Nearly 4m new trading accounts opened in stock market since late March

July 14, 2020 - 12:28

TEHRAN- Nearly four million new trading accounts have been opened in Iran’s stock market since the beginning of the current Iranian calendar year (March 20), the managing director of Central Securities Depository of Iran (CSDI) announced.

Underlining that the stock market is being more and more welcomed in the present year, Hossein Fahimi said that the figure is really noticeable compared to the figures of the previous years, IRNA reported.

In a press conference on June 20, Hassan Qalibaf-Asl, the head of Iran’s Securities and Exchange Organization (SEO), had announced that the number of trading accounts opened in the stock market in the past year was 820,000.

It should be noted that in late February, SEO set new regulations for the opening of trading accounts for the new shareholders in the country’s stock market.

Based on an announcement by the SEO, the new applicants can conduct trade one month after opening their trading accounts and they are required to pass an exam given by Securities and Exchange Brokers Association (SEBA) or SEO during the one-month time, while they are also committed to avoiding signal selling and some other actions, and if they do so, their accounts will be blocked.

As decided by SEBA, the applicants are required to take the mentioned exam in person or virtually, and it is in line with elevating the knowledge of shareholders.

While the past Iranian calendar year (ended on March 19) was full of success for the Tehran Stock Exchange (TSE), which is Iran’s major stock market, the market is also preserving its successful performance in the current year, and the noticeable point in this due is that the other economic sectors are experiencing some declining trend due to the coronavirus pandemic.

We have been witnessing new record highs continuously posted by the exchange’s main index, TEDPIX, since the year start, and climbing to the peak of one million points, something almost unbelievable just some time ago, came true in early May.

The index also hit the record high of 1.5 million points on June 30.

Erfan Hoodi, a capital market expert, told IRNA on Monday that taking the recent trend of trades at the Tehran Stock Exchange (TSE), the exchange’s main index, TEDPIX, is expected to surpass two million points in the next Iranian calendar week (July 18-July 24).

The SEO head has announced that the amount of liquidity absorbed by the capital market has reached 500 trillion rials (about $12 billion) during the first quarter of the current Iranian calendar year (March 20-June 20).

Qalibaf-Asl also said, “It is while the total amount of liquidity entered into this market stood at 300 trillion rials (about $7.14 billion) during the past year.”

The official further noted that the high amount of liquidity that is entering the capital market has provided some good opportunity for this market, as it’s being developed and flourished, for the enterprises, as they’re securing their required funds, and also for the government.

MA/MA

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