FEDERATION OF EURO-ASIAN STOCK EXCHANGES
ANNUAL REPORT JUNE 2012
MACEDONIAN STOCK EXCHANGE
Fundamental analysis of the financial
indicators of MSE companies currently
shows that there are potentials for
investing.
Ivan Steriev
CEO
If we consider the turnover of all market
segments from statistical point of view 2011
was relatively good performing year. The
total turnover was around 220 million euros
compared with 95 million euros in 2010. But
this turnover does not reflect the real market
movements and conditions in 2011, because
the growth was due to the enormous increase
of 253% in the value of block transactions.
The turnover through the BEST system,
which is more relevant indicator of market
activity, is at the relatively same level as in
2010 - around 34 million euros were reached
in trading in shares and 21 million euros in
trading in bonds, compared with the turnover
HISTORY AND DEVELOPMENT
The Macedonian Stock Exchange was founded
on September 13, 1995 and commenced
trading on March 28, 1996, as a central
marketplace for trading in securities and the
first organized stock exchange in the history
of the Republic of Macedonia. Its mission is
to provide attractive, efficient, transparent and
secure functioning of the organized secondary
securities market in the Republic of Macedonia.
For its 13 year history, the Macedonian Stock
Exchange has managed to establish a sound
market and information infrastructure and a
cohesive legal and regulatory framework, as well
as solid expertise upon which the functioning of
the Macedonian securities market is based.
in shares and bonds of 32,7 and 20.3 million
euros respectively in 2010. The average daily
turnover was around 233,000 euros. Market
capitalization of 32 listed companies was
reduced by 9% compared with 2010 (when
we had 34 listed companies). Our main index
MBI10 decreased by 11,7% and on December
31, 2011 recorded value of 1,974.86 points.
Developments in Europe will have a major
impact on capital markets everywhere and
hence on Macedonian Stock Exchange
operations. 2012 would be just as challenging
as 2011, with many open questions about the
prospects of global and regional markets and
the future of the global economy in general. Fundamental analysis of the financial indicators
of MSE companies currently shows that there
are potentials for investing, but domestic and
foreign investors will be very cautious because
of the high correlation of our corporate sector
with the developments in the euro zone and
the general uncertainty that will affect the
prevailing optimism or pessimism. And of
course, a significant impact on stock market
developments will have the level of domestic
interest rates in the economy and the future
of Macedonia’s accession in the Euro-Atlantic
organizations.
The MSE was founded as a not-for-profit joint
stock company with founding capital of
500,000 Euros. According to the legislation that
was in force in 1996 the only eligible founders
of the MSE were banks and other financial
institutions (saving houses and insurance
companies). MSE initially had 19 members:
13 banks, 3 saving houses and 3 insurance
companies. Starting from June 20, 2001 (with
the amendments of the Securities Law), MSE
started to operate on a for-profit basis, with
a founding capital of 500,000 EUROs. MSE
shareholders may be any legal and private
domestic and foreign entity. Shareholdings
per entity are limited up to 10% of the MSE
outstanding shares. All MSE members must
be licensed for trading in securities by the
Macedonian SEC. Only brokers, authorized
by the MSE members may trade in securities
at MSE. MSE currently has 25 members - 18
brokerage houses and 7 banks. Currently MSE
has 35 shareholders (brokerage houses, banks,
legal entities and private investors). FUTURE OUTLOOK
In 2012 Macedonian Stock Exchange will:
• Update the content of the MSE Corporate
Governance Code due to the latest
changes in the company law and securities
legislation;
• Upgrade the MSE data vending policy in
order to implement more comprehensive
and more attractive products;
• Implement the new upgraded System
for Electronic Information from the listed
companies – SEI Net;
• Develop new back office system for the MSE
members;
• Improving the functioning of the back-up
location;
• Organize live streaming for presentation
of the financial reports of its top listed
companies;
• Launch the MSE Training Academy i.e.
continue with efforts to increase the quality
and educational level of various groups of
market participants;
• Continue with the commitments to promote
the securities market as an additional source
of finance;
• Promote the Macedonian capital market
through various forms of joint presentations
with other regional stock exchanges.
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