISTING COMMODITY CONTRACTS 19 NEW INITIATIVES in CONTACTS 21 2

3 RTS KEY FACTS Established in 1995, it is the first regulated stock market in Russia Now it is in top 10 the most successful global derivatives exchanges RTS Index is the main benchmark for the Russian Securities industry and is based on the Exchange s 50 most liquid and capitalized shares RTS The full range of financial instruments from cash equities to commodity futures are traded on RTS Stock Exchange RTS is the only Russian Exchange to adopt Multilateral Netting. This eliminates bilateral counterparty risk, reduces total transaction costs and simplifies settlement Main Regulating Authorities: Federal Financial Markets Service Self-Regulatory Organizations RTS Board of Directors FORTS Derivatives Committee Expert advice on commodity market Cash Equity Market CLASSICA Est Futures & Options FORTS (including Commodities Market) Est Unified trading platform Unified trading platform Cash Equity Market STANDARD Est

4 RUSSIA: ECONOMIC SNAPSHOP Largest country in the world (6,592,800sq. mi.) 9 Time Zones , average GDP growth was 6.5% Economic leader in Eastern Europe Represents approx.75% of CIS GDP Russia possesses a very respectable Credit Rating The rapid growth resulted from the abundance of natural resources and swift integration into the global economy, backed by domestic and foreign investments in fixed assets and growth in consumer spending Good and improving investment climate: Macroeconomic stability Political stability Sustained domestic economic growth rates Strong and influential international connections Other indicators: Government debt is only 5% of GDP (down from 80% in 1998) Russian economy is very well positioned among its peers HSBC, in their emerging markets report (July 2010) names Russia as the most attractive investment opportunity amongst the BRICs UBS top pick among developing nations is Russia, which offers the lowest valuations relative to the MSCI Emerging Markets Index, given its sustainable growth and earnings recovery Year GDP (Current Prices) World Rank 2000 $260 bn 19 th 2009 $1,229 bn 12 th 2015e $3,060 bn 6 th 4

5 RTS TARGETS To promote the products and services offered by RTS Group among international investors and financial regulators To adapt Russian businesses to the Western community To strengthen international investor relations To encourage a positive environment for global players in the Russian Securities Market 5

6 GLOBAL RUSSIA In less than 15 years of operation, RTS manages to trade on the same global level as NYSE and LSE, which have 193 and 209 years of experience (respectively) RTS has been successfully developing the derivatives market Complete electronic trading 9 time zones are traded within RTS Almost 24hr Trading Huge trading advantage and a great positive investment potential Russia offers the investor various asset base The evening trading session on FORTS overlaps with the trading hours of Western markets 6

7 ORGANISATIONAL STRUCTURE Open Joint Stock Company Russian Trading Systems Stock Exchange (RTS) RTS Clearing Center 100% St. Petersburg Exchange (SPEX) 19.99% Eurasian Trading Company (ETC) 61.82% Ukrainian Stock Exchange (URKSE) 43% Depository Clearing Company 97.76% RTS Settlement Chamber 100% 7

8 15 YEARS AND CONTINUING CLASSICA Established FORTS Established FORTS Commodities Market Established STANDARD Established 2009 London Office Established St. Petersburg Exchange (SPEX) Joined RTS Group 2006 Futures: Urals Oil, Gold 2007 Futures: Silver, Gasoil, Sugar Option: Gold 2008 Futures: Brent oil Option: Silver 2009 Futures: Platinum and Palladium 2010 Futures: Copper, Power Option: Brent oil, Platinum 8

9 GEOGRAPHICAL EXPANSION RTS has a wide and expanding domestic and international presence With the opening of the London office in 2010, connections with Western firms and markets are ever increasing Russia offers very prosperous investment opportunities The country has witnessed ever increasing domestic investment and participation on the financial market 9

10 RTS TRADING PLATFORMS : FORTS 38 Futures and 13 Options Trading Hours (MSK): am 2.00 pm (Main Trading) 2.00 pm 2.03 pm (Intraday Clearing) 2.03 pm 6.45 pm (Main Trading) 6.45 pm 7.00 pm (Evening Clearing) 7.00 pm pm (Evening Trading) Top 5 traded contracts Contract December 2010 Trading Volume Rating USD Contracts RTS Index futures RUB/USD futures EUR/USD futures Sberbank shares futures Gazprom shares futures Top 5 leading operators in December IT Invest Investment Company 2 OTKRITIE Financial Corporation 3 Brokercreditservice Company OOO 4 ALOR Group 5 Zurich Capital Management Leading derivative market in Eastern Europe Top-10 global derivatives exchange Based on over 15 years of successful market development An up-to-date guarantee system FORTS financial safeguard system is based on the following funds: Initial margin (deposited by FORTS members and their clients under the open interest) Contingency Fund (made of equal contributions from FORTS members and RTS Standard members) Reserve Fund (formed from RTS Clearing House s own balance sheet) Additional evening session gains an advantage for investors and brokers alike CCP Guarantees Top 50 market participants include: Credit Suisse, Deutsche Bank and Merrill Lynch 10

11 TRADING HOURS London time :00 (open) 20:50 07:00 (close) 15:45 RTS Evening session Main session 11:00 11:03 Intraday clearing session Main session 15:45 16:00 Evening clearing session ICE CME 11

12 KEY FACTS ABOUT COMMODITY TRADING IN RUSSIA Russian Government created a task of active development of commodities trading in Russia (in frame of federal program «Creation of international financial center in Moscow») 4 exchanges are focused on commodity trading in Russia: RTS MICEX (soft) SPIMEX (oil/oil products) MBNK (oil/oil products) RTS as a main derivative exchange in Russia aimed to develop number of instruments for hedging purpose to be used by oil producers and financial institutions. 12

13 SECTIONS OF COMMODITIES CONTRACTS OIL and OIL PRODUCTS: Brent & Urals and Gasoil 12 month Financial delivery Basis ICE Brent Index and Russian Gasoil Price Index (19 Refinery) METALS: Gold, Silver, Platinum, Palladium, Copper 4 month (Mart, June, September, December) Financial delivery Basis Price on London Fixing (Copper Price on LME) SOFT: Sugar 5 month Physical delivery Basis Russian local price (South region) POWER: 12 month Financial delivery Basis Russian Power Price Index (Europe and Siberia) 13

14 COMMODITIES MARKET TRADING VOLUME 14

15 MARKET PARTICIPANTS (2010) 8634 unique accounts (clients) 15

16 EXISTING COMMODITY CONTRACTS FUTURES: Oil (Urals & Brent) Gasoil Sugar (physical & financial delivery) Gold Silver Platinum Palladium Copper Power OPTIONS: Oil (Brent) Gold Silver Platinum Top 5 traded contracts Top 5 Commodities Contracts 2010 Rating Trading Volume USD (bln) Contracts Top 5 leading operators in December 2010 Rating Name of Brokers 1 Solid IFC Brent futures Gold futures Silver futures Power futures Platinum futures OTKRITIE Financial Corporation 3 IT Invest Investment Company 4 Brokercreditservice Company 5 Troika Dialog 16

17 A LISTING OF THE MOST ACTIVE FUTURES AND OPTIONS CONTRACTS WORLDWIDE 17

18 TICKERS COMMODITIES CONTRACTS IN BLOOMBERG AND THOMSON REUTERS Futures Ticker Bloomberg Ticker Thomson Reuters Oil BRENT B5A Comdty BRRTSc1 Oil Urals C5A Comdty URRTSc1 Gasoil DESA Comdty DSRTSc1 Cooper RTCA Comdty CURTSc1 Gold C3A Comdty GDRTSc1 PALLADIUM PLDA Comdty PDRTSc1 PLATINUM PLTA Comdty PTRTSc1 SILVER SVAA Comdty SVRTSc1 SUGAR (RUSSIAN) RSRA Comdty SURTSc1 RAW SUGAR SAAA Comdty SARTSc1 POWER CONTRACT (hub Ural, baseload) UBBA Comdty UBRTSc1 POWER CONTRACT (hub Ural, peakload) UPPA Comdty UPRTSc1 POWER CONTRACT (hub Centr, baseload) CBLA Comdty CBRTSc1 POWER CONTRACT (hub Centr, peakload) CPCA Comdty CPRTSc1 POWER CONTRACT (hub West Siberia, baseload) POWER CONTRACT (hub East Siberia, baseload) Options Ticker Bloomberg Ticker Thomson Reuters OIL BRENT B5A Comdty OMON 0#BRFS*.RTS GOLD C3A Comdty OMON 0#GDFS*.RTS PLATINUM PLTA Comdty OMON 0#PTFS*.RTS SILVER SVAA Comdty OMON 0#SVFS*.RTS 18

19 EXISTING COMMODITY CONTRACTS There is a high demand from local and international traders to Brent contract. The volume is growing consistently. There is arbitrage possibility (ICE-RTS). 19

20 NEW INITIATIVES IN 2011 Clearing of OTC deals (Oil, Oil Products and Coal) New Futures Contracts Introduction for Oil products on the main Russian Export Points New Power Contracts Introduction with execution on quarter and year basis. 20

21 CONTACTS Global Business Director Ekaterina Troshinkina Tel: +44 (0) RTS Exchange Europe Ltd Level 33, 25 Canada Square, Canary Wharf, London E14 5LQ Direct : +44(0) Reception: +44(0) Director of Commodities market Department Sergey Danov Tel: danov@rts.ru RTS Exchange 4/7 Vozdvigenka str., bld. 1 Moscow, Russian Federation Useful Links: Copyright All Rights Reserved 2010 OJSC Russian Trading System Stock Exchange, Moscow Open Joint Stock Company Russian Trading System Stock Exchange has used all reasonable efforts to ensure that the information contained in RTS MARKETS newsletter is accurate and correct but shall not be liable for any damages including, without limitation, direct, indirect, incidental, special, consequential or punitive damages arising out of the use of the materials and/or services made available via the RTS MARKETS. The RTS Stock Exchange logo is a registered trademark of RTS Stock Exchange. 21