FEAS Yearbook FEAS Yearbook 2009 | Page 70

FEDERATION OF EURO-ASIAN STOCK EXCHANGES ANNUAL REPORT APRIL 2009 IRAQ STOCK EXCHANGE Taha Ahmed Abdul Salam CEO Iraq Stock Exchange (ISX) introduced a special index in October 2004 which closed in December 2004 at 64.996 points, December 2005 at 45.644 points, December 2006 at 25.288 points, December 2007 at 34.590 points and December 2008 at 58.360. The ISX held approximately 139 sessions in 2008 compared with 119 sessions in 2007. The total trading volume for the year of 2008 reached US$ 257 million, a decrease of 27% when compared with the year 2007. The total traded shares in 2008 were 151 billion shares, a decrease of 0.6% when compared with the year 2007. The total numbers of transactions realized in 2008 was 31 thousand. The number of shares traded for non Iraqis was 15 billion shares and the trading volume was US$ 21.5 million. The ISX will sign a Data Feed Agreement with MUBASHER to distribute the ISX data and accordingly enable its interested subscribers access to the delayed and real- time market information. The number of listed companies in 2008 increased to reach 96 compared with 94 companies in 2007. September 21st, 2005. Also, ISX has successfully joined the Union of Arab Stock Exchange in June 2006. ISX has organized a number of training courses for brokers and training courses for the IT staff and other ISX employees. These training courses include Automation Trading in ISX and run TWS for the brokers, ELECTRONIC SYSTEMS (Equator & Horizon SYSTEMS). The ISX will sign a Data Feed Agreement with MUBASHER to distribute the ISX data and accordingly enable its interested subscribers access to the delayed and real-time market information via the Internet, satellites and other communication networks. Mubasher shall disseminate the Data in Arabic and English in real-time or delayed basis through its online and offline network. The ISX publishes a monthly newsletter called the Capital Market. Published in Arabic, the Capital Market covers all financial events which happen within the ISX and the listed companies. The Iraq Stock Exchange publishes its information in the website www.isx-iq.net. The ISX has successfully joined FEAS, which held its annual meeting in Shiraz on HISTORY AND DEVELOPMENT History 1. The ISX was established according to Law #74 on April 18, 2004 and began trading on June 24, 2004. 2. The ISX ‘s headquarters are in Baghdad and has the right to open branches in other Iraqi cities. 3. The ISX is a completely separate entity from the Baghdad Stock Exchange and is not responsible for any outstanding liabilities or obligations incurred by that organization, which no longer exists. 4. The ISX is committed to developing a transparent, open, and competitive trading environment. 5. The ISX is financially and administratively independent from the Iraqi government including the Ministry of Finance. It is organized as a non-profit entity that is owned by its members, the Brokers. 6. The ISX has the right to file law suits and bring matters to the proper investigative authorities. The Chairman of the Board of Governors will represent the ISX with regard to such matters. PAGE 68 ISX Goals 1. Organize, train, and educate its members and listed companies in methods and practices that protect investors and build trust in the integrity of the market. 2. Enhance the transparency and competitiveness of the market. 3. Organize fair and effective clearance operations. 4. The primary business of the ISX is the selling, trading, clearing, and settlement of equity securities. In undertaking these activities the ISX is consistent with the goals of protecting investors and promoting investor confidence in the market. 5. Develop a financial market in Iraq capable of providing capital to Iraqi companies thereby supporting the growth of the national economy. 6. Encourage domestic and foreign investment through the ISX. 7. Perform analyses and publish relevant information regarding the performance of the ISX. 8. Continue soliciting assistance from stock markets in the region and throughout the world. 9. Perform other activities that contribute to the success of the ISX. The world financial crises didn’t affect the ISX yet, I believe that because Iraq Stock Exchange is still a small market and we don’t work very closely with banks and insurance companies we didn’t have credit problems. We at the ISX are doing our best to transform our exchange to meet or exceed the standards in the region. FUTURE OUTLOOK • List more companies as they meet listing requirements, • Participate in conferences and international symposiums, • Initiate development and training programs in cooperation with other exchanges, especially in the Middle East, • Begin operating the automated electronic trading system in March 2009 • Assist in the eventual privatization of state owned enterprises, • Issue a new Securities Law in cooperation with the Iraqi Securities Commission, • Hold meetings and symposiums with financial investment companies and investors, • Publish trading data and information about the ISX to encourage investment in Iraq, • Work with Mubasher to distribute the ISX data and accordingly enable its interested subscribers to access the delayed and real- time market information via Internet, satellites and other communication networks. Mubasher shall disseminate the Data in Arabic and English in real-time or delayed basis through its online and offline network. .