Top Liquid Corporate Bonds Traded on Moscow Exchange Listed Below

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Below is a list of the most liquid corporate bonds traded on the Moscow Exchange:

- Polyus PBO-04 bond (ISIN code: RU000A108L81) -0.2%

- Borets Capital 001P-05 bond (ISIN code: RU000A10EK71) +3%

- AFK Sistema Series 14 bond (ISIN code: RU000A101XN7) -0.2%

In Russia, a ratings scale is used to classify bonds:

- Bonds rated "AAA" are the most reliable. These are usually large systemically important companies, often with state participation.

- Bonds rated from "A-" to "AA+" are reliable securities. They are typically invested in by pension funds and other institutional investors.

- Bonds rated from "BBB-" to "BBB+" are transitional category. These may be reliable companies that are sensitive to adverse market and economic events (e.g., a key interest rate hike).

- Bonds rated from "B-" to "BB+" are high-yield issuers (HY). Risks are high, as is the yield. These can be small or medium-sized businesses operating in risky sectors.

- Bonds rated "CCC" or "D" are on the brink of default. The risks associated with these securities are maximum.

This overview was presented by Alexey Grishchenko, Ph.D., Professor at the Department of Operational and Sectoral Management at the Higher School of Management, Financial University under the Government of the Russian Federation.