Frequently asked questions

1. Equity ownership
   1. General questions
      1. What are the size and composition of Moscow Exchange's authorised capital?

         
         Moscow Exchange's authorised capital is RUB 2,276,401,458 in the form of 2,276,401,458 ordinary registered shares.

         All outstanding shares are ordinary shares.

      2. What is my stake in the company's authorised capital?

         
         To determine your stake as a percentage, divide the number of shares you own by the total number of shares (2,276,401,458) and multiply the result by 100.

      3. What is the procedure for buying/selling shares of Moscow Exchange?

         
         Moscow Exchange's shares (ticker – MOEX) are listed and traded on Moscow Exchange, which is the market operator. The shares can be purchased after signing a brokerage service agreement with any eligible broker and opening an account with this broker. At present, all brokers provide software that allows their clients to buy and sell any securities traded on the Exchange independently.

      4. Where can I find current quotes and historical prices of the shares?

         
         Data on current and historical prices of Moscow Exchange's shares are available on the Exchange's website. You may also obtain relevant information and recommendations on buying/selling the stock from your broker.

      5. What document proves ownership?

         
         Any of the following documents confirms ownership of Moscow Exchange's shares:

         • An extract from Moscow Exchange's shareholder register, which may be obtained from STATUS Registrar Society (the registrar) if the record of the shares owned by the shareholder is kept by the registrar;
         • An account statement from the depository with which the shareholder has a depository services agreement if the record of the shares owned by the shareholder is kept by a depository.

   2. Information for shareholders whose shares are recorded with the registrar (i.e. the shares are recorded as belonging to the shareholder in the shareholder register)

      
      If you are not a client of the registrar (your shares are recorded in a securities account with the depository), you may obtain information on the rules for depository and brokerage services from your broker.

      6. Which company is the registrar that maintains the register of Moscow Exchange shareholders?

         
         Status Registrar Society is the registrar that maintains the register of Moscow Exchange's shareholders.
         
         For further information on the registrar's branch network, services, and fees, please visit its website at https://rostatus.ru/.

      7. Which services of the registrar are provided free of charge and for which will I have to pay?

         
         The registrar maintains a register free of charge for shareholders. The registrar charges in accordance with its price list for

         • Carrying out transactions on behalf of a shareholder (transfer of shares);
         • Opening an account or changing information on the account on the basis of a form submitted by the shareholder (changing personal data of the registered person);
         • Provision of extracts from the register of shareholders (issuance of extracts from the register confirming current ownership or a change in ownership).
           
           

         The registrar sets its prices within limits set by regulatory acts of the federal executive body for the securities market. For information on price lists of the registrar, please visit https://rostatus.ru/.

      8. I am a shareholder of Moscow Exchange. Why did the registrar fail to provide me with an extract from the register proving equity ownership?

         
         Most Moscow Exchange shareholders did not open individual security holder accounts in the company's register to record equity ownership, but are serviced by depositories. Such shareholders record and keep their Moscow Exchange shares in a securities account with the depository with which they have a depository services agreement. Thus, a securities account statement from the relevant depository is a proof of equity ownership for such shareholders.

      9. My ID details/address/bank details (for receiving dividends) have changed. Should I inform the registrar?

         
         Yes. This is required for several reasons:

         • You will need to provide your ID to register for participation in the company's AGM. If the details on your ID and in the shareholder register differ, you will not be identified as a company shareholder, and thus will not be able to participate in the AGM or vote on agenda items.
         • Dividends are paid by bank transfer to the account indicated in the registered person's profile or, if bank details have not been provided, by postal transfer to the address indicated in the profile. You will not be able to receive dividends until you inform the registrar about any changes to your bank details or address. A shareholder who has not received dividends has the right to apply for the payment of such unclaimed dividends within three years from the date of the dividend decision.

2. General Meeting of Shareholders
   10. When and where does Moscow Exchange hold general meetings of shareholders?

       
       Moscow Exchange's general meetings of shareholders are held in Moscow. The exact venue is determined by the Supervisory Board.

       The annual general meeting of shareholders is held between 1 March and 30 June. The exact date is determined by the Supervisory Board.

   11. What issues are addressed at a general meeting of shareholders?

       
       The agenda of an annual general meeting must cover the following issues:

       • Election of the Supervisory Board;
       • Election of the Revision Commission;
       • Approval of an auditor;
       • Approval of the annual report;
       • Approval of annual financial statements, including a profit and loss statement.
         

       The AGM participants may consider other issues under their mandate at the meeting. These include distribution of profit (including declaration and payment of dividends) and amendments to the Charter and internal documents that govern the operations of Moscow Exchange's corporate management bodies.

   12. When do Moscow Exchange shareholders hold extraordinary general meetings?

       
       Any meeting of shareholders held in addition to the AGM is deemed an extraordinary general meeting of shareholders (EGM).

       An EGM may be convened at the request of the Revision Commission, the company's auditor, or shareholders (a shareholder) who own at least 10% of the company's voting shares as of the date of the request. An EGM may be held at the behest of the Supervisory Board on its own initiative. General meetings are usually initiated by the Supervisory Board.

   13. How are Moscow Exchange's shareholders notified of general meetings of shareholders?

       
       Announcements of forthcoming general meetings are made at least 30 days prior to the meeting date in accordance with Moscow Exchange's Charter.

       Persons eligible to participate in the AGM and recorded in the shareholder register are notified by a registered letter or a letter delivered by hand, or by an announcement on the Moscow Exchange's website at https://www.moex.com. Moscow Exchange also submits the announcement of the general meeting to the Central Securities Depository to ensure timely notification of those shareholders whose ownership rights are recorded by depositories.

   14. Who, apart from the Supervisory Board, is entitled to place items on the general meeting agenda?

       
       Shareholders (or a shareholder) that collectively own at least 2% of voting shares are entitled to place items on the AGM agenda. As stated in the Charter of Moscow Exchange, such agenda item proposals should be filed no later than 60 days after the end of the financial year.

   15. Can minority shareholders nominate Supervisory Board candidates?

       
       Pursuant to provisions of the Federal Law "On Joint Stock Companies", Supervisory Board members are elected at the AGM from a list of candidates nominated by shareholders (a shareholder) that collectively hold at least 2% of voting shares, meaning that minority shareholders may consolidate their ownership stakes to jointly propose candidates for election.

   16. When and where are materials relating to shareholder meetings available?

       
       General meeting materials are available for shareholders to read at Moscow Exchange's office at 13 Bolshoy Kislovsky pereulok, Moscow, Russia. Materials are available at least 30 days prior to the meeting date.

       Additionally, the materials are published on the website https://www.moex.com and submitted to the Central Securities Depository, which through nominee holders (lower-level depositories) notifies shareholders whose ownership of shares is recorded by depositories.

   17. If I buy a share of Moscow Exchange, am I entitled to participate and vote at the General Shareholders' Meeting?

       
       Yes. Every share of the MOEX is entitled to one vote at the General Shareholders' Meeting. To be able to participate in a general meeting of shareholders, one has to own at least one share as of the date determined by the Supervisory Board.

   18. How can I participate in a general meeting of shareholders without attending in person?

       
       Shareholders can participate in the general meeting of shareholders in one of the following ways:

       • Send completed voting papers to the registrar's postal address;
       • Give voting instructions to the depository that records rights to your shares, in accordance with the laws of the Russian Federation. This option applies to those shareholders whose ownership rights are recorded by depositories;
       • Fill out an electronic voting form on Moscow Exchange's website either at least two days prior to the general meeting date or during the meeting. To access the electronic voting service, a shareholder is required
       • To have an account on Gosuslugi website (www.gosuslugi.ru/) or
       • Obtain login details from Moscow Exchange's registrar – Status JSC (https://www.rostatus.ru).

   19. Which documents are required to attend a general meeting of shareholders in person?

       
       To attend a general meeting of shareholders, a person who is eligible to participate is required to present an identification document.
       A representative of a person eligible to participate in the general meeting presents an identification document as well as a power of attorney confirming his authority.

       A power of attorney issued by an individual may be certified:

       • By the organization in which the principal works or studies, or the housing maintenance organization at his place of residence, or the administration of the inpatient medical institution in which he is being treated;
       • Notarized.

   20. If a shareholder acquired shares after the list of persons eligible to attend the general meeting was drawn up, may that shareholder attend the meeting?

       
       A shareholder, who purchased shares after the date when the list of persons eligible to vote at the general meeting is made, may take part in the general meeting of shareholders if he has been given a power of attorney by the shareholder already in the list (the previous owner of the shares). The shareholder may also instruct the previous owner who is included in the list to vote at the meeting if the share transfer agreement provides for this.

   21. I have not received a ballot paper to vote at the general meeting. What might be the reason and what should I do to vote?

       
       Starting 2017, voting papers are only sent to those shareholders whose shares are recorded directly in the shareholder register (by the registrar). For those shareholders who are serviced by depositories, the law has introduced a new voting method – giving voting instructions to the depository. The depository is then obligated to transmit these instructions to the counting board of the general meeting through the Central Securities Depository.

   22. How does Moscow Exchange communicate general meeting voting results to its shareholders?

       
       Resolutions adopted at general meetings are announced at the meeting, published on the company's website no later than four days after the general meeting and submitted to the Central Depository in order to inform those shareholders that are serviced by depositories.

       Moscow Exchange also discloses information on general meeting resolutions in the form of corporate action notices in its news feed and on its website at https://www.moex.com/s1461.

3. Dividends
   23. What are dividends? Who makes the decision to pay dividends?

       
       Dividends are part of a joint stock company's net profit, distributed among shareholders. Net profit is profit after taxes. It is determined in the company's financial statements.

       Dividends are paid out in cash via a bank transfer, or in other assets if decided so by the general meeting of shareholders.

       The AGM or EGM attendees decide whether dividends are to be paid, and if so, on the size and form of payment. The dividend payment cannot exceed the amount recommended by the Supervisory Board.

   24. Who is eligible to receive dividends?

       
       Persons or entities eligible to receive dividends are those who owned shares as of the end of the operating day on the date determined by the general meeting of shareholders.

       Only dates proposed by the Supervisory Board can be approved by AGM or EGM participants.

       The record date is set for 10-20 days after the day on which the general meeting of shareholders made the decision to pay dividends.

   25. Will I receive dividends if I sell shares after the general meeting record date?

       
       If you sell the shares between the AGM or EGM record date and the dividend record date determined by the general meeting, dividends for the shares you sold will be paid to the new owner. Please note that the main trading mode for shares is T+2. This means that the actual transfer of ownership takes place two days after the trade.

       If you sell the shares after the dividend record date, you will receive the dividends.

   26. When are dividends paid?

       
       Dividends are paid to persons or entities eligible to receive dividends and registered in the shareholder register no later than 25 business days after the dividend record date.

       Dividends are paid to the Central Securities Depository no later than 10 business days after the record date. The CSD subsequently transfers the dividends to shareholders who are clients of depositories.

   27. How are dividends per shareholder calculated?

       
       The size of dividends paid to each shareholder is calculated by multiplying the number of shares owned at the end of the operating day on the record date determined by the general meeting of shareholders by the dividend per share, minus the tax on the dividend income.

   28. Where can I receive dividends?

       
       Dividends are paid only in a non-cash form, in accordance with law.
       If an individual shareholder records shares in the shareholder register, then dividends are paid by bank transfer to the account indicated in the shareholder's application form held by the registrar. If bank details have not been provided, the payment is made by postal transfer to the address indicated in the application form.

       If a shareholder's shares are recorded in a securities account with a depository, dividends are paid to the depository which then transfers the dividends to the shareholder's bank account indicated in the shareholder's details held by the depository.

   29. What has been the dividend for the past five years?

       
       This information is available in the "Shares" section of the website.

4. Tax on dividends of individual shareholders
   30. What tax rate is applied to dividends paid to individual shareholders? Who withholds and pays tax on dividends paid to individuals?

       
       In accordance with paragraph 1.1 of Article 208 of the Russian Tax Code, dividends received from a Russian company are treated as income from sources in the Russian Federation and, according to Article 209 of the Tax Code, are subject to personal income tax (PIT), both for Russian tax residents and non-residents.

       The tax amount is determined for each taxpayer individually using a tax rate and procedure set forth in the Tax Code.

       A 13% tax rate is applied to dividend income received by individuals who are Russian tax residents. A 15% rate is applicable to individuals who are not tax residents (this rate disregards the provisions of double taxation treaties).

       The Tax Code specifies that Russian organizations that distribute income to individuals must calculate, deduct from individuals (taxpayers), and pay the relevant tax. Such companies are called tax agents.

       If an individual shareholder records their shares in their security holder account in the Moscow Exchange shareholder register, the individual receives dividends directly from Moscow Exchange. Thus Moscow Exchange itself as the tax agent, calculates and deducts the tax on the dividends and transfers it to the tax authority.

       If an individual shareholder records their shares in a securities account with a depository, they receive dividends from the depository, which, acting as a tax agent, calculates and deducts the tax on dividends and transfers it to the tax authority.

   31. I am a foreign citizen living in Russia long term. What tax rate will be applied to my dividend income?

       
       The 13% rate is applied to dividends paid to foreign citizens who are Russian tax residents. Russian tax resident status is given to foreign citizens who were in Russia for at least 183 days during 12 consecutive calendar months preceding the dividend payment date.

   32. Which documents prove my Russian tax resident status?

       
       To confirm the Russian tax resident status, shareholders may provide the following documents:

       • A copy of a foreign ID with border control marks;
       • A copy of air or rail tickets confirming the date of arrival in Russia;
       • A statement from an employer in Russia indicating the actual term of employment in Russia during 12 consecutive calendar months preceding the statement date;
       • Other documents confirming the actual time of presence in Russia.

       These documents are to be submitted to the entity making dividend payments and acting as the tax agent. If a shareholder who is a foreign citizen fails to provide the documents, the 15% tax rate is applicable.

   33. Are individual shareholders obliged to file tax declarations stating dividends received for the year to the tax authorities?

       
       In accordance with paragraph 1 of Article 229 of the Tax Code of the Russian Federation, the obligation to submit a tax report to the tax authorities arises for persons listed in Articles 227 and 228 of the Tax Code of the Russian Federation (including individuals who receive income, taxes on which were not withheld by tax agents).

       Consequently, if a shareholder does not belong to the categories listed in Articles 227 and 228 of the Tax Code of the Russian Federation, filing a tax report on personal income tax, including income received in the form of dividends, is a right, but not an obligation.

   34. How can I obtain the 2-NDFL (personal income tax) form for dividend income received from Moscow Exchange's shares?

       
       To obtain the 2-NDFL form, a shareholder should apply to an entity acting as the tax agent with regard to his dividends.

   35. When receiving dividend for the last year, I was taxed partially, i.e. less than 13 per cent. Did that occur by mistake?

       
       When dividend income tax rate is determined, dividends due from the company are decreased by dividends received by the company from other entities, i.e. the tax rate (13% in your case) applies to a part of the dividend. In other words, the effective rate of individual income tax may be less than 13% as the tax base for dividends does not include dividends received by the company. This does not apply to dividend payments to non-residents. 

5. Do you have any questions that are not answered here?

   
   Please contact IR Department.

We welcome any queries and suggestions via our feedback form.