Kazakhstan Stock Exchange

Name

Kazakhstan Stock Exchange Joint-Stock Company

Kazakhstan Stock Exchange JSC

KASE

History

On November 15, 1993, Kazakhstan introduced its own national currency, the tenge. The Kazakhstan Interbank Currency Exchange established on November 17, 1993 was assigned the role of the operator of foreign currency trading; a few years later it was renamed The Kazakhstan Stock Exchange.

Management structure

The Exchange is a commercial entity operating as a joint-stock company. The bodies of the Exchange are as follows:
– the supreme body is the General Meeting of Shareholders of the Exchange;
– management body is the Board of Directors of the Exchange (the Exchange Council);
– executive body is the Management Board.

Shareholders

As at February 1, 2022, the total amount of authorized shares of the Exchange amounted to 5 mln pieces; 1,075,231 of them are outstanding. The Exchange has 48 shareholders including banks, brokerage firms and retail investors. The National Bank owns 47.0% of the total number of outstanding shares.As part of the implementation of the Agreement on Strategic Cooperation concluded between KASE and MOEX, MOEX acquired 140,864 KASE shares. As a result, the share of the Moscow Exchange in the authorized capital of KASE is 13.1 % of the issued shares of KASE.

Equity

As at October 1, 2021, shareholder’s equity of the Exchange amounted to KZT4,065,584 th.

The main markets of KASE

KASE serves the following markets:
– foreign exchange market;
– money market (currency swap and repo transactions);
– securities market (corporate serial securities, governmental securities);
– derivatives market (derivative securities).

Brief description of calculations

Corporate securities: on T+0 terms through Central Securities Depository JSC (Almaty).

Corporate and government securities for which clearing activities are carried out on T+2 terms through Central Securities Depository JSC (Almaty).

Foreign currencies that are cleared: on the terms TOD, TOM, SPOT in tenge through the Exchange’s correspondent accounts in the National Bank of the Republic of Kazakhstan; in foreign currencies through foreign correspondent banks.

Derivative financial instruments that are cleared through Kazakhstan Stock Exchange.

KASE indices and market indicators

KASE Index
Benchmark of the Kazakh stock market, the value of which is determined based on the data of the most liquid stocks of Kazakhstan’s largest and most financially stable companies, which are included in the Exchange’s official list.

KASE Index is calculated as the ratio of market prices of shares included in the representative list of the index as of the date of its compilation to the prices of shares of this list as of the current date, which is weighted by capitalization, taking into account the shares in free float. The index is recalculated after the conclusion of each deal in real time.

Corporate bond market indices
KASE_BMC index is the index of “clean” prices of corporate bonds of the main market of the Exchange’s official list,
KASE_BMY index is corporate bond yield index of the main market of the Exchange’s official list,
KASE_BAC index is the index of “clean” prices of corporate bonds of the alternative market of the Exchange’s official list,
KASE_BAY index is yield index of corporate bonds of the alternative market of the Exchange’s official list.

Money market indicators

MM INDEX (MONEY MARKET INDEX) is a composite indicator of the money market, which represents the average value of the weighted average interest rates (yield) on USD/KZT currency swaps and automatic repo transactions with government securities of the Republic of Kazakhstan opened for one working day, weighted through the volume of deals. The indicator is calculated on all opening deals of the USD/KZT currency swap and auto repo transactions with securities of the GS Basket, concluded in KASE’s trading system during a trading day, and is updated based on the results of that day.

TONIA (Tenge OverNight Index Average) is a risk-free rate chosen by market participants within the working group on money market indicators with the participation of the European Bank for Reconstruction and Development and second-tier banks of the Republic of Kazakhstan.

The calculation is carried out as the weighted average value of the yield of one-day repo transactions with securities of the GS Basket with a cut-off of 5% of deals with the lowest and highest yield. The threshold volume of deals for calculating TONIA is set at KZT100 billion. If the threshold value of the volume of deals per day is not reached, TONIA is determined as the sum of the base rate effective on that day, established by the National Bank of the Republic of Kazakhstan, and the average TONIA spread to the base rate for the previous five days.

TCI (TONIA Compounded Index) – TONIA composite index calculated every calendar day based on the last calculated value of TONIA indicator.

TCR (TONIA Compounded Rate) – TONIA compounded rate calculated every calendar day based on TCI values. The calculation uses a windowing equal to the actual number of calendar days during the period under consideration. ТСR is calculated for one month (TCR_1M), three months (TCR_3M), and six months (TCR_6M) tenors.

TRION (Tenge repo index OverNight) is the weighted average interest rate on repo opening deals for one business day, concluded on the Exchange during the day in the automatic repo sector with securities of the GS Basket, for which the Exchange carries out clearing activities using the services of the Central Counterparty.

TWINA (Tenge Week Index Average) is the weighted average interest rate on repo opening deals for seven business days, concluded on the Exchange in the automatic repo sector with securities of the GS Basket, for which the Exchange carries out clearing activities using the services of the Central Counterparty.

SWAP-1D (SWAP-2D) is an indicator of the yield of one-day / two-day USD/KZT currency swap transactions, which represents the average yield on all opening deals of the corresponding currency swap for a period of one (two) business days, concluded in KASE’s trading system during the day, weighted through the volume of deals. The value of the indicators is recalculated after the conclusion of each deal on the currency swap transactions market.