Business Profiles – BME

In June 2008, there is not yet a yearly report of the last (2007) on the website readily available. Whether this is practical is unclear. Kind the 2006 report we get some insight in this business.

BME represents “Bolsas y Mercados EspaƱoles,” or in English: The Spanish Exchanges and Markets, or the Spanish Stock Exchange. The significance behind this name is that in Spain the stock exchange were not centralized systems. Rather, approximately 9 various markets provided trading possibilities. Under the required of the existing president– Antonio Zoido– these markets were focused to just 4 (local) exchanges. IN 2002 the BME ended up being the brand-new holding for this total structure. In 2007 the BME itself got noted on the exchange.

2006 was for BME the very best year ever (taped). In 2006, Spain experienced its eighths successive year of strong financial development. And the report discusses the connection of the trading volumes and the development of the GDP.

Interesting information on the website is that there is no contact-form, nor an e-mail address. Contact info is limited to phone or to typical gos to (” how to get here”).

There are 3 banks that have a minority stake in BME: Santander (8,6%), BBVA (5,4%) and the Bank of Spain (5,3%).

Most striking about the yearly report is the quantity of sales info. An example of this is the info about BME’s ranking. Here are some examples:

In regards to equity trading volume: 4th IN EUROPE, 7th IN THE WORLD. 1.15 trillion euros in 2006

In regards to set earnings trading volume: 1st IN THE WORLD, 1.17 trillion euros in 2006

In regards to trading volume in single stock futures: 4th IN EUROPE, 5th IN THE WORLD. 21.23 million agreements in 2006

In regards to market capitalization of noted shares: 4th IN EUROPE, 9th IN THE WORLD. 1.13 trillion euros at year-end 2006

In regards to circulations of brand-new liquidity carried into equity items: 2nd IN EUROPE, 6th IN THE WORLD. 22.38 billion euros in 2006

In regards to Latin American securities market capitalization, 2nd IN THE WORLD. 274.32 billion euros at year-end 2006

The more technical info about the service level accomplishments or information about technical advancements is not released. The only thing that is pointed out is that info systems are very important for the performance of the exchange. That is a pity, since this might provide more insight whether the exchange is most likely to grow on all those rankings …

H.J.B.