Business Environment Macroeconomic Outlook Capital Markets Banking Sector Privatization and Investments Economic Freedom Business News In the Spotlight Coming up... Graphic 6. Turnover structure 25.3%
Montenegrin Stock Exchange in 2011 The only one and sole stock exchange in Montenegro began to operate in January 2011 after a technical merger with the Nex stock exchange and the Montenegro stock exchange at the end of December 2010. Following this event, the NEX Stock Exchange ceased to exist as a legal entity. The merging of these two stock exchanges will enable increased levels of liquidity and efficiency in the capital markets, and news of this is expected to be received positively by foreign investors.The new stock exchange will use the two indices, MONEKS20 and MONEKSPIF. These have been developed from the former Montenegrin stock market indices. The stock exchange will use BTS software with a creation upgrade. This version of the software supports the FIX protocol which is the international standard for the exchange of information exchange activity . This will provide a reliable connection with all of the other Montenegrin capital markets.
60.2%
14.4%
Shares
Capital Markets
PIFs units
Bonds
Graphic 7. Plantaže JSC
Capital Markets in 2010 During 2010, the total volume of trade carried out in both of the Montenegrin stock exchanges amounted to €58.8 million, which was almost seven times less than the volume of trade that was seen during 2009 (€404.8 million). During 2010, a total number of 21,069 transactions were completed. Three types of security were traded: company shares, privatization-investment fund shares and bonds. These included: old currency savings bonds, pension fund bonds, indemnity fund bonds and government bonds.
0.6
0.5
0.4
During 2010, the greatest turnover was recorded in the area of company shares (60.2%), followed by various other bonds (25.3%), while the total turnover in investment funds amounted to 14.5%.
0.3
0.2
0.1
Trade on the Stock Exchange
0.0 Dec-09 Jan-10 Mar-10 Apr-10 May-10 Jun-10
Jul-10
Aug-10 Sep-10 Oct-10 Nov-10 Dec-10
Graphic 8. Electric power company JSC 7.0
6.0
5.0
4.0
3.0
2.0
1.0
0.0 Dec-09 Jan-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10
Graphic 9. Crnogorski Telekom JSC
NEX Stock Exchange:
The Montenegro Stock Exchange:
The total volume of trade carried out during 2010 was €23.4 million, whilst the number of transactions reached 5,585. During 2009, trade volume totaled €162.5 million through a total of 18,743 transactions.
The total volume of trade during 2010 amounted to €35.4 million. A total of 15,484 transactions were recorded. Compared with the total volume seen in 2009 (€242.3 million), the level of trade volume that was achieved was almost seven times lower.
Taking into consideration shares from a single company, the highest monthly trade volumes, during 2010, were reached in June when Atlas Mont Bank shares reached a high of €3.3 million as a result of just one transaction and in November when Telekom Montenegro achieved a total of €1.2 million in trade volume through 101 transactions.
The companies which traded the most during the first nine months of 2010 were HTP Primorje AD Tivat, which achieved €3.3 million through 2 transactions in May and Prva Banka Crne Gore that achieved a level of €1.8 million in trade volume as a result of just one transaction in June.
4.0 3.5
Table 2: Trade on the Stock Exchange
3.0
Exchange
2.5
1.0 0.5
Shares
PIFs units
Bonds
Volume €
Trans.
Volume €
Trans.
Volume €
Trans.
Volume €
Trans.
NEX Montenegro
23,452,245.00
5,585.00
13,860,679.00
3,138.00
1,066,721.00
1,492.00
8,524,845.00
955.00
Montenegro SE
35,398,156.28
15,484.00
19,144,609.39
9,399.00
6,849,744.11
3,095.00
5,362,251.02
2,299.00
Total
58,850,401.28
21,069.00
33,005,288.39
12,537.00
7,916,465.11
4,587.00
13,887,096.02
3,254.00
2.0 1.5
Total
0.0 Dec-09 Jan-10 Mar-10 Apr-10 May-10 Jun-10
12
Jul-10
Aug-10 Sep-10 Oct-10 Nov-10 Dec-10