Moscow Exchange begins calculating Value Building Index
MOSCOW. July 22 (Interfax) - The Moscow Exchange begins calculating and publishing its Value Building Index on July 22, the trading platform said in a statement.
The index code is MVBI. It is currently calculated based on shares in six issuers - the Moscow Exchange, IPJSC En+ Group, SFI , Europlan , MTS Bank and PJSC Promomed .
The index was developed as part of the Shareholder Value Building program, a joint initiative by the Central Bank of Russia and the Moscow Exchange aimed at making Russia's public companies more attractive to investors, raising their shareholder value and maintaining best corporate practices.
"The Bank of Russia considered several dozens of companies from the financial and non-financial sectors as participants for the program. Once all the applications were reviewed, we selected several issuers which demonstrated the necessary institutional quality. We hope that they will give rise to a new generation of 'blue chips' - companies which adhere to high corporate management standards and place importance on increasing their attractiveness to investors," Director of the CBR Corporate Relations Department Ekaterina Abasheeva is quoted as saying in the statement.
The decision to include shares in the index is made by a committee of representatives from the Moscow Exchange, CBR and ACRA, which assesses the corporate management and informational transparency of an issuer, as well as its financial and economic results. Participant status must be confirmed at least twice each year.
The program is open to issuers whose shares are included in the first or second listing tiers of the Moscow Exchange.
"The program will provide new opportunities for professional leaders to develop their index products and can attract additional funds to the Russian stock market," senior managing director for issuer and government relations at the Moscow Exchange Elena Kuritsyna said.
New shares can be included in index calculations once the program committee gives the corresponding recommendation. The parameters of what the index takes into account are recalculated each quarter.
