FEAS Yearbook FEAS Yearbook 2012 | Page 41

FEDERATION OF EURO-ASIAN STOCK EXCHANGES ANNUAL REPORT JUNE 2012 BELGRADE STOCK EXCHANGE In the 2011 at the BSE was concluded 2.8 million transactions, which is 297.5% more than the previous year. Gordana Dostanic Managing Director Investment activities on the Belgrade Stock Exchange (BSE) in 2011 were, measured by the value of turnover marked with a slight increase compared to the 2010. The total annual turnover amounted to 388, 8 US$ million, which is 30.8% higher value compared to previous year. The most striking change was recorded in number of transactions. In the 2011 at the BSE was concluded 2.8 million transactions, which is 297.5% more than the previous year. If we speak about particular securities, most investors’ attention was focused to shares of privatized public enterprises (Naftna industrija Srbije a.d. Novi Sad; Serbian Oil Company and Aerodrom “Nikola Tesla” a.d. Beograd; Belgrade Airport), and shares from the banking sector. HISTORY AND DEVELOPMENT The Belgrade SE was originally founded in 1894, but it was closed in 1953, and again refounded in 1989. The key events in the recent history are: • In March 2004, remote trading was launched; • In October 2004 continuous trading of stocks has begun; • In November 2004 the 110 anniversary was celebrated; • In December 2004, BELEXfm index has been lunched; • In October 2005 the BELEX15 index has been introduced; • In March 2007, SRX index (Serbian Traded Index) launched by the Vienna SE; • In April 2007, the Belgrade SE launched its new general equity index BELEXline; • In April 2007, first company listed on the premium Listing A; • In June 2007, BELEX 15 Open End - Index Certificate issued and listed in Frankfurt and Stuttgart; • In November 2007, Serbian stocks included in first Balkan Blue-Chip index - DJ STOXX Balkan 50; • In January 2008, ABN AMRO bought a licence for BELEX15; • In April 2008, the new trading system BELEXFIX was launched; Although there has been slight increasing of the investment activities, measured by the value of turnover, market is, measured by indices, at a lower level compared to the end of previous year. On the last trading day in 2011, value of the BELEX15 (index of the most liquid shares on the BSE) was 499.05 index pts. which represents an annual decrease of 23.43%. BELEXline, the BSE general index, 2011 ended at the level of 977.19 index pts., which is 23.82% lower value compared to the end of previous year. The relative participation of foreign investors in the total turnover amounted 39.40%. The foreign investors in shares trading recorded participation of 45.38%, and they were more active on the buy side with a participation of 55.30%, while their participation on sell side recorded 35.46%. In RS bonds trading, foreigners participated with 4.54%. • in September 2008, first closed-end fund shares admitted to trading; • In December 2008, first market maker in TIGR shares; • In May 2009, Third International Roadshow was held in Belgrade; • In September 2009, Luxembourg Foreign Minister Jean Asselborn visited the Belgrade SE; • In November 2010, Letter of Cooperation on the data exchange was signed between the Stock Exchanges in Sofia, Skopje and Belgrade; • In March 2011, The Belgrade SE and the Vienna SE signed the Cooperation Agreement in the field of market data dissemination; • In March 2011, Director of the Belgrade SE Ms. Gordana Dostanic, was presented a »Business lady – Creative women of the year 2010« award; • In April 2011, Day of Listed Companies was held. FUTURE OUTLOOK In 2012 the BSE will focus on following activities: • Perform necessary reorganization, in order to align with new Law on the Capital Market and by-laws; In addition to statistical data which illustrate investment activities on the BSE in 2011, it is important to note that the BSE during 2011 made significant efforts in the field of promotion of capital market, as well as training of existing and potential market participants on various aspects of stock exchange operations. In order to increase the knowledge about investor relations and its importance, BSE has organized several seminars and presentations for the representatives of the companies. As in previous years, on November 2011 in Belgrade was held traditional annual gathering of representatives of local and regional capital markets - X International Conference of the Belgrade Stock Exchange - UPGRADE IN BELGRADE 2011. The conference was attended by over 200 participants who had the opportunity to inform and discuss current issues, relevant for the future development of Serbian capital market. • Adjustment and upgrading of all operations, rules, procedures, reports and web pages in accordance with the new regulation; • Promoting of IPO and listing opportunities for Serbian non-listed companies; • Boosting of the market-making function; • Improvement of educational activities and programs for citizens and students from Universities in Serbia; • Organization of roadshows for domestic and international investors; • Further development of the existing indexes and indicators; • Exploring the possibilities of introducing new instruments into the market; • Broadening the network of international data vendors; • Organization of specialized seminars about IR for companies and representatives of Universities in Serbia; • Improvement of media coverage of stock exchange activities; • Editing and publishing new editions and publications; • Work on developing it’s human resources; • Organization of the 11th International Conference in November; • Improving and widening the base of companies and institutions that will be involved in granting the award for the best IR practice in Serbia. 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