a standard presentation - KASE

KAZAKHSTAN STOCK EXCHANGE
February 1, 2012

KASE – Coeval of Tenge
KASE was established on November 17, 1993 under the name
of Kazakh Inter-bank Currency Exchange – two days after Tenge
(the new national currency of Kazakhstan) had been introduced
on November 15, 1993.
Currently, November 15 is observed as the official "Day of
National Currency".

KASE Shareholders
KASE is a commercial joint-stock company with 58 shareholders
(as of February 1, 2012).
Centras Credit MCO limited liability partnership and Regional
Financial Center of Almaty JSC are the largest shareholders.
Shareholders include banks, brokerage firms, asset management
companies, pension funds and other professional financial
institutions.
Voting method: one share – one vote.

KASE Shares and Capital
As of October 1, 2011
own capital KZT 2,254.5 m ($15.2 m)
paid up charter capital KZT 517.3 m ($3.5 m)
authorized shares 5,000,000
outstanding shares 544,999
share balance value KZT 4,136.7 ($27.9 )

Yield Indexes
assets
net
profit
return
on assets
return
on equity
2011
$17.4 m
$1.0 m
5.7 %
6.8 %
2010
$15.1 m
$2.1 m
15.1 %
16.0 %
2009
$12.2 m
$2.5 m
20.4 %
22.0 %
2008
$11.8 m
$1.0 m
8.0 %
10.0%
2007 $11.9 m $1.8 m 17.8 % 20.2 %
2006 $8.3 m $2.2 m 32.5 % 34.3 %

KASE Members
The total of members – 79 of which:
"Currency market member" category (with the right to participate in trades with foreign
currencies) – 34;
"Stock market member" category (with the right to participate in trades with securities,
admitted to circulation (trading) on KASE) – 71.
"Derivatives market member" category (with the right to participate in trades with
derivatives) – 15.

Our History (1)
1993 – trade in foreign currency (US dollars)
1995 – launch of trade in T-bills
1996 – derivatives (KZT/USD exchange rate futures)
1997 – listed shares
1997 – state-owned shareholding
1997 – unlisted corporate securities
1998 – launch of KASE "nego" deals system (to substitute the OTC
securities market )
1998 – Euro bonds of Kazakhstan

Our History (2)
1999 – listed bonds
1999 – municipal bonds (prohibited for issue in 2005)
1999 – launch of "nego" repo market
2001 – launch of "automatic" repo market (currently the most massive
and active sector of KASE market)
2006 – foreign corporate bonds (JP Morgan and Merrill Lynch)
2006 – IPO of KazMunayGas Exploration Production through the KASE
settlement system
2006 – KAZAKHMYS PLC (UK) secondary share offering by subscription
through KASE

Our History (3)
2007 – the special trading floor of the Regional Financial Center of Almaty
established on the base of KASE (to attract foreign issuers and investors)
2007 – launch of new share market index – KASE Index with numerical
series of KASE_Shares Index
2007 – KASE becomes a commercial organization
2008 – implementation of new listing rules, reconstruction of unity through
integration of MTF KASE and STF RFCA
2008 – first trade in affined ingot gold futures
2008 – launch of currency swap transaction market

Our History (4)
2009 – development and introduction of the new Listing Rules
2009 – restoration of market unity through union of the main trading floor
of KASE and STF RFCA
2010 – launch of a new repo transactions market index – TWINA
2010 – putting into operation of a laibilities revaluation system and
compensatory payments on the nego repo market
2010 – a consultancy project – "Kazakhstan Stock Exchange Capacity
Building Project" – carried out within co-operation with EBRD
2010 – re-start of the futures market (trading in cash-settled futures
on USD/KZT exchange rate and KASE Index were opened)

Our History (5)
2011 – inclusion of KASE into the list of members of Dow Jones FEAS
Indices
2011 – the 17th General FEAS (Federation of Euro-Asian Stock
Exchanges) Assembly. Within the event's programme, OECD in
association with KASE conducted the first meeting of the Eurasian
Group on Corporate Governance in the Stock Market Development
and the first Marketing Fair of FEAS members
2011 – General Secretary of the World Federation of Exchanges (WFE)
visits KASE
2011 – Memorandums on Mutual Co-operation signed with Tehran Stock
Exchange and Stambul Stock Exchange

The total value of KASE trading in February 1, 2012 – $12,257.4 m
KASE Market Structure
Volume,
USD m
Stake of
volume, %
51.2 % 43.5 %
Currency 5 337,7 43,5
Shares 40,9 0,3
Corporate bonds 161,9 1,3
Government 416,5 3,4
securities
Repo on corporate 29,8 0,2
securities
3.4 %
Repo on government 6 270,5 51,2
securities

KASE – Universal Market
KASE serves a wide range of markets:
"nego" and "automatic" repo with government and corporate securities
foreign currency (US dollar, euro, Russian ruble)
government securities issued by the National Bank, the Ministry of
Finance (including Kazakhstan international bonds) and municipal bonds
equities
corporate bonds
futures contracts

USD bn
217.0
263.2
155.7
206.5
201.0
12.3
Value Traded
300
250
200
150
Repo
Corporate securities
Public securities
Derivatives
Currencies
100
50
0
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 01.02.12

Value Traded and GDP
300
250
250
200
KASE, USD bn
% to GDP
GDP, USD bn
204
198
141
139
200
136
150
150
100
100
50
50
0
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 01.02.12
0

Market Capitalization
100
90
Shares
45
40
Corporate bonds
80
70
60
50
40
30
20
10
as of February 1, 2012 –
35
$47.2 bn as of February 1, 2012 –
$40.2 bn
30
25
20
15
10
5
0
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
0
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

as of February 1, 2012
as of February 1,
2012
Listed Companies
Shares
Corporate bonds
101
TOTAL
68
62
85
69
89
78
74
89
77
72
68 68
72
66
17
1
25
21
17
22
11
40
36
54
45 45
56
17 23 32 49
68 79 94
114
126
144
126
110 110 110
1999 2001 2003 2005 2007 2009 2011
1999 2001 2003 2005 2007 2009 2011

as of February 1, 2012
as of November 1
as of February 1, 2012
Securities
Shares
Debt securities
315
TOTAL
230
249
250
239 239
202
414
78 96
61
42
68
27
33
46
12
24
145
98 99
90 93 90 92 95 95
29
57
88
129
174
235
342
347
295 320
334
334
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

2000
2000
2001
2001
2002
2002
2003
2003
2004
2004
2005
2005
2006
2006
2007
2007
2008
2008
2009
2009
2010
2010
2011
2011
01.02.2012
01.02.2012
Industry Structure
100%
Shares
Share in capitalization, %
Shares Bonds
50%
0%
100%
50%
0%
Bonds
Energy 23.3 25.7
Financials 18.4 68.8
Provision of telecommunications 3.5 0.8
services
Materials 51.9 1.6
Industrials 0.3 0.9
Commodity 1.6 1.5
Provision of municipal services 0.3 0.7
Information Technology 0 0.01
Health Care 0.1 0
Minor consumer goods 0.6 0.1
Global Industry Classification Standard (GICS)® has been used as a classificator

Monthly traded value, USD bn
Liquidity Parameters
10
9
8
7
Shares
Corporate bonds
8.9
6
5
4
3
2
1
0
4.1
3.8
3.6
4.3
2.6
1.9
1.8 1.12.0
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 40940
KASE total traded value in February 1, 2012: in shares – $0.041 bn,
in corporate bonds – $0.162 bn
2.0

Daily traded value, USD m
Liquidity Parameters
160
140
120
Shares
Corporate bonds
100
80
60
40
20
0
2004 2005 2006 2007 2008 2009 2010 2011 2012
KASE average daily traded value in February 1, 2012: in shares – $2.0 m,
in corporate bonds – $8.1 m

01.01.05
01.04.05
01.07.05
01.10.05
01.01.06
01.04.06
01.07.06
01.10.06
01.01.07
01.04.07
01.07.07
01.10.07
01.01.08
01.04.08
01.07.08
01.10.08
01.01.09
01.04.09
01.07.09
01.10.09
01.01.10
01.04.10
01.07.10
01.10.10
01.01.11
01.04.11
01.07.11
01.10.11
01.01.12
KASE Index
4200
3500
Share value
traded, USD m
689.3 682.0
503.3 391.6
507.4 1,342.5
160
140
2800
2100
KASE Index
2,350
(03.01.07)
2,640
(03.01.08)
1,801
(05.01.10)
120
100
80
1400
638
892
(05.01.09)
60
700
(04.01.06)
216
(05.01.05)
1,199
(31.01.12)
40
20
0
0

KASE Technologies
KASE uses its own trading platform:
"Server – Client" electronic trading system
remote access
electronic signature and electronic document circulation
traffic encryption
on-line data preservation

Contact Information
Internet:
E-mail:
www.kase.kz
kase@kase.kz
Reception: +7 (727) 237 53 00
Information
and Analysis
Department: +7 (727) 237 53 18, 237 53 23
Fax: +7 (727) 296 64 02
Address:
8th floor, northern building, Almaty Towers,
280 Baizakov Street, 050040, Almaty, Kazakhstan