FEDERATION OF EURO-ASIAN STOCK EXCHANGES
ANNUAL REPORT JUNE 2013
MUSCAT SECURITIES MARKET
Ahmed Saleh Al-Marhoon
Director General
We are continuously working on developing and
operating an efficient and transparent securities
market to the best standard expected by our
local and foreign investors. We believe that
exchanges that adhere to good governance,
greater transparency and greater accountability,
are able to foster investors’ confidence as well
as creating attractive investment environment.
The Omani economy has managed to move
forward to achieving self-growth and being
adaptable to regional and global economic
fluctuations.
MSM DEVELOPMENT
Muscat Securities Market has implemented a
number of projects related to the development
of the market.
In the area of information security and
protection, MSM applies the best international
practices in information technology, especially
those related to customer information
security. In this respect the MSM has obtained
the international ISO 27001 in the area of
information security.
The MSM launched, during the current month,
the latest NYSE Technologies version V.90 of the
trading system and other related systems.
All brokerage companies are now connected
with the trading system via modern and
advanced network using state-of-the-art MPLS
technology (Multiprotocol Label Switching).
Regarding MSM Index, the market has
introduced a change in the sectors forming
the price index. The Banking and Investment
Companies Sector was renamed to the
Financial Sector. Services and Insurance Sector
became the Services Sector and the Industry
Sector remained unchanged. This
We are continuously working on
developing and operating an efficient and
transparent securities market to the best
standard expected by our local and foreign
investors.
We at Muscat Securities Market (MSM), have
devised a comprehensive road map that
enables us to build capacity and promote
sustainable capital market development
strategy specifically aimed at improving
access to the regional and international capital
markets.
contribute to attracting investors who prefer a
credible reference for identification of Shariaa
complaint instruments.
The year 2013 witnessed, for the first time in
Oman, listing of Islamic products. In effect
Islamic financial indices have been launched
for Sukuk and Exchange Traded Islamic Funds
(ETIT’s). The launching of such indices would
new amendments resulted in a reclassification
of some companies in the new sectors based
on their main activity. Moreover, the number
of companies forming MSM sectoral indices
increased to 15 instead of 10 companies.
The Market continued to implement several
media and awareness programmes in the
Sultanate and abroad. The MSM in cooperation
with the Ministry of Education organized
workshops for applied mathematics teachers all
over the Sultanate.
On training, Muscat Securities Market has
signed a cooperation agreement with Bombay
Stock Exchange Training Institute to deliver
training programmes in the securities and
capital markets fields in the Sultanate.
Regarding information dissemination, Muscat
Securities Market has signed an agreement
with an international company to develop and
update MSM website in form and content
in order to keep pace with the international
technical developments in the field of
information.
MSM has managed, through newly introduced
program in its website, to provide software
for the financial performance of the listed
companies. It is an advanced electronic
programme on basic and financial analysis of
joint stock companies` statement.
Secured Financing Account Directives, with
serious restrictions, have been issued last year
allowing margin trading operations at our stock
exchange.
FUTURE OUTLOOK
• Activating the Primary Market for new issues.
• Diversification of our investment tools.
The MSM is now in the process of listing
Exchange Traded Funds (ETFs) and Islamic
instruments.
• Improving our technological systems to cope
the development in the trading, clearance
and settlement operations.
• Transformation of family enterprises into
public joint stock companies.
• Increasing investment funds which are
specialized in dealing on securities.
• Attracting foreign investments.
• Introducing market makers.
For achieving these goals the MSM is
dedicating more effort to improve its legal
environment working mechanisms, disclosure,
transparency, listing, and keeping up to date
with the latest international developments.
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