MICEX and RTS are no longer known onlyprofessional traders, but also ordinary people. Exchange trade has become a familiar part of everyday life, a stable topic of news feeds, it is discussed at the state level. But how is Russian trading arranged? What factors affect stock quotes? What was special about securities trading during the financial crisis? What are the principles of stock exchanges and what are the features of the history of the Russian trading market?
What is a stock exchange
Stock exchanges - organizations representingis a financial structure where the owners of shares and other securities make numerous transactions for the purchase and sale. As a rule, this happens through intermediaries. Exchange participants are securities traders and various financial institutions. Trading takes place according to internal rules and regimes of a financial organization. A distinctive feature of the stock exchange from others is that only securities are a commodity.
Their cost is formed by mechanismssupply and demand, purchase and sale occurs according to the regulations. Experts define several functions of stock exchanges. First, it is mediation, creating conditions for the purchase and sale of securities with the participation of issuers and investors. Secondly, it is an indicative function - assessment of the price and attractiveness of shares. Thirdly, this regulation is actually a definition of the rules and norms of trade. The history of trading in Russia knows the three largest exchange brands: Moscow Exchange, MICEX, RTS.
MICEX: from Soviet origins to modern times
MICEX (Moscow Interbank Currency Exchange)appeared in 1992. But It is worth noting that the first such financial institutions appeared in Russia in the late 18th and early 19th centuries. In Soviet times, the exchange did not work. MICEX originates from currency auctions, which are arranged by Vnesheconombank. In the second half of the 90s futures and corporate securities began to be traded on the stock exchange. The active work of the MICEX continued even during the 1998 crisis.
In the 2000s, the trading volume on the exchange becameamount to hundreds of billions of dollars. Here appeared quotes of hundreds of companies. More than 200 of them have a total capitalization exceeding $ 300 billion. MICEX trades in the largest Russian companies: Gazprom, Lukoil, Rostelecom.
RTS: the years of "independence" and the merger with the MICEX
For a long time, the MICEX coexisted with another exchange- RTS, which was established in 1995. Immediately after the launch, she had a special index. For the securities market of the Russian Federation, it has become one of the key. In 2000, the Moscow Stock Exchange RTS appeared, and on its basis - the FORTS market (known for options and futures). Since 2005, anyone could trade anonymously via the Internet. Online trading has become so popular that most Russian-speaking netizens have begun to understand what MICEX and RTS are, and what these structures are for.
In 2007, the financial decision RTS START appeared,where small and medium enterprises could trade securities. Thus, the stock exchange turned into a financial instrument, the possibilities of which were useful to the widest audience: from ordinary citizens to any kinds of business. In 2008, at the initiative of the Moscow Exchange RTS, the Ukrainian Exchange appeared. Thanks to this, Ukrainian citizens were able to trade stocks via the Internet. In 2008, a market for shares in rubles appeared on the RTS, where the most liquid assets issued in Russia were traded. At the end of 2011, both financial institutions merged into Moscow Exchange OJSC. MICEX, RTS, their projects and solutions nevertheless played a crucial role in the development of the Russian stock market.
Factors determining the value of shares
The main indicator of the value of securities onstock exchanges - quotes. They are expressed most often in points or units of currencies. The factors that determine the quotes of MICEX and RTS, in general, are based on market laws characteristic of other exchanges. First of all, these are indices on other trading platforms. The situation in the world greatly affects the Russian stock exchanges. Quotes reflect, as a rule, the profitability of the company. The higher it is, the higher will be the points on the exchange. Another factor is the policy of the authorities both in the foreign arena and inside the country. If relations with other countries are not doing very well, then this threatens investors with distrust and capital outflows.
Foreign traders had a good time to studyRussian stock market. They know what the MICEX and the RTS are, as well as their successor in the face of the Moscow Exchange. Therefore, having received a negative signal from the political arena, they may decide on the withdrawal of capital from Russia. On stock quotes of firms affects the publication of data on revenues and losses. Securities of successful businesses are bought better and grow in value. The most important factor for Russia is oil prices. When the crisis came, many traders were surprised: "What is it?" MICEX and RTS, it seems, showed excellent results, but suddenly the quotes collapsed at times. The case turned out to be in the price of "black gold", which dropped just as significantly.
Interesting about MICEX
MICEX, according to some analysts, -The largest stock exchange in Eastern Europe. Experts note that foreign investors are very sympathetic to this financial structure. MICEX trades in stocks, shares, bonds, deposit receipts. The exchange allows conducting bargaining deals, repos, anonymous purchase and sale. Here you can trade options and futures. Along with the RTS, the MICEX, in the course of market development, actively developed Internet technologies. Online stock trading has been introduced since 1999.
Interesting about RTS
RTS in the years of "independence" by many expertsThe market was considered the largest electronic exchange in Russia. Among its remarkable properties - reliability. The RTS Technical Center was created to maximize the stability of the exchange. Some experts believe that there are no analogues to the programs created by this structure in Russia.
Any exchange - RTS, MICEX, their foreign counterparts - has the infrastructure designed to provide a safe and stable connection between the issuer of securities and the investor.
