Russian blue chips on KASE
7 major Russian companies will hold a listing on the Kazakhstan Stock Exchange. Financial and commodity sector companies along with air transport services firm will offer their securities on KASE. Stock prices on KASE will be directly linked to Moscow stock exchange prices. After that the price will be converted into tenge at the current rate on the Kazakhstan Stock Exchange.
Timur TURLOV, CEO, INVESTMENT COMPANY:
Historically, we have seen interest from customers in Kazakhstan to the Russian market. Again, historically there were problems of Russian foreign trade in securities, including Russian tax legislation. In open trade transactions involving securities on KASE, the tax incentives provided by the legislation of Kazakhstan, will be fully applied. Accordingly, investors will be able to count on a zero tax rate when trading the securities.
According to experts of the Freedom Finance investment company, the first stage of the placement volume will amount to several hundred thousand dollars. After transition of trading on T + 2 mode, the supply volume will increase depending on the demand from the investors.
Natalia KHOROSHEVSKAYA, DEPUTY CHAIRWOMAN, KASE:
In general, the Kazakh stock market is in need of growth drivers. A listing of several Russian securities, that are liquidity valid top-end tools on the "home" market, is, of course, a move that could serve as a strong driver.
Shares of Russian companies can be bought in any quantity, minimum lot is equal to one security. Trading is scheduled to begin after April 15. Experts say that in addition to investment income, stockholders can count on dividends. In the long term, it is planned that 6 more companies will enter the Kazakhstan stock market.