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FEDERATION OF EURO-ASIAN STOCK EXCHANGES ANNUAL REPORT APRIL 2011
TEHRAN STOCK EXCHANGE
Hassan Ghalibaf
CEO
Tehran Stock Exchange (TSE) is one of the
largest growing markets in the Middle East
with 341 listed companies and 87 securities
firms (as of December 2010).
Tehran Stock Exchange (TSE) is one of the largest
growing markets in the Middle East with 341 listed
companies and 87 securities firms (as of
December 2010).
TSE has recently finalized its five-year Strategic
Plan under the vision of An Excellent Exchange in
the Region and a Driver for Economic Growth in
the Country. This plan also determines Mission,
Values, Objectives, and Strategies.
The Strategic Plan exemplifies our dedication to
quality and demonstrates our commitment to keep
our markets in line with the evolving world
standards.
Under the three concepts of transparency,
efficiency and integrity, our efforts are directed to
activating the market by discovering local
companies through TSE comprehensive marketing
plan and developing new projects such as
educational programs for promoting public
investment culture in the country and plan for
obtaining ISO 27001 certification for TSE's IT
Security Management System.
Our response to the challenges is to pay special
attention to sustaining and improving the
attractiveness and competitiveness of our market,
with liquidity and efficiency.
While addressing them, we also take the
opportunity to secure some notable advances for
TSE and increase our attractiveness for both
issuers and investors. We embarked on significant
market and regulatory reforms to facilitate raising
capital by issuers.
TSE continues to strive for the establishment of a
strong presence as a major global exchange. In
promoting international relationship and creating
opportunities, we are discussing with index
providers to enhance our benchmark index.
Online trading as a new service will be supported
in Tehran Stock Exchange with a highly efficient,
modern, and user-friendly system, which will allow
customers to place their orders directly to the
Exchange's trading system and set their own
bid/ask prices from all over the world. This facility
offers brokers the opportunity to concentrate more
on the added value services, such as professional
advisory and market analysis and lower their
operating costs.
We are committed to safeguarding and expanding
the investments of our clients by utilizing all our
resources and maximizing the stakeholder's
benefits. That is designed to evolve alongside the
emerging trends in the international markets.
At TSE, sustainable improvement is an unending
process. We strive to adopt the highest standards
of the operations and quality control, according to
the international standards and are constantly
upgrading the expertise of our team.
HISTORY AND DEVELOPMENT
Tehran Stock Exchange (TSE) was founded in
1967, by starting with only six listed companies.
Since then, the Exchange has experienced
considerable changes in the path of development.
Today, three years after its demutualization, which
took place on 6 December 2006, TSE has
gradually demonstrated its potentiality as a
leading Exchange in the region and developed
into an ever-growing marketplace, including more
than three hundred listed companies with a
market capitalization of above US$ 60 billion.
The mission is setting the agenda for the change
in the Iranian securities markets. TSE must be
more than a mere market facilitator and ought to
be able to guide industries towards new horizons
and greater opportunities, as it is actually doing
through the strict regulations and listing
standards. TSE is aiming at promoting the Iranian
Capital Market to respond to the socio-economic
development needs of the nation. The Exchange
helps and stimulates industrial, as well as
economic growth and development of the
country's financial sector. TSE is preparing to
maintain a strong and transparent market in order
to give opportunity to the investors to convert their
cash into securities at a fair and honest price and
vice versa, and is developing to become a highly
liquid secondary market for securities to raise
funds and win confidence from all stakeholders.
TSE is planning to operate as a world-class
marketplace for Iranian securities and derivatives
products. It strives to offer issuers access to a
wide national marketplace. It must make a
contribution to Iran's status as an economy, which
intends to open-up to international financial
centers. By servicing Iran's substantial long-term
demand for capital and exchange services in
accordance with international standards and
practices, it is believed that TSE has the potential
to become one of the pre-eminent Exchanges in
the Persian Gulf area.
Privatization, as a priority is both followed by the
State and managed by TSE on the one hand, to
facilitate the economic reforms, and on the other
one, to improve and support the Iranian securities
market. In this fashion, among the floated
companies since January 2009, shares of some
state-owned banks and insurance companies
were traded for the first time in the Exchange.
For the coming year, introducing derivatives is in
the agenda.
FUTURE OUTLOOK
In the year 2011, Tehran Stock Exchange will make
efforts to implement its Strategic Plan which
exemplifies our dedication to quality and
demonstrates our commitment to keep our
markets in line with evolving world standards.
The Strategic Plan determines our vision; "To
become an excellent Exchange in the region and
a driver for economic growth in the country" by
increasing the share of the capital market in the
local economy, effective execution of regulations
for market integrity and protecting the investors,
employing new technologies and practices for
broadening the market, developing the finance
literacy and public investment culture in the
country, facilitating access to the market through
employing the latest IT techniques, and
considering the principles of accountability and
transparency and improve the communication
between TSE and its stakeholders to further
strengthening their trust in the market.
Under the three concepts of "transparency",
"efficiency" and "integrity", our efforts are directed
to attract the big companies to be listed in the
market through TSE's comprehensive marketing
plan and developing new projects such as
educational programs for promoting public
investment culture in the country and plan for
obtaining ISO27001 certification for its IT Security
Management System.
In addition, TSE will also provide the potentials for
designing more investment products such as
exchange traded funds (ETFs) and index-based
derivatives instruments that Tehran Stock
Exchange has planned to introduce this year.
We are working on the expansion of risk-hedge
functions, as the trading products in response to
investors' needs are extended.
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