30.09.2016, 19:23
Parameters of Subgroups of Non-Indexed GS Defined of Their Market Valuation
OREANDA-NEWS. The Expert Committee of Kazakhstan Stock Exchange (KASE) on September 29, 2016 according to the schedule revised parameters of non-indexed government securities (GS) subgroups used by KASE for their market valuation.
KASE remind you that according to the Methodology of Securities Valuation, non- indexed GS are valued at yield-to-maturity whose values are defined within the limits of sub-groups pointed out by the Expert Committee depending upon the time left to maturity of each security.
That stipulates that one subgroup shall include securities whose dependence of the yield-to-maturity on the number of days left to maturity may be most precisely described by one polynomial trend equation. The polynomial trend equation for each sub-group is determined by using the method of approximation of parameters of executed deals (dates before repayment and yield) in GS of that subgroup.
Having analyzed the analytical data provided to KASE the Expert Committee members on September 29, 2016 decided that for purposes of valuation of non- indexed GS for the fourth quarter of 2016 must be divided in two sub-groups with the following values of their limits: I subgroup – from 0 to 400 days left to their maturity, II subgroup – from 100 and more days left to their maturity.
For building the yield curves for the mentioned subgroups a polynomial trend equation of the second degree will be used.
KASE remind you that according to the Methodology of Securities Valuation, non- indexed GS are valued at yield-to-maturity whose values are defined within the limits of sub-groups pointed out by the Expert Committee depending upon the time left to maturity of each security.
That stipulates that one subgroup shall include securities whose dependence of the yield-to-maturity on the number of days left to maturity may be most precisely described by one polynomial trend equation. The polynomial trend equation for each sub-group is determined by using the method of approximation of parameters of executed deals (dates before repayment and yield) in GS of that subgroup.
Having analyzed the analytical data provided to KASE the Expert Committee members on September 29, 2016 decided that for purposes of valuation of non- indexed GS for the fourth quarter of 2016 must be divided in two sub-groups with the following values of their limits: I subgroup – from 0 to 400 days left to their maturity, II subgroup – from 100 and more days left to their maturity.
For building the yield curves for the mentioned subgroups a polynomial trend equation of the second degree will be used.
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