NSE-Web-Prospectus-2014

Section 8Nairobi Securities Exchange LimitedThe following is selected information on the profile of the NSE, its Board of Directors, senior management and other aspects of operations:8.1 Base ProfileTable 8.1-Base ProfileNo Item Details1 Exchange operations 1920s but formally from 19542 Membership • Founding Member of the African Securities Exchanges Association• Founding Member of the East African Securities Exchanges Association• Associate Member of the Association of Futures Markets• Associate Member of World Federation of Exchanges3 Time Zone Greenwich Mean Time + 3 Nairobi4 Address The EXchange, 55 Westlands Road, PO Box 43633-00100, Tel: 254-20-2831000- Nairobi5 Website www.nse.co.ke6 Trading Days Monday, Tuesday, Wednesday, Thursday, Friday7 Trading Automated Trading System8 Trading Access Wide Area Network and Local Area Network (Backup)9 Access Rights Trading Participants10 Trading Hours9:00 a.m. to 3:00 p.m.a) During ‘pre-open’ the system accepts orders (permitted orders). Orders may be amended or cancelled during pre-open.However, no executions take place at this stage.b) During ‘open-auction’, the system temporarily closes the order book and starts matching orders. It establishes theopening price and determines the orders to be executed according to the rules for the open-auction period.c) During ‘regular trading’ new orders are continually matched against existing orders in the order book according to the rulesfor the regular trading session. If an order cannot be executed it is stored in the order book depending on its attributes.d) During ‘close trading’ the system computes the closing price for each security. During closing the state of the market isdisplayed as “closing”. Once the closing process is complete, the status of the market is displayed as “closed”.11 Trading Currency Kenya Shilling12 Key Regulations a) The Capital Markets Act and the regulations and rules made thereunder;b) Companies Act and the regulations and rules made thereunder;c) Central Depository Act and the regulations and rules made thereunder;d) NSE Listing Manual; ande) NSE Trading Rules.13 Total No of Securities 129 as of 31 December 2013 – (Equities – 61); (GOK Treasury Bonds – 60); (Corporate Bonds – 9).14 No of Segments 415 No of Indices 516 Reports a) Daily Market Reportb) Daily Equity Price Listc) Daily Fixed Income Price Listd) Monthly Bulletine) Weekly Equity Statisticsf) Weekly Bond Statisticsg) NSE Monthly Bulletinh) Quarterly EASEA Exchange Magazinei) Annual Report17 Data Vending Yes – 13 authorised data vendors18 Settlement Procedure Delivery vs Payment19 Delivery Automated Delivery System20 Settlement via Clearing House21 NSE Broker Back Office Automated back office system that enables senior management to monitor and auditactivities through suitable alerts and exception reports;22 Risk Mitigation a) Investor Compensation Fundb) Guarantee Fundc) Settlement Limits23 Policy & Tax Incentives There are numerous policy and tax incentives that are available in the development ofcapital marketsSource: NSE34