MSE introduces upcoming changes and two new indices

Following the Financial Regulatory Commission’s approval of revisions on “Trading rules”, “Index Calculation Rules”, and “Listing Rules” on February 8, 2018, Mongolian Stock Exchange (MSE) has introduced the amendments to the rules.

The notable changes of Trading Rules are as follows:

Closing price to be calculated as a weighted average of the trades within the last hour prior to trading close Upper price limit for block trade to be removed New order types such as Fill or Kill, Minimum Fill and Iceberg order to be enabled.

Changes of Listing Rules:

The regulations for dual-listing including the waivers and exemptions are provided; Listing criteria and requirements are updated including a new section for mining companies Listing fees are set to be calculated from the total market capitalization In order to promote the sustainable activities of listed companies, the companies with operations that promote sustainable development shall receive discounts on their listing and annual fees. Additionally, the MSE has introduced 2 new indices Board I and II (MSE-A & MSE-B). MSE informed that this will allow investors and market participants to understand which board of securities is driving the market performance as well as laying a foundation for introduction of index based products in the future. Calculation of Board I (MSE A Index) and Board II (MSE B Index) indices start retrospectively from January 2, 2018 with the initial value of 10 000 each and from the start of the year, MSE A Index has gained by 7.9 percent and MSE B Index by 0.8 percent.