KASE Changed Methodology of Market Price Calculation on Bonds of DTZ
OREANDA-NEWS. On August 04, 2008 Kazakhstan Stock Exchange (KASE) informed that KASE Risk Committee decided at market valuation of, infrastructure bondsKZ2CKY23B672 (KASE category "A" official list, DTJLb1; KZT1 000, KZT30.0 bn.; August 2, 05 - August 2, 28, the annual coupon indexed on the inflation rate, 19.95 % APR for the current coupon period) of Doszhan Temir Zholy JSC (DTZ), reported the press-centre of KASE:
- shall be used as the market price arithmetical mean of "net" prices of best orders for purchasing bonds of this denomination, which were submitted to KASE trading system during the last ten business days, preceding the first business day of the current week (August 4, 2008);
- calculate the market yield to maturity of mentioned bonds as of August 4, 2008, using received by above mentioned method market price.
The decision was made due to significant changing from August 2, 2008 of the coupon interest rate on mentioned bonds and impossibility due to this application of the algorithm of DTJLb1 market price determination, stipulated by KASE internal document "Methodology of Securities Valuation".
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