The Bank of Russia has approved methodologies from two credit rating agencies for assigning non-credit ratings to ordinary shares. This move introduces a new product in the market focused on assessing a company's fair value, providing investors with an additional tool for making investment decisions.
National Credit Ratings and National Rating Agency are participating in this pilot initiative. According to the Bank of Russia, these agencies will analyze companies' compliance with corporate legislation, including investor protection provisions. Based on their analysis, they will assign ‘stars’ to shares and provide detailed analytical data supporting the ratings.
The first issuers to be rated under this system will be companies involved in the Shareholder Value Creation Programme.
By the end of 2025, the Bank of Russia plans to review the outcomes of this pilot project. If results are positive, it may consider incorporating share ratings into financial regulation.
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