FEAS Yearbook FEAS Yearbook 2003 | Page 7

FEDERATION OF EURO-ASIAN STOCK EXCHANGES The FDC includes market statistics, company data, ratios, stock price information, exchange rates and sector data contained in 14 predefined reports. To access the FEAS Data Center (FDC) go to: http://64.78.38.242/reports/countrylist.asp or go to www.feas.org and click on the FEAS Members drop-down menu. OECD/ISE PRIVATE SECTOR DEVELOPMENT (PSD) The Federation, in conjunction with both the ISE and the OECD, has jointly designed and implemented a program entitled “Private Sector Development” - a comprehensive three-year program dealing with the development of Small to Medium Enterprises (SMEs), while enhancing the attractiveness of the FEAS region through the development of ‘best practices’ for stock exchanges in transition economies. SME Development: Regional work as the follow- up of the meeting entitled “Business Incubation, Finance and Growth in Emerging Markets” of 2002 was conducted. Emphasis was given to the development of financing models and methods for SME’s in Turkey, which can be successfully applied to the FEAS region. The project is to be finalized in a meeting to be held in the spring of 2004. Best Practices: This project deals with strategies to promote the role of stock exchanges in the ongoing financing needs of member markets. A set of best practices for the development of stock exchanges was prepared and distributed in 2001. A total of 28 best practices were set forth as a basic set of legal and market guidelines, which cover key regulatory and institutional issues. A self-assessment workshop on FEAS member implementation of the best practices on clearing, settlement custody, and registration was held on 5-6 February 2003 in Almaty, Kazakhstan. The working group made a thorough evaluation of the assessment methodologies developed by international assessment organizations in order to come up with a self-assessment method that targets priorities applicable to the FEAS region. It was decided that a draft questionnaire for self- evaluation would be sent out to FEAS members for their views. The results of this survey will be published in the self-evaluation report in 2004. SECI MODEL SECI is the UN project, the Southeast European Cooperative Initiative, which targets cooperation among securities markets of Southern Europe, most of which are FEAS members. The project is taken up by two groups of securities markets, that is, the stock exchanges and the regulators. The SECI project is expected to be the foundation of the FEAS common trading platform. The initial stage of the SECI project is the groundwork prepared by the Athens and Istanbul Stock Exchanges. A MoU was signed between regulatory bodies of the Turkish and Greek capital markets in 2001, and working groups from both exchanges examined issues regarding technical links, regulatory environment, and trading and settlement procedures. Once all stages of cooperation and linkages are implemented between Athens and Istanbul, the other exchanges of the region will be invited to join the existing set up. As a side product of SECI, another initiative for creating a common stock index of Greek, Turkish and Israeli blue chips exists. The three most important exchanges of South East Europe-South East Mediterranean held a trilateral meeting for the first time with the objective of discussing ways to promote cooperation. The Federation continues to work toward a common trading platform within the region and the SECI organization, which will pave the way for organizational and structural efforts in this area. THE ORGANIZATION WORKING COMMITTEE MEETINGS 12-13 JUNE 2003 - ISTANBUL, TURKEY The first working committee meetings of 2003 were held in Istanbul, Turkey on 12-13 June, 2003 at the invitation of the Baku Stock and Baku Interbank Currency Exchanges. All three Working Committees focused on issues mandated by the General Assembly in 2002 and the Secretariat prepared a report to participants. 9TH ANNUAL GENERAL ASSEMBLY EXECUTIVE COMMITTEE MEETINGS 18-19 SEPTEMBER 2003 – SOFIA, BULGARIA The 9th Annual General Assembly of FEAS was held in Sofia, Bulgaria on September 19th at the invitation of the Bulgarian Stock Exchange. In addition the 9th Executive Committee meeting and a Joint Working Committee meeting were held prior to the General Assembly on September 18th. The meeting was opened by the Bulgarian Deputy Prime Minister and Minister of the Economy, Ms. Lidia Shuleva, who spoke of the mutual benefit for regional capital market development. Guests included Mr. Paul Arlman, Secretary General of FESE. Main decisions and topics of discussion included: • acceptance of the Bucharest Stock Exchange application; • adoption of the proposed 2004 mandates for the Working Committees; • extension of the FEAS bilateral exchange program between members; • adoption of the 2004 budget, audited statements and 2003 year-end forecast; • review of the 2003 accomplishments including the status of special projects with the OECD, the SECI and the World Bank Financial Sector Learning Program; • amendments to the Charter; and • adoption of the dues restructuring for 2004, among other topics. New Member - Bucharest Stock Exchange On 27 June 2003, the Bucharest Stock Exchange (BSE) applied for membership in the Federation and was confirmed unanimously at the 9th General Assembly. The BSE was re-established in April 1995, by a Decree of the National Securities Commission (NSC), at the request of 24 brokerage houses – the founding members. The BSE is a self-financing and self-regulating institution of public interest, operating on corporate principles. Trading is performed on the BSE in a dematerialized environment. As of 30 September 2003, 112 companies were available for trading as well as 8 municipal bonds and 1 corporate bond issue. Elections: Working Committees Chair The Executive Committee elected the Chairs of the three Working Committees for a two-year term ending 31 December 2005 as follows: Marketing Chair will remain the Amman Stock Exchange, Rules and Regulations Chair will remain with the Tehran Stock Exchange and Chair of Technology will remain with the Istanbul Stock Exchange. 2004 CALENDAR 2nd half of April Joint FEAS/OECD Working Group, SME Development Project Istanbul, Turkey 8-11 May President’s and Working Committee Meetings Muscat, Oman September IT Conference/Training w/ CeBit Convention Istanbul, Turkey 17-18 September 10th Executive Committee Meeting & General Assembly Zagreb, Croatia 18-19 September FEAS/FESE/HP - IT Conference Novigrad, Croatia FEDERATION OF EURO-ASIAN STOCK EXCHANGES YEARBOOK 2003/2004 PAGE 5