FEDERATION OF EURO-ASIAN STOCK EXCHANGES > YEARBOOK 2002/2003 > PAGE 3
FEDERATION OF EURO-ASIAN STOCK EXCHANGES
PRESIDENT’S MESSAGE
The year 2002 showed FEAS markets as
defining expansion in terms of stepping up
to the challenges of providing viable economic
solutions based on the financing needs of
their domestic markets.
Osman Birsen President of FEAS & Chairman and CEO of the Istanbul Stock Exchange
Despite the continued pressure on our markets as world
and domestic events unfold, 2002 can best be characterized
as a year of change and growth for FEAS member markets
and the region as a whole. Equity markets globally took a
hit in the aftermath of the breakdown in corporate
governance in the US. However, the FEAS regional statistics
show the resilience of our markets in 2002, with across the
board increases in market capitalization and trading volumes
in all financial instruments. In addition the year 2002 showed
FEAS markets as defining expansion in terms of stepping
up to the challenges of providing viable economic solutions
based on the financing needs of their domestic markets.
They accomplished this by adding debt, as well as other
financial instruments to their equity offerings. The accurate
assessment of market transition can be seen through a
slight shift in the region toward the development of bond
trading, which now represents 12% of total trading volume,
up from 6% a year earlier.
In each FEAS member profile, on the following pages, the
CEO messages recap market development throughout the
year and the future outlook defines up and coming plans
for 2003. A key recurring theme among at least 50% of our
member markets is that rules and regulations are being
revamped as a number one priority to become more in line
with internationally accepted standards. In essence the
region is emerging from unrecognized and inexperienced
markets into a globally recognized and viable haven for
investment, rife with opportunities in all types of financial
instruments, not just equity.
Regional development and cooperation, a key objective of
the Federation, is now more than ever, pivotal in softening
the blow of negative global events not just by our joint and
consolidated efforts, but by merging into an internationally
standardized and harmonized region. Our most notable
achievements in 2002 and highlights for continuing
programs include:
A FEAS funded bilateral exchange program that allowed
FEAS members to travel to another member for the purpose
of exchanging information and experiences on specific
topic(s) of interest to both exchanges. This program will
continue into 2003.
The completion and distribution of the joint FEAS/OECD
28 guidelines published in “Best Practices for Stock
Exchanges in Transition Economies.” In 2003 a self-
assessment workshop will be held to share experiences in
implementation and to more closely harmonize the
guidelines with the FEAS Rule Book.
The FEAS website, among the many added features, now
provides cross comparative statistics, practices and
procedures; all of which are downloadable into MS Excel
for analytical purposes.
Implementation of a cost effective member data file interface
to the FDC was completed in 2002, with the goal of
achieving full implementation by 2003.
At the successful completion of the 8th Annual General
Assembly in September 2002, warmly hosted by our
colleagues at the Ukrainian Stock Exchange in Kiev, the
FEAS members again gave their support to the Istanbul
Stock Exchange for the elected position of President until
2005. I would like to thank the FEAS members for their
vote of confidence and as the Chairman and CEO of the
ISE, I would like to reiterate our commitment, as both the
leader of the Federation and as a member stock exchange
of the region, to continue to facilitate the achievement of
the goals of FEAS as set forth in our new jointly developed
5-year strategic plan. We would also like to extend our
congratulations to the Ukrainian Stock Exchange as the
newly elected Vice President and express our appreciation
to the Karachi Stock Exchange for their accomplishments
in this post.
We look forward to the contributions of the Armenian
Stock Exchange, the newest member of FEAS, toward
regional initiatives and solidarity and invite you, our
subscribers, to visit their profile pages in the sections that
follow.
I would like to thank our members for their dedication to
regional development and cooperation, our sponsors for
their continued support and the Secretariat for effectively
carrying out our plans and strategies.
All in all the accomplishments of regional objectives through
the efforts of our working committees, our joint OECD and
supporting organization projects have proved to be
substantial in our growth during 2002 and as you will see
our commitment towards cooperation and development
in 2003 will remain equally steadfast.