🤝 PARTNERSHIP WITH DOW JONES | TOP 20 INDEX: WORST SINCE 2012 | TRAVELING TO THE MONGOLIAN COUNTRYSIDE

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Happy Independence Day to all our American readers! We hope you have a beautiful day full of fun, family, fireworks, and great food.

🤔 DID YOU KNOW?

🤝 PARTNERSHIP ANNOUNCEMENT

Our Editor-in-Chief has recently met with Dow Jones’ Head of Partnerships & Licensing for the Asia-Pacific region to personally thank him for our new collaboration on Factiva, Dow Jones’ global business information and research aggregator that is distributed in 28 languages and collects news from more than 32 thousand media outlets.

First in Mongolia

As you may already know, Dow Jones also manages other world-famous media sources, such as The Wall Street Journal, Barron’s, MarketWatch, Private Equity News, Mansion Global etc. And that’s why it’s truly an honor for us to have become the first Mongolian company to partner with Factiva.

Why does it matter?

• Inside Mongolia will be the first source of information for many financial companies, research firms, and educational institutions globally, providing them with up-to-date statistics, facts, and trends regarding the Mongolian economy

• The partnership aligns with our vision of becoming a bridge between Mongolia and the rest of the world and ultimately opens a door for us for more international collaborations

Many more to come

Since our inception in January of this year, we’ve already partnered with multiple international organizations with a global stance. We promise to keep this momentum going and don’t let it fade!

Also, we’ll let you know as soon as our news starts appearing on Factiva, so stay tuned. 😉

📉 TOP 20: WORST START SINCE 2012

After an unprecedented growth in 2021, the Mongolian stock market and its main index, TOP 20, showed signs of cooling down. In fact, the Mongolian stock market posted its worst first half of a year since 2012. However, the cooldown is not that surprising considering the Mongolian stock market grew 130% last year, becoming the world's most profitable stock market.

TOP 20 index

For beginners, the TOP 20 index is calculated based on the market capitalization and average daily trade of the top 20 securities listed on the Mongolian Stock Exchange (MSE). Given the size of the MSE, it's basically a mirror of the stock market. The Index is renewed annually. This year, only Talkh Chikher (TCK), a food manufacturer and the largest bread producer in the country, entered the index. And only Khuvsgul Altan Duulga (ADU) dropped off the index, with 19 other companies remaining on the top 20 list..

Top and worst performers

On the one hand, only two companies, Talkh Chikher (TCK) and Makhimpex (MMX), showed positive stock performance in the first half of 2022. It is no coincidence that these two companies are consumer stocks. Consumer stocks offer investors safety during recessionary climates because they sell products that people rely on regardless of economic conditions. On the other hand, the worst performers are mainly from the financial sector. Notably, Ard Financial Group (AARD) fell 63% in the first half of the year, reflecting an overall decline in the market and investors' risk awareness of current market conditions.

Upcoming second half

It’s clearly shown in the above table that the second half is the hottest period. One main reason might be that companies are more active in the second half before their annual performance report. On top of that, new products usually come out in the second half. Also, summer in Mongolia is a very chill and inactive period.

That being said, another huge second half awaits us. Major banks, the Mongolian Stock Exchange, and some state-owned companies are also expected to IPO. Several mutual funds will be established too. The crypto law will also be finally implemented in September and companies will be able to issue tokens. In the end, all of it largely depends on the recovery of the economy.

📱 FEATURING UNITEL EXPAT

Did you know that Unitel Expat organized the “Expat Networking Event” on June 24? ☝️

If not, don’t worry. There are still many more to come! Subscribe to their “Expat News” and don’t miss out on fun nights with various activities, such as workshops, discussions, performances etc. The last event was jointly organized with MCS Estates and also included a Showroom & Penthouse tour at Bella Vista, so you can expect other awesome collaborations in the future!

FYI, Unitel Expat provides exclusive mobile, cable TV, and internet services both in English and Chinese to foreigners living in Mongolia. If you want a reliable operator that is quick to help, do get in touch with them. 😉

🤔HOW DO YOU GET TO THE MONGOLIAN COUNTRYSIDE?

Guided tours

If you don’t want to bother about traveling independently and all the related research and planning, guided tours are the choice you need to make. There are plenty of tour companies that offer them, and in case you don’t have much time, you can even find some short day trips that last only a few hours. Here are some useful websites:

• Viator, Tripadvisor, G Adventures: find a tour of your liking to any travel destination in Mongolia

• National Geographic Expeditions: discover Mongolia with a professional

Car rentals

So you truly believe that traveling is about exploring a new place on your own terms and at your own pace? Then you have no other choice than renting a car. And before you embark on your journey through the Mongolian steppes, set your expectations right and don’t assume that there are paved roads all over the country. 😅 Anyway, here are some links you could make use of:

• Sixt, Drive Mongolia, Avis Mongolia - companies that offer rental cars for travelers

• What to know when you rent a car in Mongolia 

• Mongolia road trip series

Moto trips

For those few extreme adventure seekers among our readers, we recommend experiencing the Mongolian countryside on a motorcycle. Although there are quite a few companies that offer moto tours, most Mongolians don’t dare to even think of traveling to the countryside without a well equipped car. So please do keep in mind that it’s not for the faint of heart!

• Moto Mongolia, Meanwhile in Mongolia, Nomadic Off-road: choose the bike you like

• Motorcycle Travel Guide: Mongolia

• Motorcycle adventure through the Gobi Desert in Mongolia

💰 DATA STORY

Within the last 2 years, prices for RON 92 and 95 gasoline and diesel fuel have risen by 77%, 117%, and 82% respectively. Although the government has taken multiple measures to keep the price surges at bay, it seems like they weren’t very effective, except that they managed to keep the RON 92 gasoline prices lower than global ones. Hopefully, our first oil refinery currently being built in the Dornogovi province helps us reduce our dependence on fuel imports in the near future. But after all, what can we do when prices are rising globally?

🏃‍♀️ QUICK STORIES

📌 Mongolian Ambassador to U.S. pays courtesy call on Joe Biden. Ambassador U.Batbayar conveyed the greetings of Mongolian President U.Khurelsukh to J.Biden and discussed issues regarding the bilateral cooperation between the countries. Notably, this year marks the 35th anniversary of the establishment of diplomatic relations between the U.S. and Mongolia.

📌 Mongolia’s Gobi coal to be exported by rail. Despite significant delays caused by the pandemic and a challenging local climate, commissioning of the Tavan Tolgoi – Gashuun Sukhait Railway is due to commence next quarter. The new railway will have the capacity to transport 30 million tonnes of coal per year and will cut transport costs by at least 4 times.

📌 Mon Beef LLC, a subsidiary of Tavan Bogd Trade LLC, to launch an IPO. The company will offer 30% of its shares and is looking to raise ₮2.9 billion. It was initially established just over a year ago in May with the purpose of providing the domestic market with traceable beef - that is, beef of transparent and clear origin.

📌 Mongolian Stock Exchange to offer 34% stake to the public. The decision was made during the Cabinet meeting on June 29, 2022. It is an important milestone for the state-owned company on its way to reach the next stage of development and become more aligned with international standards.

🟦 TOP NEWS

1. Mongolia Hosts 7th Ulaanbaatar Dialogue on Northeast Asian Security. (The Diplomat)

2. Steppe Gold expects to produce 10.4Koz of gold in Mongolia in second quarter, eyes further production growth. (KITCO)

3. Mongolian rock band The Hu unveil UK and European tour dates. (NME)

4. This Famous Photographer Is Hosting A Mentorship In Mongolia This Fall. Here’s How To Join. (Forbes)

5. New Constitutional Amendments in Mongolia: Real Reform or Political Opportunism? (The Diplomat)

🎵 PLAYTIME INTERNATIONAL MUSIC FESTIVAL 2022

Playtime is the largest annual live music event in Mongolia held at Hotel Mongolia in Gachuurt Village. The festival has been suspended for 2 years due to COVID-19, so this year’s 20th anniversary is expecting a far bigger audience than ever before.

If you want to experience the modern music scene of Mongolia in all its glory, this is the event you must attend!

• Tickets

• Artist line-up

• History