Government bond turnover on Armenia’s AMX up 3.1-fold to AMD 1.49 billion on November 11
On November 11, government bonds on the Armenia Stock Exchange (AMX) saw 8 trades worth AMD 1.49 billion (about $4.12 million), 3.1 times the previous day (AMD 485.9 million). Corporate bonds saw 123 trades in 58 issues: 83 trades in drams worth AMD 683.1 million, 39 trades in US dollars worth $522.7 thousand (about AMD 188.4 million) and 1 trade in euro worth €4.2 thousand (about AMD 1.7 million), about AMD 873.2 million in total.
On the secondary government bond market, a Ministry of Finance of Armenia bond maturing on April 29, 2031 (GN60314) led with 3 trades worth AMD 608.3 million at a yield of 8.402% (8.456% on November 10). There were also trades in GB3150A, maturing on October 29, 2050 (2 trades worth AMD 571 million at 9.579%, against 9.52% on November 4), and GB1135A, maturing on October 29, 2035 (3 trades worth AMD 306 million at 8.758%, against 8.86% on November 4). Excluding repo, turnover for the day was about AMD 2.36 billion in 135 trades, 8.4% more than on November 10.
Corporate bond turnover was 48.4% below November 10 (AMD 1.69 billion) but 8% above the daily average of the week of November 2–6 (AMD 808.6 million). In the dram segment, National Mortgage Company bonds (NMCCBS) led with AMD 145.5 million in 2 trades at a yield of 7.40–7.44%, about 21% of segment turnover. They were followed by Ameriabank bonds (AMRBBNI: AMD 109.3 million, 2 trades, 8.45%) and Hypernova bonds (HYPNB1: AMD 54.5 million, 6 trades, 12.60–12.70%). In the dollar segment, Viva Armenia bonds (KTELB1) came first with $165.8 thousand (about AMD 59.8 million) in 13 trades at 7.65–8.02%, the most trades of the day, followed by Evocabank bonds (PROMBE: $83.3 thousand, 5.30%) and Ameriabank bonds (AMRBBNJ: $72.5 thousand, 4 trades, 5.05–5.30%). The only euro trade was in Armswissbank bonds (SWISBP) at 3.25%. Dram trade yields ranged from 7.00% to 19.94% and dollar trade yields from 4.50% to 8.30%. The upper bound was set by Shtigen LLC bonds (STIGB1): 8 trades worth AMD 14.2 million (150 bonds) at a price of 92.00–93.04 and a yield of 19.01–20.01% (16.62% on November 3 and 12.72% on November 4). On November 9, AMX announced that it had received essential facts about the filing of a petition with the court to initiate insolvency proceedings against the issuer.
Equities saw 4 trades worth AMD 3.21 million. Acba bank shares (ACBA) led: 1 trade, 150 shares at AMD 20,650 for AMD 3.10 million, with a closing price of AMD 20,650 (AMD 20,850 on November 10). Tel-Cell (TLCL: 2 trades, 380 shares at about AMD 300) and ASCE Group (ASGR: 1 trade, 4 shares at AMD 625) shares also traded. The repo segment saw 1 trade worth AMD 103.7 million (AMD 2.32 billion on November 10), in Armswissbank bonds (SWISBT) for 7 days at 7.35%. There were no trades in CUBE INVEST bonds (CUBIB1): the bid fell from 100.60 to 99.85 (yield 10.55%), and the ask stood at 100.94 (10.10%).
The AMD Corporate Bond Market Index (CBMI_AMD) fell 0.04% to 104.82, while the AMD 1–3 Year Corporate Bond Index (C3YBI_AMD) stayed at 104.06. The USD Corporate Bond Market Index (CBMI_USD) was unchanged at 101.68, with a yield of 5.12%, and the USD 1–3 Year Corporate Bond Index (C3YBI_USD) stood at 100.88, with a yield of 4.67%.
On AMX, the corporate bond market totals AMD 1,058.7 billion and market capitalisation AMD 377.9 billion (AMD 377.5 billion on November 10). 280 instruments of 65 issuers are in circulation, after the exchange listed two new Acba bank issues of AMD 5 billion each. ACBABQ bonds carry a 9.5% annual coupon and mature on April 20, 2029, and ACBABR bonds a 9.75% coupon, maturing on October 20, 2031; trading starts on November 13. From November 12, CUBE INVEST becomes market maker for Unibank bonds AMUNIBBM6ER8, and from November 13 Armswissbank for Fast Bank bonds AMFSCRB2SER6.
According to AMX, the US dollar traded at AMD 360.43, the euro at AMD 404.55 and the Russian rouble at AMD 4.3579.
trillion drams (AMD)
billion drams (AMD)
| Index | Value | Change | Yield to maturity | Mod. duration |
|---|---|---|---|---|
|
AMD Corporate Bond Market Index
CBMI_AMD
|
104.82 | -0.04% | 1.62 | |
|
AMD 1–3 Year Corporate Bond Index
C3YBI_AMD
|
104.06 | 0.00% | 0.90 | |
|
USD Corporate Bond Market Index
CBMI_USD
|
101.68 | 0.00% | 5.12% | 1.73 |
|
USD 1–3 Year Corporate Bond Index
C3YBI_USD
|
100.88 | 0.00% | 4.67% | 1.02 |
123 trades
NMCCBS
8 trades
GN60314
4 trades
ACBA
1 trade
SWISBT
What: on November 11, turnover excluding repo was about AMD 2.36 billion (+8.4%): government bonds tripled to AMD 1.49 billion, corporate bonds fell almost by half to AMD 0.87 billion, and repo dropped to AMD 0.10 billion. Trades in Shtigen bonds were concluded at a yield of about 20%. Who needs it: holders of Shtigen bonds (STIGB1), investors considering the new issues of Acba bank, Unibank and Fast Bank, and repo market participants. What it means: after yesterday’s peak (repo AMD 2.32 billion, the first trades in CUBE INVEST bonds), the market returned to calmer turnover. The price of STIGB1 bonds fell to 92–93 from 99.99 on November 4, and the yield rose from 12.72% to 19–20%. The bid for CUBE INVEST bonds fell to 99.85 (yield 10.55%). What to do: STIGB1 holders should follow the issuer’s disclosure on the AMX website; watch for the start of trading in Unibank bonds (November 12) and the Fast Bank and Acba bank issues (November 13); and, as a guide to rates, compare issues by maturity rather than rely on the dram indices until the exchange clarifies them.
