Bursa De Valori Bucuresti · BVB:BVB

Bursa De Valori Bucuresti — Bucharest Stock Exchange — Investor Presentation (August 2013)

26 slides from Bursa De Valori Bucuresti's investor presentation, Aug 7, 2013

  1. Slide 1: Bucharest Stock Exchange

    Bucharest St hange August 7, 2013

  2. Slide 2: Summary

    Summary BSE Corporate Governance Improvement Changing the quorum requirements for general shareholders meetings Reshape BSE management from unitary to two-tier board Other changing proposals of the Articles of Association The project regarding Central Counterparty BSE – OPSPI collaboration for the u

  3. Slide 3: Part I

    Part I BSE Corporate Governance Improvement Changing the quorum requirements for general shareholders meetings Reshape BSE management from unitary to two-tier board Other changing proposals of the Articles of Association The project regarding Central Counterparty BSE – OPSPI collaboration for the us

  4. Slide 4: Corporate Governance Improvement

    Corporate Governance Improvement Corporate Governance at BSE The Articles of Association of BSE include the main requirements for Corporate Governance, including the shareholders rights, the description and the attributions of the administration and management bodies, the general shareholders meetin

  5. Slide 5: Corporate Governance Improvement

    Corporate Governance Improvement The Corporate Governance at the issuers level Through the Corporate Governance Institute, BSE promoted the corporate governance principles at the issuers level. By organizing in 2013 a conference dedicated to the corporate governance, as well as a number of workshops

  6. Slide 6: The change of quorum requirements

    The change of quorum requirements The conduct of the BSE general shareholders meetings is subject of the fulfillment of minimum quorum criteria stipulated in the Articles of Association: Ordinary General Shareholders Meeting – at least 50% from the total number of voting rights Extraordinary General

  7. Slide 7: The change of quorum requirements

    The change of quorum requirements The Companies Law no.31/1990 provisions regarding the minimum quorum for the conduct of the general shareholders meetings: Ordinary General Shareholders Meeting – at least 25% from the total number of voting rights Extraordinary General Shareholders Meeting – at lea

  8. Slide 8: Two-tier Board

    Two-tier Board The transition to the dualist system of management is a complex project, which the Board of Governors has already started. The transition of BSE, as a market operator, to the two-tier board involves to complete a series of steps previous to the submission to approval of the Extraordin

  9. Slide 9: Two-tier Board (continued)

    Two-tier Board (continued) The transition from the unitary system to the two-tier board must be judiciously prepared and according to the law, in order to avoid disfunctionalities at BSE level. BSE forwarded to ASF an official address in order to request to be clarified some aspects identified from

  10. Slide 10: Two-tier Board (continued)

    Two-tier Board (continued) In case ASF would choose to issue an individual act, this act would state (at least) the following: The fact that a market operator (and system operator) may be administrated in two-tier board system; The fact that, in case a market operator (and system operator) is admini

  11. Slide 11: Other changes of the Articles of Association

    Other changes of the Articles of Association BSE Board of Governors took steps for making changes of the BSE Articles of Association which have been proposed to the BSE shareholders, measures which target the implementation of the best standards of corporate governance, decisional transparency and e

  12. Slide 12: Other changes of the Articles of Association

    Other changes of the Articles of Association Among the changes proposed by the BSE Board of Governors we mention: Delegation of some competences of the general meeting of shareholders to the Board of Governors, in the conditions of law: Change/extension of the headquarters Change/addition of the sec

  13. Slide 13: Part II

    Part II BSE Corporate Governance Improvement Changing the quorum requirements for general shareholders meetings Reshape BSE management from unitary to two-tier board Other changing proposals of the Articles of Association The project regarding Central Counterparty BSE – OPSPI collaboration for the u

  14. Slide 14: Central Counterparty Project

    Central Counterparty Project CENTRAL COUNTERPARTY - WHY NEEDED? (I) The central counterparty – a regulated and supervised institution by the financial authorities – interposes between the parties of a trade, becoming the buyer for every seller and a seller to every buyer. It clears and guarantees th

  15. Slide 15: Central Counterparty Project

    Central Counterparty Project CENTRAL COUNTERPARTY - WHY NEEDED? (II) Main benefits brought by the central counterparty: Facilitating the efficient management of counterparty’s credit risk, considering this is a priority of both the international/local institutions involved in the oversight process a

  16. Slide 16: Central Counterparty Project

    Central Counterparty Project CENTRAL COUNTERPARTY - WHY NEEDED? (III) The central counterparty is one of the main funds collectors which may influence: The initial cost (entrance barrier) for a post – trading participant and, either directly or indirectly, to the market access; The total cost of tra

  17. Slide 17: Central Counterparty Project

    Central Counterparty Project REQUIREMENTS APPLICABLE TO CENTRAL COUNTERPARTIES The main requirements categories bring major changes in the functioning and organizational aspects (including the capitalization requirement) as well as operational and technological impact: Capital requirement, according

  18. Slide 18: Central Counterparty Project

    Central Counterparty Project PROJECT IMPLEMENTATION (I) BVB has started activities for the project’s implementation since September last year, being aware of the implications and the risks related to such an important project (the risk elements have been presented in the material proposed on this to

  19. Slide 19: Central Counterparty Project

    Central Counterparty Project PROJECT IMPLEMENTATION (II) The main constraints taken into account: The highly reduced volumes registered lately on the derivatives market; The expertise required to implement such a project is not found in its entirety at market operator’s level, but was identified as

  20. Slide 20: Central Counterparty Project

    Central Counterparty Project PROJECT IMPLEMENTATION (III) Identified or manifested risks: Yields estimated by investing in this project: on short term, there are identified difficulties in ensuring efficient investment returns, thus the risk of not having BSE’s shareholders' approval for adequate ca

  21. Slide 21: Central Counterparty Project

    Central Counterparty Project PROJECT IMPLEMENTATION (IV) – Collaboration with Sibex For successful implementation of the national central counterparty, the following steps were made: A debate attended by representatives of both market operators and of the local supervisory authority, during which it

  22. Slide 22: Central Counterparty Project

    Central Counterparty Project PROJECT IMPLEMENTATION (V) – Collaboration with Sibex BSE’s approach as derivatives market operator to ensure continuity of operations with these financial instruments: Discussions have been opened with several entities that provide central counterparty services in the r

  23. Slide 23: Part III

    Part III BSE Corporate Governance Improvement Changing the quorum requirements for general shareholders meetings Reshape BSE management from unitary to two-tier board Other changing proposals of the Articles of Association The project regarding Central Counterparty BSE – OPSPI collaboration for the

  24. Slide 24: BSE – OPSPI Cooperation

    BSE – OPSPI Cooperation The first pillar of the mid-term strategy assumed by the Board of Governors is to provide support for the successful completion of public offerings for State owned companies, which acknowledge among the key actions the followings: Creating and implementing a package of suppor

  25. Slide 25: BSE – OPSPI Cooperation (cont.)

    BSE – OPSPI Cooperation (cont.) Ongoing Projects: BSE provides to State owned companies included in the privatization program, through the Institute of Corporate Governance, free training on corporate governance and post listing transparency. The training is based on the addendum to the cooperation

  26. Slide 26: BSE Shareholders Consultation

    BSE Shareholders Consultation This presentation’s goal is to reflect the steps taken so far by BSE on various aspects included in the requests to convene general meetings of shareholders received from several shareholders, in order to offer information to form an opinion about the future steps for t

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