The Supervisory Board decision on dividends

The Supervisory Board of Moscow Exchange on 27 September 2018 unanimously resolved not to pay an interim dividend for the first half of 2018. The decision is in line with MOEX’s dividend policy, which stipulates the distribution of net profit based on the Exchange’s full-year financial results.

Retaining profit earned in the first half of 2018 will help MOEX maintain a robust level of capital adequacy, which is one of the Exchange’s core objectives, particularly at a time when the market anticipates a potential increase in volatility. Increased volatility could result in both higher trading volumes and a greater share of operations being conducted through the NCC, due to the collateralisation of these operations and the NCC’s superior credit rating; in turn, this could lead to an increase in client balances deposited with NCC and put pressure on its prudential ratios as a credit institution.

The Supervisory Board and management team of MOEX reaffirm their commitment to pay out the majority of net income as dividends. This dividend policy is a key component of the Company's investment case. The dividend for the full year 2018 will be determined at the Annual General Meeting of Shareholders in 2019.