November 8, 2007

In October 2007 the total trade volume on the MICEX Group’s derivatives market amounted to 289 billion rubles, while open interest exceeded 118 billion rubles at the end of the month. Currency futures accounted for the bulk of the trade volume. Interest in currency futures keeps growing.

As a result of the month, the total volume of trading in US dollar futures amounted to 11.3 million contracts or 283.3 billion rubles. This exceeds by over 40% the volume of trading in these contracts reached in September 2007 (7.9 million contracts). In October 2007 the average daily volume of trading in US dollar futures reached 492.4 thousand contracts, which is 45% more than the average daily trade volume reached during the period of January-September 2007 (336.9 thousand contracts). At the end of October 2007 open interest amounted to 4.68 million contracts or 116 billion rubles in money terms, which exceeds by more than 10% the same figure for September (104.2 billion rubles). Thus, as a result of October trading, the US dollar futures confirmed its status of one of best selling instruments in the Russian derivatives market.

In October 2007 demand for interest rate hedging instruments remained high. During the month, in the market for futures on short-term interest rates, the total volume of transactions amounted to 499 contracts or about 5 billion rubles, 10% down on September 2007 (564 contracts). In October 2007 the average daily trade volume amounted to 215.3 million rubles, more than 2 times more than the same figure for the period of January-September 2007 (103.6 million rubles). At the end of October 2007 open interest amounted to 263 contracts, over 20% more than the same figure reached at the end of September 2007 (216 contracts).

The market for securities derivatives continues to grow. In October 2007, on the MICEX Stock Exchange, 274 transactions were concluded in the MICEX Index futures to the total volume of 23.8 thousand contracts or about 874.3 million rubles. This exceeds more than 3.5 times the volume of trading in the MICEX Index futures reached in September 2007 (6697 contracts). On 11 October the daily trade volume reached its maximum figure of 3073 contracts, while on 5 October open interest reached its maximum value and amounted to 2900 contracts.

Growth of all segments of the derivatives market of the MICEX Group attracts new market participants. In October 4 organizations were affiliated as members of the MICEX Derivatives (Standard Contracts) Market Section. The total number of members of the Section reached 189 organizations. In October 4 organizations were affiliated as participants in trading in the derivatives market of the MICEX Stock Exchange. The total number of participants grew to 121 organizations. At the end of October the total number of participants in the MICEX derivatives market admitted to trading reached 88 organizations, while the number of participants in the derivatives market of the MICEX SE reached 36 organizations. Thus, today, there is a number of leading brokerages and banks which are prepared to provide quality services in the MICEX derivatives market.

Brief information: The MICEX Group’s derivatives market is one of the main organized markets for derivative financial instruments in Russia and the leading market for currency futures.

The following currency futures are traded in the MICEX Derivatives (Standard Contracts) Market Section: US dollar futures, euro futures and EUR/USD futures as well as futures on the compounded MosIBOR overnight interest rate and the 3-month MosPrime Rate, which are calculated by the National Foreign Exchange Association (NFEA) and are the most representative indicators of the Russian money market. To promote the growth of liquidity of the interest-rate futures market, the MICEX has introduced the institution of market makers in its derivatives market. Market makers maintain regular bilateral quotations for corresponding contracts. At present, 6 banks-members of the Section act as market makers for futures on MosIBOR and MosPrime Rate interest rates. The total number of members of the Derivatives Market Section is 189 organizations.

On 29 June 2007 trading was launched on the derivatives market of the MICEX Stock Exchange. The contract traded in this section is the MICEX Index futures. Market makers maintain regular quotations for the MICEX Index futures. The total number of participants in trading on the MICEX Stock Exchange’s derivatives market has reached 121 organizations, including 62 credit and 59 non-credit institutions.

Find more information on the MICEX Group’s derivatives market on the “Derivatives Market” page of the MICEX web site (http://www.micex.ru/futures/) or call at (495) 705-9612.