Belgrade Stock Exchange (BELEX) published Decision on Amendments and Supplements to the Rules of Business Operations. The changes relate primarily to the following:
- Short term securities, previously restricted to the MTP Belex market, can be traded also on the regulated market – Open Market segment
- Less restrictive conditions for block transactions:
- For securities traded by the single price auction method, the quantity of securities in the block transaction has to be at least 5% of the total number of issued securities, or the value of the block transaction has to be at least RSD 60 million.
- For securities traded by the continuous trading method, the quantity of securities in the block transaction has to be at least 5% of the total number of issued securities, or the value of the block transaction has to be at least RSD 120 million for shares, respectively RSD 10 million for debt securities.
- Republic of Serbia and National Bank of Serbia have the right to conduct block transactions even if the previously described conditions are not met. The same exemption applies as well to legal entities estbalished by law, which have been given the right by the Law on Capital Markets to be exempted from the obligation to perform secondary trading only on regulated market or MTP.
- Fine tuning of BELEX procedures governing, among other things, granting membership status, member rights and obligations, access to the trading system, temporary trading suspension
- Stricter rules for preventing market abuse
The Decision will become effective as of 9 November 2018. Currently the text is available in Serbian only, the English version is expected to be published on the website of BELEX in the coming days.
Impact on investors: With effect from 9 November 2018, the updated Rules of Business Operation of BELEX will provide more flexible conditions for block transactions and short term securities trading, clearer procedures governing the interaction between BELEX and its members, and stricter market abuse rules for its members.