Bursa de Valori Bucuresti : 1/6/2016 - Market Report for Regulated Market December 2015

Bucharest Stock Exchange (BVB) has moved in line with most markets in the region in December, BET, Bucharest Stock Exchange's main index, decreasing by 1.8%.

Tara	Decembrie 2015
Bulgaria	+5.81
Hungary	+0.63
Croatia	-0.6
Romania	-1.81
Czech Republic	-1.85
Poland	-3.45
Austria	-3.68

BET Total Return (BET-TR) ended December by 3.14% higher the level registered at the end of 2014. The BET-TR index reflects the performance of the top 10 most liquid companies listed on BVB, included also in BET index, as well the dividends these companies distribute to shareholders.

The value of trades with shares, excluding offers, decreased by approximately 17% in December, to RON 607.8mn (EUR 135mn). The total turnover with shares is 14% lower the level registered in December 2014.

The average daily turnover was almost RON 32mn (EUR 7.1mn) in December 2015, 13% lower than November 2015. Compared to December 2014, the decrease is of 19%.

In December 2015, investors traded shares, bonds, fund units and structured products, except offers, for almost RON 666mn (EUR 148mn), 16% lower compared to the same month of the last year and 18% lower compared to November 2015.

The market capitalization of all companies listed on the Bucharest Stock Exchange slightly increased, to RON 146bn (EUR 32.2bn) in December 2015. Out of this amount, the market capitalization of Romanian companies was RON 76.8bn (EUR 16.9bn).

In December, five most traded shares were: Banca Transilvania (TLV), Fondul Proprietatea (FP), OMV Petrom (SNP), Romgaz (SNG) and BRD Groupe Societe Generale (BRD), with a total value of almost RON 480mn.

Market news*

On December 4, at BVB headquarters, the first club of investors in Bucharest - Investors Club - was launched. The club is led by Raluca Ganea, Adrian Cojocar and Cristian Tudorescu. The purpose of the club is to create a community of investors in the capital market, to satisfy their needs for access to information in the field of capital markets, through exchange of ideas and opinions, both at meetings and open discussions between members, and also in an organized manner, at interactive seminars, which will focus on more practical things.

Bonds issued by the company Advanced Retail System (ADRS18) debuted on Aero on December 7, 2015. It was the second corporate bond listed this year on the ATS system. The company has attracted nearly RON 4mn in October, by selling 3 years maturity bonds and a fixed interest rate of 10% per annum, payable quarterly. Advanced Retail System is an active company in the real estate market, renting spaces for SUPERBET, a sports gambling agency. 90% of the company's turnover is generated from space renting services and car rentals. The Authorized Advisor who assisted Advanced Retail System in the offering and listing of bonds on Aero is Ieba Trust.

On December 8, 2015, it was the first trading day for Life is Hard (LIH) on AeRO, a company specialized in software development. Life is Hard is the developer of leading software platforms for the insurance brokerage sector in Romania. In 2014, policies worth of more than EUR 160mn were written using the application 24Broker.ro, which represents a market share of 30% of all intermediations performed by insurance brokers. LIH shares started trading at a price of RON 8.16/share. During the first two trading sessions, prices climbed to over RON 12 /share (increase of more than 50%), giving a market capitalization of the company of nearly RON 8mn. The turnover in the first two trading days exceeded RON 500,000. Authorized Advisor for Life is Hard is SSIF Goldring.

On 8 and 9 December, the Bucharest Stock Exchange organized the first two seminars of the 'Fluent in Finante 2.0 '. The two seminars were organized in Bucharest and Brasov, with Eusebius Burcas, personal finance coach and founder of 'Burcash' and they were attended by over 200 people. Alpha Finance, BT Securities, Estinvest and Intercapital Invest are the brokers-partners in this project. The following seminars will take place in Cluj-Napoca and Timisoara on January 20 and January 26. Persons interested in attending the 'Fluent in Finance 2.0' seminars can register directly on the project website: http://fluentinfinance.bvb.ro. Through this program, BVB aims to bring financial literacy and capital markets closer to those who want to learn more about the stock market and investments on their own.

On December 9, BVB organized the workshop 'Creating retail investors culture in Romania', attended by representatives of the main brokerage houses in Romania, managers of mutual funds and pension funds, tax consultants, representatives of commercial banks, World Bank, European Reconstruction and Development bank, of the Romanian Academy and market research companies. It was decided to create a common strategy to stimulate the growth of financial literacy among the population, by organizing a nationwide campaign in which to have involved both public and private institutions. Romania is on the last position in the European Union in this respect, and the Bucharest Stock Exchange aims to be one of the main promoters of financial education.

On 17 December, in Timisoara, Invest Club launched the local investors club, in the presence of over 40 people. Radu Ticiu, CEO of Timisoara Startup Hub, spoke about the benefits of the IT environment and IT Hub for entrepreneurs and investors. Timisoara Club operates as a subsidiary of Invest Club and President Tudor Irimiea spoke about the experience of Investors Club in Cluj-Napoca and how it performed in 2015. The club is led by Flavius ??Josan, a broker with experience in the capital market.

The General Shareholders Meeting, held on December 14, 2015, elected new members of the Board and President of the Board. The new members of the Board of Directors are Claudiu Lucian Anghel, Valerian Ionescu, Gabriel Marica, Cristian Micu, Octavian Molnar, Otto Naegeli, Robert Cosmin Pana, Dan Viorel Paul and Radu Toia. Out of the nine members, shareholders re-elected Lucian Anghel as Chairman.

*in chronological order