Most 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 bond PBO-04 (ISIN code - RU000A108L81) -0.3%;

- Borets Capital bond 001P-05 (ISIN code - RU000A10EK71) +0.1%;

- AFKSistema bond issue 14 (ISIN code - RU000A101XN7) -0.4%.

In Russia, a ratings scale is used to assess the creditworthiness of 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 considered reliable. They are typically invested in by pension funds and other institutional investors.

Bonds rated from "BBB-" to "BBB+" fall into a transitional category. These may be reliable companies that are sensitive to adverse market and economic events (for example, an increase in the key interest rate).

Bonds rated from "B-" to "BB+" are high-yield issuers (HY). They carry high risks but also offer high returns. 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 bonds are the highest.

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