No more negotiations on BSE

The Bucharest Stock Exchange (BSE) management intends to give up trading through negotiation, a system currently used on the XMBS, where shares in companies with a low liquidity level are traded. This market will be replaced by one, which the current legislation defines as “an alterative trading system”, in which transactions should be conducted on the basis of firm orders. The system of transactions based on negotiation was also the system used on the RASDAQ. Brokers had voiced dissatisfaction on several occasions as to the XMBS trading system, mainly with regard to the fact that trading on this market is conducted through informative quotes, which allow brokers to post quotes even though they may not want to sell or buy, and not through firm orders, which are carried out automatically when there is a counterpart. ZF