Russian Trading System (RTS) represents one of the two largest stock exchanges for trading in Russian securities.It was organized in 1995 as an alternative to already existing at the time the MICEX.After almost 20 years the RTS was transformed into a large-scale structure, which not only provides access to trading by private investors and professional participants of the securities market, but also has a number of additional services, including clearing, settlement and depository.
concept RTS
What is RTS?This status indicator of the Russian stock market, which is calculated on the basis of securities transactions concluded on the trading platform RTS.Its value reflects the total market capitalization of shares traded on the Russian stock market.In turn, the capitalization of each company is the market value per share multiplied by the total number of shares outstanding and reflects the fair market value of the company.
RTS index, along with the MICEX index, a leading indicator of the domestic stock market.However, after the unification of trading floors MICEX and RTS calculation of both the index actually engaged in the same joint stock exchange MICEX-RTS.The main difference between these two figures is that the MICEX index is calculated in rubles, while the RTS - in dollars.Therefore, changing it affects not only the dynamics of prices on shares of Russian companies, but also a change rate of the ruble against the dollar.With the continuous growth of the US dollar RTS index shows a positive trend compared with the MICEX index.That is, its value is growing faster, but decreases slower than its "competitors".
Types
RTS index RTS index include whole family of different calculation indices.These include: the index RTS Standart, the RTS-2 index volatility (RTSVX), RTS Siberia (RTSSIB) and a number of sectoral indices.
main RTS Index (RTSI) is calculated on the basis of information about trading in shares of 50 of the largest Russian companies.These include Gazprom, Lukoil, Sberbank, Surgutneftegas, and a number of shares of other companies.To enable the company's shares in the RTS they must meet two criteria.Firstly, shares shall be traded on the RTS stock exchange.Second, the company's capitalization should be at least 0.5% of the total capitalization of all the stocks in the index.The list of companies is reviewed quarterly.
algorithm for calculating
RTSI index is calculated starting from 1 September 1995.It was then started trading in securities trading on the RTS.Its importance is reflected in the relative units.At the date of the first day of trading RTSI index was arbitrarily taken equal to 100 points.
In order to understand what is the RTS, we give an example of a conditional calculation of its value.Assume that as of September 1, 1995 total capitalization of companies whose shares are included in the index RTSI, was 500 000 dollars.On the date of the next calculation of the conditional she grew up, say, to 850 000 dollars.Nominal value of the index in this case is:
850 000/500 000 * 100 points * 183 points = 1.0752559 (1.0752559 - a correction factor used in the calculation).
other words, the stock market capitalization increased by 1.83 times.
procedure for calculating the RTS Index calculation is carried out on the basis of the prices of purchase of shares included in the index.This is done every 15 seconds, that is, in real time.But traders and analysts of the stock market are the most important information on the data value of the index as of the time of opening and closing, as well as the maximum and minimum values at the end of the trading session.It is this data used for the analysis of the dynamics and trends in the prices of shares of Russian companies.
Now it became clear that the RTS index is and what its calculation algorithm.It's time to evaluate the change in its value during the auction at the RTS stock exchange.The index values are constantly changing.In this complex process exerts its influence a whole range of different factors, which include the state of the world economy in general and the macroeconomic situation in the country, and the state of the industry, and of course, the situation in individual companies.Russia today in the world classification relates to the emerging markets.Therefore, the value of domestic stock markets are very sensitive to fluctuations in the index of developed markets, including NASDAQ and DowJones.
history RTS
1260 points - it is so important today is the RTS index.Dynamics shows that over the past 19 years, the capitalization of the Russian wound shares rose more than 12 times.At first glance it looks very optimistic.But is it really?
Index reached its peak in May 2008.At that time it was 2498.10 points.However, the crisis of 2008 led to a severe reduction in the capitalization of Russian companies.As a result, the fall of the index sank to a level of 80 points.Despite the recovery of the Russian economy, the domestic stock market is still not fully recovered from the serious losses incurred.As a result, today the leading companies of the Russian economy are almost twice cheaper than in mid-2008.And that with the growth of the dollar against the ruble by more than 10 rubles.(at the level of 23-25 rubles. to today's 35 rubles. for one dollar).
What is RTS?It's kind of a litmus test of the state of the Russian stock market, and hence the economy as a whole.It was on the basis of its dynamics can conclude how well developed the largest domestic companies.Analysis of changes in the index suggests the current state of the securities market and is one of the main criteria for making decisions to buy or sell shares of Russian issuers.
