Since 2012, Mongolia has been placed on the FTSE Watchlist for the possible promotion to the Frontier Market status.

MSE has received an official letter from FTSE Russell providing an interim update on the assessment of the Mongolian equity market. According to the letter, FTSE Russell intends to announce the removal of Mongolia from the FTSE Watchlist, absent tangible progress on removing the main obstacles listed below before the end of August 2017:

      -all trades are required to be fully pre-funded;

      -an effective Delivery versus Payment (DvP) mechanism to minimize counterparty exposure is not in place; and

      -there are no global custodians operating in the market.

To be considered as a Frontier Market, immediate cooperative efforts of market regulators and participants are required to resolve these issues.

Note: The FTSE Russell, based In London, operates 250,000 indices calculated across 80 countries and its products are commonly used by institutional investors worldwide to benchmark and analyze their investment performance.