RTS index change. RTS Index - what is it? RTS index chart

  • 16.12.2020

After the collapse of the Soviet Union, new economic relations gradually began to form on the territory of Russia. So he was reborn. Today, the Moscow Exchange can be called a financial center in Russia, and the RTS (RTSI, RTS) is considered one of the key indices. Let's take a closer look at it in order to understand how great its significance for the domestic market as a whole.

The RTS Index (RTSI, RTS) is the main stock exchange indicator in Russia. His calculation began in 1995 and continues to this day. The base value of the index was 100 points. It displays the general level of capitalization of the companies that it includes. The higher the value, the better.

Along with it, there is another important index for the Russian market - the MICEX. The fact is that they are based on the performance of the country's leading enterprises, so they can reflect the state of the national economy. There is a very important difference between them:

  • RTS is calculated in US dollars;
  • MICEX - in rubles.

Issuers and composition of the RTS

RTS includes a huge number of indicators. Among them are the following:

  • RTS-2;
  • RTS standard;
  • RTS Siberia;
  • volatility index;
  • industry indices and so on.

In total, the issuers include 50 companies. Among them are the largest:

  • Sberbank;
  • Gazprom;
  • Lukoil;
  • Magnet;
  • NOVATEK;
  • Surgutneftegaz;
  • Norilsk Nickel;
  • Rosneft and others.

50% enterprises represent the oil and gas sector.

There are several conditions for issuers to be added to the RTS index. To begin with, the organization's shares must be listed on the Moscow Exchange. The second important condition for adding to the RTS is the market value of the organization, which must be more than 0.5% of the current index capitalization.

Changing the RTS value

In 1995 they began to calculate the RTS. The starting size of the index was 100 points. In the summer of 2008, it reached its peak of 2400 points. This means that the market capitalization of organizations included in the index has increased 24 times over the 13 years of its presence on the market.

On September 19, 2008, the maximum increase in the RTS index in one day was recorded - +22.39%.

After the stabilization of the stock market, the RTS again demonstrated positive dynamics. There are other reasons why the index, almost 8 years after the crisis, is still half of its maximum level.

The Russian stock market took longer to recover from the damage. An important role was played by the increase in the dollar. There are quite a large number of companies representing the oil sector among the issuers. The prices for "black gold" have also shown a strong fall recently, which ultimately had a negative impact on the RTS index.


RTS futures trading

Since the RTS is the main indicator in Russia, this futures is in great demand among traders. Bidders can enter into contracts for its increase and fall.

For their part, brokers provide the most favorable trading conditions due to leverage and a minimum commission. On the website of the exchange, you can get acquainted with the participants who have access to the derivatives market and can make deals on the RTS index.


Calculation of the RTS index

A special database of issuers is used to calculate the RTS. It is updated every three months.

Let's say that in 1995 the total market capitalization was 300 thousand US dollars. Then this value was taken as 100 points. A few years later, the market capitalization increased to $500,000. The formula for calculating the RTS index will look like this: 500,000/300,000*1.0752559*100= 179,20 . The number 1.0752559 represents the correction.

However, the index is calculated not once a year, but every second throughout the trading session, so it is an important indicator of the stock market.

The value of the RTS index

Why is the RTS index so important for traders and the economy as a whole? There are several reasons.

  1. High liquidity.

Traders regularly trade this asset, so it is attractive not only for regular market participants, but also for new investors. The work is based on the same principles as in the case of a regular purchase / sale of securities.

  1. Helps to analyze the market.

This indicator allows you to assess the situation on the Russian stock market as a whole. The RTS Index will help determine the dynamics of the increase in the price of the company's shares and increase in capitalization, or vice versa, fix the fall.

  1. Rate.

If a similar MICEX index is calculated in national currency, then the RTS calculation is influenced by the current exchange rate of the ruble against the dollar. Therefore, it is a more objective tool in the hands of a trader to assess the situation on the market.

Have you entered into contracts for the RTS index? Tell other ProfitGuide readers about your trading experience on the Moscow Exchange.

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Books

  • Finance and Credit No. 17 2017 , Absent. The journal reveals modern problems of the theory and practice of finance, money circulation and credit, banking and insurance, the securities market, tax policy and financial ... electronic book
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In times of stability as well as in times of financial instability, the stock market presents a huge field of opportunity for both saving and multiplying capital. If in Russia until recently the number of participants in the stock market was small, then in the West a large number of the population is somehow connected with the stock markets.

In Russia, the stock market is very young compared to Western ones. If we have been trading stocks for about 20 years, then for example, the Dow Jones index, which is an indicator of the US stock market, has existed since 1896, that is, for more than 100 years.

The most famous Russian stock indices are the RTS index and the MICEX index. To understand what the MICEX or RTS index is, you need to understand what a stock index is in general.

stock index- this is an indicator of the stock market, a certain average value showing how much the market as a whole has risen or fallen over a certain period of time.

RTS index calculated by the stock exchange "Russian Trading System" since 1996. The index includes 50 largest Russian companies.

MICEX index calculated by the stock exchange "Moscow Interbank Currency Exchange" since 1997. The index includes 30 largest Russian companies.

To better understand how indices (RTS or MICEX) are calculated, let's look at the following example. Let's say you have $100 and you decide to buy a few shares on them. For example, you bought shares in Sberbank, Lukoil, Gazprom, Rosneft and other shares. Thus, you spent exactly one hundred US dollars on the purchase. As you know, in the stock market, prices are constantly changing under the influence of supply and demand. The next day (or month) some stocks rose in price, and some, for example, fell in price. But if you calculate the value of all the shares that were purchased, then the value will be, for example, $105 . This means that your portfolio has increased by 5%.

The stock index is calculated in the same way. What is the MICEX index from this point of view? This is a portfolio of shares, the price of which changes during trading on the MICEX. Of interest is not the absolute value of the index, but relative, that is, the percentage change over a certain period, be it a day, a month or a year. Thus, it is possible to compare the dynamics of the index for different periods, as well as different indices among themselves.

Source - http://damoney.ru/

Economics in its theory has several types of indices. Their names and purpose in different regions of the world are different. In Russia today there is a practice of using two basic values: MICEX and RTS. To get acquainted with the specifics of the use of terms, you first need to understand RTS - what is it? The Russian trading system is designed to facilitate the sale of assets through exchange trading. Beginners and trading professionals can become participants in the transaction on the same terms.

Stock market

The stock market provides its participants with the opportunity to receive significant profits with proper investment. Having studied the basics of activity on its sites, players can be guaranteed to increase their assets. Compared to other investment options, the percentage of income received on the stock exchange is much higher. And the ratio of supply and demand at times of price fluctuations can change more quickly than in other sectors of the economy.

Securities are the main commodity on the stock exchange. Until 1995, the Russian Federation had the RTS stock exchange, which was subsequently transformed into the RTS by merging the RTS market and the MICEX.

The functional purpose of the stock exchange is the fulfillment of a certain number of conditions:

  • uniform distribution of the money supply between different sectors of the economy;
  • accumulation of funds, as a result of which free assets can be invested in various sectors of the economy;
  • simplification of the process of searching for investors for representatives of specialized organizations;
  • regulation of the uneven distribution of cash flows to eliminate crisis situations in the country's economy.

The stock market is primary and secondary. In the primary, newly issued shares are sold, and in the secondary, assets previously released into circulation are resold.

The subject of trading on the stock exchange can be any assets of companies around the world

What is RTS

Newcomers, when getting acquainted with the market, are faced with the question of how the abbreviation RTS is deciphered. In the full version, the decoding of the abbreviation sounds Russian Trading System. It is a platform where transactions for the sale and acquisition of assets of domestic and foreign organizations are concluded.

The RTS Index is an indicator designed to indicate the current situation in the corporate asset market. Its value makes it possible to determine the aggregate state of the level of capitalization of securities on the stock exchange. Until the mid-1990s, in the Russian Federation, the combined RTS and MICEX index was used to characterize the activity of exchange activities, which was subsequently combined into a single indicator.

The main difference between the two indicators is the currency of their calculation: MICEX is measured in domestic currency, and RTS is measured in dollars. Accordingly, when determining the RTS indicator, fluctuations in the ratio of the exchange rate of the American currency to the ruble are also taken into account. Due to the trend of periodic increase in the exchange rate of the American currency against the domestic one, the dynamics of the RTS is more intense than that of its counterpart.

Activities of the Russian Trading System

The specification of the System operation is the sale of shares of various enterprises both inside and outside transactions on stock exchanges. The composition of the RTS in the current conditions includes the standard market and OTC sales. As part of stock transactions, the classic, urgent, starting, and T + 0 platform are combined.

Each exchange trading base has its own characteristics and specialization. The purpose of each market can be determined from its name. The classic platform is designed to conclude standard transactions for the turnover of assets. Urgent - for the circulation of futures. Newly formed organizations and representatives of small businesses enter the start-up market. The subject of agreements on the T+0 market are shares in investment projects and bonds.

OTC activity consists in the regulation of the RTS-Board and RTS-Global quotation systems. Since the second half of the 2000s, RTS-Global was launched within the System, through which players can purchase and sell shares of foreign companies. RTS-Board has been operating since 2001 and displays quotations of valuable assets not accepted for circulation on the standard basis of the System.

In simple words, RTS calculates indicators to characterize the dynamics of the domestic economy by evaluating the success of 50 leading companies. Which companies are included in this list? These are the country's largest holdings: Tatneft, Severstal, Aeroflot, Rosneft, Magnit, Sberbank, etc.

RTS indices are an indicator of the state of the Russian economy

Types of RTS indices and their meanings

The RTS stock index combines an impressive range of calculated values. The most used of them is RTS Standard. It is determined on the basis of information on the liquidity of the assets of the fifty major companies in the country.

In order for the organization's shares to be included in this number, their compliance with two main parameters is required:

  1. Obtain admission to participate in trading according to the criteria of the System.
  2. Have a capitalization level of the organization's assets of at least 0.5% of the total level of all companies in the list from the previous billing period.

The list of organizations is compiled anew every quarter based on the results of business activity.

Exchange traders also consider the values RTS-2 indices, volatility, regional and industry indicators. Indicators help to more clearly determine the current position of the market, to predict possible fluctuations. Thus, to make this or that transaction in time to obtain the maximum possible profit.

How the index is calculated

To effectively trade, you need to know how the indicator is calculated. Its calculation began in 1995 from the moment the System was launched. The magnitude is expressed as a relative value. Since the launch of the exchange base, the value of the index, as agreed by the participants, has been set at 100 points.

The calculation formula for the index is as follows:

K2/K1*100*1.0752559, where:

  • K1 - the value of capitalization of assets at the beginning of the billing period;
  • K2 - the value of capitalization of assets at the end of the billing period;
  • 100 – initial specified value of the indicator;
  • 1.0752559 - conditional calculation coefficient (constant value).

Proportions of the company's shares

The determination of the value of the RTS index is carried out by financial specialists constantly during the working hours of the exchange. To be precise, every 15 minutes. The calculation is made by evaluating information about completed transactions with the assets of enterprises that are included in the list of RTS key companies.

Market participants more carefully monitor not the value itself, but the value of the indicator at the beginning and at the end of trading. And also the value of the maximum and minimum prices for the entire time of exchange activity. Analysis of this information allows us to make a forecast regarding the further dynamics of assets.

The very state of each specific organization, as well as the proportional quantitative ratio of their assets, significantly affects these indicators. An increase or decrease in the number of shares issued for trading is reflected in their value, and as a result, in the final value of the indices.

The value of the RTS index is determined in real time every 15 minutes

Index changes

The RTS settlement bank at the end of 2017 was about 1,200 points. This value shows that since the introduction of the indicator, the level of capitalization of the economy has grown 12 times. However, the trend itself in the context of past years does not look too positive.

A stable growth of the indicator was observed in the period from 1995 to 2008. The maximum was recorded in April 2011 and amounted to 2134 points. Then, as a result of the global crisis, the capitalization of the assets of Russian companies deteriorated significantly. And so far, it has not returned to its previous level.

The value of the shares of the leading players on the stock exchange at the moment is almost two times lower than the pre-crisis level. The recent sharp jump in the value of the US dollar against the ruble also had a significant impact on the state of the economy.

Trading Basics

To start trading on the stock exchange, it is recommended to undergo theoretical training in the basics of this type of activity. This may take some time, because it is unlikely to complete the course in a day or even a week.

The features and specification of the market are complex enough to be instantly understood. And the presence of many highly specialized quantities for analysis will require an understanding of the necessary terms.

Among all types of exchanges, the main ones are currency, stock, commodity and futures.. All of them are designed for trading on certain types of goods. The RTS index is used to understand the current state of the domestic asset market. The most proven base for trading is the Moscow Exchange.

The subject of transactions on it are futures. That is, obligations to perform certain services or sell goods. The participants of the trade base are the most powerful domestic enterprises, which make up the number of firms for calculating the RTS indicator. And those who can potentially enter it at the end of the billing period.

In contrast to Forex, for each operation performed, a corresponding document is issued here. Thus, cases of fraud are reduced to almost zero. So even a novice trader may not be afraid to lose his money for this reason.

The most stable platform for trading in the Russian Federation is the Moscow Exchange

How to become an RTS trading participant

In the simplest case, you can hire an experienced broker who will trade on behalf of the employer. This will significantly reduce time costs and help avoid losses due to the wrong strategy. However, this will lead to a reduction in the amount of income, since the broker needs to pay a fee on each successful transaction.

For independent trading, you will need to study a large amount of information and constantly monitor the fluctuations of the exchange. It is only necessary to choose the site of interest, register on it (sign an agreement) and make a deposit. Professionals note that if there is no starting amount of 10 thousand dollars available, it will be very difficult to make a significant profit in the initial period on the RTS. Therefore, it is better to practice on more liquid sites (for example, on the MICEX).

The RTS index is an indicator of the state of the country's economy. According to its value, specialists in the field of finance assess the success of domestic companies and make forecasts regarding their further development. For exchange players, it serves as an analytical tool for assessing the parameters of the activities of the most powerful holdings of the Russian Federation, and its dynamics shows when it is profitable to sell or acquire certain securities.

RTS index was a key indicator of the "Russian Trading System" - a platform formed in 1995 in Moscow. After the merger of the RTS exchange with the MICEX in 2011 and the emergence of a new legal entity, the index came under the control of the established Moscow Exchange.

RTS index rate right now on the stock exchange online

The oldest RTS stock index reflects the dynamics of 50 companies circulating on the Russian market with the largest capitalization. Until December 2011, the list of instruments was formed by the RTS stock exchange. After the merger with MICEX, the list began to be formed by the Moscow Exchange.

  • There is also an index RTS-2, which includes securities of the second tier;
  • RTS Standart, reflecting the dynamics of the 15 most liquid shares of the domestic market;
  • RVI, which is a volatility index and seven sectoral indices.

The RTS index, calculated in dollars, has been in a permanent decline since 2011, when it reached 2,134.23 points. Economists see several reasons for this: the gradual displacement of domestic companies from the global market, the smooth replacement of the dollar in interbank and international settlements, the intensification of trade in the ruble-yuan pair, and the transformation of the ruble into a reserve currency of trade in the CIS.

The introduction of the RTS index coincided with the birth of the stock exchange of the same name: on September 1, 1995, it was launched from the level of 100 basis points. Like the competitive one at that time, it showed a dizzying rise until 2008, reaching the mark of 2,498.10 points on May 19. True, by October 28, when the American mortgage bubble collapsed and the crisis began, the RTS Index fell to 549.06 points.

Starting from 2010, the index positions began to recover, which lasted until 2011. On the eve of Cosmonautics Day, on April 11, it reached 2,134.23 points, after which it was announced about the upcoming

the merger of the RTS and MICEX exchanges, and he went down. If this year the maximum quotation exceeded 2,100 basis points, then by 2015 the peak was 1,092.52 basis points. In 2016, the year began in a minor - 730 points.

The composition of the RTS index

Companies in the RTS Index
1 GAZP PJSC Gazprom, JSC 15,00%
2 SBER PJSC Sberbank, JSC 12,84%
3 SBERP PJSC Sberbank, ap 0,92%
4 LKOH PJSC LUKOIL, JSC 11,94%
5 MGNT PJSC "Magnit", JSC 7,38%
6 SNGS JSC "Surgutneftegaz", JSC 3,60%
7 SNGSP JSC "Surgutneftegaz" 2,86%
8 NVTK OAO NOVATEK, JSC 6,13%
9 GMKN PJSC MMC Norilsk Nickel, JSC 5,10%
10 VTBR VTB Bank (PJSC), JSC 4,32%
11 ROSN OAO NK Rosneft, JSC 4,06%
12 TATN PJSC "Tatneft" them. V.D. Shashina, ao 2,64%
13 TATNP PJSC "Tatneft" them. V.D. Shashina, ap 0,34%
14 TRNFP OAO AK Transneft 2,83%
15 MTSS PJSC MTS, JSC 2,44%
16 CHMF PJSC Severstal, JSC 1,49%
17 MOEX PJSC Moscow Exchange, JSC 1,32%
18 YNDX Yandex N.V. Limited Liability Company, shares of a foreign issuer 1,10%
19 MFON PJSC "MegaFon", JSC 1,07%
20 ALRS AK ALROSA (PJSC), JSC 1,06%
21 RTKM PJSC Rostelecom, JSC 0,87%
22 RTKMP PJSC Rostelecom, 0,11%
23 HYDR PJSC RusHydro, JSC 0,97%
24 URKA PJSC Uralkali, JSC 0,85%
25 PHOR OJSC PhosAgro, JSC 0,80%
26 BANE PJSC ANK Bashneft, JSC 0,42%
27 BANEP PJSC ANK "Bashneft" 0,38%
28 AFKS OJSC AFK Sistema, JSC 0,74%
29 NLMK OJSC NLMK, JSC 0,71%
30 POLY Polymetal International plc, shares of a foreign issuer 0,68%
31 PIKK PJSC PIK Group of Companies, JSC 0,55%
32 EONR E.ON Russia JSC, JSC 0,45%
33 RUAL United Company RUSAL Plc, shares of a foreign issuer 0,43%
34 MAGN OJSC MMK, JSC 0,40%
35 LNTA Lenta Ltd., DR of a foreign issuer for shares (DR issuer - Deutsche Bank Luxembourg S.A.) 0,29%
36 LSRG PJSC LSR Group, JSC 0,28%
37 IRAO PJSC Inter RAO, JSC 0,27%
38 AKRN JSC "Akron", JSC 0,26%
39 AFLT PJSC Aeroflot, JSC 0,25%
40 MVID PJSC "M.video", JSC 0,22%
41 DIXY PJSC DIXY Group, JSC 0,21%
42 AGRO ROS AGRO PLS, foreign issuer's DR for shares (the DR issuer is The Bank of New York Mellon Corporation) 0,20%
43 FEES PJSC FGC UES, JSC 0,20%
44 GCHE PJSC Cherkizovo Group, JSC 0,19%
45 PHST PJSC "Pharmstandard", JSC 0,17%
46 VSMO PJSC VSMPO-AVISMA Corporation, JSC 0,16%
47 TRMK PJSC TMK, JSC 0,15%
48 NKNC PJSC Nizhnekamskneftekhim, JSC 0,14%
49 RSTI PJSC Rosseti, JSC 0,12%
50 MTLR OAO Mechel, JSC 0,11%

To add shares to the RTS index, certain conditions must be met:

  • Securities must be traded on
  • The liquidity threshold should be at the level of the 50 most traded instruments for a long time.
  • After the initial public offering of the company's shares on the market, at least six months must pass

Until December 2010, the change in participating shares took place on the 15th day of the last month of the current quarter - in March, June, September and December. Since 2010, the dates have been shifted by one day in order to unify with the MICEX indices - the composition changes on March 16, June, September and December. The selection of shares is carried out by the index committee of CJSC MICEX Stock Exchange, which includes analysts and professionals.

Calculation of the RTS index

The method of calculating the RTS index is similar to that of the MICEX, with the only difference that the main formula contains a cross-rate, which means the value of the quoted share in rubles.

  • I cn is the value of the dollar index at the moment n;
  • MC cn- the total value (capitalization) of all shares at the moment n;
  • Dcn- the value of the divisor at the moment n;
  • The divisor is 148 870 001.744.

The capitalization of companies is calculated according to the following formula, where:

  • N– total number of shares;
  • P ci - the price of a particular share, expressed in US dollars;
  • Q i– total number of shares of one category (type) of one issuer;
  • FFi– correction factor that takes into account the number of securities of the same type in free circulation (free-float);
  • Wi– coefficient limiting the share of capitalization of a particular share (weight coefficient).

The share price in US dollars is calculated by the formula, where:

  • P i– share price in rubles;
  • K n- the exchange rate of the US dollar to the Russian ruble at the moment.

Benefits of the RTS Index

  • calculated in dollars;
  • is the second most important index of the post-Soviet space;
  • has been under pressure from bears in recent years;
  • reflects the state of a large number of participants - 50;
  • is an indicator of the participation of the US currency in the calculations.

The RTS index is strongly tied to the commodity sector - oil and gas companies account for more than half of the capitalization. The second most important segment is financial, it occupies 17%, followed by metal mining - slightly less than 10%. The consumer sector - less than 9%, telecommunications - less than 7%. Transport and mechanical engineering - less than 1%.

Given the desire of the United States and OPEC to squeeze Russia out of the world hydrocarbon market and replace oil and gas with offshore products, the constant disputes regarding Arctic oil and opposition to the construction of "streams" - northern, blue, Turkish and "Power of Siberia" - the role of the RTS as a significant indicator of the domestic economy, under pressure.

Recently, the leaders in decline have become not oil companies, but financial structures: the same Sberbank, which has always shown stable results, is capable of losing up to 2-3% per day. The quotes of Yandex, Norilsk Nickel and RusHydro are not always successful. Although the last two companies are included in the first echelon of the MICEX and arouse the stable interest of serious investors.

Interest in the shares included in the RTS index is due to the fact that these assets have the maximum liquidity and the greatest attractiveness, both on the part of investors and speculators. The total capitalization is 117.4 billion dollars. Such an amount, of course, cannot be compared with the American stock market, but nevertheless it is a very impressive figure.

Dependencies

  • commodity index linked to oil and gas prices;
  • loses positions due to Moscow's refusal to settle in dollars;
  • depends on the global situation more than on the situation in Russia;
  • is in the shadow of the MICEX, which seriously impedes development.

Buy RTS Index

To earn on index movements, you need to buy or sell a futures, option or CFD contract on the RTS. At the same time, it is important to understand that these are already derivatives market instruments and all of them have one or another life span (as a rule, several months). This is especially true for futures and options trading.

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