REVIEW: Government Securities market on KASE in September 2010

/IRBIS, October 8, 2010/ - In September 2010, on the Kazakhstan Stock Exchange (KASE) in the sector of sale of GS, including location, recorded 373 transactions totaling KZT151,485.1 million (equivalent to USD1,027.8 million), accounting for 6.7 % of total trading volume on KASE (in August 2010 - 5.8%). With regard to August 2010 trading volume in the sector increase by 11.9%, relative to September 2009 rose by 8.5%. Ministry of Finance of Kazakhstan in September 2010 held 6th auction at KASE on placement of bonds: September 2, 2010 held auction of government treasury bills of the Ministry of Finance MEKKAM-9 Issue 16 (KZK1KM090161, MKM009_0016; KZT100, 02.09.10 - 02.06.11, actual/actual). Negotiable advocated price of bonds. It was originally planned to place the bonds at KZT15,000.0 million. In the auction attended 7 primary dealers, filed 19 active applications. Total volume of orders (demand volume) amounted to KZT27,011.9 million (182.7% of the offered volume of bonds). The weighted average price of bonds in satisfied bids was 98.7577% per annum. As a result of trade, the issuer granted the application for the purchase of 150.0 million of bonds at KZT14,813.7 million (100.0% of the offered volume of bonds). September 8, 2010 held repeated specialized auction on placement of long- term treasury bills of the Ministry of Finance MEUKAM-84 eighth issue (KZKDKY070081, MUM084_0008; KZT1,000, 03.06.1910 - 06.03.1917, 30/360). Negotiable acted net price of bonds. It was originally planned to place the bonds in the amount of KZT10,000.0 million. In the auction was attended by 21 primary dealers, filed 43 active application. Total volume of active bids (demand volume) was KZT48,483.3 million (475.3% of the offered volume of bonds). Net price on submitted active bids varied from 97.8293% to 102.1628% per annum, amounting in average terms 100.4180% per annum. As a result of bargaining in the net price was satisfied bids 101.6633% per annum, the amount of satisfied thus bids amounted to KZT10,324.7 million (100.0% of the offered volume of bonds). September 15, 2010 held auction of government treasury bonds of the Ministry of Finance MEUKAM-130 of the eighth issue (KZKDKY100086, MUM120_0008; KZT1,000, 09.15.1910 - 15.09.1920, 30/360). Negotiable advocated the coupon rate. It was originally planned to place the bonds at KZT18,000.0 million. In the auction was attended by 25 primary dealers, filed 80 active applications. Total volume of active bids (demand volume) KZT83,137.0 million (461.9% of the offered volume of bonds). Coupon submitted by active bids ranged from 5.50% to 7.50% per annum, amounting in average terms, 6.1418% per annum. As a result of trade, the issuer has established the rate at 5.80% per annum, meeting the request for KZT18,000.0 million (100.0% of the offered volume of bonds). September 21, 2010 held repeated specialized auction on placement of mid- term treasury bills of the Ministry of Finance MEOKAM-36 Release 80 (KZK2KY030809, MOM036_0080, KZT1000, 06.10.1910 - 06.10.1913, 30/360). Negotiable acted net price of bonds. It was originally planned to place 8.0 million bonds. In the auction was attended by 13 primary dealers that have filed 33 active applications. Total volume of active bids (demand volume) amounted to KZT32,195.8 million (399.1% of the offered volume of bonds). Net price of the bonds filed by active bids varied from 96.4757% to 101.5500% per annum, amounting in average terms of 99.8289% per annum. As a result of bargaining in the net price was satisfied bids 100.2534% per annum, the amount of satisfied thereby requests KZT8,101.1 million (100.0% of the offered volume of bonds). September 24, 2010 held an auction on placement of mid-term treasury bills of the Ministry of Finance MEOKAM-60 Release 36 (KZK2KY050369, MOM060_0036; KZT1,000, 24.09.1910 - 09.24.1915, 30/360). Negotiable advocated the coupon rate. It was originally planned to place the bonds in the amount of KZT10,000.0 million. In the auction was attended by 20 primary dealers, filed 49 active bids. Total volume of active bids (demand volume) was KZT78,154.0 million (781.5% of the offered volume of bonds). Coupon submitted by active bids ranged from 4.30% to 6.50% per annum, amounting in average terms, 5.1483% per annum. As a result of trade, the issuer has established the rate at 4.79% per annum, meeting the request in the amount of KZT10,000.0 million (100.0% of the offered volume of bonds). September 29, 2010 held an auction on placement of long-term treasury bills of the Ministry of Finance MEUJKAM-108 third edition (KZKAKY090033, MUJ108_0003; KZT1,000, 09.29.1910 - 29.09.1919, 30/360). Negotiable performed a fixed coupon. It was originally planned to place the bonds at KZT17,000.0 million. In the auction was attended by 11 primary dealers, were 15 active applications. Total volume of active bids (demand volume) was KZT64,623.0 million for a nominal value of bonds (380.1% of the offered volume of bonds). As a result of trade, the issuer of the fixed coupon rate set at 0.01% per annum, meeting the request for KZT17,000.0 million (100.0% of the offered volume of bonds). Furthermore, September 17, 2010 held an auction on placement of mid- term debt securities of local executive body of the city of Almaty second edition (KZAEKY050024, ALK060_002; 1,000 KZT, 09.17.1910 - 09.17.1915, 30/360). Negotiable advocated the coupon rate. It was originally planned to place the bonds in the amount of KZT 130.0 million. In the auction was attended by eight primary dealers, filed 26 active applications. Total volume of active bids (demand volume) amounted to KZT1,827.1 million (14.1% of the offered volume of bonds). Coupon submitted by active bids ranged from 6.20% to 7.50% per annum, amounting in average terms, 6.4471% per annum. As a result of trade, the issuer has established the rate at 6.20% per annum, meeting the application for the purchase of bonds 130,000 (100.0% of the offered volume of bonds) Statistical indicators of the secondary market in GS in September 2010 are given in the table (in brackets - comparable figures for previous months). ------------------------------------------------------------------------------ Yield to maturity for the buyer, %APR Term -------- ------- ------- ------------- Volume, m. KZT Number till maturity min max last WA at market price of deals -------------- -------- ------- ------- ------------- --------------- -------- Discounted GS (KZT): MEKKAM, National Bank's notes - 2.6% (9.9%) of the market ------------------------------------------------------------------------------ 8 - 14 0.40 0.40 0.40 0.40 (0.20) 903.9 2 15 - 28 0.60 1.10 1.10 1.08 10,502.4 10 29 - 36 1.10 1.10 1.10 1.10 9,991.0 5 64 - 91 1.15 1.15 1.15 1.15 1,795.6 1 92 - 181 1.20 1.50 1.30 1.31 (1.30) 552.1 5 182 - 364 1.80 1.80 1.80 1.80 (1.65) 197.3 1 -------------- -------- ------- ------- ------------- --------------- -------- Total 23,942.3 24 (1,556.5) (5) -------------- -------- ------- ------- ------------- --------------- -------- Coupon GS (KZT): MAOKAM MEOKAM. MEUKAM MEUJKAM - 97.4% (90.2%) of the market ------------------------------------------------------------------------------ Less 730 1.35 7.30 2.92 4.98 (2.51) 4,454.3 22 731 - 1095 2.70 6.73 3.61 3.08 (3.27) 2,033.8 11 1096 - 1460 3.55 4.06 4.06 3.72 (3.92) 5,337.0 15 1461 - 1825 4.30 4.80 4.80 4.61 (5.50) 3,549.2 17 1826 - 2190 4.90 5.65 5.60 5.33 (5.59) 4,782.3 25 More 2191 4.80 6.20 5.60 5.66 (5.84) 29,016.8 156 -------------- -------- ------- ------- ------------- --------------- -------- Total 49,173.4 246 (57,927.3) (286) -------------- -------- ------- ------- ------------- --------------- -------- GRANDTOTAL 73,115.7 270 (59,483.7) (291) ------------------------------------------------------------------------------ The share of exchange trading volume of total transactions in the Kazakhstan's GS secondary market in September 2010 amounted to 88.0% (in August 2010 - 88.3%). [2010-10-18]