MOEX lifts restrictions on repo transactions, including short positions

abdelaziz Fathi

Russia’s largest institutional trading venue has lifted restrictions it applied last month to repo transactions with a central counterparty (CCP) in US shares.

Moscow Exchange (MOEX)

In a statement, the Moscow Exchange (MOEX) said on Tuesday that effective January 31, banks and brokers will be able to enter into repo transactions with the CCPs over the record date and also open short positions in US securities. MOEX has also abandoned the +/-20% price range restriction it applies right before the record date.

MOEX plans to make more international securities available for trading in the future based on demand from banks, brokers, asset managers and their clients. The exchange has recently ramped up its listings and extended the hours during which stocks can be traded in a move aimed at attracting a greater number of investors.

MOEX has seen a flurry of IPOs and secondary offerings as the regulators continue to simplify the investment environment and remove obstacles to new listings. The exchange first launched trading in international equities in August 2020.

Overall, there has been a jump in retail activity throughout 2020 and 2021. Amid concerns over the economic impact from the coronavirus outbreak, there was a brighter side for all trading platforms, which attracted a rush of business as investors scrambled to protect portfolios.

MOEX, which runs one of the largest FX trading platforms, revealed in October that it raised its stake in BierbaumPro AG, whose main asset is the OTC FX platform NTPro. The transaction increased MOEX’s ownership from 29.5% to 95%.

Currency trading at MOEX continued its upward route in December, buoyed by a steady rise in volatility and coupled with a multi-year effort to bring new business to the platform.

MOEX’s total FX market turnover edged higher to RUB 31.9 trillion ($424 billion) last month, up 22 percent month-over-month from the RUB 26.1 trillion ($350 billion) exchanged hands in November 2021. Compared with volumes from the same month a year earlier, this figure was down 2.3 percent from RUB 32.8 trillion in December 2020 but virtually unchanged in dollar terms.

 

Read this next

Inside View

Crypto Liquidity Providers: No Transaction, No Party!

One of the most integral parts of trading cryptocurrencies is ensuring seamless transactions; however, this is not always easy when you first start using cryptocurrency exchanges.

Digital Assets

Niftables launches white label NFT platform for content creators and brands

Niftables is the go-to platform for brands and creators looking to realize their NFT vision — whether they’re an individual or the biggest entertainment company in the world.

Retail FX

ACY Securities sponsors Table Tennis NSW as CFD broker bets in Australia’s youngest

ACY Securities has partnered with Table Tennis New South Wales (TTNSW) for a two-year sponsorship agreement intended to highlight the Chatswood-based multi-asset CFD broker’s brand in Australia, with a focus on the southeastern state.

Executive Moves

Peter Hetherington appointed CEO of Capital.com, Currency.com, and Shares.com

With his extensive experience driving strategy and growth for leading wealth and brokerage firms in highly regulated markets, Peter is the ideal CEO to lead the Group on its next chapter of growth and success.”

Digital Assets

Crypto platform Elwood raises $70m from Goldman Sachs, Dawn, Barclays, BlockFi, Flow, Galaxy, more

Elwood Technologies has closed a $70 million Series A funding round co-led by Europe’s largest B2B investor Dawn Capital and global investment bank, Goldman Sachs.

Industry News

Wilshire to launch Climate Change 1.5℃ Target Index with Nikkei and Hang Seng

Wilshire has announced a collective launch with Nikkei and Hang Seng to bring to market the first in a series of indexes empowering investors to transition their investments towards a low-carbon and climate resilient economy.

Industry News

Anne Boden’s Starling Bank bets big on UEFA Women’s EURO 2022 tournament

Starling Bank has launched a campaign ahead of the UEFA Women’s EURO 2022 tournament as part of its national sponsorship, the biggest ever for the bank.

Industry News

Older adults flock to financial apps as Revolut reports 215% more UK users aged 55-74 since pandemic

Data has also shown that older adults are back to travelling as the 55-64 UK age group has seen a tenfold increase in the amount spent in foreign countries over the past two years, and the 64-75 age group isn’t far behind with an 840% increase.

Industry News

Ripple replies to SEC’s last attempt and “shoves it down their throats pretty hard”

“The SEC really messed that up. How can Hinman receive legal advice from SEC lawyers for a personal opinion?”, attorney Hogan commented.

<