OREANDA-NEWS. July 15, 2011. The MICEX has expanded its family of indices by starting the publication of the MICEX Innovation Index (MICEX INNOV).

MICEX INNOV includes shares in seven companies admitted to trading in the Exchange’s Market for Innovations and Investments: ARMADA, DIOD Company (environmental technologies and ecological food), Don Radio Components Factory, Human Stem Cell Institute, O2TV, Russian Navigation Technologies and Pharm-Sintez.

According to the MICEX Vice-President Gennadi Margolit, the launch of the MICEX Innovation Index shows that the Market for Innovations and Investments has reached certain maturity. “This instrument will contribute significantly to the promotion of the innovations market and the expansion of its investor base.”

The condition for the inclusion in the composition of the Innovation Index is the acceptable proportion of shares freely traded in the organized market, that is, the free-float coefficient. In the case of the MICEX INNOV, free-float must be at least 10%, and the capitalization of the issuer must be not less than 300 million rubles.

The maximum weight of shares of one issuer in the MICEX INNOV index is 30%. This does not exceed the maximum allowable weight of one issuer’s shares in the index which can be used as the basis for index funds, established by the Russian law.

The Rules for calculation of the Innovation Index, which take effect from 13 July 2011, provide for a quarterly review of the composition of the Index.

29 December 2009 is adopted as the start date of the calculation of the MICEX INNOV Index, the initial value of the Index is set equal to 1000 points. To effectively use the new Index, the retrospective calculation of the values of the MICEX INNOV Index was made from the date of the beginning of its calculation to the date of its official publication.