Performance of Amman Stock Exchange During year 2010
Mr. Jalil Tarif, the Chief Executive Officer (CEO) of Amman Stock Exchange (ASE) said that, the ASE ended trading transactions for the year 2010. During this year, the trading volume reached JD (6.7) billion compared with JD (9.7) billion for 2009, the ASE price index weighted by free float reached (2374) points compared to (2534) points at the end of 2009 a decrease of (6.3 %).Despite the decline, the non-Jordanian ownership at the ASE reached (49.6%) by the end of December 2010 compared to (48.9%) by the end of 2009 and the net of non-Jordanian investments at the ASE decreased by JD (14.6) million by the end of 2010 compared to a decrease by JD (3.8) million by the end of 2009.
Mr. Tarif added that The ASE furthered its efforts to develop and update the securities market. In 2010, the ASE launched a number of projects that will help enhancing development and transparency of the market performance. Such projects will also help update the infrastructure of the ASE and introduce new means of information dissemination. ASE launched the internet trading service where this service provides the opportunity for largest number of investors and those interested in trading in securities regardless of their geographical location, which contributes to increase the number of traders at the ASE and increase the motivation of trading securities. ASE also adopted its new website in both Arabic and English versions which characterized by its modern design and its comprehensive information in addition to the advanced technology used in the design.
ASE Participates in the Annual Meeting of the FEAS
Amman Stock Exchange (ASE), represented by the Chairman of the Board Mr. Mohammad S.Al-Hourani and the Deputy CEO of the ASE Mr. Nader Azar, participated in the meetings of the Working Committee, Executive Committee and the General Assembly of the Federation of Euro-Asian Stock Exchanges (FEAS) which was held in Istanbul-Turkey during the period from 6-10 December 2010. The ASE won as the deputy chairman of the working committee in the elections, which took place in the meeting note that the ASE won the presidency of the working committee unanimously for two years then in 2008 won by acclamation until the year 2010.
Mr. Nader Azar chaired the Working Committee Meetings and attended the Executive Committee and the General Assembly of the Federation at which many important issues were discussed regarding to the Activity Plan of the Federation for 2010 and 2011. In addition to the revenues and expenditure analysis of the FEAS members, and the bilateral exchange visit program between the Federation members. Also, the budget for the year 2010, 2011 was discussed. The members finally agreed on holding the next Working Committee meeting in Ohrid -Macedonia and the next General Assembly Meeting for the year 2011 in Almaty- Kazakhstan.
Istanbul Stock Exchange (ISE) was elected as the chairman of the Federation, Tehran Stock Exchange as Chairman of the Working Committee and the Executive Vice Chairman of Istanbul Stock Exchange Mr.Mustafa Baltaci has been appointed as General secretary of the Federation and the members of the executive committee also has been elected. It is worth mentioning that the number of the member's stock exchanges is thirty.
The participant delegation participated in the presence of the celebration that was held by the Istanbul Stock Exchange on the occasion of (25) years of its founding.
A Military Delegation from The Royal Air Defense School Visits the ASE
A military delegation from The Royal Air Defense School visited the Jordan capital market institutions. The Deputy CEO of the ASE, Mr. Nader Azar, briefed the delegation on the operations at the ASE and the basic investment principles in the exchange. He also tackled the latest legislative and technical developments of the Jordan capital market at the legislative, technical and quantitative levels and their impact on enhancing market transparency, liquidity and efficiency
Bilateral Exchange program with FEAS members
As a part of the efforts exerted to enhance the bilateral cooperation among the members of the Federation of Euro-Asian Stock Exchange (FEAS), the FEAS held a number of bilateral cooperation programs and visits among the stock exchanges member. In this framework, Ms. Malak Al-Jazzai from Awareness and Public Relation Department, Mrs. Faten Abu Issa from Legal Department, and Mrs. Kholoud Al- Rawashdeh from Listing and Operations Department, visited Istanbul Stock Exchange. During their visit they were briefed about a number of important issues related to capital market, Exchange Traded Funds (ETFs), and the trading, surveillance and technological systems of the exchange. They also toured the departments of the exchange and visited a number of financial services firms.
Student Delegations Visit ASE
Student delegations from Um Umara School visit the ASE. Mr. Amjad Al-Qudah , the Head of Awareness and Public Relations Department. briefed on the latest legislative and technical developments of the Jordan Capital Market and the basic investment principles at the ASE.
Jordan Securities Market ranked sixth according to index "financial development for the year 2010"
The World Economic Forum financial development index for the year 2010 for the Hashemite Kingdom of Jordan revealed an average level within the general index for the second year respectively after it globally rank is twenty -nine out of fifty-seven countries in the world covered the report compared to rank twenty-five globally out of fifty-second countries covered by the index in 2009, where the index showed that the order of Jordan Capital Market regarding the financing through local equity market is the sixth and the efficiency of the regulations of securities exchanges in rank twenty-five, as for the order of the restrictions on capital flow is thirty-one. The financial development for the year 2010 index measured the institutional environment, which the Kingdom in rank twenty-five globally, where it is in rank forty-three globally for Business Environment Index, and in ranked forty-one for the financial stability indicator.
It is noteworthy that Jordan got advanced ranks within variable stability of the banking system where it comes globally nineteenth; it also got a good rank in the variable risk of sovereign debt crisis on which it is in rank forty-six worldwide. As for The sub-index for financial services, Jordan came in rank twenty-six globally and for the Index of non-bank financial services Jordan has been placed in rank twenty-nine globally while it was ranked nineteen according to Financial Market Index and in rank thirty-four within the index of financial achievements and its applications.
Students Delegations Visit the ASE
Amman Stock Exchange (ASE) received student's delegations from the Intermediate University Collage/Finance and Banking Department and from Islamic Scientific College. Ms. Malak Al-Jazzazi from Awareness and Public Relations Dept. briefed the delegations on the latest legislative and technical developments of the Jordan capital market at the legislative and technical level. The delegations made a visit to the Investor's Gallery in the Housing Bank Complex and they toured a number of brokerage firms.
The Companies' Third Quarter Reports for the year 2010
The CEO of the ASE Mr. Jalil Tarif said that (105) companies representing (94%) of the overall companies listed at the First Market submitted their quarterly reports reviewed by their auditors within the time limit of receiving their quarterly reports ended on Sunday 31/10/2010.
By virtue of the ASE(15/B) Listing Directives all companies listed at the First Market must submit reviewed quarterly reports during the first month follows the said quarter. Such a step assures the First Market companies' transparency and disclosure in addition to abiding by other strict conditions relating to their financial position, profitability and shares liquidity.
Tarif added that the ASE circulates these reports to the brokerage firms, and post them on the ASE website (Arabic Version) www.exchange.jo in circulars and disclosures/quarterly reports window.
On the other hand Mr. Tarif said that a number of companies listed at the First Market did not submit their reviewed reports within the time limit breaching the provision (15/B) of the Directives of Listing Securities on the ASE, these companies are:
The Arab Assurers, Beit Al-Mal Saving and Investment for Housing, United Arab Investors, Al-Faris National Company for Investment &Export, Rum Alaaddin Industries and Middle East Complex for Eng, Electronics and Heavy Industries, furthermore, Capital Bank of Jordan submitted its un-reviewed quarterly report after the time limit.
The ASE Participates in the Meetings of the World Federation of Exchanges (WFE)
The ASE represented by Mr. Jalil Tarif the CEO of the ASE participated in the 50th General Assembly and the Annual meetings of the World Federation of Exchanges (WFE) which was held in France /Paris in the period between 10-11 October, 2010. More than 300 participants representing 68 chairmen and chief executives of the world leading exchanges and financial institutions attended the assembly which is considered the largest and most widely attended gathering of global exchange leaders. The general assembly approved the membership of Bourse de Casablanca. With this WFE membership includes 52 regulated exchanges. Several important issues were also discussed during the meetings related to Exchange Strategy and Industrial Trends, Clearers and OTC Derivatives, Transparency and Global Reporting Standards for Global Markets.
It is worth mentioning that the WFE is considered the largest gathering of exchanges in the world constituting about 97% of the Market Capitalization of the world's securities markets. Most notably are New- York Euro-Next Stock Exchange, NASDAQ, London Stock Exchange (LSE), OMX Exchanges, Tokyo Stock Exchange and the Germany Stock Exchange and many others. The ASE has been accepted as a full membership during the general assembly meeting of the federation in October 2007 and became a member of the Working Committee of the federation.
Receiving a Delegation from Companies Control Department
The CEO of the ASE Mr. Jalil Tarif met the Controller of Companies Mr. Bassam Talhouni and a delegation from Companies Control Department / Ministry of Industry and Trade during a visit to Jordan Securities Commissions (JSC) and Capital Market Institutions. Tarif presented the delegation about the recent developments witnessed by Jordan Capital Market in recent years and the current challenges facing the securities industry and the role of capital market institutions in providing an attractive environment especially that the national economy's openness to the foreign investment. He also tackled the latest legislative and technical developments of the Jordan capital market at the legislative, technical and quantitative levels and their impact on enhancing market transparency, liquidity and efficiency. They also discussed fostering cooperation between the Institutions of Capital Market and Companies Control Department / Ministry of Industry and Trade.
ASE Participates in the Fourth Meeting of the OIC Exchanges Members
Amman Stock Exchange (ASE) represented by Mr. Nader Azar the Deputy CEO participated in the Fourth Meeting for the Exchanges Members of the Organization of Islamic Conference (OIC), which was held in Istanbul- Turkey and Organized by the Istanbul Stock Exchange, during the period from 2-3 October 2010. During the meeting Standards and Poors Company has been selected to work on the composition and calculation the index of the member's exchanges in the (OIC). The meeting also discussed the possibility of developing Sukuk Islamic Market and launching Islamic financial instruments. They also tackled the issue of cooperation with data Provider Company regarding the trading of Islamic financial instrument.
It is worth mentioning that the (OIC) was founded in 1969 compromised of (57) members' representatives of more than (1.3) million Muslim around the world and its premises in Jeddah/ Saudi Arabia
ASE Participates in the Business and Finance Forum 2010
Amman Stock Exchange (ASE) represented by Mr. Nader Azar, the CEO of the ASE, participated in the First exhibition and forum Business and finance entitled "Jordan Capital 2010" organized by Jordanian United Company which was held in the Association of Banks on October 24, 2010. Mr. Azar delivered a presentation entitled "The Impact of the Global Financial Crisis on ASE". Mr. Azar handled the importance of investing in ASE and its role in fostering savings and investment, he also addressed the challenges facing the ASE especially the intense continuous fluctuations of the global market and encountering the effects of the global financial crisis in respect to the investment in the exchange and fostering liquidity. He also stressed on the persistent attention to the Jordanian and non-Jordanian investors at the ASE, whereas non- Jordanian ownership represented (48%) of the ASE capitalization.
A Delegation from Libyan Banking Sector Visits the ASE
Amman Stock Exchange received a delegation from a Libyan Banking Sector on the period between October 5-6, 2010, where the delegation was briefed on the mechanisms and rules of trading at the ASE in addition to identifying the Electronic Trading System used by the ASE and its mechanism. This visit comes within the Professional Diploma Program in the markets and financial intermediation, which convened by the Institute of Banking Studies to the participants.
British MPs Visit to ASE
The CEO of the ASE, Mr. Jalil Tarif, met the British parliamentary Delegation visit to the Hashemite Kingdom of Jordan headed by the vice - Chairman of House of Lords, Ms. Trish Morris and in the presence of the Chairman of the Conservative Middle East Council in the House of Common Mr. Leo Moshree, at the Jordanian Capital Market Institutions premises. Mr. Tarif discussed ways of fostering cooperation between both countries. Tarif also presented the recent developments witnessed by Jordan Capital Market in recent years and the current challenges facing the securities industry and the role of capital market institutions in providing an attractive environment especially that the national economy's openness to the foreign investment. Whereas Non-Jordanian ownership constitute about 49% of ASE Market Capitalization. The delegation expressed admiration on the legislative and regulatory developments carried out by capital market institutions in addition to its advanced technological level.
Jordanian Capital Market is Progressing in World Competitiveness Report issued by the World Economic Forum:
Competitiveness Report issued by the World Economic Forum for the year 2009 -2010 showed a progression in the stock market and capital market indicators which covers 139 countries around the world. The report pointed out the clear progress of Jordan securities market compared with the global markets in terms of competitiveness, the report also showed that the order of Jordan Financial market regarding the financing through local equity market is the sixth, and Financial market sophistication in rank is forty six , and the efficiency of the regulations of securities exchanges in rank Twenty-five , as for the order of the restrictions on capital flow is thirty-first. It is worth mentioning that calculation of the order of the country depends on several data including data published by the country and the survey of opinion of the executives in the country and a comprehensive survey by the World Economic Forum and a local partner from each country.
ASE participates in the Sixth Conference of Businessmen and Expatriates Jordanian Investors
Amman Stock Exchange (ASE) represented by the CEO of the ASE, Mr. Jalil Tarif, participated in the Sixth Conference of businessmen and Expatriates Jordanian investors' expatriates which was organized by the Jordanian Businessmen Association and the Jordan Investment Board in cooperation with the Ministry of Foreign Affairs during the period between 3-4/8/2010.
Mr. Tarif presented a presentation entitled "Amman Stock Exchange and Current Challenges" Mr. Tarif handled the importance of investing in ASE and its role in fostering savings and investment, Mr. Tarif also emphasized on the Internet trading service which is lately launched by the ASE and the importance of this service which is seen as a major opportunity to investors to follow up and manage their investments easily. Mr. Tarif also addressed the challenges facing the ASE, represented by the intense continuous fluctuations of the global market and encountering the effects of the global financial crisis in respect to the investment in the exchange and fostering liquidity. He also stressed on the persistent attention to the Jordanian and non-Jordanian investors at the ASE, whereas non- Jordanian ownership represented (48%) of the ASE capitalization.
ASE Launches the Internet Trading Service
Amman Stock Exchange (ASE) launched the internet trading service as of Wednesday 14.7.2010. This new service is another link in the ASE's chain of efforts with the aim of achieving its objectives to develop trading methods and expand the investors' base. All procedures have been already made in launching the internet trading service at the ASE. This service is seen as a major opportunity for a large number of investors and those who are interested in securities trading, regardless of their geographic location. The service will help increase the number of those trading at the ASE and enhance their aptitude to engage in securities trading.
The Jordan Securities Commission (JSC) has approved the Internet Trading Directives which come to regulate all issues related to the internet trading service. These directives emphasized that a brokerage firm, interested in activating the internet trading service, has to obtain a written approval from the ASE and an endorsement from the JSC on its request, and to sign an internet trading agreement with the client wishing to make use of this service. Such agreement must cover all the organizational issues for both parties including a disclosure statement highlighting risks of using the service so that the investors will be aware of the risks of this service which comes from using the internet or misuse of the new service. Moreover, the agreement emphasize on the investor's commitment to observe and comply to the provisions of the Securities Law and bylaws, regulations and directives issued pursuant thereto; investors must take a full legal responsibility for any violations they make as well as the responsibility for entering, modifying or cancelling orders while using the service.
The users of the service need to realize some important issues; namely, confidentiality of investors accounts activities in order to dismiss and avoid any probability of outsider intrusion which might cause or result of blocking the service messages, or accessing to the user's computer. He reiterated the importance of familiarity with the mechanism of operation and the software functions used to run the internet trading service. In addition, users must know how to handle cases when the system breaks down due to any damages to the internet; which might be barring the investors from interacting with the orders they enter into the internet trading system.
The users of the service need to review the risk disclosure statement attached to the agreement that the users have to sign with the broker, they also need to review and understand the software user manual; investors also need to learn of the emergency plan provided by the Broker which enables the investors to communicate with the Broker to follow up the entered orders in case of interruption of the service for any reason.
As for the privileges of using this service, is that by using the service properly, trying to avoid risks of the service and following guidelines of the brokerage firm; the service will provide a great benefit as it enables investors to watch the trading information live and follow up the trading session proceedings and make the investment decisions immediately making use of the investment opportunities once they are available, since this service does not require the client's presence at the brokerage firm premises; nor to make a phone call with them, the clients just need to enter the buy or sell order through the software used for the service, then the order enters the electronic trading system, after the order's fulfillment of requirements gets electronically verified by the broker's systems. It is worth mentioning that this service enables investors to follow up the executions of their orders and managing their investment portfolio directly and at any time.
The internet trading service will give the broker an opportunity to attract a large number of new investors whether they are local or foreigners considering the benefits that investors will gain by using this service, consequently, the trading revenues of the broker will increase due to the increased activities of the new service. Moreover, the service will help save time, cost, and effort compared with the traditional method. Also, brokers will be able to assume their major role of analyzing securities and studying the price movement to advise the clients rather than getting involved in entering orders on behalf of clients.
The mechanism of this service starts with the investor selecting a brokerage firm licensed by the ASE to provide the internet trading service. Once all the required procedures have been fulfilled to open the account, the agreement has been signed, the risk statement has been reviewed, the clients get the user name and the password to activate their account with the broker and enable them to use it solely by themselves. Then the clients start to enter their own orders and follows-up their execution directly. Note that, the brokerage firms' software has been developed to cope with the Internet Trading Directives.
By virtue to the Internet Trading Directives, the ASE can restrict or suspend the broker's/client's operation with the internet trading service in case of misuse and breach of the provisions of Securities Law, regulations, and directives issued thereto.
So far, four brokerage firms have already completed the procedures required to and started offering the internet trading service as of yesterday; namely, ABC Investments, the United Company for Financial Investments, Al-Bilad Company for Securities and Investment, and Excel for financial investment. The ASE announces that the opportunity is available for other brokerage firms to apply for the internet trading service provided that all new applicants are to adhere and fulfill all legal and technical requirements to ensure they fulfill all the requirements of the service and suit the execution of trading properly.
A Delegation from Leiden University Visits the ASE
The Deputy CEO of Amman Stock Exchange (ASE), Mr. Nader AZar received A Political Science Students / Leiden University. Mr. Azar briefed the delegation about the operations at the ASE and the basic investment principles in the exchange. They also tackled the latest legislative and technical developments of the Jordan capital market at the legislative, technical and quantitative levels and their impact on enhancing market transparency, liquidity and efficiency.
The financial Attaché and the representative of the Central Bank of Italy visits the ASE
The Chief Executive Officer of the Amman Stock Exchange (ASE), Mr. Jalil Tarif, received the financial Attaché and the representative of the Central Bank of Italy to the Kingdom Dr. Gennaro Fusco, in the presence of the second secretary of the Italian embassy in Amman, Ms. Natalya Sanjinini. They discussed the recent developments in financial markets in Jordan and some EU countries; they also reviewed the cooperation between the ASE and the Italian Stock Exchange. Whereas they emphasized on strengthening the cooperation ties and enhance the investments in Jordan. Non-Jordanian investments constitute almost half of the market capitalization for listed companies at the ASE.
A Delegation from Wells Fargo Investment Visits the ASE
The Deputy CEO of Amman Stock Exchange (ASE), Mr. Nader AZar received A Senior Financial Consultant from Wells Fargo Investments /California - USA visited the (ASE). Mr. Azar briefed the delegation about the operations at the ASE and the basic investment principles in the exchange. He also had an overview on the latest legislative and technical developments of Jordanian capital market, the trading system of the ASE and its future plans.
ASE Participates in the course program "Investigation in Investment Cases"
The Deputy CEO of the ASE, Mr. Nader Azar, gave a lecture entitled" Stock Exchanges Cases" during the course program "Investigation in Investment Cases" held by the Public Security Directorate/ Preventive Security, on June22, 2010. Mr. Azar discussed many important subjects regarding the Jordanian capital market and securities trading, in addition to a glimpse on the main concepts related to the capital market including stocks, bonds, mutual funds, right issues and corporate governance. Moreover, Mr. Azar discussed the extent to which the Global Financial Crisis has affected the Jordanian Economy. Mr. Azar, also reviewed investment opportunities in the Jordanian capital market, the history of the Jordanian Capital Market, and the latest legislative, technological and quantitative developments.
ASE Participates in the Fourth Enforcement and Market Oversight Training Program
Amman Stock Exchange (ASE) participated in the Fourth Enforcement and Market Oversight Training Program which was held by Jordan securities Commission (JSC) in cooperation with the United State Securities and Exchange Commission (SEC) in the JSC premises in the period between June 14-17, 2010. The training program includes an extensive presentation of the experiences of developed countries such as Inspection of brokerage services and risk assessment; it also includes Studying the impact of the global financial crisis on emerging markets and fostering knowledge of the disclosure, registration, issuance and settlement.
115 participants participate in the program from different surveillance commissions, Arab stock exchanges, emerging countries exchanges, Arabic, and global depository centers, representatives of Arabic central Banks in emerging markets and representatives of some domestic institutions.
Arbitration in the Amman Stock Exchange
Disputes arising between Members of Amman Stock Exchange (ASE) and their clients in addition to the dispute between the ASE Members as regards to the financial brokerage activities shall be resolved according to the provision of the ASE Directives for Dispute Resolution for the year 2004, given that the agreement between the parties includes an arbitration clause or if the parties agree, following the arising of a dispute, that it shall be conclusively resolved in accordance with the provisions of the ASE Directives for Dispute Resolution
Procedures before Arbitration Panel shall be subject to the provisions of these Directives. In cases where there is no provision in these Instructions, relevant Jordanian legislation shall serve as authoritative reference and the place of arbitration shall be Amman, and the actual venue of arbitration procedures shall be the ASE premises.
According to Dispute Resolution Directives, the Arbitration pause must issue its final award within (20) twenty days of the date of submission of the file to the Arbitration Panel. On the basis of a convincing request from the Arbitration Panel, the ASE Board of Directors may extend the period for a maximum of (20) twenty days.
It is worth mentioning that the ASE starts implemented the Directives since 2006 and the total arbitration cases until to date reached (22) cases with a value exceeds JD (1,3) million.
A Delegation from Abu Dhabi Investment Company visits the ASE
A delegation from Abu Dhabi Investment Company visited Amman Stock Exchange (ASE) The Head of Awareness and Public Relation Dept. of the ASE, Mr. Amjad Qudah, briefed the delegation on the operations at the ASE and the basic investment principles in the exchange.They also tackled the latest legislative and technical developments of the Jordan capital market at the legislative, technical and quantitative levels and their impact on enhancing market transparency, liquidity and efficiency.
The meetings of the Working Committee of the Federation of Euro-Asian Stock Exchanges ( FEAS)
The Working Committee and the Executive Committee of the Federation of Euro-Asian Stock Exchanges (FEAS) concluded its meetings which were held in Amman Stock Exchange during the period 19-21 of May 2010. The Executive Chairman of the JSC, Dr. Bassam Saket, stressed in his speech, on the importance of cooperation in the field of securities, and pointed out that openness policy which encourages foreign investments and its role in fostering economic growth was quantum leap for investment and national saving. Non-Jordanian investments constituting half of the total Market Value representing corporate investments and not hot money Dr. Saket said. These investments saved its percentage in Market Capitalization despite the Global Economic Crisis, indicating that this was due to the investors' confidence in Jordanian Capital market and National Economy.
Mr. Mohammad S.Al-Hourani, the Chairman of the Board of Directors of the ASE, in his opening speech of the Executive Committee Meetings, confirmed on the important role of the Federation of Euro-Asian Stock Exchanges (FEAS) for fostering cooperation between members and the ASE'role especially it chaired the Working Committee.
The CEO of the ASE, Mr. Jalil Tarif, in a speech during the Working Committee, said that the ASE was able to achieve an international recognition which participates in attracting national and foreign investments. Jordanian Capital Market has witnessed a quantum leap in field of legislative and technical developments, fostering the electronic infrastructure and linking the trading systems with the systems of surveillance, clearance and settlement,Mr. Tarif added.
Through the sessions of the working Committee, which were chaired since 2006 by Mr. Nader Azar, the deputy CEO of the ASE, many important issues were discussed namely as the Draft Agenda of the Federation for 2010 and 2011, the reports submitted by the Affiliate Member Task Force, Media Task Force, , Corporate Governance Task Force, Research & Development Task Force, Rules and Regulations Task Force, Indexes Task Force, and the reports submitted by the Task Force of Rules & Regulations and Blue Chip Listing Task Force. They also discussed the revenues and expenses survey and the bilateral exchange visit program between the federation members, as well as the publications issued by the FEAS special internal reports for members. The Draft Budget for the Federation years 2010 and 2011 was discussed.
In the Executive Committee, several issues were discussed such as proposed amendments of the FEAS Charter and the 5-year Strategic Plan for the Federation and the proposed suggestions by the Working Committee of the Federation and Draft Budget for the year 2011 and the Proposed Membership Dues and Dues estimates and discussion the new members applications to the federation.
The Chairman of Istanbul Stock Exchange and the Chairman of the Federation of Euro-Asian Stock Exchanges (FEAS), Mr. Hussein Erkan, praised on the developments witnessed by the ASE and the federation ‘support to the ASE' efforts for fostering efficiency and deepness for Securities Market.
It is worth mentioning that (FEAS) was established in 1995 as regional organization aimed to fostering relations and increasing cooperation between European and Asian Stock Exchanges. The Federation comprised of 45 members representing Stock Exchanges, Depository Centers, and dealers associations in 29 countries in Europe and Asia. ASE is one of the founders members of the Federation and it also chairs the Working Committee of the Federation since 2005.
The Federation of Euro-Asian stock Exchanges (FEAS) Celebrates its 15th Anniversary
The Federation of Euro-Asian stock Exchanges (FEAS) celebrated its 15th anniversary during the FEAS Working Committee, 20th Executive Committee and Market Data Strategy Training held in Amman, Jordan during May 19-21, 2010 hosted by the Amman Stock Exchange.
The Federation of Euro-Asian Stock Exchanges (FEAS) was established on May 1995 with 12 founding members; currently there are 33 members and 12 affiliate members, including both post trade institutions and dealers associations.
Launching the New Website of the ASE
Amman Stock Exchange (ASE) has adopted its new website both in its English and Arabic versions. The New Website reflects the developments witnessed by the ASE. It is based on a dynamic design and an advanced technology. The CEO of the ASE, Jalil Tarif, said that the advanced technology used in the new website provides an easy use for users and investors, in addition to the swift and smooth access to data through advanced search, this method enables the user to search for any data related to the ASE, trading data and companies' information.
Through the new website; users can obtain live trading data, as well as, daily, weekly, monthly and annual bulletins. Moreover, users will be able to customize the trading bulletins for any period they may need, watch the top gainers companies and the top losers live during the trading session, they also can personalize the data by creating their own windows named "My Watch List" by which the user can select a group of companies and watch all data related to them, such as live trading data, bulletins, disclosures and charts, through his/her own window and retrieve such information each time he/she visits the website.
Mr. Tarif added that the user can obtain daily summary either in the form of a table or as a written text. Daily and weekly summaries are updated automatically at the end of the trading session, in order to provide accurate data for all users at the same time. The new website also provides the historical information for main and sub-sectors in the form of tables to enable analysts and researchers to analyze the data as they may need.
Through the new website, Companies' information, bulletins, circulars and disclosures related to listed companies are available since 2001. The website also contains data related to Jordan Capital Market, aspects of investment and milestones. Charts are also developed and reviewed based on historical data and for different periods due to the advanced technology used in designing these charts.
A new feature in the new website named "Stock Screener" has been added. The Stock Screener enables users to filter companies and classify them according to certain criteria. For example, a user can filter companies whose capitals are more or less than a specific level or within a certain range. There are also a number of criteria by which the user can filter companies, such as total assets and price to earnings ratio.
It is worth mentioning that users can go to the old website through a link which was added on the new website's home page, noting that the old website will be canceled one month after launching the new one.
Workshop for Training Reporters on Corporate governance
The CEO of the ASE Mr. Jalil Tarif participated in a workshop for training reporters, which was held by the International Finance Corporation (IFC) a member of the World Bank Group and Thomson Reuters Corporation about topics related to corporate governance to increase the abilities of reporters to cover the proper practices of corporate governance.
During the workshop, Mr. Jalil Tarif said that financial markets became an interest point, especially after the global financial crisis and the focus now on restoring confidence in financial markets, including Amman Stock Exchange. Mr. Tarif also stressed that despite of the major developments witnessed by the Arab markets, it still constitutes 2% of world total market capitalization, and there are several challenges facing the regional markets however, the most notable challenge is the families companies and bond market, which still need to be activated to play a significant role.
Tarif also talked about the importance of governance for financial markets pointed out how it contributes positively in economic growth, as for companies, it helps in increasing efficiency and improving its reputation, and for ASE it showed that there are legislations related to corporate governance are now applied to public shareholding companies listed at the ASE and these companies must abide by such laws.
This workshop represents part of the efforts of the Global Forum for Corporate Governance which follows the International Finance Corporation (IFC), the workshop aims at improving corporate governance practices that would activate and strengthen the ability of companies and help them to expand and create more job opportunities.
A Military Delegation from Visit the ASE
A Military Delegation from thr Royal Jordanian National Defense College visited the Jordan capital market institutions. The CEO of the ASE, Mr. Jalil Tarif, briefed the delegation on the operations at the ASE and the basic investment principles in the exchange. He also tackled the latest legislative and technical developments of the Jordan capital market at the legislative, technical and quantitative levels and their impact on enhancing market transparency, liquidity and efficiency.
Participating in the "Rebuild Trust In The MENA Capital Markets" Conference
The CEO of Amman Stock Exchange (ASE), Mr. Jalil Tarif, participated in the "Rebuild Trust in the MENA Capital Markets" Conference, which was organized by International Forum for Investor Education (IFIE) - MENA Subcommittee in Cairo in the period between 15-16 March 2010. The conference aimed at making strategies and mutual plans for educating the investor, in addition to attracting new investors in the MENA region.
In one of the workshops, Tarif introduced the ASE's experience in raising awareness among investors and the marketing programs held on the local and international levels. It is worth mentioning that (IFIE) is an alliance chartered in 2005 that brings together private sector and public sector providers of investor education to improve the effectiveness of investor education programs around the world.
Tarif Meets the European Union Envoy
The CEO of the ASE, Mr. Jalil Tarif met Mr. Charles Malecot, the European Union envoy of the Committee which is studying the establishment of a Euro-Mediterranean Development Bank. Tarif assured that the idea of establishing a Euro-Mediterranean Development Bank is pretty good, especially if it has clear functions and roles. Also, Tarif stressed the importance of the existence of such financial institution to support the emerging economies in the developing countries, including Jordan, since the relations with the European Union need support in regard to trade and supporting small and moderate enterprises.
ASE Participates in FISD Conference
The Deputy CEO of Amman Stock Exchange (ASE), Mr. Nader Azer, participated in Conference of the MENA region stock exchanges, which was held by the Financial Information services Division (FISD), which emanated from the Software & Information Industry Association (SIIA). The conference which took place in Dubai during the period from 8 - 9 March 2010, discussed the most important opportunities and challenges facing the information dissemination industry in the Middle East and Africa.
Mr. Azer participated as a speaker in two workshops of the conference: the first one (Exchanges: The Local View) discussed the products of information dissemination provided by the MENA region stock exchanges, as well as the most important developments in these exchanges regarding trading and services of information dissemination. Mr. Azer, talked about the ASE's experience in this area as well as the major technological developments witnessed by the ASE, especially in regard to the application of the new version of the electronic trading system NSC V900 early last year.
The second workshop (On Behalf of the Industry) was the final one of the conference and it included along with Mr. Azer, as a representative of the region's markets, major information dissemination companies, in order to discuss policies of information dissemination applied by the region's markets and the importance of unifying these policies for the benefit of these exchanges. They also discussed the most important challenges and difficulties faced by this industry, whether by stock exchanges or even data vendors.
The Conference showed real interest in developing this industry in the MENA region through offering assistance and the international exchanges' experiences to the region exchanges. This would enable them to face the challenges and benefit from opportunities that would ameliorate their caliber.
An Introductory Course about the New Archiving System
Within the framework of Amman Stock Exchange's efforts to improve the level of services provided to its members and investors, and to activate the latest technical developments, the ASE is currently working on the final necessary procedures to replace the currently used system for data archiving (Domino.Doc) to a new modern , sophisticated system which is (eZpublish). This system is a specialized one for data archiving. Through the new system, different functions can be easily handled in terms of downloading and classifying documents in a more structured way, as well as the ability to search for historical documents will be easier and faster. In this regard the ASE held an introductory course about the new system, and it will give the investors the opportunity to test it during the coming period in preparation for its official launching. It is worth mentioning that (eZpublish) developed by (eZ System) is used by a number of leading institutions working in various areas such as (CNBC) and (T- Mobile) and other global institutions.
ASE General Assembly 11th Meeting
On March 11th, 2010 the ASE held it eleventh General Assembly meeting, which was chaired by H.E. Mr. Mohammad S. AL-Hourani, Chairman of the Board of Directors and with the presence of members of the Board, the CEO of the ASE, Mr.Jalil tarif and the Jordan Securities Commission's (JSC) representative. During the meeting, the Board of Directors reported on ASE's accomplishments and activities and they discussed future plans. Furthermore, the ASE auditor presented his audited report, and the financial statements of the fiscal year ending on December 31st, 2009 were endorsed.
Taking part in the Securities & Commodities Authority Ceremony
The CEO of Amman Stock Exchange, Mr. Jalil Tarif, participated in the Securities & Commodities Authority Ceremony in the United Arab Emirates on the occasion of its tenth anniversary celebrations.
Visit to Athens Stock Exchange
As a part of the efforts to enhance the bilateral cooperation between Amman Stock Exchange and Athens Stock Exchange, the Deputy CEO of the ASE, Mr. Nader Azer and the Head of Awareness and Public Relations Department, Mr. Amjad Qudah, visited Athens Stock Exchange in the period of February 23-25, 2010. During their visit, they were briefed on the trading system, the legislative and technological systems of the Exchange. They were also introduced to the accomplishments of awareness department and marketing, they visited some of the Exchange's departments, as well.
ASE Participates in The First Intl. Conference For Investment and Finance in Lattakia
Amman Stock Exchange (ASE), represented by the CEO, Mr. Jalil Tarif, participated in ‘The First International Conference For Investment and Finance', which was held in Lattakia city/Syria during the period December 9-10, 2010. Tarif delivered a presentation of the role of capital markets in the time of the global crisis. He also tackled the performance of the Arab and the international capital markets during the crisis. Moreover, he delineated how the Jordan capital market institutions handled the crisis through enhancing transparency and disclosure, and enhancing the margin finance control and by abiding by laws and rules that protect the market and the investors.
A Student Delegation from the University of Rotman Visits the ASE
The Deputy CEO of the ASE, Mr. Nader Azar, received a delegation from the Master's Degree students from the University of Rotman /Canada.Mr. Azar briefed the delegation on the most important developments witnessed by the Jordanian capital market recently and answered some questions inquiries from the students.
ASE Participates in the First Economic Forum
Amman Stock Exchange (ASE), represented by Mr. Nidal Hamdan, the Head of the Administrative and Financial Dept. and Mr. Wassim Haddad from the Awareness and Public Relations Dept. participated in the First Economic Forum which was held in the Syria / Damascus. The ASE presented a number of awareness lectures in the field of financial analysis, technical and investment funds. On the margins of the conference, the ASE had a special section in which it presented the opportunities and the mechanism of investment in the ASE and gave a brief on the recent developments of the ASE at the legislative and technical aspects.
A Delegation from Philadelphia University Visits the ASE
A student delegation from Administration and Financial Sciences Faculty/ Philadelphia University visited Jordan capital market institutions. The deputy CEO of the ASE, Mr. Nader Azar briefed the delegation about the operations at the ASE and the basic investment principles in the exchange. They also had an overview on the latest legislative and technical developments of Jordan capital market, the trading system of the ASE and its future plans.
Performance of Amman Stock Exchange During 2009
Mr.Jalil Tarif, the Chief Executive Officer (CEO) of Amman Stock Exchange (ASE) said that, the ASE ended trading transactions for the year 2009. During this year, the trading volume reached JD 9.7 billion compared with JD 20.3 billion for 2008, a decrease of 52.4%. Despite the decline, the share turnover, reflecting the number of traded shares to the total number of listed shares, maintained during this year the same turnover of the last year; i.e. 91.4%. During this year, 11 new companies were listed at the ASE to increase the number of listed companies to 272 company.
The ASE price index weighted by free float decreased by 8.1% reaching 2534 points compared to 2758 points at the end of 2008, The number of traded shares increased by10.7% during 2009. The number of traded shares reached 6 billion shares implemented through 3 million contracts compared with 5.4 billion shares traded during 2008 through 3.8 million contracts. The market capitalization of shares listed at the ASE reached JD 22.6 billion by the end of 2009 constituting 150% of the GDP.
The net non-Jordanian investments at the ASE increased JD 1.1 million in 2009 compared with an increase of JD 310 million in 2008. The non-Jordanian ownership at the ASE reached 48.3% by the end of November 2009 compared to 49.2% by the end of 2008.
Tarif added that The ASE furthered its efforts to develop and update the securities market. In 2009, the ASE launched a number of projects that will help enhancing development and transparency of the market performance. Such projects will also help update the infrastructure of the ASE and introduce new means of information dissemination.
In 2009, the ASE adopted the new version of the electronic-trading system (NSC V900) characterized by high speed, efficiency in receiving buy and sell orders, developing the functions of the program responsible for managing the trading session, which allows full control over the session. Moreover, the system is connected to other surveillance and information dissemination systems. The ASE worked on updating all servers and replacing them with modern servers of high efficiency and effectiveness to secure a higher degree of efficiency, promptness, and safety to operate the ASE internal systems and the trading systems.
In 2009, the ASE launched its new website, which fulfills international standards and permits further interaction with the user. The site offers further advantages and additional information displayed in a user-friendly manner.
Tarif concluded that the ASE is currently engaged in creating new financial instruments to achieve further diversification and increase the market depth to attract further local and foreign investors as well as expanding the investment base at the ASE and launching the electronic-trading service.
The Prime Minister's Visit to Jordan Capital Market Institutions
During his visit to the Jordan Securities Commission (JSC), the Prime Minister, Mr. Samir Rifai, was introduced was introduced to the Amman Stock Exchange's (ASE) technical infrastructure.
The CEO of the ASE, Mr. Jalil Tarif, gave a presentation highlighting the ASE achievements in the field of developing the market technical infrastructure, especially in the area of implementing the new electronic trading system which is interconnected with the JSC surveillance system and the Securities Depositary Center electronic system. In addition Mr. Tarif highlighted the ASE efforts in developing new means for data dissemination, as well as the introduction of the ASE new website.
The Prime Minister also visited the ASE servers' rooms where he listened to a brief explanation regarding the modern equipments have started to be used by the capital market institutions recently within the project of infrastructure development funded by the European Union.
Awareness lecture in Philadelphia University
Amman Stock Exchange (ASE) in cooperation with the Business Administration Faculty/ Banking and Finance Dep. at the Philadelphia University, held an awareness lecture to spread investment culture and raise awareness among banking and finance students. The CEO of ASE, Mr. Jalil Tarif, in the presence of the Dean of the Business Administration Faculty, Dr. khaled Al sartawi , the Head of the Finance Department, Dr. Abed Alnafeh Alzorari and a number of professors and students delivered a lecture entitled "Recent developments of the Jordan Capital Market" concentrating on the technical and legislative developments at the ASE and the basic topics relevant to Jordan capital market and securities trading, in addition to a glimpse on the main concepts related to the capital market including securities, bonds, in addition to the discussion of the international financial crises and its effects on the global economy in general and the ASE in particular.
Tarif also stressed on the important role of the capital market in increasing investments and creating job opportunities, which supports the economic growth in the kingdom and attracts local and foreign investments as the non- Jordanian investments reached about (48%) of the ASE market capitalization.
Student Delegations Visit ASE
Student delegations from Al- Isra University/ Faculty of Economics and Um Umara School visit the ASE . Mr. Amjad Al-Qudah, the Head of Awareness and Public Relations Dept. briefed them on the latest legislative and technical developments of the Jordan Capital Market and the basic investment principles at the ASE.