The BVB will adopt a combination of fixed and variable fees. By Irina Savastre, Head of GSS & Andreea Albu, Relationship Manager, GSS Romania
The General Shareholders Meeting (GSM) of the Bucharest Stock Exchange has approved the reduction of the variable fee on the traded value on the regular market, by 0.5 basis points for both buyers and sellers. This change represents a decrease of the direct transactional cost for the market participants by over 12% on the buy side and by 5% on the sell side. Parallel to this, the Bucharest Stock Exchange will introduce a fixed fee on each executed order (regardless of the number of transactions through which the order will be executed).
According to the BVB, this new combination of fees improves and enhances the cost conditions for all clients, both for the largest orders placed by institutional investors and for the more typical orders placed by retail investors. It may also lead to a consolidation of the mass of micro-orders, which are common on the BVB.
The Bucharest Stock Exchange expects that the market liquidity will receive a new positive stimulus following the introduction of the lower variable fee on the value of the transaction and the fixed fee per executed order.
The Bucharest Stock Exchange General Shareholders Meeting has empowered the BVB Board of Governors to establish the date of the application of the new fee schedule.
Irina Savastre
Head of Global Securities Services
Andreea Albu
Relationship Manager