American Stock Exchange - KU Leuven...Keynote speaker: Matthew Andresen, President of Citadel...

American Stock ExchangeAthens ExchangeAustralian Stock ExchangeBermuda Stock ExchangeBME Spanish ExchangesBolsa de Comercio de Buenos AiresBolsa de Comercio de SantiagoBolsa de Valores de ColombiaBolsa de Valores de LimaBolsa de Valores do São PauloBolsa Mexicana de ValoresBombay Stock Exchange Ltd.Borsa Italiana SpABourse de LuxembourgBourse de MontréalBudapest Stock Exchange Ltd.Bursa MalaysiaCairo & Alexandria Stock ExchangesChicago Board Options ExchangeColombo Stock ExchangeCyprus Stock ExchangeDeutsche Börse AGEuronext AmsterdamEuronext BrusselsEuronext LisbonEuronext ParisHong Kong Exchanges and ClearingIrish Stock ExchangeIstanbul Stock Exchange

Jakarta Stock ExchangeJSE LimitedKorea ExchangeLjubljana Stock ExchangeLondon Stock ExchangeMalta Stock ExchangeNASDNational Stock Exchange of India LimitedNew York Stock ExchangeNew Zealand Exchange Ltd.OMXOMX Copenhagen Stock ExchangeOsaka Securities ExchangeOslo BørsPhilippine Stock ExchangeShanghai Stock ExchangeShenzhen Stock ExchangeSingapore ExchangeStock Exchange of MauritiusStock Exchange of TehranStock Exchange of ThailandSWX Swiss ExchangeTaiwan Stock Exchange Corp.Tel Aviv Stock ExchangeTokyo Stock ExchangeTSX GroupWarsaw Stock ExchangeWiener Börse AG

MEMBER EXCHANGES

The World Federation of Exchanges is an international association comprised of the world’s leading bourses. Its membership includes:

World Federation of Exchanges - Telephone: 33 (0)1.58.62.54.00 - Fax: 33 (0)1.58.62.50.48

Home Page: www.world-exchanges.org E-mail: [email protected]

Letter from the Chairman

Board of Directors

Working Committee

2005 General Assembly and Annual Meeting

IOMA/IOCA Annual Meeting

Forum for Developing Markets

Executive Briefing on Exchange Technology at MIT

Survey: 2004 Exchanges’Cost and Revenue

Survey: 2004 IOMA Derivatives Market

Publications

IOMA/IOCA

Affiliates and Correspondents

Representation of the Exchange Industry

2005 Market Highlights

WFE Audited Financial Statements 2005

Table

Of Con

tents

Equity Markets

Fixed-Income Markets

Derivative Markets

Indicators

Small and Medium Enterprises (SME) Markets

Other Markets

2005 Foreign Exchange Rates against the US Dollar

Statistics Definitions and Examples

2

3

4

6

14

21

27

32

35

38

39

40

41

43

56

65

87

99

109

117

127

136

138

Every effort has been made to ensure that the information in this publication is accurate at the time of printing. The Secretariat cannot accept responsibility for errors or omissions.

Letter from the Chairman

2

E xcitement, speculation on mergers, and unprece-

dented business growth were the hallmarks of

2005, not only in the markets but for the market opera-

tors themselves.

In this rapidly changing environment, two trends have

been accentuated – consolidation in the exchange

industry, and the search for better regulatory structures.

Mergers and alliances of stock and other financial

exchanges, which were witnessed first in Europe, have

now reached the U.S., with the New York Stock

Exchange now completing its merger with Archipelago,

and the Nasdaq with Instinet. Indeed, as this report

goes to press, the Australian Stock Exchange and the

Sydney Futures Exchange have announced their inten-

tion to create a common future. These mergers and

alliances have taken on many different forms; together

they have contributed to bringing about a different

global financial order, along with the development of

new financial instruments and technologies.

Creating a different path forward, WFE members across

Asia put financial year 2005 to good use by developing

various technologies, products and services to their

client bases in order to deepen their markets. Several

members in this region have established mutual

alliances and other forms of collaboration. They are

also entering into cooperative relationships with stock

and derivatives exchanges headquartered in Europe

and the US.

The second aspect of innovation required by business

demands relates to strengthening the self-regulatory

function. This is vital to the quality management

function of an exchange, without which maintaining

trust in the market is not possible.

But this is not a simple matter of merely adjusting the

regulations of the exchange to fit new changes to the

law. It goes well beyond that. For example, financial

technologies are becoming more sophisticated and the

nature and interests of investors have been diversify-

ing. Therefore, regulators must remain aware of and

forecast these changing trends at all times, so that

investors continue to feel well protected when dealing

on exchanges; and markets and trading participants

can be monitored properly and economically, without

impairing their dynamism or imposing undue costs.

Moreover, with respect to regulation concerning listing,

exchanges should have a clear vision as to what types

of companies should have access to the efficient flow of

investment capital that the public market provides.

While market structures vary from country to country,

the publicly regulated exchanges of the World

Federation of Exchanges look forward to playing a key

role alongside regulators in accompanying economic

growth for investors and our listed companies.

Taizo NishimuroChairman of the World Federation of Exchanges

Chairman and Chief Executive Officer of the Tokyo Stock Exchange

March 2006

WORLD FEDERATION OF EXCHANGES3

Officers

Chairman

Tokyo Stock Exchange Taizo Nishimuro, Chairman & Chief Executive Officer

Vice Chairman

Borsa Italiana Massimo Capuano, President & Chief Executive Officer

Working Committee Chairman

Bolsa de Valores do São Paulo Gilberto Mifano, Chief Executive Officer

Directors

Americas

Bolsa Mexicana de Valores Guillermo Prieto Treviño, Chairman of the Board

Chicago Board Options Exchange William J. Brodsky, Chairman & Chief Executive Officer

New York Stock Exchange John A. Thain, Chief Executive Officer

TSX Group Richard W. Nesbitt, Chief Executive Officer

Asia - Pacific

Australian Stock Exchange Tony D'Aloisio, Managing Director & Chief Executive Officer

Hong Kong Exchanges and Clearing Paul Chow, Chief Executive

National Stock Exchange of India Ravi Narain, Managing Director & Chief Executive Officer

Singapore Exchange Hsieh Fu Hua, Chief Executive Officer

Europe - Africa

BME Spanish Exchanges Antonio J. Zoido, Chairman

Euronext Paris Jean-François Théodore, Chairman & Chief Executive Officer*

JSE Limited Russell M. Loubser, Chief Executive Officer

OMX Copenhagen Stock Exchange Hans-Ole Jochumsen, President & Chief Executive Officer

*Serves as Federation Treasurer

Board of Directors31 January 2006

Working CommitteeMARCH 2006

4

Chairman

Bolsa de Valores do São Paulo Gilberto Mifano, Chief Executive Officer

Members

American Stock Exchange John McGonegal, Senior Vice President, Equities

Athens Exchange Socrates G. Lazaridis, General Director, Financial Markets

Australian Stock Exchange Colin R. Scully, Deputy CEO, Group Executive - Markets

Bermuda Stock Exchange Gregory A. Wojciechowski, President & Chief Executive Officer

BME Spanish Exchanges Ramon Adarraga, Director of International Affairs

Bolsa de Comercio de Buenos Aires Irene Wasilevsky, Head of Research & Development

Bolsa de Comercio de Santiago Gonzalo Ugarte Encinas, Planning & Development Manager

Bolsa de Valores de Colombia Guillermo Quiroga Barreto, Regulation Director

Bolsa de Valores de Lima Federico Oviedo, General Manager

Bolsa Mexicana de Valores Pedro Zorrilla Velasco, Chief Operating Officer

Bombay Stock Exchange Ltd. Rajnikant Patel, Managing Director and Chief Executive Officer

Borsa Italiana SpA Antonella Amadei, Advisor to the President & C.E.O. for Global Relationship Development

Bourse de Luxembourg Michel Maquil, President & Chief Executive Officer

Bourse de Montréal Luc Bertrand, President and Chief Executive Officer

Budapest Stock Exchange Ltd. Zsolt Horvath, General Manager

Bursa Malaysia Manoj Devadasan, Head, Research & External Affairs, Finance & Strategy

Cairo & Alexandria Stock Exchanges Shahira Abdel Shahid, Advisor to the Chairman

Chicago Board Options Exchange Richard G. DuFour, Executive Vice President

Colombo Stock Exchange Hiran Mendis, Director General

Cyprus Stock Exchange Nondas Cl. Metaxas, Director General - CEO

Deutsche Börse AG Stefan Mai, Head of Market Policy

Euronext Amsterdam André Went, Group Policy Director

Euronext Brussels Vincent van Dessel, Markets Director

Euronext Lisbon Pedro Pinto, Head of Legal and Regulation

Euronext Paris Robert Thys, Director, International Affairs

Hong Kong Exchanges and Clearing Henry Law, Head, Corporate Communications

Irish Stock Exchange Tom Healy, Chief Executive

Istanbul Stock Exchange Aril Seren, Senior Vice-Chairman

Jakarta Stock Exchange Adhandariana, International Relations

JSE Limited Nicky Newton-King, Deputy Chief Executive Officer

Korea Exchange Hong-sik Choi, Senior Vice President, International Relations

Ljubljana Stock Exchange Jana Morela, Advisor to the Management Board


London Stock Exchange Ed Wells, Principal Policy Advisor

Malta Stock Exchange Alfred Mallia, Chairman

NASD Steven Polansky, Senior Director, International Affairs and Services

National Stock Exchange of India Limited Chitra Ramkrishna, Deputy Managing Director

New York Stock Exchange Jeffrey H. Eubank, Vice President, Global Affairs

New Zealand Exchange Ltd. Mark Weldon, Chief Executive Officer

OMX Henrik Husman, Vice President, Equity Customers & Products

OMX Copenhagen Stock Exchange Poul Erik Skaanning-Jørgensen, Senior Vice President, Head of EU Regulations

Osaka Securities Exchange Mikio Hinoide, Executive Officer of Strategy & Product Planning

Oslo Børs Anders Brodin, Deputy CEO

Philippine Stock Exchange Francisco Ed. Lim, President & CEO

Shanghai Stock Exchange Chian Q. Li, Head of International Affairs, Global Business Development

Shenzhen Stock Exchange Dai Xiaoling, Vice Director, Strategy and International Relations

Singapore Exchange Wai Kwong Seck, Senior Executive Vice President and Chief Financial Officer

Stock Exchange of Mauritius Sunil Benimadhu, Chief Executive

Stock Exchange of Tehran Ali Salehabadi, Secretary General

Stock Exchange of Thailand Kittiratt Na-Ranong, President

SWX Swiss Exchange Richard T. Meier, Delegate for International Affairs

Taiwan Stock Exchange Corp. Nai-Kuan Huang, Executive Vice President, Research & Development, International Affairs

Tel Aviv Stock Exchange Saul Bronfeld, Managing Director

Tokyo Stock Exchange Yoshitaka Muranushi, Director, Global Business Development

TSX Group David Ablett, Vice President, Public and Corporate Affairs

Warsaw Stock Exchange Wieslaw Rozlucki, President and CEO

Wiener Börse AG Michael Buhl, Joint Chief Executive Officer

The Working Committee at the meeting held in Sao Paulo in March 2005

2005 General Assembly and Annual Meeting

6

The General Assembly and Annual Meeting were

conducted by Chairman Takuo Tsurushima, the

President and Chief Executive Officer of the Tokyo Stock

Exchange.

The General Assembly of members reviewed the affairs

of the Federation. In particular:

• The Cairo and Alexandria Stock Exchanges, the Cyprus

Stock Exchange, and the Stock Exchange of Mauritius

were admitted to membership.

• Working Committee Chairman Mifano, Chief Executive

Officer of the Bolsa de Valores do Sao Paulo, presented

survey findings on corporate governance practices at

exchanges. WFE Chairman Tsurushima then invited

delegates to share their evaluations of how well these

structures work for their exchanges.

• Mr. Narain of the National Stock Exchange of India

presented the work-in-progress on revised WFE

Membership Criteria, the project that will lead to an

update of member business standards. These

standards exist since 1995 and are used for vetting

candidates for membership. They are also considered

an ongoing obligation of membership.

• Mr. Shimizu, Executive Officer of the Tokyo Stock

Exchange, led the discussion based on the survey of

members’ expectations for the WFE. With the busi-

nesses of member exchanges changing rapidly since

the late 1990s, the work of their industry association

must be adapted to meet members’ needs.

• Mr. Nesbitt of the TSX Group and Mr. Narain of the

National Stock Exchange of India will join the WFE

Board of Directors in 2006.

ANNUAL MEETINGKeynote speaker: Matthew Andresen, President

of Citadel Execution Services, Citadel.

Mr. Brodsky introduced Mr. Andresen from Citadel

Investment Group. He noted that Citadel, active in

markets around the world, trades over 200 million

shares daily. Mr. Andresen was a founder of Island, an

ECN that was later part of Instinet, before being

acquired by Nasdaq. His observations on world

exchanges included the perspectives of Citadel as a

liquidity provider, and as an investor in its own right.

Changes in preparing financialinformation

• Introduction : Antonio Zoido, Chairman, BME Spanish

Exchanges.

• Graham Ward, President, IFAC.

Mr. Zoido introduced Mr. Ward and the work of IFAC to

the Assembly. Mr. Ward addressed the question of

building an investment climate of trust.

World Report 2005: Competition, Consolidation and Cooperation (part 1)

• Tony D’Aloisio, Managing Director and Chief

Executive Officer, Australian Stock Exchange.

• Jean-François Théodore, Chairman and Chief

Executive Officer, Euronext.

Hosted by the Bombay Stock Exchange Ltd. and the National Stock Exchange of India,

1 – 2 November 2005

Mr. Rajnikant Patel, Executive Director and Chief Executive Officer, Bombay Stock Exchange Ltd. with Mr. Jean-François Théodore,

Chairman and Chief Executive Officer, Euronext.


• Richard Nesbitt, Chief Executive Officer, TSX Group.

• Hans-Ole Jochumsen, Deputy President, OMX.

• Hsieh Fu Hua, Chief Executive Officer, Singapore

Exchange.

• David Krell, Chief Executive Officer, International

Securities Exchange.

Mr. D’Aloisio led the first session on competition and

consolidation, and outlined the forces that seem to be

driving changes within the exchange industry: globali-

sation of financial and securities markets, technological

developments, competitive forces, and demutualisa-

tion and self-listing.

These forces are leading to profound changes. To cite

several examples:

• The cross-border formations of Euronext and the OM

Group to pool liquidity and achieve scale efficiencies.

• The technology-driven NYSE and Archipelago merger.

• Eurex’s competitive entry into the US and its use of

technology to win business from the floor-based

Chicago futures exchanges.

• ASX’s demutualisation in 1998 and its continuing role

as market operator while being a self-listed, for-profit

exchange.

These changes, however, need to be put in context. The

structure of the exchange industry still contains charac-

teristics from 5 - 10 years ago:

• Liquidity pools in cash and derivatives do not easily

shift, if at all. They provide natural monopolies, or at

any rate concentrated markets for incumbents.

• The advantages of consolidation within a particular

jurisdiction offers benefits, but evidence of cross-

border mergers delivering expense and revenues

synergies is still in the early stages.

• The “footprints” of exchanges (product coverage)

have not changed significantly.

Mr. Nesbitt explained that Canada has had its own

version of consolidation. TSX had to become increasing-

ly efficient in serving its customers in light of the conti-

nental super-exchange. TSX and TSX Venture Exchange

are the largest in Canada by far, with heavy penetration

in the domestic market. The same holds true with

trading, given that ECNs have not yet taken hold in the

marketplace. TSX has a comparatively small but healthy

international component to its listings, which it seeks to

expand through targeted strategies.

But future growth will require more than a strong

domestic listing and trading franchise. This is one of the

reasons TSX bought the Natural Gas Exchange – NGX –

from OM last year. TSX is a large shareholder in

Canada’s electronic fixed-income market (CanDeal). The

bond market in Canada is still largely based on phone

calls between large-block traders, but the electronic

side is growing, with CanDeal in the middle of that

growth through its offering of innovative products.

Earlier this month, for example, CanDeal and Thomson

TradeWeb acted together in executing a U.S. Treasury

trade for the first time.

Mr. D’Aloisio returned to thoughts on the Australian

market, and outlined the corporate structure of ASX.

With regard to the development strategy going forward,

he summarized the situation in five steps :

1. Exchange consolidation or integration within Australia

delivered benefits.

2. Cross-border consolidation for ASX should also

deliver benefits, but too early to consider.

3. There is a place for exchange-to-exchange links such

as World Link.

4. Better to develop new liquidity pools than try to shift

existing ones.

5. Revenue benefits could flow from a combined equity

and derivatives trading platform.

Mr. Theodore addressed the assembly from the floor.

While he had intended to take part in the panel, he was

obliged to curtail his remarks as Euronext was in a

black-out period for its third quarter results, and the

U.K. Fair Trade Commission had just released its

findings concerning exchange consolidation in Europe.

2005 General Assembly and Annual Meeting (continued)

8

Mr. Jochumsen outlined the recent history of cross-

border cooperation and consolidation in the Nordic

countries. By using common technology, the Nordic

exchanges were able to realize important cost savings

and allow better access to trading on the markets to

their members, and thereby get better exposure for

their listed companies.

The first step in this process was a phase of alliances.

It allowed exchanges to attain levels of EBITDA figures

that were as good as listed exchanges, maintaining all

the while a high level of service as witnessed by its

ranking as second in exchange regulation. Following

that phase, the exchanges took the next step of full

merger.

Mr. Hsieh analyzed two strategies being followed by

exchanges. He described them as a “basic” or “supply-

led” model, and the second was an “extended” or

“demand-led” model.

As exchanges move from the utility mindset, they must

develop more marketing skills, consumer focus, and

customized services. Exchanges must adopt “open

systems”.

The exchange should see itself as a supply brand

builder. Soft issues take on increased importance as

the exchange identifies the best way to appeal to cus-

tomers. As an aggregator of liquidity, the exchange

should adopt market-to-market links. ASX is doing

exactly this through an agreement with the CBOT. The

exchanges thus facilitate off-shore trading of on-shore

markets. Another example is the agreement with NSE

India to trade Nifty Futures at SGX. Similar bridges

exist between SGX and TSE and TSEC.

In Mr. Hsieh’s view, the OMX solution might not be

replicable elsewhere. The domestic market needs to

have an appetite for foreign products if they are to take

root. At SGX, he sees the benefit of the exchange in

moving into risk-based products. The CBOT agreement

will use their trading platform, but the clearing will be

done by SGX.

Mr. Krell reflected on the changes wrought by the

NASDAQ order handling rules. In retrospect, they legis-

lated ECNs into existence and resulted in the market

share of trading at NASDAQ to drop from 90% in its

listed shares to around 30%.

The new NMS rules will protect all electronic orders in

all markets, and there is a widespread belief that this

will impact listed shares as it did the OTC. Since

multiple venues began competing in the US options

markets, there has been an immense growth in trading,

all thanks to that competition.

Since the 1970s, the only consolidation to take place in

the US market was the NYSE leaving the options

business. In terms of cooperation, there are examples

of exchanges using technology in common, such as the

CBOT / LiffeConnect, and OMX Click which is used by

the ISE. It seems likely that volumes of trading in the

cash market could soar as history indicates that when

access is easier and markets are more accessible,


volumes go up. While market growth remains in the

neighborhood of 22% per annum, there is no consoli-

dation likely other than for reasons of diversification.

Fixed Income Briefing

• Moderator: Rajnikant Patel, Executive Director and

Chief Executive Officer of the Bombay Stock Exchange Ltd.

• Douglas Shulman, President, NASD.

Mr. Patel described the results of a recent survey con-

cerning fixed-income markets. The survey highlighted

the fact that, at this time for the respondents,

on-exchange trading for bonds is neither very liquid nor

does it contribute significantly to the income at most

exchanges.

Mr. Shulman outlined the US bond market. The turnover

in the government bond market is about three times

greater than for corporate bonds. While this is mostly a

phone market, there are some successful electronic

trading platforms such as Espeed, Brokertec, and

TradeWeb.

The roots of NASD’s TRACE sytem go back to 1998 and

the interest of the SEC in increasing transparency in the

corporate debt market. The political interest stemmed

from the basic mandate of the Agency to protect

investors, and the foresight to anticipate that an aging

and wealthy population would be turning to bond mar-

kets as it neared retirement. Demographics would thus

provide a larger retail investor base, should the market

become more investor-friendly. TRACE is a trade report-

ing and dissemination system, not a trading platform.

All trades in TRACE-eligible securities must be reported

to TRACE within 15 minutes. Information on virtually all

of these trades is then disseminated to the market. In

addition to its dissemination function, TRACE provides

an audit trail useful for regulatory compliance. This

enables NASD to perform surveillance of bond trading

activity. Currently, 1,900 firms are registered to report

trades to TRACE of which roughly 500 report trades on

any given day. The universe of TRACE-eligible securities

is over 30,000 corporate bonds.

The data captured by TRACE is leading to a new apprais-

al of bond markets. Before the data were available, it

was incorrectly assumed that retail participation in

bond markets was minimal. However, a significant

presence in retail has been demonstrated and a level

of liquidity that often sees 500 firms active and

28,000 trades executed on a daily basis.

Reticence from the brokers/dealer community is based

on the fear that liquidity would suffer if equity-like

market features were adopted, but the data indicate

that the value of trading is increasing, although this

cannot be wholly attributed to any one factor.

SME Market Briefing

• Moderator and presenter: Martin Graham, Director of

Market Services, Head of AIM at London Stock

Exchange.

• Massimo Capuano, President and Chief Executive

Officer, Borsa Italiana.

• Toshitsugu Shimizu, Executive Officer, Tokyo Stock

Exchange.

According to WFE statistics, London Stock Exchange

operates the market with the highest market capitaliza-

tion in the SME segment. In terms of market structure,

there are several factors which contribute to this suc-

cess. It is not a UK/EU-regulated market, making

money-raising quicker, cheaper and less burdensome

for companies than a main market listing. There is

nonetheless a high level of disclosure and transparency,

providing some comfort to investors.

Government support in the form of tax breaks was

important at the launch of the market, but that has less

significance as investment in AIM companies has


1 0

become a mainstream asset class. The lack of a unified

European small cap market has been cited by

politicians and researchers (such as Oxford Analytica)

as an economic handicap for the region.

In the 2004 results for value traded on an SME market,

the Tokyo Stock Exchange was far and away the most

liquid among WFE exchanges. Mr. Shimizu explained

that this market had been established to promote and

develop those emerging sectors of the economy that

are anticipated to sustain economic growth through

this century. He presented recent figures from Mothers.

While some markets focus on a broad definition of the

small cap segment, Mothers’ focus is limited to compa-

nies with high growth potential. In setting a standard

for the number of shareholders and free float shares,

the exchange looks to maintain a liquid market. Specific

listing characteristics have been written for young, high

growth companies, and disclosure obligations require

transparency that was in fact ahead of the rules for the

main board.

Growth in the market in terms of new listings and

trading has been especially robust in recent years, in

line with the recovery of the Japanese economy. 56 new

companies have listed in 2004. Among the sectors

driving this growth have been biotech companies.

Mr. Capuano noted the contribution that small cap and

mid cap companies make in the Italian and European

economies.

Borsa Italiana reviewed the requirements for different

kinds of companies, and specifically designed markets

to cater to these firms in areas such as listing require-

ments. The result are three separate markets: Star,

TechStar and Expandi.

Borsa Italiana has decided that these markets should

continue to be Italian/EU-regulated, as changing to an

exchange-regulated environment could have troubled

some investors. The Exchange is also active in encourag-

ing companies to list shares, as owners must be con-

vinced of the greater benefits of being public companies.

Institutional Investors:Present Trends and Future Needs

• Moderator: Paul Chow, Chief Executive Officer, Hong

Kong Exchanges and Clearing.

• Christoph B. Mast, Managing Director, dit / Allianz

Global Investors.

• Maurice Newman, Chairman, Australian Stock

Exchange.

Mr. Chow introduced the topic, noting that institutional

investors were making a powerful impact on companies

in many ways, for example in demanding corporate

governance standards.

Mr. Mast began with the process of trading that runs

from a portfolio manager to the trading desk, and then

to the pools of liquidity. The trends in the market today

start with the pressure on brokers to reduce costs. This

is being passed on to exchanges. For fund managers,

there has been a shift from the telephone market to

order routing using FIX. Pressure to outperform,

WORLD FEDERATION OF EXCHANGES1 1

user-friendly technology, and compliance concerns

such as best execution, are resulting in funds managers

becoming more interested in direct market access.

There are areas where exchanges can help investors.

First, exchanges may have better relationships with regu-

lators and speak to them more frequently than brokers or

buy-side firms. Therefore, their ability to smooth out the

implementation of new regulation is most welcome.

Institutional investors are seeking the deepest pools of

liquidity, and therefore fragmentation is not a welcome

development. On the contrary, market users need

greater transparency and would prefer to see more

depth of market. Exchanges should also do their utmost

to bring down the barriers and costs to cross-border

trading, and barriers to accessing markets.

Mr. Newman cited a recent article about “the amazing

disappearance of the individual stockholder as the

backbone of the US stockmarket.” One of the least

recognised but most profound trends of the last

50 years is the fall in direct ownership of stocks by

American households from 91% in 1950 to just 32%

today.

Fees and charges are a perpetual issue for exchanges.

While many, like ASX, are dominant in domestic

markets, they are not isolated from cross-border com-

petition, nor are they immune from market alternatives.

Unlike hedge funds, sometimes described as “compen-

sation schemes looking for an asset class”, exchanges

and the brokers they serve are under increasing cost

and price pressures. The threats of foreign competition,

business withdrawal, or internalisation involve them in

a constant battle to hold market share and keep prices

down. This is increasingly occurring in an environment

of rapidly escalating governance and compliance costs.

These add significantly to the burden of high fixed-cost

operations.

To continue providing the best possible service, market

operators must be alert to trends in their product range,

upgrade technology, lower unit costs and improve

cost/income ratios. Straight-through-processing,

streamlined clearing and settlement procedures, as

well as initiatives like lowering tick sizes, are all

designed to improve volumes and liquidity and reduce

market impact costs. Low risk, low cost markets are

more liquid and are a defence against competition. The

liquidity created helps the exchanges remain relevant

to investors and issuers, and creates a virtuous cycle.

Derivatives Briefing

• Moderator and presenter: William J. Brodsky,

Chairman and Chief Executive Officer, CBOE.

• Young-Tak Lee, Chairman and Chief Executive Officer,

KRX.

• Luc Bertrand, President and Chief Executive Officer,

Bourse de Montréal.

The growth of the Korea options market has far out-

paced any other market among those WFE members

which constitute the International Options Market

Association. Mr. Lee updated the assembly on recent

developments at KRX, which was formed earlier this

year through the merger of the Korea Stock Exchange,

the Korea Futures Exchange, and KOSDAQ.

The KOSPI 200 options account for 98% of the total

trading volume in Korean derivatives. The growth in the

market was sharpest between 1997 and 2003, and has

stabilized just below the peak volumes in 2004 and this

year. Over this period, the structure of the market has

changed; what was once a market driven in the majori-

ty by retail investors has seen institutional investors

take the dominant role. The important presence of

foreign investors is a new and welcome development. In

the cash market, foreign ownership is estimated at 42%

and still growing.

In analyzing the factors for the success of this product,

the turnover ratio and high volatility of the cash market

are identified as key contributors.


1 2

The growth of the derivatives markets in these coun-

tries did not draw liquidity away from the underlying

cash markets, where trading remains particularly

robust among retail investors. Similarities may be

drawn with other markets in Asia, such as Taiwan and

India. In all three markets, investors’ risk tolerance is

much higher than in the U.S. or Japan.

More generally for emerging markets, higher volatility

and turnover are part of the experience of faster growth.

This is true when comparing the markets at comparable

stages of their development, such as in the years imme-

diately following their launch.

Mr. Bertrand described the activities of the Canadian

derivatives market, and the recent venture in the US

options market called BOX, Boston Options Exchange.

On BOX, the market structure includes a price improve-

ment period (PIP) of three seconds, during which time

the market-maker can improve quotes by one cent incre-

ments. (The normal incremental difference in the U. S.

options market is five cents.) Recently launched, the new

BOX market has garnered a 10% market share in U.S.

options. Another innovation is that the Montreal

Exchange is the technical operator of the market, which

is otherwise based in Boston; this makes it one of the few

market operators to run technical systems for another

exchange from outside the regulatory jurisdiction. There

have also been interesting technical developments at the

Montreal Exchange. Hubs have been installed in Paris

and Frankfurt as part of the growth strategy.

Mr. Brodsky addressed the issues of competition and

regulation as they are currently impacting the six U.S.

option markets. Among the factors to be watched are

access rights for exchanges where members lease seats

to floor traders. Also, payment for order flow is having

an affect on how firms are sending orders, and discount

brokers are using this tool to extract revenue.

In the options markets, open interest resides at the

OCC, making innovation easy to copy. The greatest

growth is being generated by options on ETFs. The

liquidity on all options markets is much greater than in

underlying securities. Option growth is over 20% per

year, and is now surpassing 1 billion contracts.

New Ways of Trading and Exchange Technology

Trading platforms are being updated and modified to

allow for more products, market supervision, and order

processing. Capacity planning and cost issues remain

critical as the exchange industry changes its scale. The

panel looks at strategies that exchanges are developing

to better service new trading structures and cope with

the deluge of data.

• Moderator: Guillermo Prieto-Treviño, Chairman of the

Board, Bolsa Mexicana de Valores.

• Markus Gerdien, President of OMX Technology.

Mr. Prieto Treviño explained the demands that

new trading techniques are making on exchanges’

technology. Where once the number of trades indi-

cated the capacity needed for the trading engine and

for communication systems, now the measure is

bandwidth.

The number of orders is increasing at the rate of 300%

per year on the Mexican exchange, and the number of

cancellations at 600%. One broker alone accounts for

fifty per cent of the update traffic. The 10 most active

market participants now account for 68% of the orders,

and 79% of the cancellations.


Facing this new paradigm, the exchange has come up

with 10 points for managing technology:

1. Define IT planning proactively, with a focus on

stability and growth of the trading platform

2. Cover both short and long-term IT strategy as

aligned with business development

3. Focus on architecture : performance, availability

and scalability

4. Identify limits and restrictions

5. Develop monitoring tools

6. Invest in human capital

7. Increase execution quality

8. Converge to international standards

9. Set service level agreements

10. Define IT governance business model

Messrs. Markus Gerdien and Jan Tilfors analyzed the

various issues impacting technology at exchanges.

More and more, technology is the key to exchange com-

petitiveness. Specifically, flexibility is important to

handle business development, and scalability is vital to

avoid cost hikes when market data grow. This growth

has been driven by regulatory initiatives, which in their

implementation have led to market fragmentation and

spreading of liquidity to different venues, thus necessi-

tating the use of better order routing systems to locate

that liquidity and comply with obligations to demon-

strate best execution of orders.

In producing a plan to cope with this situation, exchanges

may find themselves in one of three scenarios. As not all

exchanges have the same market structures or capacity

issues, the solutions being considered should flow from

the diagnostic of where bottlenecks and delays might

occur in their networks.

IOMA/IOCA Annual Meeting

1 4

World Report 2005

• Stephen Wells, Senior Research Visiting Fellow, ISMACentre, University of Reading (UK)

• Moderator - Sandy Frucher, Chairman and CEO,

Philadelphia Stock Exchange• Luc Bertand, President and CEO, Montreal Exchange

and BOX• Toshihiro Oritate, Senior Executive Officer, Osaka

Securities Exchange• Ignacio Solloa, Market Director, MEFF Renta Variable

To set the background, Mr. Wells presented statistics

and the trends underlying them from the IOMA/IOCA

Annual Survey.

Mr. Frucher moderated the panel discussion. Mr. Bertrand

gave an update on the competition in the US equity

options arena, and the first year of operations of the BOX

exchange. The distinctive and somewhat controversial

feature of this market is the three-second price improve-

ment period (PIP), which is unique to BOX.

Mr. Solloa provided an overview of European markets,

where competition among exchanges for liquidity in

equity options is increasing. This means not only

trading on competing exchanges, but also competition

from the OTC markets. The implementation of various

new pieces of European financial markets regulation

are being negotiated and will take hold in 2006.

In Japan, Mr. Oritate reported that trading volumes on

the Nikkei 225 doubled last year. Tax reform has helped

the market, and the retail market has grown rapidly. A

brighter outlook for the economy suggests sustainable

growth. The increase in small orders means that higher

bandwidth has been needed and the exchange is

developing greater capacity for its systems.

Migrating Derivatives’TradingPlatforms

• Alan Van Griethuysen, Managing Director, Euronext• Seow Ann Gan, Executive Vice President and Head of

Markets, SGX

In Euronext Amsterdam, the migration to electronic

trading goes back to 1997, although that first experience

was deemed too IT driven. It was important to bring the

traders on board and have them lead in a step-by-step

process. IT milestones at the exchange in those years

included dematerialization and the introduction of hand

held terminals.

For options, the presence of market makers was crucial

for the retail investors. After much consultation, the

system has widespread support, spreads have

improved, and liquidity has increased. Another positive

outcome has been better connectivity to other pools of

liquidity. The exchange monitors the market-markers

and rewards top three with preferential treatment,

including better fees and mass quotation capability.

The Singapore market started in 1984 with interest rate

and Asian products. One more recent driver for change

was the merger of the cash and derivative markets. The

Nikkei started parallel trading and saw an increase from

3,500 to 26,000 contracts per day. The switch over to

electronic trading happened quickly when it finally

came.

Another positive development was the increase in

remote membership activity, which increased the num-

ber of participants by 20%. As it had been observed

that locals “drop out” of the market when switching to

electronic trading, the exchange paid special attention

Chicago, 10-13 April 2005


to this group, providing training and trading devices for

them. As a result, where in other markets 66% of locals

have stopped trading, in Singapore 70% registered as

e-locals.

Moderating the panel, Mr. Scully complimented the

exchanges on this work, noting the difficulty in chang-

ing from floor trading. The answer was not to go to an

only electronic platform but to have a hybrid system

that reduced opposition from brokers. In all markets,

the biggest obstacle is not technology but resistance

from traders.

New Products Roundtable

• Richard DuFour, Executive Vice-President, CBOE• Volatility, Hedged Equity and Higher Risk-Adjusted

Returns - Matt Moran, Vice President, Business

Development, CBOE• Fixed Return Options / Binary Options - Michael

Bickford, Senior Vice President, Derivatives and

Market Research, Amex• Event Options - Dan Carrigan, Vice President, New

Product Development, PHLX

The main idea behind binary options from the Amex

was to make options easier. For example, the price

could be fixed at 100 USD. A close above 100 would be

worth more, and below would be worth the fixed

amount. The option settles in cash. This makes market-

ing very easy.

Event options at Philadelphia were inspired by the need

to find equity-like returns without equities. The demand

is emanating from hedge funds. New products that

trade in a linear price movement would be suited to

automatic trading strategies. The relation between the

stock index and interest rate is clear, for example at the

announcement of unemployment data. Other areas of

product development concern agriculture, interest

rates, equities and economic indicators. Traders will

receive new products, and brokers a new source of

revenue.

The CBOE pioneered the VIX index. In order to be

successful, the exchange had to spend much effort on

education. Since 1993, it has been the best indicator for

investor sentiment in the US markets. There is a nega-

tive correlation between the VIX and the S&P.

The buy write index products are designed around the

strategy of buying the stock and writing options against

them. There were few benchmarks for performance in

options before BMX.

Evolution of Markets

• Ivers Riley, Chairman, ISE• Craig Donohue, CEO, CME• Patrick Conroy, COO, Hong Kong Exchanges and

Clearing• Thomas Lenz, Member of Executive Board, Eurex

On the value of demutualization

One of the most often cited criticisms of the exchanges

had been that they lacked the professionalism of a com-

mercial organization. This image is gone now, following

demutualization and listing. There is no doubt about

the fact that the management of the listed exchanges

can create shareholder value. At the same time,

exchanges have been high performing companies, they

have reduced costs for clients, improved technology

and expanded liquidity.

Demutualization led to a completely different way of

treating shareholders. It is now necessary to sell the

strategy of the exchange to investors. Requests for

money for acquisitions is now directed to shareholders;

investors must agree with the long term challenges and

opportunities of the company.

IOMA/IOCA Annual Meeting (continued)

1 6

Where the government drove demutualization and

listing, it retains influence on the decisions of the public

company. When the Hong Kong government integrated

the market infrastructure into one group, it was aware

of the dominant position the group would have, and so

it remains sensitive to issues related to fees. The

government wants an oversight of commercial activities

of the exchange, so demutualization came with some

strings attached.

On conflicts of interests, especially betweenexchange owners and users

Anyone who thinks exchanges in for-profit mode are

less effective is wrong. There is considerably more

transparency than before. Second, they are account-

able to shareowners who are not necessarily market

participants but who expect the business to be managed

for value and growth. There is pressure to maintain high

standards. This reinforces the drive for good self-regu-

lation, while at the same time none of the oversight

from regulators has lessened.

The bottom line is that the exchange must protect its

license; that cannot be put at risk.

There is no question that shareholder interest is

predominant. This is a fiduciary obligation. There are

very few instances, however, where there is not a trans-

fer of value between users and owners of the markets.

Managing a value-based approach actually improves the

market for trading.

When the exchange controls costs efficiently, when it

improves access to market, when it makes common

cause with its users to push for limiting restrictions on

markets and keeps bureaucracy down, it serves its

owners as well as its users.

Concerning disintermediation

To an emphatic non-believer in disintermediation, it is

clear that exchanges cannot replace intermediaries, nor

are intermediaries going to become exchanges.

Demutualization will not change this. The main job of

the exchange is to nurture the market, building the trust

among many stakeholders that is necessary to attract

order flow and investment flow. Disintermediation

would not be successful if attempted. However, at cer-

tain times there can be areas of disagreement.

Competition with the client base has always existed.

When trading margins get compressed, this creates

fewer incentives to do something on the exchange, and

pressure to look at more complex products. In the

reverse situation, there is less pressure. The exchange

needs to focus on its strength, which is high volume

business rather than tailor-made niches, which they do

not have the structures to do. There can be no interest

to go behind the back of the intermediaries. Rather, the

exchange can, step by step, offer services such as a

central counter-party facilities, which could entice some

off-market business back to the order book.

Looking forward

The future is more competition and de-regionalization.

The strategy is global presence and distribution,

which requires understanding the environment and

the rules. There will be a natural expansion to push

products out as far as possible. Global clearing is an

important step; enlarging the footprint is the focus. It

requires enhanced marketing and sales work. The

result will be de-regionalization, especially for deriva-

tive products because of their nature and benchmarks.

The tactics between exchanges will vary. They will

leverage infrastructure and their platforms to keep

costs down. The question is which ones can deploy the

right resources in the most intelligent way, and the

quickest.

Mr. Colin Scully, Deputy Chief Executive Officer, Group Executive – Markets, of the Australian Stock Exchange, and President of the International

Options Market Association and International Option Clearing Association (IOMA/IOCA)


The Convergence of Cash and Derivative Markets

• Yair Orgler, Chairman, TASE• Michael Cormack, President, Archipelago/PCX• R. Sundararaman, Vice President, NSE India• Jorge Alegria, CEO, MEXDER

Moderating the panel, Mr. Orgler observed that the

benefits for running an integrated exchange include

more efficiency in organizational structure, better cost

controls, and better oversight and surveillance of the

markets.

Mr. Cormack outlined the strategy of Arca in combining

options with its cash business. The alliance with PCX

allowed Arca to move outside of the NASD umbrella,

and the exchange went public last year.

The exchange is seeing some growth in market share

from NYSE to complement the business in NASDAQ

stocks. Opening earlier was an example of Arca being able

to move quickly to respond to market demands.

Expanding into options will complement the cash offer,

although the back-office clearing processing and regula-

tory issues will take time to adjust to. The first step, inte-

grating technologies, should take place in 2006.

Looking ahead, the major competitors remain NASDAQ,

Instinet and NYSE. Further consolidation in the US

markets is to be expected.

NSE of India started as a cash market and moved into

derivatives. This was driven by the investors’ need for

more complex products. Derivatives have great

potential where markets’ capital formation has been

underdeveloped.

If the architecture is not scalable, the exchange may

face considerable cost. Volatility was a concern for the

regulator, and the market supervisors’ interests did not

always suit the exchange’s use of capital.

Surveillance is easier in an integrated exchange. Risk

management is central when the market drops as much

as 25% in one day. In last year’s elections in India, the

mark-to-market was 30 times normal, but there were no

defaults. The risk parameters were changed 6 times that

day, so the exchange knew the risk in the cash and deriv-

atives in real time. Other advantages for the market lie in

cross-margining and service portfolio management.

Mr. Alegria outlined the development of the derivatives

market in Mexico, where historically low volatility and a

boom in foreign investment is creating ideal conditions

for the exchange to modernize. Pension funds are now

allowed to use derivatives, and foreign investors need

hedging tools.

The cash and derivatives markets do not share the same

needs; the technology choice is a very costly decision,

and so integration with the cash platform is a compelling

idea. In theory every member can access both markets,

which is another reason to work from the same main-

frame, even though the reality is that regulation creates

some restrictions on totally free cross access.


1 8

Beyond cash and derivatives markets, global actors

appreciate the convergence in data dissemination, and

the cost reductions and synergies that the integrated

strategy provides.

Excerpts from the Keynote Address by • Thomas Peterffy, Founder, Chairman and CEO of

Interactive Brokers

“Our job is to mediate and facilitate the global flow of

risk capital. If for the moment you are willing to indulge

me and contemplate this idea, then I would like to tell

you what I think you would need to do to help us get

there sooner.

Automate – Your exchange has to be part of the net-

work. If your exchange is not yet electronic, you are not

in the network.

Eliminate Barriers To Entry – Protectionist measures

foreclose the flow of foreign capital and expertise from

coming into your country and in the long term, you run

the risk of being frozen out of the global network and

the global economy.

Attract Market Makers – Market makers will come only

if they are protected by a firm, but smart, regulatory

environment.

Prohibit crossing trades outside the market – Market

makers are risking their capital to provide firm quotes.

Using these quotes when the brokers like them and

trading through them when they do not disadvantages

both market makers and customers. In a global elec-

tronic market, those who post the best prices should be

rewarded with trades, and customers should get the

best available price.

Synchronize listing standards, expiration dates andthe manner in which corporate actions are treated –This would greatly simplify the already very complex

software that market makers and brokers need in order

to process their trades. It would make the hedging of

cross exchange positions cheaper and would reduce

capital needs.

Clarify and objectify error policies – Error policies must

be clear and objective, they must cover all eventualities,

and they must be applied consistently.

Finally and most importantly, EXCHANGES MUST ADD

PRODUCTS that facilitate the efficient transfer of

economic risk. We need more:

• Foreign exchange and interest rate products

• Credit default swaps

• Corporate debt derivatives

• Economic indicatord and index derivatives

• Insurance products

• Various forms of energy, chemicals, transport and

housing derivatives

To summarize: technology has given us the opportunity

and the means of spreading the benefits of a market

driven, entrepreneurial economy to every corner of the

world.

As our network grows, more local nodes with more local

products will be attached to it. More would-be small

businesses and their financial backers will be able to

hedge the risks that currently prevent them from

establishing or expanding operations.

We should rise to the occasion, accept the challenge,

grow our network, and do our part to increase living

standards across the globe.”

Exchange Valuation – The Viewsof Investment Bankers

• Simon Hewett, Managing Director, Citigroup GlobalMarkets

• David Schwimmer, Goldman Sachs, InvestmentBanking Division

Mr. Hewitt presented figures about the exchange indus-

try in 2005:

• There are 16 publicly listed exchanges

• 116 analysts cover the sector

• Deutsche Boerse AG is the largest, and the top 5

exchanges account for 70% of the sector

• Net income margins for the sector average around 30%

Exchanges accumulate capital, and while this is a good

problem to have, it raises the issue of getting a good

return on capital. Despite the geographic split and

heterogeneous business models, exchanges have

generally outperformed other financial services compa-

nies and remain tightly bunched in terms of valuation.

This is due to the growth potential of markets, and the

strength of these franchises.


Mr. Schwimmer added the following challenges for

newly public exchanges:

• Management needs to earn credibility with investors.

• The growth industry perception is tied to increasing

trading volumes.

• While it is not necessary to own technology, the

strategic goals and associated cost structures will be

scrutinized.

• Regulation is a major issue, as significant business

risk depends on regulatory decisions.

What Lies Ahead

• Kenneth Griffin, Founder, Chairman & CEO, CitadelInvestment Group

Kenneth Griffin expressed his thoughts on capital

markets, and advised exchanges on his future business

needs.

Exchange Scorecard

• Bernard Dan, President and CEO, CBOT• Thomas Kloet, COO, Fimat• Robert Barnes, Managing Director, Market Structures,

UBS Investment Bank

Concerning technologyFutures trading is driven by technology. Technology is

evolving to the end-user, and is an important part of the

budget for the business. Exchanges have a critical role in

extending the global reach of the markets, and that work

is essential for the brokers. From this point of view, the

development of the ISE, the hybrid system at CBOE, and

changes at CBOT have all been very positive.

With regard to cost savings, the real issue is not mainly

about cutting costs, but rather about being able to

assure scalability. It is through improved processing that

brokers are able to change the scale of their business.

Concerning the OTC marketIn Europe, the issue of documentary risk led to the cre-

ation of a master short form contract that provided

standardization. Following its implementation, volumes

greatly increased in the OTC markets. If it is easier to

trade away from platforms, there is a risk that

exchanges lose business.

On the other hand, there are opportunities for exchanges

to service this OTC market, one example being that of

Clearport. With Basel II looming, capital efficiency will

take on greater importance and accentuate the interest

in using central counterparties. There will be an increas-

ing demand for standardization, not only from the users,

but from the settlement perspective as well.

On Regulatory changesIn Europe, the key issues are pre-trade and post-trade

transparency, best execution, and transaction reporting.

It is important not to stymie new markets, or the growth

of existing markets. Since Barings and 9/11, there is

better communication and more cooperation between

regulators, but there are not and there cannot be iden-

tical global standards. These differences, however, cre-

ate opportunities, and market solutions are preferable

to regulatory decisions.

Concerning the work of exchangesEchoing the comments from other speakers at the con-

ference, any coordinated initiative taken by exchanges

to help standardize the treatment of corporate actions

would be endorsed by Fimat and UBS.

Exchanges should concentrate on providing more sector

products, developing the mid-cap sector, and dealing on

volatility. There is more comfort for the end-user when

sector products are listed on exchanges. Insurance com-

panies need more volatility products. Products providing

more exposure for mid-cap stocks could help attract

needed liquidity to this area. Partnering between banks

and exchanges has resulted in some markets in a five-

fold increase in liquidity.


2 0

Through consultation with users and trade associa-

tions, it is possible to access products now beyond the

natural realm of exchanges.

AsiaThis will be an increasingly important region over the

next decade. Risk management for exchange partici-

pants is an important concern. Asian business now rep-

resents between 8 – 16% of industry results and should

increase to 25%. Direct remote access is key to allowing

firms to grow their business. Stock borrowing and lend-

ing is still an issue in some markets. On the execution

side, the time when batches are run can create issues for

some banks in Europe. And any obligation to establish a

local entity is a serious hindrance to investing.

On disintermediationThis issue is not as new as it may seem. Similar con-

cerns were raised during the Big Bang in London in the

1980s. The brokers’ role remains to add value to the

cash market and the OTC. There should be a dedicated

effort to enhance cooperation on adjusting market rules

and structures to reduce the frictional cost of trading.

The users and operators of the markets could use such

forums as IOMA to test and form the structure that best

promotes capital market growth. From the end user

perspective, the issue is the total cost of execution;

fees are only part of that question. Users around the

world are looking for more products to trade on these

platforms.


Hosted by the Shanghai Stock Exchange, Shenzhen Stock Exchange

and Hong Kong Exchanges and Clearing

Beijing, June 1-3, 2005

For complete notes, please contact the WFE Secretariat or visit our website http://www.world-exchanges.org

Forum for DevelopingMarkets

Mr. Huang Ju, Vice Premier of the State Council, and Mr. Shang Fu Lin, CSRC Chairman, welcomed a WFE delegation of Chairmen and CEOs of exchanges at the Great Hall of the People.

Developing financial marketsand the economy

• Shanghai Stock Exchange, James Liu, Executive Vice

President

• Shanghai Stock Exchange, Zhu Cong Jiu, President

• University of Chicago, Saskia Sassen, Professor of

sociology

• Mr. Jia XiaoLiang, Deputy Director-General, Bureau of

Enterprise Reform of SASAC

Saskia Sassen, Professor of sociology at the University of

Chicago, noted that a financial center can be defined as a

platform. It concentrates specialized

talent. It can also be defined by its

specific culture of open architecture,

which enables it not to fall if one wall

breaks. For instance, some firms on

Wall Street may not be in compliance,

but the Wall Street culture is strong

enough to recover. The idea of compliance actually goes

beyond the sole application of laws. A financial center

will also be instrumental in developing and spreading

new instruments to global markets.

Developing the equity marketfor small and medium businesses

• Shenzhen Stock Exchange, Song Li Ping, Executive

Vice President

• Shenzhen Stock Exchange, Zhang Yu Jun, CEO

• Singapore Exchange, Hsieh Fu Hua, CEO

• Borsa Italiana SpA, Massimo Capuano, President &

Chief Executive Officer, Vice Chairman of WFE,

President of FESE

• London Stock Exchange, Tracey Pierce, Head of

Company Services

Hsieh Fu Hua introduced the theme by noting that despite

the demutualization process, exchanges were still serving a

public good, especially when it comes to SMEs. Prior to list-

ing, venture capitalists and government start-up schemes

are essential to SMEs. When listing, higher standards

should apply to SMEs, and the listing sponsor should have

an essential role. A strong retail market is important to back

up listed SMEs. Investors confidence should be built main-

ly on corporate governance and surveillance. It is also cru-

cial to encourage research on SMEs; a third of the listed

companies are covered by a research scheme in Singapore.

“Financial centers also have

the ability to liquefy forms of

wealth that we thought were

not liquid. Once it is liquefied,

it can circulate globally.”

Forum for Developing Markets (continued)

2 2

For more on small cap markets, see the WFE 2005Annual Meeting notes.

Market challenges, Part 1 – Regulation, Enforcement and Governance

• Bovespa, Gilberto Mifano, CEO and Chairman of the

WFE Working Committee

• Securities and Futures Commission, Hong Kong,Andrew Sheng, Chairman and Chairman of the IOSCO

Technical Committee

• World Bank, Stijn Claessens, Senior Advisor

• International Federation of Accountants, Ian Ball,

Chief Executive

Andrew Sheng traced the origins of IOSCO back to

1983, its key missions, and the importance of 1998

IOSCO principles. The main characteristics of financial

markets are the following:

• They are the framework to organize the transfer and

the trading of property rights.

• Finance is a derivative of the real sector.

• They are networks of participants across platforms

undergoing regulation, which are the “rules of the

game”.

The IOSCO standards now need to be implemented. In so

doing, regulators need partnerships with all actors,

including exchanges, which still have an important SRO

role to play. There is no “one size fits all” as regards

regulation, but its main objective, protection of investor

and property rights, has to be borne in mind.

Stijn Claessens prefaced his remarks by stating that

developing markets suffer from weak property rights

and corporate governance. The legal environment is

critical to bridge this gap but it absolutely needs

enforcement in order to be really effective. Corporate

governance is key for capital markets, and there is a

clear relationship between the quality of regulation and

markets’ development.

Attracting foreign and institutional investment

• Hong Kong Exchanges and Clearing Limited, Timothy

Freshwater, Independent Non-Executive Director,

and Goldman Sachs (Asia) L.L.C. Vice-Chairman

• RHB Securities, Kuala Lumpur, Dr. Zaha Rina Zahari,

CEO

• Fidelity Investments Management (HK) Ltd, Douglas

Naismith, Managing Director

• Auerbach Grayson, David Grayson, Managing

Director

Dr. Zaha Rina Zahari began by defining Islamic finance,

which is based on three Islamic principles:

• Prohibition of “Al Riba”, which means excess, and

refers to prohibition of interests on loans.

• Prohibition of activities with elements of Al Gharar

(uncertainty), though there is sufficient flexibility to

make derivative products possible.

• Prohibition of Maisir (gambling) activities, which

implies that transactions have to be very transparent.


Thanks to political, economic and social stability,

Malaysia is one of the preferred destinations for Islamic

finance, and has, for instance, Shari’ah-compliant brokers

and derivatives. RHB Group has developed in parallel con-

ventional and Islamic products. It has recently launched

with Dow Jones the Islamic Malaysia Index to encourage

Shari’ah-compliant equity investments.

Market challenges, Part 2 – Regulation, Enforcement and Governance

• Organisation for Economic Co-operation andDevelopment (OECD), William Witherell, Director for

Financial and Enterprise Affairs, OECD representative

in the Financial Stability Forum

Federations’ initiatives, Part 1

• Australian Stock Exchange, Colin Scully, Deputy Chief

Executive Officer, Group Executive – Markets, and

President of the International Options Market

Association and International Option Clearing

Association (IOMA/IOCA)

• Tokyo Stock Exchange, Toshitsugu Shimizu, Executive

Officer

Colin Scully noted that IOMA/IOCA went through a

major change over the past twenty years. It started as a

US initiative. It has now over 40 participants from equi-

ty, options and futures sectors. The 2005 conference in

Chicago dealt mainly with market structure, IT and

product development. The input of outsiders such as

liquidity providers, and the analyst perspective from

investment banking and customers, stimulated the

conference. The demutualization process now implies

new challenges for members as listed entities.

Developing the futures markets

• National Stock Exchange of India, Ravi Narain, Chief

Executive

• Euronext.liffe, Nick Carew Hunt, Market Secretary

Ravi Narain spoke about the advantages of setting up a

futures market in general, and of the National Stock

Exchange of India’s specific experience. In India, local

banks and insurance companies were not allowed to

participate, and mutual funds had restricted participa-

tion. The market has grown thanks to retail positions,


2 4

proprietary positions of brokers and foreign institu-

tions. The development of the underlying equity market

has obviously favored the development of a sound

derivative market. The contracts’ size, around USD

4 500, has been designed to make it accessible to retail

investors. Cash settlement and easy roll-overs, espe-

cially appreciated by institutional participants have

been positive for the market’s development. There are

now around 300 000 retail investors active in deriva-

tives in India compared to one million in equities.

Developing the options markets

• Korea Exchange, Young-Tak Lee, Chairman and Chief

Executive

• Chicago Board Options Exchange, Eugene Zheng,

Special Advisor to the Chairman

• ISMA Centre, University of Reading, Stephen Wells, as

moderator

Eugene Zheng noted that in 1973, on its first day CBOE

reported just over 900 contracts traded. The number of

underlying assets as well as volumes have soared, and

on 15 April 2005, 4 million contracts were traded at the

CBOE. The asymmetric nature of options makes them

flexible tools. A market maker system is good way to

ensure liquidity.

Moon-won Suh presented a case study of the Korean

options market. The Kospi 200 index represents 85% of

the market capitalization. The launch of the options

based on the index saw relatively low volume, but then

a very strong growth: over 11 million contracts per day

on average in 2003 and 9 million on 2005. The period

2002-2005 has seen the growth of institutional

investors presence compared to retail investors. Some

of the key factors to that success have been the high

speed internet infrastructure (with about 50% of

trading done on-line), the in-house developed IT

system, a conservative margin system to guarantee

settlement and a special emphasis on education and

marketing.

Developing market infrastructure

• Thomas Murray, Simon Thomas, President

• BME Spanish Exchanges, Santiago Ximenez, Director,

Consultancy Division

• Bursa Malaysia Berhad, Khairussaleh Ramli, CFO

Simon Thomas covered the question of capital market

infrastructures. Over 88 capital markets and 140 CSDs

are covered, the data are validated from over

300 sources. The risks main assessed are:

• Financial

• Asset Safety

• Asset Servicing

• Operational

Institutional investors take into account infrastructure

risks, and not only returns, in their investment process,

as it minimizes risks.


Investor education

• International Forum for Investor Education, Nicholas

Bannister, NASD, SVP and Managing Director

International Affairs and Services

• The Options Industry Council (OIC), Michael

Walinskas, Senior Vice President, and The OptionsClearing Corporation (OCC), Senior Vice President

Nicholas Bannister provided perspective on investor

education, and introduced the International Forum for

Investor Education. A recent survey has shown that

even in the USA, where there are around 80 million

shareholders, the knowledge of retail investors is rela-

tively low: 60% do not know the relationship between

interest rates and bond prices, and 62% think they are

insured against loss in the market. Investor education

is even more important now, since there is increased

retail participation worldwide and technology, espe-

cially internet, has made markets very accessible. The

basic content of investor education is: knowledge of

the market mechanism, of the products, of their finan-

cial situation, and of dispute resolution programs. The

International Forum for Investor Education serves as a

forum for exchange of information among providers of

investor education.

Developing the fixed incomesegment with exchanges (1)

• BSE the Stock Exchange Mumbai, Rajnikant Patel,

Executive Director & CEO

• NASD, Nicholas Bannister, SVP and Managing

Director International Affairs and Services

• Asian Development Bank, F. Cleo Kawawaki, Senior

Private Sector Development Specialist, Southeast

Asia Development

F. Cleo Kawawaki presented the Asian bond markets

initiative. The informal finance ministers’ meeting of the

10 ASEAN countries and China, Japan and Korea

(ASEAN+3), launched the Asian Bond Market Initiative

in 2002. Compared to the financial needs and the size of

the economies, the bond markets in Asia are of modest

size. The Asian Bond Market initiative is structured in

four working groups. Technical assistance programs

have also been launched.

Developing the fixed incomesegment with exchanges (2)

• JSE Securities Exchange, South Africa, Allan Thomson

• GreTai Exchange, Dr. Yung-San Lee, Chairman

Dr. Yung-San Lee spoke about the Taiwan bond market.

The Taiwan bond market has grown at an average

annual rate of 22% in the past 5 years (to USD 144 bil-

lion in 2004). Government bonds represent 60%, and

corporate bonds 25%. GreTai launched the Electronic

Bond Trading System (EBTS) for government bonds,

with net settlement functions in 2002; and a primary

dealer system was introduced in 2003. 60% of trades

are outright trades, and 90% of trading is conducted

through EBTS, spreads have narrowed, and liquidity

has improved. GreTai has launched a government bond

index, and promotes repo market reform and short-

selling mechanism development.

Extending exchange services

• Deutsche Börse, Volker Potthoff, Managing Director

• OMX, Ulf Carlsson, President of OMX Technology for

Asia Pacific

• Euronext, Robert Thys, Director of International

Affairs


2 6

The stakes of privatizations

Professor William Megginson of the University of

Oklahoma has centered his works on the impact of pri-

vatizations on capital market development for most of

his carer, and is a member of the Italian government’s

advisory group on its privatization program. The World

stock market capitalization is back to its highest level

after the 2000 crash, but revenues derived from privati-

zation have decreased since 2000. The major trends in

privatization sales methods are the rise of accelerated

bookbuildings, and the increasing importance of indirect

sales. The market value of residual stakes of partially

privatized firms is still significant (USD 753 billion). Two

major countries, China and India, have only begun

privatization programs. Most valuable wholly state-

owned enterprises are national oil companies.

Other topics and speakers included: • Zhou Xiao Chuan, Governor of People’s Bank of China• Shang Fu Lin, Chairman of China Securities

Regulatory Commission• Frederick Ma, Secretary for Financial Services and the

Treasury Hong Kong SAR

Opening session and welcome• Shanghai Stock Exchange, Geng Liang, Chairman

• Shenzhen Stock Exchange, Chen Dongzheng, Chairman

• Hong Kong Exchanges and Clearing Limited, Charles

Lee, Chairman

• Tokyo Stock Exchange, Takuo Tsurushima, President

& CEO, and Chairman of the WFE

Market challenges, Part 3 – Liquidity• Abu Dhabi Securities Market, William Foster, Chief

Development Officer

• OMX, Hans-Ole Jochumsen, Deputy President, OMX

Exchanges and President, Copenhagen Stock Exchange

XBRL• Shanghai Stock Exchange, Dr. Bai Shuo, Chief

Technology Officer

• International Accounting Standards Foundation, Kurt

Ramin, Commercial Director (IASCF)

Federations’ initiatives, Part 2• Bolsa Mexicana de Valores, Guillermo Prieto,

President, and President of the Ibero-American

Federation of Exchanges (FIAB)

• Istanbul Stock Exchange, Aril Seren, Senior Vice-

Chairman, and Secretary General of the Federation of

Euro-Asian Stock Exchanges (FEAS)

• Chittagong Stock Exchange, Wali-ul Maroof Matin,

CEO and Secretary General, South Asian Federation of

Exchanges (SAFE)

Mr. Zhou Xiao Chuan, Governor of People's Bank of China


MIT, Cambridge, Massachussetts, 20-23 November 2005

For complete notes, please contact the WFE Secretariat or visit our website http://www.world-exchanges.org

Executive Briefing on Exchange Technology at MIT

Keynote address: a CEO’s view on how technologydrives exchanges

• National Stock Exchange of India, Ravi Narain,

Managing Director and CEO

Ravi Narain introduced his remarks by reminding the

audience that the National Stock Exchange of India was

set up ten years ago. At the time, the choice of heavily

relying on technology was a paradigm shift. Since then, the

businesses of exchanges and IT have been intertwined.

What was considered as “standard” was largely out-

sourced (telecoms, clearing and settlement). This logic

applied to choices made regarding in-house vs. vendor,

and buying vs. building. The same architecture has

been able to keep pace with the outstanding develop-

ment of the exchange where daily volumes went up

from 10,000 trades to 7 million trades.

In order to be able to move from 10 million trades to

25 million, a change in the architecture will be needed:

the trading engine will remain in fault-tolerant boxes,

but the communications part will be taken out and put

on Unix servers.

Data capacity issues and scaling

• CBOE, Tom Knorring, Vice President, Trading opera-

tions, Chairman of the Consolidated Tape Association

(CTA) Committee, CBOE’s OPRA representative

• NASDAQ, William O’Brien, SVP, Market Data Distribution

• Jordan & Jordan, Richard Shriver, Industry Consultant

Tom Knorring explained that in the US, all 6 options

markets send their data as one single feed.

In total, a peak capacity of 150,000 mps (messages per

second) has been reached recently, and two-thirds of

the traffic comes from the US itself. Options account for

86,000 of the 150,000 mps, CBOE alone representing

26,000 mps. Last October, the threshold of 1 billion

messages a day was reached.

Contrary to equity markets, quotes and trades from the

options markets are all in the same stream.

The six options markets in the US list and quote

680,000 series. There are no more manual quotes;

these are instead electronically streamed to

exchanges. IT costs have fallen in terms of processors

and licenses, but not on budgets for disk drives to

save data.

Mr. Ravi Narain, Managing Director & Chief Executive Officer, National Stock Exchange of India

Executive Briefing on Exchange Technology at MIT (continued)

2 8

Several factors could drive the growth of quotes in the

future:

• The implementation of the NYSE hybrid model would

imply an explosion of quotes,

• Volatility has not been very high lately; more volatility

could potentially lead to more quotes,

• More book depth availability,

• Decimalization of options trading.

Technology replacement challenges

• London Stock Exchange, Mark Reece, Trading System

Architect

• Tel Aviv Stock Exchange, Ester Levanon, Executive

Vice President, CIO & Head of Operations

• Taiwan Stock Exchange Corp., Chao Lung, Senior Vice

President, System Development Department

• Abu Dhabi Securities Market, William P. Foster, Chief

Operations Officer

• Montreal Exchange, Philippe Loumeau, Senior

Executive Vice-President and COO

Philippe Loumeau introduced his presentation by

giving some background about Montreal Exchange,

which has specialized in derivatives since 1999, when

the Canadian markets’ structure was reorganized.

At that time, the migration to electronic trading was

decided, and implementation took place between

September 2000 and December 2001. As a result, the

options market evolved from a specialists’ system,

associated with wide spreads, to a central order book

with several market-makers in competition.

MX-ITS (Montreal Exchange Information Technology

Solutions) developed the network with several access

points for participants, a common gateway for partici-

pants and ISVs, the gateway for price dissemination,

and the link for the clearing house. It licensed the

trading and routing engine from a vendor.

In 2002, MX formed BOX and has become its technolo-

gy provider. BOX offers 500 classes of US equity

options, with up to 25 market-makers per class.

October 2005 daily average volume was 450,000 con-

tracts, which represents around 8% market share on

the classes listed.

Stability and performance are among the main IT

challenges for a technology provider, especially in the US

options markets where there is fierce competition as all

products are fungible and cleared through OCC. Cost and

the ability to implement functional changes are also key

challenges. MX decided to cope with these matters by

changing its architecture and re-drawing its system. This

was based on the conclusion that the previous systems

based on fault-tolerant machines could not compete with

new technology. MX developed trading and routing

engines that multiply performance by 10, and at the same

time decrease hardware costs by a factor of 10.

The new system, SOLA, was built from design through

implementation in 12 months with 15 IT staff. The new

system, in production since October 2005, is extremely

fast: up to 150 000 price update per second per CPU,

and a response time of less than 1ms. The system is

portable on Unix, Linux, and Windows, and does not

need fault tolerant hardware; reliability now comes

from the software itself.

It has a modular architecture that accepts several

matching algorithms. SOLA is planned to be rolled out

for BOX as well.

Regulation and Technology

• AMEX, Miranda Mizen, Chief Market Strategist

• Celent, Harrell Smith, Manager of Celent’s securities

and investments practice in New York

• CFTC, Andrea Corcoran, Director, Office of International

Affairs


Miranda Mizen explained that Amex was working on an

hybrid system called AEMI (Auction and Electronic

Market Integration) integrating its auction environment

with a floor-based community.

Regulation NMS has four basic components. The most

important for trading is the “order protection rule” former-

ly the “trade-through rule”. Every quote will be consid-

ered as automated, unless it is indicated as manual, and

could not be traded through. As a consequence, upstairs

blocks will have to clear the best automated quote.

Markets will need more speed and automation, and will

have to implement links to all other markets to ship

orders to the location that has the best price. This

implies new issues, such as routing orders, which

requires the exchange to be licensed as a broker-dealer.

Regulation NMS also brings new policies still to be

defined: for instance, if an order is shipped to another

market and there is no response after two seconds, the

market that sent the order can execute it. But if a feed-

back is received after the execution, the responsibility

of each market will have to be defined.

The need for speed and automation only makes sense

for liquid shares; some stocks only trade once a week,

and automation will not make them more liquid. Other

means must be tried.

The electronic market place to be set up will have new

technology, a new data centre, a new ticker plant, and

will offer FIX connectivity.

AEMI is a competitive market model, which will meet

the Amex’s new regulatory obligations. It will be an

imperative to be able to offer automated quotes when

regulation NMS is enforced as from mid-2006, in order

to avoid being traded through.

Harrell Smith presented the huge changes expected in

capital markets in Europe with the implementation of

MiFID (the Markets in Financial Instruments Directive).

In his view, MiFID may represent the greatest single major

change ever to occur in market structure, and seeks

to promote competition between execution venues:

exchanges, MTFs (Multi-lateral Trading Facilities), and

internalizers. The order concentration rule that sends

orders to the central market will be eliminated. That will

imply major changes in terms of best execution (though

that is not precisely defined, and might take into

account price, speed, fill rate, spread…) and pre-trade

transparency.

A consolidated European BBO (best bid and offer) will

be needed in order to monitor best execution. The post-

trade area will be impacted as well, as trades could be

reported to several venues.

In terms of market data revenues, regulation NMS is

quite precise on this topic whereas MiFID is so far quite

vague. The full implementation in national jurisdictions

is now scheduled for November 2007.

Important details such as standard market size still

need to be defined, and will be important for the pre-

trade transparency mechanisms to be established.

Executive Briefing on Exchange Technology at MIT (continued)

3 0

Expected winners should be: the buy-side, retail

investors, MTFs, internalizers (large banks), market

data consolidators, vendors of OMS (order manage-

ment systems), order routing systems, and providers of

connectivity and networking solutions.

Expected losers should be: exchanges having concen-

tration rules, the London Stock Exchange (loss of print

fees and market data), specialists and investment

firms forced to spend huge amounts of money to

comply.

New trading techniques

• ISE, Greg Maynard, Product and System Strategy

Officer

• Tabb Group, Adam Sussman, Consultant

• BT Radianz, Brennan Carley, Chief Strategy Officer

and Chief Technology Officer

Adam Sussman focused on how regulation and

electronic trading have changed the US market.

The last major changes in regulation were the

following:

• 1997: order handling rules affirming that limit orders

are displayed publicly, and that the minimum size dis-

play requirement is lowered to 100 shares. Liquidity is

fragmented (ECNs), and less liquidity is available at

the best price.

• 1999: regulation ATS favours ECNs’ market share

growth. There is a price war amongst ECNs and Nasdaq

(remuneration for liquidity provision), Nasdaq trading

market share falls below 50% of its own listings.

• 2000: equities are traded in pennies, so that liquidity

is even more fragmented, and narrower spreads make

market-making less profitable.

Since 1997, the average number of shares per trade has

been decreasing, while the total number of trades has

increased significantly since 2001. The overall commis-

sion dropped about 50% to 3.5 cents per share. The

order flow is moving from traditional sales-traders to

cheaper venues (ECNs, brokers via FIX, algorithms,

etc.). Once the buy-side has technology in place to

route orders, it becomes easy to move that flow across

multiple venues.

Buy-side firms complain about the costs of bandwidth,

though they continue to develop more and more algo-

rithms. (Cancellations per trade have significantly

increased since 2003, from 1.2 to an expected 60.3 in

2006, and quotes per trade as well.)

The changes seen on Nasdaq could also impact the

NYSE, which is moving towards a quicker infrastructure.

The 30-second rule and the 1099 shares limitation on

electronic orders will be eliminated. New orders will be

created:

• “IOC” (immediate or cancel)

• “sweep” (to take the three, or several,

best limits at once)

• and “reserve orders” through a specialist.

Though the context is different, these evolutions in exe-

cution could affect other instruments, and also other

regions in the future.

Industry consolidation

• NYSE, Mario Rogowicz, Managing Director,

Information Products Technology

Mario Rogowicz gave some perspective from the NYSE,

which is going through a major consolidation with ARCA,

on how technology influences this consolidation.

In the late 1990s, the SEC passed regulation ATS in order

to promote more competition. As a result, the NYSE has

about 80% market share. ECNs took even more market

share from Nasdaq on securities traded there.


Technology is behind many of these structural changes.

Internet makes it easy to set up a network, and hard-

ware has become cheap, leading to “capacity on

demand”. As regards order routing, the interconnection

of markets was achieved through ITS in the 1970s. Now

it is easier to have an order router connected to differ-

ent venues. Regulation NMS will extend protection of

the top of the orderbook to all stocks.

The hybrid market developed by the NYSE is a response to

this change. Only automated quotes (“fast market”) will

be protected. All quotes will be assumed to be fast unless

they are marked as slow (“manual”), in which case they

could be traded through. The hybrid market will ensure

that all quotes are fast, in order to avoid trade through.

Specialists, however, are very useful in times of high

volatility and market swings. The NYSE will keep spe-

cialists and implement Liquidity Replenishment Points

(LRPs). Under certain conditions, if prices swing too

much, the next quote will be marked as “slow”. The

merger with ARCA brings a new platform, liquidity from

Nasdaq, a very profitable ETF business (about 25% of

US volumes), options (Pacific Exchange), and ARCA is

now looking to develop the bond segment.

In the future, the NYSE Group will mainly consist of the

NYSE and ARCA, which will remain separate, and a regula-

tion body in the form of a not-for-profit entity.

The synergies will come from the front end, the order

capturing, the network layer, the safety network built by

SIAC, and the ticker plant.

Systems will be based on Unix or Linux solutions, which

will be different from the current non-stop HP hardware

used.

Other topics and speakers included:

New trading techniques – further• SWX, Richard Meier, Head of International & Research

Exchange Technology Vendors• OMX Technology, Anders Fridlund, Head of Products

• Atos Euronext Market Solutions, Nick Thornton, Head

of Sales

• XETRA / DBAG, Gerhard Lessmann, Member of

Deutsche Boerse Executive Board

• Computershare, Peter Jessup, Managing Director,

Markets Technology

MIT Session - Protocols for Negotiating ComplexContracts• Mark Klein, Principal Research Scientist, MIT Center

for Coordination Science

MIT Session - IT Risk, Business Consequences• George Westerman, Research Scientist, Center for

Information Systems Research (CISR)

MIT Session - IT Leadership, Capabilities andFinancial Performance• George Westerman, Research Scientist, Center for

Information Systems Research (CISR)

MIT Session - Quantum Computing• Seth Lloyd, Professor of Mechanical Engineering, MIT

Department of Mechanical Engineering

MIT Session - World Wide Web Consortium• Daniel Weitzner, Director of the World Wide Web

Consortium’s Technology and Society activities

MIT Session - MIT Media Lab• Daniel J. Greenwood, Lecturer, MIT Media Lab

Survey: 2004 Exchanges’Cost and Revenue

3 2

The World Federation of Exchanges’ annual member

Cost and Revenue Survey, begun in 1991, provides

an overview of member expenses and revenues while

analyzing data to discover larger trends. Information is

collected and organized according to exchange legal

status, geography, and size. Comparison of 2004 to 2003

data exhibits effects of changes in the economic, legal,

and accounting context in which the exchanges operate.

Unlike both demutualized exchanges and listed

exchanges, not all member-owned exchanges are run

for profit. Consequently, review of WFE member data

necessitates first, a breakdown by exchange legal

status. Overall, this annual report analyzes data in three

ways: by legal status, geographic region, and 10 largest

exchanges versus all others.

Some key observations that are included in the report:

Member exchanges financial highlights and market indicators (1999 – 2004)

1999-2004 Financial highlights (USD bn)

99 2000 2001 2002 2003 2004 2003-2004ange1999-2004 Equity market indicators (USD bn)

1999 2000 2001 2002 2003 2004 2003-2004% change

Revenues 6.33 7.58 7.29 8.29 9.57 10.45 9.2%

Costs 4.40 5.58 5.75 6.60 7.82 8.10 3.6%

Net income 1.95 2.00 1.59 1.75 1.46 1.87 27.9%

Equity base 6.85 8.28 11.77 13.49 16.75 17.70 5.7%

1999 2000 2001 2002 2003 2004 2003-2004% change

Market capitalization 35 080 31 125 26 905 22 834 31 326 37 168 18.7%

Share trading volume 38 030 52 362 38 314 33 117 32 968 42 122 27.8%

Share index performance (WFE global average) 36% -13% -19% -18% 38% 15% –

2004 Cost and revenue main findings

More than 50% of members are demutualized or listed

With 13 WFE members each, demutualized and publicly

listed exchanges represented the largest legal groups in

2004

Association/Mutual9

Other 6

Private/Ltd8

Demutualized 13Listed 13

Legal status of WFE exchanges in 2004


69% of members are for-profit enterprises

Revenues were up 9.2% at USD 10.45 bn, net income was up 27.9% at USD 1.87 bn

The 9% increase in revenues in 2004 was due to the

good performance of all the various contributors to top

line growth: +14% in listing revenues, +10% in services

revenues, +9% in trading revenues, and +3% in financial

income.

In terms of geographical origin, the EMEA region con-

tributes around half the revenues and costs of all mem-

bers. This is not surprising, as six out of the ten largest

exchanges by revenues are European.

The average industry ROE was 10.5%

Listed exchanges tended to outperform industry averages.

Exchanges located in the EMEA region tended to

outperform industry averages.

Revenues derived largely from trading (42% of total revenues) and services (40%)

Trading revenues are still the most important contributor

to the top line (42% of the total) and have been a stable

source over the last six years (42% in 1999). However, the

services share has grown from 28% to 40% during the

period. Listing revenues were up 14% in 2004 compared

to 2003, but their share in total revenues decreased from

21% to 13% between 1999 and 2004.

Not for-profitFor-Profit

Americas EMEA Asia/Pacific

90%

100%

80%

70%

60%

50%

40%

30%

20%

10%

0%

For-profit, not for profit exchanges by region in 2004

20042003

16%

0%

2%

4%

6%

8%

10%

12%

14%

Priva

te/L

td

Demu

tualize

d

Liste

d

Asso

c.

Othe

r

Tota

l

Return on Equity (ROE)

Americas EMEA Asia/Pacific

14%

2%

4%

6%

8%

10%

6,7%

13,2%

9,2%

10,5%

12%

0%TOTAL

2004 average ROE by region

Asia/Pacific20%

EMEA52%

Americas28%

2004 Revenues breakdown by region

Survey: 2004 Exchanges’Cost and Revenue (continued)

3 4

Trading revenues from cash equity markets are still dominant (52%), but revenues from derivatives (43%) are gaining share

Revenues from the cash equity markets were still domi-

nant and represented 52% of all trading top line contri-

butions at USD 1.8 billion. Those revenues increased by

5% from 2003 to 2004, whereas the contributions from

derivatives increased by 12%, and bonds by 18%.

The share of cash equity revenues declined slightly, as

they stood at 58 % in 2002, the year in which Federation

members began to provide this statistic. By contrast,

derivatives revenues represented 33% of the total in

2002 and grew to 43% of the total over the just two-

year period ending in 2004, at USD 1.5 billion.

Trading revenues from bonds remained marginal (2% of

the total).

On services

Though it is difficult to outline long-term trends due to

the change of parameters from members, clearing and IT

revenues have been increasing, whereas market data

revenues have decreased in percentage terms since

1995. Looking back at historical figures, clearing

revenues were stable around 18% from 1995 until 2002,

market data 40% in 1995 and 48% in 1999, and IT sales

14% and 12% in 1995 and 1999.

On Costs

Total costs were up 4% in 2004. Salaries and benefits are

still the main portion of costs, representing 37% of the

total. Administration, which includes offices, premises,

and related expenses, represent 24%. IT costs and

depreciation and amortization both account for 14% of

the total.

Services40%

Financial income5%

Listing13%

Trading42%

2004 Revenues breakdown

22%36%

35% 3%

4%

Clearing SettlementMarket data

IT salesAfter-trade services

2004 Services revenues breakdown

14%3% 8%

37%

14%

24%

Depreciation & amortization Salaries and benefitsInformation Technology

Fixed costsCost of regulation

Administration

2004 Costs breakdown

Derivatives 1 52443% Other 102

3%

Cash equity 1 87052%

Bonds 732%

2004 trading revenues breakdown by : - product (USD millions)

- percentage of their contribution

For a copy of the full report, please contact the WFE Secretariat or visit our website http://www.world-exchanges.org


On behalf of IOMA/IOCA, WFE conducted this survey

with the assistance of Stephen Wells. Excerpts follow.

The year 2004 saw continued growth in derivative

volumes. The historic record of 7.9 billion contracts of

2003 was again topped, and volumes of 8.9 billion

contracts in 2004, 3.2 billion of futures, and 5.4 billion

of options, were recorded.

This represents a near doubling of contract volumes

since 2001, and continued strong growth in the inter-

vening years.

However, the rate of growth has slowed in 2004 for

futures, and more sharply so for options. Overall growth

in 2004 declined to 9% from 31% in 2003, and growth in

options continued to slow, with a mere 5% in 2004

noted.

Furthermore, it is worth noting the impact of the Korean

exchanges on the options figures. The Korean market

saw falls in index options volumes (from extremely high

levels) in 2004; and because of the relative size of this

market, this dominated the changes in the total picture

for the industry. If the Korean market is excluded from

the figures, then the pattern for options is the more

familiar one of continued acceleration in growth.

Futures, however, still showed a slowing of growth rates

in 2004 for the first time in several years.

Survey: 2004 IOMA Derivatives Market

2004 Worldwide Derivatives Volume

2004 Derivatives Volume Growth Rate %

2004 Derivatives Volume Growth Rate %(Excluding the Korean market)

2004

Futures Options Total

9 000

10 000

8 000

7 000

6 000

5 000

4 000

3 000

2 000

1 000

0

2003 2002 2001

Million contracts

2004 Derivatives Volume Growth

3 228

5 447

Options Futures

Million contracts

% change

2004/03

Futures Options Total0

2002/03 2001/02

5

10

15

20

25

30

2004/03

Futures Options Total

45

50

40

35

30

25

20

15

10

5

0

2002/03 2001/02

% change

Survey: 2004 IOMA Derivatives Market (continued)

3 6

Exchange and product trends

Key findings of the report

Derivative volumes continued to grow, but at a slower

rate than in recent years. Year-on-year growth in 2004

was 9%, compared to 31% in 2003. However, just as the

Korean market was the driver of growth of aggregate

volumes in 2003, so its slowdown in 2004 led to the

statistical effect of significant total slowing. Other

exchanges saw a 21% increase in total contract

volumes, only slightly down on growth in 2003. The

small slowing of the growth rate in 2004 for exchanges

outside Korea reflected an accelerating growth in

options, and a slight slowdown in the growth in futures.

Equity products saw:

• Accelerating growth in stock options - 28% growth, up

from 15% in 2003. Among the larger exchanges, there

were a number of significant volume increases: ISE

(45%), BOVESPA (33%) and CBOE (30%). Volumes at

Euronext recovered after a fall in 2003.

• Steady growth in index options (excluding the Korean

exchanges, which saw a fall in their very large index

option volumes). Among the larger exchanges, sub-

stantial increases were recorded at Taifex (102%), ISE

(71%), Philadelphia (28%) and Tel Aviv Stock

Exchange (26%). In Europe, Borsa Italiana, BME

Spanish Exchanges, and Euronext recorded declines.

• Marked slowing of growth of index futures -10%

growth, down from 29% in 2003 and 59% in 2002.

The two largest exchanges in index futures, CME and

Eurex, which jointly account for 60% of global volumes,

both saw only single digit percentage increases in 2004.

• Marked slowing of growth of stock futures despite

rapid (but slower than 2003) growth in NSE India

(72%) and RTS (23%). Two other exchanges witnessed

big increases – Euronext (92%) and JSE (93%).

Interest rate products saw:

• Unchanged volume growth in STIR options and

futures; futures make up the bulk of interest rate

derivative volumes. STIR futures rose 29%, the same

as 2003, but faster than the 20% in 2002. The STIR

product market is dominated by two exchanges, CME

and Euronext. CME had a 43% volume increase in

STIR futures, and Euronext a 19% increase. MexDer,

which in volume terms is roughly equal to Euronext,

registered a 16% increase.

• This year showed a marked slowing of growth in LTIR

derivatives. Growth fell to 13% from 26% in LTIR

futures, and to 20% from 33% in LTIR options. Like

STIR products, LTIR products are dominated by two

exchanges, Eurex and CBOT, which together represent

93% of LTIR futures volumes, and 98% of LTIR options

volumes. Eurex registered slow growth of 2% in

futures and 4% in options. CBOT showed faster

growth, 33% in both options and futures.

Last year, currency and commodity products saw:

• Slowing growth of commodity futures volumes,

returning to the 2002 level of 14% growth after 21% in

2003. Commodity options growth accelerated to 19%;

commodity option volumes are about 1/6 the level of

commodity futures volumes. The US exchanges,

CBOT, NYMEX and NYBOT, saw contract volume

increases of 13%, 24% and 26%, respectively. LME

recorded a small decline in volumes.

• Accelerating growth of currency futures, rising by 48%

in 2004 after a 33% increase in 2003. The two largest

exchanges, CME and BM&F, which accounted for 84%

of global currency futures volumes, both saw increases

– 53% and 34%, respectively. Options volumes contin-

ued to decline, but at a slower rate than in 2003,

which came after a very big 52% increase in 2002.

By and large, this reflected the decline in volumes in

Tel Aviv Stock Exchange, which is the largest

exchange for currency option volumes anywhere.

Equity

0

2 000

1 000

3 000

4 000

5 000

6 000 500

7 000

Currency and commodity

Interest rate

2001 2002 2003 2004

400

300

200

100

0

600

Eq

uity

and

inte

rest

rat

e

Cur

renc

y an

d c

om

mo

dity

Contracts by product group(million contracts)


The results raise three questions for the future:

1. What are the next growth products?

If the slower overall growth rate, coupled with slow-

downs in some key product areas, most notably index

futures, are pointers to the future, then which new

products will take the industry forward ? Stock futures

have been successful in some markets, but 2004

figures suggest that, notwithstanding their newness,

their potential to drive markets forward may be limited.

2. Are derivative volumes dependent upon

volumes in underlying markets?

From 2001 to 2003, it looked possible that equity deriv-

ative volumes were on a growth trajectory that was

independent of volumes traded on equity cash markets.

This is entirely consistent in the medium term, as it is

possible that investors are still adjusting their portfo-

lios to the relatively new derivatives segments.

However, as the graph below shows, the renewed

growth of volumes in cash equity markets, and the

slowing growth of some key equity derivative products,

suggests that the relationship between cash and deriv-

ative volumes may be reverting to a more traditional

pattern linking their trajectories.

3. Will business be increasingly concentrated on a

few exchanges?

We have mentioned the concentration of business in a

few exchanges for some products, but this is a feature

of all derivative products. The graph below shows the

share of contract volumes held by the top several

exchanges in 2004 by product category.

Interest rate, currency and commodity products are

already highly concentrated, in this case with five

exchanges accounting for practically all the activity.

Equity products show more diversity – no doubt reflect-

ing the fact that the equities of one country, unlike

bonds, commodities and currencies, are not perfect

substitutes for each other. But even in equity products,

the top five exchanges represent 70 to 90% of the glob-

al total. Surprisingly, despite the involvement of new

exchanges into new products, this picture has changed

rather little between 2001 and 2004.

Global derivs

Global derivs (Excluding the Korean market)

1995

1996

0

200

400

600

800

1 000

1 200

1997

1998

1999

2000

2001

2002

2003

2004

Global cash equity

Global equity - cash and derivatives 1995-2004(1995=100)

80% 100%60%40%20%0%

Stock options

Index optionsStock futures

Index futures

STIR options

LTIR optionsSTIR futures

LTIR futures

Currency options

Commodity optionsCurrency futures

Commodity futures

2004 2003

Share of total volume of top 5 exchanges

For a copy of the full report, please contact the WFE Secretariat or visit our website http://www.world-exchanges.org

Publications

3 8

World Federation of Exchanges Annual Reports

Earlier annual reports are available on request

Market Information

• WFE Market Principles

• Market holidays of members and other markets

• Market information on members and other markets

Studies – Federation Surveys and External Analysis

• Regulation of Markets Survey – January 2005

• Equity derivatives and cash equity trading 1995-2003 – December 2004

• Cost & Revenue Survey 2004, and earlier years available on request

• The Significance of the Exchange Industry – 5th edition, July 2004

• Disclosure Survey 2003

• Trading Survey – March 2003

• Property of Information in the Networked Economy – October 2002

• Price Discovery and the Competitiveness of Trading Systems – 2000

• Value Chain in Financial Markets – 2000

Statistics

WFE market data since 1991 are posted on the Federation website

and available on request

• 2005 IOMA Derivative Market Survey

Workshop reports

• Executive Briefing on Exchange Technology, MIT – November 2005

• Forum for Developing Markets – May 2005

• Corporate Communications and Investor Relations – November 2004

• Financial Management of Exchanges – September 2004

• Surveillance Workshop – April 2002

• Data Management and Vending – September 2001

Focus

• “Focus”, the Federation’s monthly news and statistical review

The entire series since 1991 is available on request


INTERNATIONAL OPTIONS MARKETS ASSOCIATION /

INTERNATIONAL OPTIONS CLEARING ASSOCIATION

IOMA is an association of options markets and clearinghouses from around the world. It includes most of the major

exchanges trading options on equities, equity indexes, debt instruments, currencies and commodities. The International

Options Clearing Association (IOCA) is a section within IOMA that consists of the clearinghouses who are members of

IOMA.

IOMA has no permanent staff. However, the World Federation of Exchanges acts as the Secretariat for IOMA, conducts

an annual survey of options markets, and maintains a directory of IOMA members. Between annual meetings, an

Executive Committee consisting of five members governs the association.

Membership in IOMA is open to officially recognized exchanges or clearinghouses that are actively involved in the

trading and clearing of options contracts, including options on futures. New members are elected as part of the annual

meeting.

Membership in IOMA is automatically included for those exchanges that are members of the WFE. Exchanges which are

not WFE members, but were members of IOMA prior to the affiliation with WFE, became WFE affiliates.

The current President is Colin Scully of the Australian Stock Exchange.

The members of IOMA / IOCA are:

IOMA/IOCA

• American Stock Exchange

• Athens Derivatives Exchanges, S.A.

• Australian Stock Exchange

• Bolsa de Valores do São Paulo

• Borsa Italiana SpA

• Bourse de Montréal

• Bursa Malaysia Derivatives

• Bursa Malaysia Derivatives Clearing Berhad

• Canadian Derivatives Clearing Corp.

• Chicago Board of Trade

• Chicago Board Options Exchange

• Chicago Mercantile Exchange

• China Zhengzhou Commodity Exchange

• Eurex Frankfurt AG

• Eurex Zürich AG

• Euronext Amsterdam

• Euronext Brussels

• Euronext Paris

• Euronext.liffe

• Hong Kong Exchanges and Clearing

• ICE Futures

• International Securities Exchange

• Korea Exchange

• LCH.Clearnet Limited

• LCH.Clearnet SA

• London Metal Exchange Ltd.

• MEFF

• MEFF Financial Futures and Options Exchange

• Mercado Mexicano de Derivados (MEXDER)

• New York Board of Trade

• New York Mercantile Exchange

• NOS Clearing ASA

• OM London Exchange Limited

• OMX

• OMX Copenhagen Stock Exchange

• OMX Stockholm Stock Exchange

• Osaka Securities Exchange

• Oslo Børs

• Pacific Exchange

• Philadelphia Stock Exchange

• Shenzhen Stock Exchange

• Singapore Exchange

• Sydney Futures Exchange

• Taiwan Futures Exchange (TAIFEX)

• Tel-Aviv Stock Exchange

• Thailand Futures Exchange

• The Clearing Corporation

• The Options Clearing Corporation, Inc.

• Tokyo Stock Exchange

• Wiener Börse AG

Affiliates and Correspondents

4 0

AFFILIATES

A ffiliates are candidates for membership, entitled to

attend the annual meeting, and since October 2002

the IOMA/IOCA group.

• Amman Stock Exchange

• Bourse de Casablanca

• Chicago Board of Trade

• Chicago Mercantile Exchange

• China Zhengzhou Commodity Exchange

• The Clearing Corporation

• ICE Futures

• Iceland Stock Exchange

• International Securities Exchange

• Karachi Stock Exchange Ltd

• LCH.Clearnet Limited

• London Metal Exchange Ltd.

• New York Board of Trade

• New York Mercantile Exchange

• The Nigerian Stock Exchange

• NOS Clearing ASA

• The Options Clearing Corporation, Inc.

• Pacific Exchange

• Philadelphia Stock Exchange

• Sydney Futures Exchange

• Taiwan Futures Exchange

CORRESPONDENTS

Correspondents are newer markets in both wealthy

and emerging economies. They receive all WFE

documents and can attend workshops.

• Abu Dhabi Securities Market

• Bahrain Stock Exchange

• Baku Interbank Currency Exchange

• Beirut Stock Exchange

• Belgrade Stock Exchange

• Bolsa de Comercio de Rosario

• Bolsa de Valores de Panama S.A.

• Bolsa Nacional de Valores, S.A.

• Bourse Régionale des Valeurs Mobilières S.A.

• Bratislava Stock Exchange

• Bucharest Stock Exchange

• Bulgarian Stock Exchange

• Cayman Islands Stock Exchange

• Channel Islands Stock Exchange, LBG

• Chittagong Stock Exchange Ltd.

• Ghana Stock Exchange

• GreTai Securities Market

• Kazakhstan Stock Exchange

• Kuwait Stock Exchange

• Lusaka Stock Exchange Ltd

• Moscow Interbank Currency Exchange

• Muscat Securities Market

• Nairobi Stock Exchange Ltd

• Namibian Stock Exchange

• Palestine Securities Exchange, Ltd.

• PFTS First Securities Trading System

• Port Moresby Stock Exchange Ltd.

• Prague Stock Exchange

• "Russian Trading System" Stock Exchange

• Surabaya Stock Exchange

• Swaziland Stock Exchange

• Tadawul - Saudi Arabian Monetary Agency

• The Zagreb Stock Exchange

• Virt-x Exchange Limited

Mr. William Foster, Chief Development Officer, Abu Dhabi Securities Market,addressing the Forum for Developing Markets, Beijing, June 2005


The World Federation of Exchanges maintains

working relations with public policy and private

sector professional bodies of importance to the capital

markets. In 2005, this representation of the member

exchanges’ business interests was keyed to:

Global policy making forums

IOSCO (International Organisation of SecuritiesCommissions)

Regular exchanges of information are organized

between the WFE Board of Directors and IOSCO’s

Technical Committee, and the two secretariats. The

focus of discussion remained market structure issues,

fairness, and the economic trade-off between the

burdens of increasing regulation in recent years, and

the benefits accrued to users of public markets over

that period.

OECD (Organisation of Economic Cooperation andDevelopment)

WFE shares with the OECD its ongoing work on

business standards, the Federation’s membership crite-

ria. Also, the Secretariat has offered its comments and

made suggestions on OECD documentation in this field.

In addition, the OECD’s leaders speak regularly at WFE

events. The OECD’s Director for Financial, Fiscal and

Enterprise Affairs addressed delegates in June 2005 at

the WFE Forum on Developing Exchanges in Beijing.

Such interaction enables OECD leaders to interact with

managers of exchanges, to the benefit of all parties.

IFAC (International Federation of Accountants)

WFE represents exchanges on the International

Federation of Accountants’ external advisory group. The

group’s purpose is to express the viewpoint of users of

financial reporting on the standards being developed

for audit and assurance work. The review work can

become very detailed, as the interaction between audi-

tors and corporations is evolving in today’s business

environment. The goal pursued by WFE and IFAC is

better financial reporting for the users of capital markets.

IBA (International Bar Association)

In 2005, WFE focused on interacting with the Capital

Markets Forum of the IBA. WFE materials on regulatory

issues have been circulated within the legal community,

as a matter of public information on business issues

specific to the regulated financial exchanges industry.

United Nations Global Compact

Founded by the U.N. in 2000, the Global Compact is a

voluntary international corporate citizenship network

initiated to support the participation of both the private

sector and other social actors in order to advance

responsible corporate citizenship and universal social

and environmental principles to meet the challenges of

globalization. The interests of capital markets actors

are involved in this Forum.

XBRL International

XBRL stands for eXtensible Business Reporting

Language. XBRL is a language for the electronic com-

munication of business and financial data. XBRL is

being developed by an international non-profit consor-

tium of approximately 400 major companies, organisa-

tions and government agencies. It is an open standard,

free of licence fees. At the invitation of XBRL, WFE will

assume the chairmanship of the Advisory Board now

being constituted.

Regional exchange federations

As a matter of efficiency in the task of promoting finan-

cial exchanges, WFE shares its materials with regional

exchange federations. Several of these have been

founded over the years to suit business purposes spe-

cific to certain parts of the world. The following texts

introduce them briefly.

AOSEF (Asian and Oceanian Stock ExchangesFederation)

The Asian and Oceanian Stock Exchanges Federation

currently comprises 15 stock exchanges. It originated in

1982 as an informal organization called the East Asian

Stock Exchanges Conference. Its objectives were to

promote friendship and to facilitate an information

dialogue among member exchanges.

Facilitating communications among member exchanges

and the management of day-to-day AOSEF affairs is

the responsibility of the standing Secretariat. The

Representation of the Exchange Industry

Representation of the Exchange Industry (continued)

4 2

services of the Secretariat have been provided by the

Tokyo Stock Exchange since the beginning.

The 2005 General Assembly was held in Busan. The key

reports given were on “Membership Issue” and

“Harmonization & Coordination”.

FEAS (Federation of Euro-Asian Stock Exchanges)

FEAS was established in May 1995, and currently there

are 31 members and 7 affiliate members. Membership

in the Federation is open to stock exchanges in Europe

and Asia.

The mission of FEAS is to create fair, efficient and trans-

parent market environments, with little or no barriers to

trade, between the FEAS members and in their operat-

ing regions. Harmonization of rules and regulations and

adoption of new technology for trading and settlement

by member securities markets will facilitate the objec-

tives of FEAS by promoting the development of the

member markets and providing cross-border trading

opportunities for securities issued within FEAS member

countries.

The founding members selected Istanbul as the head-

quarters for the Federation's Secretariat.

FESE (Federation of European SecuritiesExchanges)

The foremost aim of the Federation is to represent and

promote the common interests of securities exchanges

in Europe.

The Federation seeks to inform the decision-making

process at European level, and to influence European

policies and legislative proposals, thus contributing to

the attainment of the aims enshrined in the Treaties of

the European Union in the field of securities and finan-

cial markets.

The Federation promotes the enhancement of securities

markets in Europe by fostering co-operation in the

areas of primary markets, trading, clearing, settlement

and deposit of securities.

FIAB (Federation of Ibero-American Exchanges)

The 19 exchange members of FIAB cover the Spanish and

Portuguese speaking jurisdictions. The FIAB mission is to :

• Foster cooperation among its members, in order to

promote the development and advancement of their

securities markets, in the best interests of all market

participants;

• Cooperate with national and international entities

having legislative, regulatory, or other functions in

respect of financial and securities markets with a

view to ensuring homogeneous standards and

regulations as to securities issuance, circulation,

distribution, and registration; trading; issuers;

brokers; securities markets; securities depositories

and custodians; as well as in connection with any

fiscal and other issues deemed to be relevant to

market development;

• Promote integration of the Federation's stock mar-

kets, stimulating inter-activity among market partic-

ipants as well as the free circulation, within their

respective jurisdictions, of securities issued in any

of its members' home countries;

• Encourage the establishment of rules and proce-

dures ensuring solvency, competence, legitimacy,

and fair information disclosure to all savers invest-

ing through Member Exchanges.

SAFE (South Asian Federation of Exchanges)

SAFE has 11 members in the Indian Ocean region. It is a

forum launched by bourses to promote the develop-

ment of securities markets in the area. The inception of

SAFE marked an important milestone in the march of

South Asian capital markets towards regional and

global integration.

The imperatives of globalization necessitate increasing

interdependence among nations in terms of business,

politics and cross-cultural activities. The members of

SAFE have agreed to work towards common standards,

including international accounting standards and best

business practices in capital markets. SAFE will repre-

sent its members in related international forums,

encourage cross-border listing, co-operate in human

resource development, facilitate technology transfer

among members, and address other issues of common

interest.

Finally, the African Stock Exchange Federation consti-

tutes an informal, useful network of contacts in that

region, too.


1. Domestic equity market capitalization

Top 10 domestic equity market capitalizations at year-end 2005 and 2004

Exchange USD bn USD bnend-2005 end-2004

1 NYSE 13 311 12 708

2 Tokyo Stock Exchange 4 572 3 557

3 Nasdaq Stock Market 3 604 3 533

4 London Stock Exchange 3 058 2 865

5 Euronext 2 707 2 441

6 TSX Group 1 482 1 178

7 Deutsche Börse 1 221 1 195

8 Hong Kong Exchanges 1 055 861

9 BME Spanish Exchanges 960 941

10 SWX Swiss Exchange 935 826

Recent evolution of domestic equity market capitalization by time zones in USD

2005 Market Highlights

WFE membership has increased somewhat over the period, but not enough to modify the trend lines too significantly. The changes have amounted to afew percentage points out of the total.

I n f o r m a t i o n n o t e :

USD bn

17 963

16 450

14 852

11 931

6 465

7 775

3 968

9 588

4 918

10 238

6 804

4 437

15 656

18 206

19 458

12 206

11 1339 1329 310

7 524

6 538

WFE total(USD bn) 26 595 22 83330 95635 005 31 326 36 863 40 974

Americas

2 000

0

Asia - Pacific Europe - Africa - Middle East

4 000

6 000

8 000

10 000

12 000

14 000

16 000

18 000

20 000

1999 2000 2001 2002 2003 2004 2005

0 20 30 50 70 9010 40 60 80 100 110%

0 20 30 50 70 9010 40 60 80 100 110%

Irish SE

Borsa Italiana

BME Spanish Exchanges

Nasdaq

Deutsche Börse

Luxembourg SE

Australian SE

American SE

NYSE

London SE

Thailand SE

Taiwan SE Corp.

OMX

Mauritius SE

Euronext

Jakarta SE

Swiss Exchange

Bermuda SE

Budapest SE

Santiago SE

Buenos Aires SE

Singapore Exchange

Athens Exchange

Hong Kong Exchanges

JSE

TSX Group

Tokyo SE

Osaka SE

Warsaw SE

Lima SE

Oslo Børs

Cyprus SE

Tel Aviv SE

Mexican Exchange

Philippine SE

NSE India

Bombay SE

Sao Paulo SE

Wiener Börse

Malta SE

Colombo SE

Istanbul SE

Korea Exchange

Colombia SE

Cairo & Alexandria SEs

2005 Market Highlights (continued)

4 4

2005 Gains in domestic market capitalization (comparison of December 2005 with December 2004)

(in USD)

Bursa Malaysia, Ljubljana Stock Exchange, New Zealand Exchange, Shanghai Stock Exchange, Shenzhen Stock Exchange and Stock Exchange of Tehranregistered lower total market capitalization figures at year-end 2005.



2. Share trading value

Top 10 exchanges by total value of share trading in 2005 and 2004

Exchange USD bn USD bn2005 2004

1 NYSE 14 125 11 618

2 Nasdaq Stock Market 10 087 8 767

3 London Stock Exchange 5 678 5 169

4 Tokyo Stock Exchange 4 482 3 218

5 Euronext 2 906 2 472

6 Deutsche Börse 1 915 1 541

7 BME Spanish Exchanges 1 566 1 203

8 Borsa Italiana 1 294 969

9 Korea Exchange 1 207 625

10 SWX Swiss Exchange 974 792

Value of share trading in USD

34 070

20 475

8 394

4 2054 991

17 430

23 253

14 450

4 131 4 1194 905

6 890

13 580

21 797

25 980

16 240

8 83210 164

18 262

9 884

19 112

35 000

40 000

30 000

25 000

20 000

15 000

10000

5 000

0

USD bn

WFE total(USD bn) 41 834 33 11556 49133 074 33 331 42 267 51 052

1999 2000 2001 2002 2003 2004 2005

0 10 20 30 40 50 60 70 80 90 100 110 120 130 140 150%

0 10 20 30 40 50 60 70 80 90 100 110 120 130 140 150%

American SE

Bermuda SE

Hong Kong Exchanges

Singapore Exchange

London SE

Nasdaq

Euronext

OMX

NSE India

NYSE

New Zealand Exchange

Swiss Exchange

Deutsche Börse

Mexican Exchange

JSE

Australian SE


Borsa Italiana

Bombay SE

Istanbul SE

TSX Group

Tokyo SE

Buenos Aires SE

Athens Exchange

Tel Aviv SE

Irish SE

Jakarta SE

Mauritius SE

Santiago SE

Sao Paulo SE

Malta SE

Osaka SE

Cyprus SE

Lima SE

Oslo Børs

Budapest SE

Warsaw SE

Philippine SE

Colombo SE

Wiener Börse

Korea Exchange


Colombia SE 302,9%352,9%


4 6

2005 Gains in value of share trading (comparison of the period January - December 2005 with the same period in 2004)

(in USD)

Bursa Malaysia, Ljubljana Stock Exchange, Luxembourg Stock Exchange, Shanghai Stock Exchange, Shenzhen Stock Exchange, Stock Exchange of Tehran,Stock Exchange of Thailand and Taiwan Stock Exchange Corp., did not register increases.



3. Broad equity market index performances among WFE members

Top 10 performing broad market indexes last year, in local currency terms

Exchange % Change2005 / 2004

1. Cairo & Alexandria Stock Exchanges 146.3%

2. Colombia Stock Exchange 118.9%

3. Cyprus Stock Exchange 68.4%

4. Malta Stock Exchange 63.4%

5. Istanbul Stock Exchange 59.3%

6. Korea Exchange 54.0%

7. Osaka Securities Exchange 50.6%

8. Tokyo Stock Exchange 43.5%

9. JSE 43.0%

10. Wiener Börse 42.7%

Top 5 performing broad market indexes last year, in local currency terms by time zones

Americas % Change2005 / 2004


2. Mexican Exchange 37.8%

3. Lima Stock Exchange 29.4%

4. Sao Paulo Stock Exchange 27.7%

5. American Stock Exchange 22.6%

Asia / Pacific % Change2005 / 2004

1. Korea Exchange 54.0%

2. Osaka Securities Exchange 50.6%

3. Tokyo Stock Exchange 43.5%

4. Bombay Stock Exchange 42.3%

5. NSE India 36.3%

Europe/Africa/ % ChangeMiddle East 2005 / 2004


2. Cyprus Stock Exchange 68.4%

3. Malta Stock Exchange 63.4%

4. Istanbul Stock Exchange 59.3%

5. JSE 43.0%

Index performance gains by time zones

WFE member exchange broad equity market indexes, weighted by market capitalization, gained 16% on average

in local currency in 2005 compared to 2004, and 10% on average in US dollar terms.

Time zone Average performance Average performancein 2005 in 2005

in local currency in USD

Americas 7.6% 8.2%

Asia-Pacific 27.2% 17.3%

Europe/Africa/Middle East 23.6% 8.1%

WFE Average 16.0% 10.0%

NasdaqSantiago SE

Taiwan SE Corp.Thailand SE

NYSEHong Kong Exchanges

New Zealand ExchangeBME Spanish Exchanges Barcelona

Mauritius SESingapore Exchange

Borsa ItalianaPhilippine SE

Jakarta SEAustralian SE

Euronext LisbonBME Spanish Exchanges Bilbao

London SEIrish SE

BME Spanish Exchanges MadridBermuda SE

BME Spanish Exchanges ValenciaBuenos Aires SE

TSX GroupAmerican SE

Euronext BrusselsDeutsche BörseEuronext Paris

Euronext AmsterdamColombo SE

Sao Paulo SELuxembourg SE

Lima SEOMX Helsinki SE

Athens ExchangeOMX Stockholm SE

Tel Aviv SEWarsaw SE

Oslo BørsSwiss Exchange

NSE IndiaMexican Exchange

OMX Copenhagen SEBudapest SE

Bombay SEWiener Börse

JSETokyo SEOsaka SE

OMX Vilnius SEKorea Exchange

Istanbul SEMalta SE

Cyprus SEColombia SE


0 10 20 30 40 50 60 70 80 90 100 110 120 130 140 150%

0 10 20 30 40 50 60 70 80 90 100 110 120 130 140 150%


4 8

2005 Gains in broad market indexes(comparison of December 2005 with December 2004)

(in local currency terms)

Bursa Malaysia, Ljubljana Stock Exchange, Shanghai Stock Exchange, Shenzhen Stock Exchange and Stock Exchange of Tehran did not have positivebroad index performances last year.


Thailand SENasdaq

Euronext LisbonBME Spanish Exchanges Bilbao

New Zealand ExchangeTaiwan SE Corp.

Irish SEMauritius SE

BME Spanish Exchanges MadridBME Spanish Exchanges Valencia

London SENYSE

Hong Kong ExchangesDeutsche Börse

Euronext BrusselsEuronext ParisAustralian SE

Euronext AmsterdamJakarta SE

Singapore ExchangeLuxembourg SE

Santiago SEOMX Helsinki SE

Athens ExchangeOMX Stockholm SE

Swiss ExchangeBudapest SE

Buenos Aires SEOslo Børs

OMX Copenhagen SEBermuda SE

Philippine SEAmerican SE

Warsaw SELima SE

Wiener BörseTel Aviv SE

Tokyo SETSX Group

JSEColombo SE

Osaka SENSE India

OMX Vilnius SEBombay SE

Malta SEMexican Exchange

Sao Paulo SECyprus SE

Korea ExchangeIstanbul SE

Colombia SECairo & Alexandria SEs

0 20 40 60 80 100 120 140 160 180%

0 20 40 60 80 100 120 140 160 180%


2005 Gains in broad market indexes(comparison of December 2005 with December 2004)

(in USD terms)

BME Spanish Exchanges Barcelona, Borsa Italiana, Bursa Malaysia, Ljubljana Stock Exchange, Shanghai Stock Exchange, Shenzhen Stock Exchange andStock Exchange of Tehran did not have positive broad index performances expressed in USD last year.



5 0

4. Investment flows – New capital raised by shares

5. Value of bond trading

Top 10 exchanges by total value of bonds traded in 2005 in USD

Exchange USD bn

1. BME Spanish Exchanges 4 092

2. OMX 3 101

3. London Stock Exchange 3 009

4. Istanbul Stock Exchange 531

5. Colombia Stock Exchange 473

6. Deutsche Börse 381

7. Korea Exchange 355

8. Euronext 176

9. Borsa Italiana 154

10. SWX Swiss Exchange 149

USD bn

399

120

169

131

58

383

112

302

256

193

115

71

130

100

117 143

177

209

246

203

147

WFE total(USD bn) 358 306894752 347 529 596

Americas

50

0

Asia - Pacific Europe - Africa - Middle East

100

150

200

250

300

350

400

450

1999 2000 2001 2002 2003 2004 2005


Top 10 exchanges by total value of bond trading in 2005 in % change expressed in USD

Exchange % Change2005 / 2004

1. Singapore Exchange 372.0%

2. Luxembourg Stock Exchange 229.1%


4. Ljubljana Stock Exchange 159.4%

5. Bombay Stock Exchange 133.7%

6. Buenos Aires Stock Exchange 115.2%


8. Sao Paulo Stock Exchange 44.2%

9. Tel Aviv Stock Exchange 40.7%

10. TSX Group 31.2%

6. Top 5 exchanges by value of covered warrants traded in USD

Exchange USD bnin 2005

1. Deutsche Börse 170.5

2. Hong Kong Exchanges & Clearing 110.2

3. Borsa Italiana 62.2

4. SWX Swiss Exchange 25.8

5. Shanghai Stock Exchange 21.5

7. Top 5 exchanges by value of ETFs traded in USD

Exchange USD bn in 2005

1. American Stock Exchange 315.9

2. Deutsche Börse 65.0

3. New York Stock Exchange 30.0

4. Euronext 24.3

5. Tokyo Stock Exchange 23.5


5 2

8. Derivatives markets

Top 5 exchanges by number of stock options contracts traded

Exchange Number of contracts

1. International Securities Exchange 442 387 776

2. Chicago Board Options Exchange 275 646 980

3. Sao Paulo Stock Exchange 266 362 631

4. Euronext.liffe 264 714 188

5. Eurex 255 918 793

Top 5 exchanges by number of single stock futures contracts traded


1. National Stock Exchange of India 68 911 754

2. JSE 24 434 415

3. BME Spanish Exchanges 18 813 689


5. Borsa Italiana 5 957 674

Top 5 exchanges by number of stock index options contracts traded


1. Korea Exchange 2 535 201 693

2. Chicago Board Options Exchange 192 536 695

3. Eurex 149 380 569

4. Taifex 81 533 102


Top 5 exchanges by number of stock index futures contracts traded


1. Chicago Mercantile Exchange 378 748 159

2. Eurex 184 508 585


4. National Stock Exchange of India 47 375 214

5. Korea Exchange 43 952 325


2005 Largest changes in number of stock options contracts

2005 Largest changes in number of stock futures contracts

NSE India

Australian SE

Bourse de Montreal

Oslo Børs

Sao Paulo SE

Tokyo SE

Eurex

Philadelphia SE

ISE

CBOE

Borsa Italiana


Pacific SE

Hong Kong Exchanges

RTS SE

TAIFEX

MexDer

0 10 20 30 40 50 60 70 80 90 100 110 120 130 140 150%

0 10 20 30 40 50 60 70 80 90 100 110 120 130 140 150%

3 068%

Budapest SE

Australian SE

Eurex

SFE Corp.

OMX

MexDer

Athens Derivatives Exchange


NSE India

Warsaw SE

JSE

Wiener Börse

Borsa Italiana

0 10 20 30 40 50 60 70 80 90 110 130 150 170 190 210 230 250%

0 10 20 30 40 50 60 70 80 90 110 130 150 170 190 210 230 250%


5 4

2005 Largest changes in number of stock index options contracts

0 20 40 60 80 100 120 140 160 180 200 220 240 260 280 300%

0 20 40 60 80 100 120 140 160 180 200 220 240 260 280 300%

5 255%

Korea Exchange

JSE

MexDer

Tokyo SE

Borsa Italiana

Philadelphia SE

American SE

NYBOT

Eurex

SFE Corp.

OMX

CBOE

Sao Paulo SE

Australian SE


Osaka SE

Hong Kong Exchanges

Tel Aviv SE

TAIFEX

CME

Warsaw SE

NSE India

ISE


Borsa Italiana

Bursa Malaysia Derivatives

Euronext.liffe


JSE

Hong Kong Exchanges

Eurex

CBOT

MexDer

Bourse de Montreal

SFE Corp.

OMX

CME

Osaka SE

Tokyo SE

Singapore Exchange

Wiener Börse

Budapest SE

Warsaw SE

Australian SE

Tel Aviv SE

NSE India

CBOE

200 40 60 80 100

5 340%

3010 50 70 90 110%

200 40 60 80 1003010 50 70 90 110%

2005 Largest changes in number of stock index futures contracts

WFE Audited Financial Statements 2005

5 6

Revenue and Expenses Year Ended December 31, 2005

(stated in thousands of euros)

2005 2004GENERAL REVENUES

Member dues 2 451 2 417Affiliate & correspondent fees 106 111

Total general revenues 2 557 2 528

OPERATING EXPENSES

Salaries & social charges 1 198 1 081Events 349 369Office costs 290 295Travel 196 133Publications 73 158Post, telephone & internet 60 52Amortization (note 4) 22 23Miscellaneous 12 8Retirement costs (note 5) 1 1

Total operating expenses (2 201) (2 120)

NET OPERATING SURPLUS 356 408

FINANCIAL INCOME

Net profit on disposal of trust funds (note 2) 145 130Other financial revenues 3 0

Total financial income 148 130

FINANCIAL CHARGES

Depreciation for foreign exchange 0 4

Total financial charges (0) (4)

NET FINANCIAL INCOME 148 126

EXCEPTIONAL INCOME

Income from sale of tangible assets 0 8

Total exceptional income 0 8

EXCEPTIONAL EXPENSES

Extraordinary costs 0 1

Total exceptional expenses 0 (1)

EXCEPTIONNAL RESULT 0 7

EXCESS OF REVENUE OVER EXPENSES 504 541


Surplus Year Ended December 31, 2005(stated in thousands of euros)

Reserve Funds OperationalReserve Total

December 31, 2004 4 364 915 5 279

Excess of revenue over expenses 504 504

December 31, 2005 4 868 915 5 783

The operational reserve was established in the early 1990s to segregate an amount of funds from operating losses. In this way, in the event of an emergency leading to the closure of the Federation, some money would still be on hand to meet any current business obligations for members, including a last GeneralAssembly, and to wind down the Secretariat by paying for the redundancy costs of personnel. These expenses would partially be covered, though actual final costs are hard to estimate beforehand.

The reserve funds are the retained operating surpluses.

Balance Sheet December 31, 2005(Stated in thousands of euros)

2005 2004ASSETSCash 2 2Bank accounts 15 80Short term investments (note 3) 6 639 6 116Receivables 7 9Prepaid expenses 8 73

CURRENT ASSETS 6 671 6 280

Net fixed assets (note 4) 26 36Loans 8 20Deposits of guarantee 25 24

LONG TERM ASSETS 59 80

TOTAL ASSETS 6 730 6 360

LIABILITIESAccrued payroll and social charges 300 260Unearned dues 0 114Accrued expenses 44 47

CURRENT LIABILITIES 344 421

PROVISIONSRetirement provision (note 5) 603 660

PROVISIONS 603 660

MEMBERS' EQUITYOperational reserve 915 915Reserve funds 4 868 4 364

MEMBERS’ EQUITY 5 783 5 279

TOTAL LIABILITIES & MEMBERS’ EQUITY 6 730 6 360

Changes In Cash ResourcesYear Ended December 31, 2005

2005 2004OPERATIONSExcess of revenue over expenses 504 541Amortization -4 -29Retirement provision -57 -35Changes in other assets and liabilities -11 72

SOURCES OF CASH 432 549

FINANCING 0 0

INVESTMENTLong term assets 26 34

INCREASE IN CASH 432 549Cash position, beginning of year 6 198 5 615

CASH POSITION, END OF YEAR 6 656 6 198

CASH POSITIONCash 2 2Bank accounts 15 80Short term investments 6 639 6 116

6 656 6 198

WFE Audited Financial Statements 2005 (continued)

5 8

Notes To Financial StatementsDecember 31, 2005

1. Governing statutes and nature of operations

The World Federation of Exchanges is a not-for-profit

organization incorporated under the provisions of the

1901 French Law on Associations. The purpose of the

Federation is to contribute to the development, support

and promotion of organized and regulated securities

and derivatives markets.

The WFE staff has gone down from eight to seven per-

sons in May 2005.

2. Accounting policies

There have been no changes in accounting policies in

the current year.

The financial statements have been prepared in accor-

dance with generally accepted accounting principles in

France, in particular the historical cost. Since 2001,

there is a difference between the French GAAP and IFRS

(IAS 39).

To realign reporting with IFRS (IAS 39), all trust funds

were sold on the last trading day of 2005 in order to re-

establish their cost base. There was no fiscal impact,

because the Federation is a tax-free association.

Depreciation

Fixed assets are depreciated over their estimated useful

lives according to the following methods and annual

rates:

Methods Rates

Office furniture Straight-line 10% or 20%

Improvements to the office Straight-line 20%

Computer equipment Straight-line 33%

Office equipment Straight-line 20% or 33%

Investments

The trust funds are stated at cost and are used to invest

cash, the retirement provision, the operational reserve

and the reserve funds. The historical cost of invest-

ments sold during the financial year is accounted for

using the first-in-first-out method (FIFO).

The Federation has switched its investment valuation

procedures since the end of 2002 to align them with

International Financial Reporting Standards (IFRS). It

has done so by selling and repurchasing the same posi-

tions on the last day of the financial year. To be fully in

conformity with IFRS, the base is now clean for the year-

on-year comparison to be shown in the December 2005

accounts as IFRS requires.

Concerning the “available-for-sale investments” accord-

ing to IFRS, the results of sales amounted to a gain of

€ 5 k and the adjustment to market value amounted to

a total gain of € 139 k.

At year-end 2005, the unit trust was invested in euro

denominated short-term money market investments.

Detailed position follows in the next Note.

3. Investments

The « BNP Cash Invest » public fund is used to invest

cash for the current year’s operating needs and all other

money in euros held by the Federation.

TRUST FUNDS Balance Potential Quantity sheet Valuation gain

(historical (quotation) or loss(Stated in thousands of euros) cost)

BNP Cash Invest 3 317 6 639 6 639 0

Short term investments

(< 1 year) 6 639 6 639 0


4. Fixed assets

Software Office Improve- Computer Office Total(Stated in thousands of euros) furniture ments equipment equipment

Cost at 31 December 2004 0 39 48 93 8 188Additions 2 3 7 12Disposals -26 -26Cost at 31 December 2005 2 42 48 74 8 174Accumulated depreciation at 31 December 2004 0 35 32 78 7 152Additions 1 1 9 10 1 22Disposals -26 -26Accumulated depreciation at 31 December 2005 1 36 41 62 8 148Net book amount at 31 December 2004 0 4 16 15 1 36Net book amount at 31 December 2005 1 6 7 12 0 26

5. Retirement provision

This provision amounts to € 603 k as of December 31,

2005 and includes 2 related items. The first is the pen-

sion commitments to a previous Secretary General, and

the second is a sum paid by the employer in the event

that current employees arrive at the age of retirement

while still on the payroll of WFE.

The pension commitments of a previous Secretary

General represent € 574 k, and have been estimated

according to her life expectancy and actuarial assump-

tions. The pension commitments of the present

employees stand at € 29 k and have been valued

according to the French Law and the agreement made

between the French stockbroking community and

employees, staff turnover, life expectancy, and actuari-

al assumptions.

6. IOMA / IOCA

With the affiliation formally established in October

2002 between WFE and the International Options

Markets Association / International Options Clearing

Association, the Federation provides secretariat

services to this closely related industry body. IOMA /

IOCA members not already belonging to WFE through

an existing exchange membership have become

affiliates.

WFE Audited Financial Statements 2005 (continued)

6 0

Statutory Auditors' ReportOn The Annual Financial Statements

For The Year Ended 31 December 2005(Free translation into English of the statutory auditors’ report issued in French)

WORLD FEDERATION OF EXCHANGES176, rue de Rivoli75001 PARIS

Ladies and gentlemen,

Following our appointment as statutory auditors by your Annual General Assembly, we hereby report to you, for the year endedDecember 31, 2005, on:

- the audit of the accompanying financial statements of the WORLD FEDERATION OF EXCHANGES,- the justification of our assessments,- the specific verifications and information required by law.

These financial statements have been approved by the Board of Directors. Our role is to express an opinion on these financialstatements based on our audit.

1. OPINION ON THE FINANCIAL STATEMENTS

We conducted our audit in accordance with professional standards applicable in France. Those standards require that we planand perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement.An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Anaudit also includes assessing the accounting principles used and significant estimates made by the management, as well asevaluating the overall financial statements presentation. We believe that our audit provides a reasonable basis for our opinion.

In our opinion, the financial statements give a true and fair view of the assets and liabilities and of the financial position of theFederation as at 31 December 2005 and of the results of its operations for the year then ended in accordance with the account-ing rules and principles applicable in France.

2. JUSTIFICATION OF OUR ASSESSMENTS

In accordance with the requirements of article L.823-9 of the French Commercial Law (Code de commerce) relating to the justification of our assessments, we inform you that the assessments carried out were relative to the appropriateness of theaccounting policies applied and the reasonableness of the significant estimates selected.

These assessments were made in the context of our audit of the financial statements taken as a whole, and therefore contributedto the opinion we formed which is expressed in the first part of this report.

3. SPECIFIC VERIFICATIONS AND INFORMATION

We have also performed the specific verifications required by law in accordance with professional standards applicable in France.We have no matters to report regarding the fair presentation and the conformity with the financial statements of the informationgiven in the management report of the Secretary General.

Paris, 8 February 2006

CONSTANTIN ASSOCIESStatutory Auditors

Dominique LAURENT

Value of Bonds Listed Number of Bond Issuers Number of Bonds Listed

Number of New Bonds Listed Total Value of Bond Trading – 2005Total Value of Bond Trading – 2004

Also on Value of Bond Trading – Electronic Order Book TradesAlso on Value of Bond Trading – Negotiated Deals

Number of Trades in Bonds Investment Flows – New Capital Raised by Bonds

6667686970717273747576777879808182838485

88899091929394959697

Table

1.11.21.31.41.51.51.51.51.51.51.61.71.71.71.81.91.91.101.111.12

Domestic Market CapitalizationMarket Capitalization of Domestic Shares Newly Listed and Delisted

Number of Listed Companies Number of Newly Listed and Delisted Companies

Total Value of Share Trading 2005 Total Value of Share Trading 2004

Also on Value of Share Trading 2005 – Electronic Order Book TradesAlso on Value of Share Trading 2004 – Electronic Order Book Trades

Also on Value of Share Trading 2005 – Negotiated DealsAlso on Value of Share Trading 2004 – Negotiated Deals

Number of Trading Days, Average Daily Turnover and Average Value of TradesTotal Number of Trades in Equity Shares, Investment Funds and Number of Shares Traded

Also on Number of Trades in Equity Shares and Investment Funds – Electronic Order Book TradesAlso on Number of Trades in Equity Shares and Investment Funds – Negotiated Deals

Turnover Velocity of Domestic Shares Market Concentration of 5% Most Capitalized and Most Traded Domestic CompaniesMarket Concentration of 10 Most Capitalized and Most Traded Domestic Companies

Investment Flows – New Capital Raised by SharesNumber of Covered Warrants Listed At Year-End, Trading Value and Total Number of Trades

Number of ETFs Listed at Year-End, Trading Value and Total Number of Trades

Table

2.12.22.32.42.52.52.52.52.62.7

Equity Markets

Fixed-Income Markets

2005 Foreign Exchange RatesStatistics Definitions and Examples

136138

Stock Options Stock Futures

Stock Index Options Stock Index Futures

Short Term Interest Rate OptionsShort Term Interest Rate FuturesLong Term Interest Rate OptionsLong Term Interest Rate Futures

Currency OptionsCurrency Futures

Commodity OptionsCommodity Futures

100101102103104104105105106106107107

Table

3.13.23.33.43.53.63.73.83.93.103.113.12

Derivative Markets

Broad Stock Market Indexes Blue Chip Indexes

Average of Price Earning Ratios, Gross Dividend Yields, Inflation Rates, Total Market Returns Market Interest Rates and Commodity Prices

Stock Markets’ Significance In The National Economy

110112114115116

Table

4.14.24.34.44.5

Indicators

Domestic Market Capitalization Number of Companies With Shares Traded

Number of Newly Listed Companies and Delistings Value of Share Trading

Also on Value of Share Trading – Electronic Order Book Trades Also on Value of Share Trading – Negotiated Deals Investment Flows – New Capital Raised by Shares

SME Stock Market Indexes

118119120121122123124125

Table

5.15.25.35.45.45.45.55.6

Small & Medium Enterprises Markets (SME)

Domestic Market Capitalization Number of Listed Companies

Number of Newly Listed Companies and DelistingsValue of Share Trading

Investment Flows – New Capital Raised by Shares Value of Bond Trading

Broad Stock Market Indexes

129130131132133134135

Table

6.16.26.36.46.56.66.7

Other Markets

Equit

y Mark

ets

EQUITY - 1.1

6 6

DOMESTIC MARKET CAPITALIZATION

1. Asia-Pacific total region excludes Osaka and NSE India to avoiddouble counting with Tokyo SE and Bombay SE respectively.Data combine the main and SMEs market capitalizations.They include common and preferred shares, and exclude investmentfunds, rights, warrants, convertibles, foreign companies. EURONEXT: Alternext market data are not included.JSE: market capitalization includes all listed companies, comprisingalso foreign companies, and exclude listed warrants, convertibles andinvestment funds.

KOREA EXCHANGE: 2004 and 2005 figures include data from Kosdaqmarket following the integration of Korea Exchange.SINGAPORE EXCHANGE: data include domestic companies, foreigncompanies with a primary listing, and foreign companies with a secondary listing but with the majority of their trading taking place onthe exchange.TSX GROUP: Toronto Exchange only.


(USD millions)

Exchange End End % change2005 2004 2005/2004

AMERICAS

American SE 86 288,0 83 018,9 3,9%Bermuda SE 2 124,8 1 852,0 14,7%Buenos Aires SE 47 590,3 40 593,8 17,2%Colombia SE 50 500,8 25 222,9 100,2%Lima SE 24 139,7 17 974,8 34,3%Mexican Exchange 239 128,0 171 940,3 39,1%Nasdaq 3 603 984,9 3 532 912,0 2,0%NYSE 13 310 591,6 12 707 578,3 4,7%Santiago SE 136 493,3 116 924,3 16,7%Sao Paulo SE 474 646,9 330 346,6 43,7%TSX Group 1 482 184,6 1 177 517,6 25,9%

Total region 19 457 672,8 18 205 881,4 6,9%

ASIA - PACIFIC

Australian SE 804 014,8 776 402,8 3,6%Bombay SE 553 073,7 386 321,1 43,2%Bursa Malaysia 180 517,5 181 623,8 -0,6%Colombo SE 5 720,0 3 657,0 56,4%Hong Kong Exchanges 1 054 999,3 861 462,9 22,5%Jakarta SE 81 428,1 73 250,6 11,2%Korea Exchange 718 010,7 389 473,4 84,4%National Stock Exchange India 515 972,5 363 276,0 42,0%New Zealand Exchange 40 592,5 43 731,3 -7,2%Osaka SE 2 969 814,6 2 287 047,8 29,9%Philippine SE 39 817,8 28 602,0 39,2%Shanghai SE 286 190,3 314 315,7 -8,9%Shenzhen SE 115 661,9 133 404,6 -13,3%Singapore Exchange 257 340,6 217 617,8 18,3%Taiwan SE Corp. 476 018,0 441 435,8 7,8%Thailand SE 123 885,0 115 390,4 7,4%Tokyo SE 4 572 901,0 3 557 674,4 28,5%

Total region1 9 310 171,3 7 524 363,6 23,7%

EUROPE - AFRICA - MIDDLE EAST

Athens Exchange 145 120,7 121 921,4 19,0%BME Spanish Exchanges 959 910,4 940 672,9 2,0%Borsa Italiana 798 072,9 789 562,6 1,1%Budapest SE 32 575,7 28 300,0 15,1%Cairo & Alexandria SEs 79 508,9 38 533,1 106,3%Cyprus SE 6 583,0 4 880,0 34,9%Deutsche Börse 1 221 106,1 1 194 516,8 2,2%Euronext 2 706 803,5 2 441 261,4 10,9%Irish SE 114 086,2 114 085,9 0,0%Istanbul SE 161 537,6 98 298,9 64,3%JSE 549 310,3 442 525,5 24,1%Ljubljana SE 7 898,9 9 676,8 -18,4%London SE 3 058 182,4 2 865 243,2 6,7%Luxembourg SE 51 248,4 50 143,6 2,2%Malta SE 4 097,5 2 841,9 44,2%Mauritius SE 2 330,0 2 102,9 10,8%OMX 802 561,4 728 769,2 10,1%Oslo Børs 190 952,1 141 624,2 34,8%Swiss Exchange 935 448,3 826 040,8 13,2%Tehran SE 36 440,2 42 600,4 -14,5%Tel Aviv SE 122 577,9 90 157,9 36,0%Warsaw SE 93 602,2 71 547,2 30,8%Wiener Börse 126 309,3 87 776,3 43,9%

Total region 12 206 263,7 11 133 082,6 9,6%

WFE TOTAL 40 974 107,8 36 863 327,6 11,2%

EQUITY - 1.2MARKET CAPITALIZATION oF DOMESTIC SHARES NEWLY LISTED AND DELISTED

NA: Not Available R: Revised

BORSA ITALIANA: 2005 figures are at year-end 2004 ; 2004 figuresare at year-end 2003.EURONEXT: Alternext market data are not included.KOREA EXCHANGE: 2004 and 2005 figures include data from Kosdaqmarket following the integration of Korea Exchange.

OMX : data includes both domestic and foreign companies.TEL AVIV SE: new listings figures are at year-end 2005 and 2004;delistings figures are at year-end 2004 and 2003.TSX GROUP: Toronto Exchange only.


Equit

y Mark

ets

(USD millions)

Market capitalization Market capitalization of new listings of delistings

Exchange End 2005 End 2004 End 2005 End 2004

AMERICAS

American SE 6 597,4 7 466,5 97 384,0 25 792,8Bermuda SE 0,0 0,0 4,6 1 320,0Buenos Aires SE 0,0 0,0 168,2 194,8Colombia SE 4 179,2 23,0 3 018,5 617,9Lima SE 512,2 790,5 22,7 108,9Mexican Exchange 1 390,8 2 543,4 3 018,8 4 128,8Nasdaq 39 490,0 81 097,6 NA NANYSE 135 719,3 118 944,3 NA NASantiago SE 3 739,1 283,0 2,9 118,3Sao Paulo SE 7 174,2 8 955,6 5 248,0 3 448,0 RTSX Group 33 490,5 35 140,6 35 711,0 33 363,3

ASIA - PACIFIC

Australian SE 19 953,1 NA 24 501,2 NABombay SE 13 524,1 30 597,6 NA 2 078,0Bursa Malaysia 4 102,2 4 170,6 1 863,2 1 747,2Colombo SE 154,5 407,0 47,5 51,9Hong Kong Exchanges 98 292,0 37 347,6 R 3 447,6 1 902,9Jakarta SE 1 901,8 1 095,6 363,8 958,1Korea Exchange 7 728,2 14 202,6 10 578,3 11 731,9National Stock Exchange India 18 607,3 35 875,3 112,1 1 252,3New Zealand Exchange 2 039,2 1 757,7 3 020,4 1 070,4Philippine SE 619,5 102,4 127,2 106,1Shanghai SE 3 140,1 14 438,0 32,3 687,4Shenzhen SE 1 634,6 8 536,8 124,6 1 104,1Singapore Exchange 10 477,1 8 647,2 1 418,6 1 696,4Taiwan SE Corp. 8 908,1 12 429,5 273,4 1 448,8Thailand SE 5 728,4 7 077,7 2 707,6 456,2Tokyo SE 110 399,6 87 832,2 130 524,4 34 234,9


Athens Exchange 405,4 533,1 2 635,2 9 333,2 RBME Spanish Exchanges 8 556,7 41 997,1 NA NABorsa Italiana 18 210,8 9 665,0 60 270,5 3 107,8Budapest SE 37,9 16,5 110,0 690,7Cairo & Alexandria SEs 497,9 496,2 708,0 636,4Cyprus SE 0,0 99,9 61,7 189,0Deutsche Börse 4 622,6 2 713,1 NA NAEuronext 153 576,3 36 131,6 129 486,9 125 846,1Irish SE 257,9 2 528,3 3 224,6 1 448,4Istanbul SE 6 826,4 2 628,0 R 4,4 250,2 RJSE 2 633,0 3 248,3 3 642,1 8 200,5Ljubljana SE 242,1 385,4 798,0 521,6London SE 322 269,1 52 468,6 NA NALuxembourg SE 0,0 0,0 R 3 685,3 546,4 RMauritius SE 140,7 26,6 0,0 0,0OMX 16 171,0 4 839,3 22 993,6 14 490,8Oslo Børs 9 576,2 7 318,3 6 554,4 2 588,4Swiss Exchange 9 082,6 2 077,2 NA NATehran SE 726,8 4 305,5 7,6 0,0Tel Aviv SE 3 883,6 3 274,8 1 241,6 1 057,9Warsaw SE 9 872,8 11 188,3 1 125,5 912,3Wiener Börse 7 399,2 103,3 2 364,9 3 959,5


EQUITY - 1.3 NUMBER OF LISTED COMPANIES

6 8

NA: Not Available

Data exclude investment funds.EURONEXT: Alternext market data are not included.HONG KONG EXCHANGES: foreign companies incorporated overseasand having a majority of their businesses outside Hong Kong andChina. KOREA EXCHANGE: 2004 and 2005 figures include data from Kosdaqmarket following the integration of Korea Exchange.

LIMA SE: foreign companies include 28 companies with shares nego-tiated under a special modality.SINGAPORE EXCHANGE: domestic includes Singapore-incorporatedcompanies, foreign-incorporated companies with a primary listing,and foreign-incorporated companies with a secondary listing but withthe majority of their trading taking place on the exchange.TSX GROUP: all group.

2005 2004Exchange Total Domestic Foreign Total Domestic Foreign

Companies Companies Companies Companies

AMERICAS

American SE 595 495 100 575 502 73Bermuda SE 56 19 37 58 21 37Buenos Aires SE 104 100 4 107 103 4Colombia SE 98 98 0 106 106 0Lima SE 224 193 31 224 192 32Mexican Exchange 326 150 176 326 151 175Nasdaq 3 164 2 832 332 3 229 2 889 340NYSE 2 270 1 818 452 2 293 1 834 459Santiago SE 246 245 1 240 239 1Sao Paulo SE 381 379 2 388 386 2TSX Group 3 758 3 719 39 3 604 3 572 32

Total region 11 222 11 150

ASIA - PACIFIC

Australian SE 1 714 1 643 71 1 583 1 515 68Bombay SE 4 763 4 763 0 4 730 4 730 0Bursa Malaysia 1 019 1 015 4 959 955 4Colombo SE 239 239 0 242 242 0Hong Kong Exchanges 1 135 1 126 9 1 096 1 086 10Jakarta SE 336 336 0 331 331 0Korea Exchange 1 616 1 616 0 1 570 1 570 0National Stock Exchange India 1 034 1 034 0 957 957 0New Zealand Exchange 185 153 32 200 158 42Osaka SE 1 064 1 063 1 1 090 1 090 0Philippine SE 237 235 2 235 233 2Shanghai SE 833 833 0 837 837 0Shenzhen SE 544 544 0 536 536 0Singapore Exchange 686 564 122 633 608 25Taiwan SE Corp. 696 691 5 702 697 5Thailand SE 504 504 0 463 463 0Tokyo SE 2 351 2 323 28 2 306 2 276 30



Athens Exchange 304 302 2 341 339 2Borsa Italiana 282 275 7 278 269 9Budapest SE 44 44 0 47 46 1Cairo & Alexandria SEs 744 744 0 795 795 0Cyprus SE 119 119 0 124 124 0Deutsche Börse 764 648 116 819 660 159Euronext 1 259 966 293 1 333 999 334Irish SE 66 53 13 65 53 12Istanbul SE 304 304 0 297 297 0JSE 373 348 25 389 368 21Ljubljana SE 116 116 0 140 140 0London SE 3 091 2 757 334 2 837 2 486 351Luxembourg SE 245 39 206 234 42 192Malta SE 13 13 0 13 13 0Mauritius SE 30 30 0 29 29 0OMX 678 656 22 685 665 20Oslo Børs 219 191 28 188 166 22Swiss Exchange 400 284 116 409 282 127Tehran SE 408 408 0 402 402 0Tel Aviv SE 584 NA NA 578 573 5Warsaw SE 241 234 7 230 225 5Wiener Börse 111 92 19 120 99 21


WFE Total 40 573 39 973


EQUITY - 1.4 NUMBER OF NEWLY LISTED AND DELISTED COMPANIES


WORLD FEDERATION OF EXCHANGES

6 9

Excluding investment funds.EURONEXT: Alternext market data are not included.HONG KONG EXCHANGES: foreign companies incorporated overseasand having a majority of their businesses outside Hong Kong and China.KOREA EXCHANGE: 2004 and 2005 figures include data from Kosdaqmarket following the integration of Korea Exchange.

SINGAPORE EXCHANGE: domestic includes Singapore-incorporatedcompanies, foreign-incorporated companies with a primary listing,and foreign-incorporated companies with a secondary listing but withthe majority of their trading taking place on the exchange.TSX GROUP: all group.


Equit

y Mark

ets

Newly listed companies Delistings

2005 2004 2005 2004ExchangeTotal Domestic Foreign Total Domestic Foreign Total Domestic Foreign Total Domestic Foreign

Cies Cies Cies Cies Cies Cies Cies Cies

AMERICAS

American SE 97 63 34 89 69 20 79 72 7 74 67 7Bermuda SE 0 0 0 6 0 6 2 2 0 3 1 2Buenos Aires SE 0 0 0 1 1 0 3 3 0 4 4 0Colombia SE 3 3 0 2 2 0 9 9 0 4 4 0Lima SE 8 7 1 12 12 0 8 6 2 15 15 0Mexican Exchange 12 5 7 110 2 108 6 6 0 9 9 0Nasdaq 139 117 22 170 147 23 NA NA NA NA NA NANYSE 146 127 19 152 132 20 135 109 26 107 80 27Santiago SE 12 12 0 10 10 0 6 6 0 10 10 0Sao Paulo SE 17 17 0 19 19 0 22 22 0 22 22 0TSX Group 388 377 11 346 342 4 215 210 5 291 282 9

ASIA - PACIFIC

Australian SE 232 224 8 186 178 8 68 62 6 74 68 6Bombay SE 80 80 0 51 51 0 34 34 0 987 987 0Bursa Malaysia 75 75 0 72 72 0 15 15 0 15 15 0Colombo SE 6 6 0 5 5 0 9 9 0 7 7 0Hong Kong Exchanges 67 67 0 70 70 0 28 27 1 11 11 0Jakarta SE 8 8 0 12 12 0 3 3 0 14 14 0Korea Exchange 85 85 0 68 R 68 0 62 62 0 65 R 65 0National Stock Exchange India 92 92 0 88 88 0 6 6 0 17 17 0New Zealand Exchange 8 7 1 33 24 9 24 11 13 17 7 10Osaka SE 27 26 1 30 30 0 53 53 0 80 80 0Philippine SE 2 2 0 2 2 0 0 0 0 3 3 0Shanghai SE 3 3 0 61 61 0 1 1 0 4 4 0Shenzhen SE 12 12 0 39 39 0 5 5 0 6 6 0Singapore Exchange 68 24 44 82 82 0 8 6 2 10 9 1Taiwan SE Corp. 13 13 0 38 38 0 19 19 0 10 10 0Thailand SE 50 50 0 50 50 0 10 10 0 7 7 0Tokyo SE 99 98 1 153 152 1 54 51 3 53 50 3


Athens Exchange 5 5 0 10 9 1 12 12 0 7 R 7 0Borsa Italiana 19 19 0 10 9 1 15 13 2 11 11 0Budapest SE 1 1 0 1 1 0 3 3 0 4 4 0Cairo & Alexandria SEs 21 21 0 36 36 0 68 68 0 133 132 1Cyprus SE 0 0 0 2 2 0 5 5 0 5 5 0Deutsche Börse 15 15 0 6 6 0 NA NA NA NA NA NAEuronext 34 32 2 32 20 12 NA 65 NA NA 67 NAIrish SE 5 3 2 2 1 1 4 3 1 3 3 0Istanbul SE 9 9 0 12 12 0 3 3 0 1 R 1 0JSE 19 16 3 15 14 1 34 34 0 38 37 1Ljubljana SE 4 4 0 19 19 0 28 28 0 12 12 0London SE 626 605 21 423 413 10 372 336 36 279 238 41Luxembourg SE 32 0 32 10 0 10 21 3 18 17 R 2 15Mauritius SE 1 1 0 1 1 0 0 0 0 0 0 0OMX 28 28 0 20 14 6 36 35 1 40 39 1Oslo Børs 46 38 8 22 18 4 15 14 1 12 10 2Swiss Exchange 11 11 0 4 3 1 NA NA NA NA NA NATehran SE 21 21 0 57 57 0 12 12 0 0 0 0Tel Aviv SE 35 33 2 31 30 1 29 29 0 30 30 0Warsaw SE 35 33 2 36 32 4 10 10 0 9 9 0Wiener Börse 7 6 1 4 2 2 15 13 2 8 7 1

EQUITY - 1.5

NA: Not Available

TOTAL VALUE OF SHARE TRADING 2005

The sale & purchase of a share are counted as one transaction.Totals include investment funds

Figures converted with year-average exchange rates.


7 0

(USD millions)

2005Exchange Total Domestic Foreign Investment

Companies Companies Funds

AMERICAS

American SE 608 091,0 NA NA NABermuda SE 69,8 68,3 1,5 0,0Buenos Aires SE 6 852,9 5 430,4 1 420,3 2,2Colombia SE 9 418,9 9 418,9 0,0 0,0Lima SE 2 650,1 2 266,5 363,6 19,9Mexican Exchange 56 682,8 53 392,4 2 747,7 542,7Nasdaq 10 086 739,9 8 605 088,7 591 029,1 890 622,2NYSE 14 125 292,4 12 821 944,4 1 234 230,4 69 117,6Santiago SE 18 961,2 18 792,4 0,0 168,8Sao Paulo SE 165 275,6 164 816,1 142,1 317,4TSX Group 900 493,1 898 851,0 1 620,8 21,4

Total region 25 980 527,8

ASIA - PACIFIC

Australian SE 672 388,5 636 089,8 36 298,7 0,0Bombay SE 158 982,2 158 982,2 0,0 0,0Bursa Malaysia 51 601,4 50 449,3 1 022,4 129,7Colombo SE 1 095,6 1 095,6 0,0 0,0Hong Kong Exchanges 464 272,5 463 739,1 432,0 101,4Jakarta SE 41 633,5 41 633,5 0,0 0,0Korea Exchange 1 210 662,4 1 210 640,7 0,0 21,7National Stock Exchange India 314 689,0 314 619,3 0,0 69,7New Zealand Exchange 20 892,1 18 488,7 2 218,4 185,0Osaka SE 216 429,5 204 392,4 208,9 11 828,2Philippine SE 6 982,4 6 966,3 16,1 0,0Shanghai SE 238 520,8 235 151,5 0,0 3 369,3Shenzhen SE 154 251,6 151 851,5 0,0 2 400,0Singapore Exchange 116 456,5 NA NA NATaiwan SE Corp. 585 378,7 584 744,4 597,4 36,9Thailand SE 95 645,7 95 637,1 0,0 8,5Tokyo SE 4 481 721,6 4 436 804,0 2 821,8 42 095,8



Athens Exchange 65 131,4 63 844,1 767,7 519,5BME Spanish Exchanges 1 566 107,1 1 546 869,7 19 237,4 0,0Borsa Italiana 1 293 682,1 1 216 676,3 76 499,0 506,9Budapest SE 24 151,3 24 143,8 0,0 7,5Cairo & Alexandria SEs 26 241,1 26 239,4 0,0 1,8Cyprus SE 482,8 463,5 0,0 19,3Deutsche Börse 1 915 304,5 1 749 657,5 165 647,1 0,0Euronext 2 906 208,2 2 776 739,5 129 468,8 NAIrish SE 67 422,7 64 221,5 3 201,2 0,0Istanbul SE 200 858,3 200 858,3 0,0 0,0JSE 201 779,1 145 687,0 47 828,4 8 263,7Ljubljana SE 1 351,2 1 166,2 0,0 185,0London SE 5 677 721,0 3 185 654,2 2 492 066,8 0,0Luxembourg SE 330,2 238,4 18,2 73,6Malta SE 150,0 150,0 0,0 0,0Mauritius SE 154,2 139,8 0,0 14,4OMX 951 421,2 898 672,7 39 577,5 13 171,0Oslo Børs 234 390,3 200 933,0 33 457,3 0,0Swiss Exchange 973 509,3 95 433,0 874 965,4 3 111,0Tehran SE 7 850,1 7 292,0 0,0 558,1Tel Aviv SE 48 970,4 48 970,4 0,0 0,0Warsaw SE 30 421,5 29 290,1 493,6 637,8Wiener Börse 46 468,3 45 514,5 953,8 0,0


WFE Total 51 052 238,4

EQUITY - 1.5


TOTAL VALUE OF SHARE TRADING 2004

CAIRO AND ALEXANDRIA STOCK EXCHANGES: data also include OTCmarket.

EURONEXT: Alternext market data are not included.

KOREA EXCHANGE: 2004 and 2005 figures include data from Kosdaqmarket following the integration of Korea Exchange.

SWISS EXCHANGE: includes also shares traded on Virt-x.



Equit

y Mark

ets

(USD millions)

2004Exchange Total Domestic Foreign Investment % Change

Companies Companies Funds 2005/2004

AMERICAS

American SE 590 652,0 NA NA NA 3,0%Bermuda SE 67,6 67,6 0,0 0,0 3,4%Buenos Aires SE 4 832,1 4 592,8 238,5 0,8 41,8%Colombia SE 2 079,6 2 079,6 0,0 0,0 352,9%Lima SE 1 560,4 1 311,3 238,1 11,0 69,8%Mexican Exchange 45 388,8 43 650,8 1 327,8 410,2 24,9%Nasdaq 8 767 121,2 7 984 791,1 617 773,5 164 556,7 15,1%NYSE 11 618 150,7 10 527 680,7 976 385,2 114 084,8 21,6%Santiago SE 12 123,5 11 941,3 0,0 182,2 56,4%Sao Paulo SE 103 990,1 103 936,4 52,2 1,5 58,9%TSX Group 651 059,1 650 299,5 744,0 15,6 38,3%

Total region 21 797 024,9 19,2%

ASIA - PACIFIC

Australian SE 523 668,5 513 454,4 10 214,0 0,0 28,4%Bombay SE 118 247,8 118 247,8 0,0 0,0 34,4%Bursa Malaysia 61 636,4 60 479,0 1 134,7 22,8 -16,3%Colombo SE 575,2 575,2 0,0 0,0 90,5%Hong Kong Exchanges 439 463,8 438 889,6 449,3 124,9 5,6%Jakarta SE 27 517,7 27 517,7 0,0 0,0 51,3%Korea Exchange 625 185,7 625 118,2 0,0 67,5 93,6%National Stock Exchange India 260 409,2 260 357,4 0,0 51,7 20,8%New Zealand Exchange 17 034,2 15 411,7 1 473,0 149,5 22,6%Osaka SE 134 361,7 125 175,2 0,0 9 186,5 61,1%Philippine SE 3 681,2 3 666,4 14,9 0,0 89,7%Shanghai SE 322 828,6 319 818,9 0,0 3 009,8 -26,1%Shenzhen SE 194 457,7 191 661,6 0,0 2 796,1 -20,7%Singapore Exchange 107 296,5 NA NA NA 8,5%Taiwan SE Corp. 718 804,4 718 461,3 296,7 46,4 -18,6%Thailand SE 116 381,2 116 365,9 0,0 15,3 -17,8%Tokyo SE 3 218 112,8 3 188 354,6 612,1 29 146,1 39,3%

Total region 6 889 662,6 28,2%


Athens Exchange 44 383,3 43 594,0 218,3 571,1 46,7%BME Spanish Exchanges 1 203 360,2 1 195 267,1 8 093,0 0,0 30,1%Borsa Italiana 969 234,2 874 462,4 94 532,0 239,8 33,5%Budapest SE 12 994,3 R 12 963,1 27,7 3,6 85,9%Cairo & Alexandria SEs 6 513,1 6 512,6 0,0 0,5 302,9%Cyprus SE 286,3 264,7 0,0 21,6 68,7%Deutsche Börse 1 541 122,7 1 404 121,7 137 001,0 0,0 24,3%Euronext 2 472 131,7 2 424 569,8 47 561,9 NA 17,6%Irish SE 45 143,7 44 122,6 1 021,1 0,0 49,4%Istanbul SE 146 604,9 146 604,9 0,0 0,0 37,0%JSE 161 072,8 112 287,6 45 451,4 3 333,8 25,3%Ljubljana SE 1 473,8 1 161,6 0,0 312,2 -8,3%London SE 5 169 023,6 2 940 092,1 2 228 931,5 0,0 9,8%Luxembourg SE 645,2 363,2 40,6 241,3 -48,8%Malta SE 93,5 93,5 0,0 0,0 60,4%Mauritius SE 100,0 83,7 0,0 16,3 54,1%OMX 793 241,2 753 087,2 33 363,8 6 790,2 19,9%Oslo Børs 134 819,1 116 984,7 17 834,4 0,0 73,9%Swiss Exchange 791 888,3 61 354,4 728 250,1 2 283,8 22,9%Tehran SE 12 125,2 11 564,3 0,0 560,9 -35,3%Tel Aviv SE 33 066,7 33 066,7 0,0 0,0 48,1%Warsaw SE 16 269,3 15 846,5 273,5 149,3 87,0%Wiener Börse 24 158,6 23 752,9 405,7 0,0 92,3%

Total region 13 579 751,7 19,6%

WFE Total 42 266 439,2 20,8%

EQUITY - 1.5

NA: Not Available

ALSO ON VALUE OF SHARE TRADING 2005ELECTRONIC ORDER BOOK TRADES

The sale & purchase of a share are counted as one transaction.

Totals include investment funds.



7 2

(USD millions)



AMERICAS

Bermuda SE 69,8 68,3 1,5 0,0Buenos Aires SE 6 852,9 5 430,4 1 420,3 2,2Colombia SE 9 418,9 9 418,9 0,0 0,0Lima SE 2 144,8 1 782,2 342,7 19,9Mexican Exchange 56 682,8 53 392,4 2 747,7 542,7Santiago SE 18 961,2 18 792,4 0,0 168,8Sao Paulo SE 165 275,6 164 816,1 142,1 317,4

ASIA - PACIFIC

Australian SE 515 669,8 NA NA NABombay SE 158 982,2 158 982,2 0,0 0,0Bursa Malaysia 45 679,0 44 586,3 986,0 106,8Colombo SE 1 095,6 1 095,6 0,0 0,0Hong Kong Exchanges 420 531,2 420 006,5 425,9 98,8Jakarta SE 28 110,5 28 110,5 0,0 0,0Korea Exchange 1 190 637,0 1 190 616,0 0,0 21,0National Stock Exchange India 314 689,0 314 619,3 0,0 69,7New Zealand Exchange 6 119,7 5 637,9 379,5 102,2Osaka SE 191 692,5 181 836,8 208,9 9 646,8Philippine SE 5 184,7 5 168,6 16,1 0,0Shanghai SE 238 520,8 235 151,5 0,0 3 369,3Shenzhen SE 154 251,6 151 851,5 0,0 2 400,0Taiwan SE Corp. 581 505,1 580 870,7 597,4 36,9Thailand SE 91 278,4 91 270,7 0,0 7,7Tokyo SE 4 481 721,6 4 436 804,0 2 821,8 42 095,8


Athens Exchange 52 640,1 51 642,4 726,3 271,4BME Spanish Exchanges 1 050 199,1 1 030 961,7 19 237,4 0,0Borsa Italiana 1 183 375,5 1 107 769,0 75 263,3 343,2Budapest SE 23 739,4 23 731,9 0,0 7,5Cyprus SE 482,8 463,5 0,0 19,3Deutsche Börse 1 394 459,9 1 353 064,3 41 395,5 0,0Euronext 2 209 764,9 2 109 751,9 100 013,0 NAIrish SE 8 482,5 8 214,5 268,0 0,0Istanbul SE 200 829,3 200 829,3 0,0 0,0JSE 154 876,2 111 408,5 36 185,4 7 282,3Ljubljana SE 600,2 500,2 0,0 100,0London SE 1 908 322,1 1 826 892,3 81 429,9 0,0Luxembourg SE 330,2 238,4 18,2 73,6Malta SE 150,0 150,0 0,0 0,0OMX 677 061,5 640 979,2 33 260,6 2 821,7Oslo Børs 176 008,5 149 410,8 26 597,7 0,0Swiss Exchange 674 790,1 14 190,0 658 415,9 2 184,2Tel Aviv SE 43 424,6 43 424,6 0,0 0,0Warsaw SE 27 042,7 26 432,4 466,9 143,4Wiener Börse 46 468,3 45 514,5 953,8 0,0

EQUITY - 1.5


ALSO ON VALUE OF SHARE TRADING 2004ELECTRONIC ORDER BOOK TRADES







Equit

y Mark

ets

(USD millions)



AMERICAS

Bermuda SE 67,6 67,6 0,0 0,0 3,4%Buenos Aires SE 4 832,1 4 592,8 238,5 0,8 41,8%Colombia SE 2 079,6 2 079,6 0,0 0,0 352,9%Lima SE 1 215,0 1 017,4 186,6 11,0 76,5%Mexican Exchange 45 388,7 43 650,7 1 327,8 410,2 24,9%Santiago SE 12 123,5 11 941,3 0,0 182,2 56,4%Sao Paulo SE 103 990,1 103 936,4 52,2 1,5 58,9%

ASIA - PACIFIC

Australian SE 393 212,2 NA NA NA 31,1%Bombay SE 118 247,8 118 247,8 0,0 0,0 34,4%Bursa Malaysia 55 324,5 54 191,3 1 120,5 12,7 -17,4%Colombo SE 575,2 575,2 0,0 0,0 90,5%Hong Kong Exchanges 403 422,5 402 889,5 415,2 117,8 4,2%Jakarta SE 22 083,7 22 083,7 0,0 0,0 27,3%Korea Exchange 613 999,1 613 931,6 0,0 67,5 93,9%National Stock Exchange India 260 409,2 260 357,4 0,0 51,7 20,8%New Zealand Exchange 5 094,7 4 689,4 311,8 93,5 20,1%Osaka SE 111 154,4 103 766,5 0,0 7 387,9 72,5%Philippine SE 3 249,2 3 234,3 14,9 0,0 59,6%Shanghai SE 322 828,6 319 818,9 0,0 3 009,8 -26,1%Shenzhen SE 194 457,7 191 661,6 0,0 2 796,1 -20,7%Taiwan SE Corp. 718 804,4 718 461,3 296,7 46,4 -19,1%Thailand SE 113 059,1 113 043,9 0,0 15,3 -19,3%Tokyo SE 3 218 112,8 3 188 354,6 612,1 29 146,1 39,3%


Athens Exchange 37 018,5 36 546,3 218,3 253,9 42,2%BME Spanish Exchanges 788 732,3 788 729,8 2,5 0,0 33,2%Borsa Italiana 918 894,1 824 697,5 93 968,1 228,5 28,8%Budapest SE 12 897,4 R 12 866,1 27,7 3,6 84,1%Cyprus SE 286,3 264,7 0,0 21,6 68,7%Deutsche Börse 1 124 088,7 1 082 215,0 41 873,7 0,0 24,1%Euronext 1 921 359,8 1 891 450,4 29 909,4 NA 15,0%Irish SE 6 059,6 5 968,4 91,2 0,0 40,0%Istanbul SE 146 561,7 146 561,7 0,0 0,0 37,0%JSE 108 132,6 73 715,3 32 003,3 2 414,0 43,2%Ljubljana SE 896,8 707,9 0,0 189,0 -33,1%London SE 1 604 383,7 1 550 198,3 54 185,4 0,0 18,9%Luxembourg SE 645,2 363,2 40,6 241,3 -48,8%Malta SE 93,5 93,5 0,0 0,0 60,4%OMX 591 725,8 563 391,4 26 901,0 1 433,4 14,4%Oslo Børs 82 464,6 82 464,4 0,1 0,0 113,4%Swiss Exchange 551 696,5 13 126,5 536 930,6 1 639,4 22,3%Tel Aviv SE 29 175,5 29 175,5 0,0 0,0 48,8%Warsaw SE 15 076,0 14 704,8 273,6 97,6 79,4%Wiener Börse 24 158,6 23 752,9 405,7 0,0 92,3%

EQUITY - 1.5

NA: Not Available


Totals include investment funds.



7 4

ALSO ON VALUE OF SHARE TRADING 2005NEGOTIATED DEALS

(USD millions)



AMERICAS

Lima SE 505,2 484,3 20,9 0,0

ASIA - PACIFIC

Australian SE 156 718,7 NA NA NABursa Malaysia 5 922,4 5 863,0 36,4 23,0Hong Kong Exchanges 43 741,3 43 732,6 6,1 2,6Jakarta SE 13 523,0 13 523,0 0,0 0,0Korea Exchange 20 025,5 20 025,5 0,0 0,0New Zealand Exchange 14 772,4 12 849,8 1 838,2 84,4Osaka SE 24 736,9 22 555,5 0,0 2 181,4Philippine SE 1 797,7 1 797,7 0,0 0,0Taiwan SE Corp. 3 873,7 3 873,7 0,0 0,0Thailand SE 4 118,6 4 118,6 0,0 0,0


Athens Exchange 12 491,3 12 201,8 41,4 248,1BME Spanish Exchanges 515 908,2 515 908,2 0,0 0,0Borsa Italiana 110 306,6 108 907,2 1 235,7 163,7Budapest SE 411,9 411,9 0,0 0,0Deutsche Börse 520 845,0 396 593,5 124 251,5 0,0Euronext 696 443,3 666 987,6 29 455,8 NAIrish SE 58 940,2 56 007,1 2 933,2 0,0Istanbul SE 29,0 29,0 0,0 0,0JSE 46 902,9 34 278,5 11 643,0 981,4Ljubljana SE 751,0 666,0 0,0 85,0London SE 3 769 398,8 1 358 762,0 2 410 636,8 0,0OMX 274 359,5 257 694,8 6 315,5 10 349,2Oslo Børs 58 381,7 51 522,2 6 859,6 0,0Swiss Exchange 298 719,2 81 243,0 216 549,5 926,7Tel Aviv SE 5 545,8 5 545,8 0,0 0,0Warsaw SE 3 378,7 2 857,5 26,4 494,8

EQUITY - 1.5








Equit

y Mark

ets

ALSO ON VALUE OF SHARE TRADING 2004NEGOTIATED DEALS

(USD millions)



AMERICAS

Lima SE 345,4 299,7 45,7 0,0 46,3%

ASIA - PACIFIC

Australian SE 130 456,3 NA NA NA 20,1%Bursa Malaysia 6 311,9 6 287,7 14,1 10,1 -6,2%Hong Kong Exchanges 36 041,3 36 000,1 34,1 7,2 21,4%Jakarta SE 5 434,0 5 434,0 0,0 0,0 148,9%Korea Exchange 11 186,6 11 186,6 0,0 0,0 79,0%New Zealand Exchange 11 939,7 10 722,3 1 161,2 56,2 23,7%Osaka SE 23 207,3 21 408,6 0,0 1 798,7 6,6%Philippine SE 432,1 432,1 0,0 0,0 316,1%Taiwan SE Corp. 0,0 0,0 0,0 0,0 -Thailand SE 3 322,1 3 322,1 0,0 0,0 24,0%


Athens Exchange 7 364,0 7 046,9 0,0 317,0 69,6%BME Spanish Exchanges 406 537,4 406 537,4 0,0 0,0 26,9%Borsa Italiana 50 340,1 49 764,9 563,8 11,3 119,1%Budapest SE 97,0 R 97,0 0,0 0,0 324,9%Deutsche Börse 417 034,2 321 907,0 95 127,2 0,0 24,9%Euronext 550 771,9 533 119,4 17 652,5 NA 26,4%Irish SE 39 085,3 38 155,4 929,9 0,0 50,8%Istanbul SE 43,2 43,2 0,0 0,0 -32,8%JSE 52 940,2 38 572,3 13 448,1 919,8 -11,4%Ljubljana SE 576,9 453,7 0,0 123,2 30,2%London SE 3 564 127,3 1 397 778,3 2 166 349,1 0,0 5,8%OMX 201 515,4 189 695,8 6 462,8 5 356,8 36,1%Oslo Børs 38 609,6 34 520,3 4 089,2 0,0 51,2%Swiss Exchange 240 191,8 48 227,9 191 319,5 644,4 24,4%Tel Aviv SE 3 891,2 3 891,2 0,0 0,0 42,5%Warsaw SE 1 162,5 1 141,6 0,0 20,9 190,6%

EQUITY - 1.6


NUMBER OF TRADING DAYS, AVERAGE DAILY TURNOVER,AND AVERAGE VALUE OF TRADES

The sale & purchase of a share are counted as one transaction.EURONEXT: Alternext market data are not included.

KOREA EXCHANGE: 2004 and 2005 figures include data from Kosdaqmarket following the integration of Korea Exchange.SWISS EXCHANGE: includes also shares traded on Virt-x.


7 6

Number Average daily Average valueof trading days turnover of trades

(USD millions) (USD thousands)

2005 2004 2005 2004 2005 2004

AMERICAS

American SE 254 251 2 394,1 2 353,2 17,9 21,3Bermuda SE 251 249 0,3 0,3 32,8 29,2Buenos Aires SE 252 252 27,2 19,2 7,3 5,8Colombia SE 246 246 38,3 8,5 24,5 10,5Lima SE 251 250 10,6 6,2 16,0 10,9Mexican Exchange 255 257 222,3 176,6 33,1 27,8Nasdaq 252 252 40 026,7 34 790,2 9,4 9,2NYSE 252 252 56 052,6 46 103,8 11,6 12,5Santiago SE 252 248 75,2 48,9 30,1 28,4Sao Paulo SE 249 249 663,8 417,6 10,7 7,8TSX Group 251 252,5 3 587,6 2 578,5 15,4 15,1

ASIA - PACIFIC

Australian SE 252 255 2 668,2 2 053,6 26,7 27,8Bombay SE 251 254 633,4 465,5 0,6 0,5Bursa Malaysia 247 248 208,9 248,5 3,5 3,1Colombo SE 238 240 4,6 2,4 1,0 0,9Hong Kong Exchanges 247 249 1 879,6 1 764,9 18,8 11,8Jakarta SE 243 241 171,3 114,2 10,4 7,4Korea Exchange 249 249 4 862,1 2 510,8 3,1 4,5National Stock Exchange India 251 254 1 253,7 1 025,2 0,6 0,6New Zealand Exchange 251 253 83,2 67,3 34,5 28,6Osaka SE 245 246 883,4 546,2 17,8 19,9Philippine SE 246 247 28,4 14,9 8,0 5,8Shanghai SE 242 243 985,6 1 328,5 1,1 1,2Shenzhen SE 242 243 637,4 800,2 1,0 1,1Singapore Exchange 250 253 465,8 424,1 NA NATaiwan SE Corp. 247 250 2 370,0 2 875,2 4,3 4,1Thailand SE 245 245 390,4 475,0 3,8 4,1Tokyo SE 245 246 18 292,7 13 081,8 NA NA


Athens Exchange 250 253 260,5 175,4 7,1 4,9BME Spanish Exchanges 255 251 6 141,6 4 794,3 90,3 87,0Borsa Italiana 256 257 5 053,4 3 771,3 27,3 28,3Budapest SE 253 254 95,5 51,2 R 21,9 16,8 RCairo & Alexandria SEs 249 249 105,4 26,2 6,2 3,7Cyprus SE 248 250 1,9 1,1 2,6 2,3Deutsche Börse 257 257 7 452,5 5 996,6 21,8 21,1Euronext 257 259 11 308,2 9 544,9 37,1 36,5Irish SE 253 254 266,5 177,7 170,2 150,5Istanbul SE 254 249 790,8 588,8 4,5 3,4JSE 251 251 803,9 641,7 39,8 41,2Ljubljana SE 250 255 5,4 5,8 7,5 6,4 RLondon SE 252 254 22 530,6 20 350,5 85,7 96,5Luxembourg SE 252 254 1,3 2,5 21,6 29,9Malta SE 248 258 0,6 0,4 11,2 10,2Mauritius SE 249 254 0,6 0,4 6,5 4,6OMX 253 253 3 760,6 3 135,3 44,2 46,3Oslo Børs 253 253 926,4 532,9 42,9 39,6Swiss Exchange 255 254 3 817,7 3 117,7 60,4 61,7Tehran SE 243 242 32,3 50,1 4,1 5,4Tel Aviv SE 245 242 199,9 136,6 7,2 6,8Warsaw SE 251 255 121,2 63,8 6,4 4,1Wiener Börse 248 250 187,4 96,6 28,8 29,7

Exchange

EQUITY - 1.7

NA: Not Available – : Not Applicable R: Revised

TOTAL NUMBER OF TRADES IN EQUITY SHARES, INVESTMENT FUNDSAND NUMBER OF SHARES TRADED

The sale & purchase of a share are counted as one transaction.CAIRO AND ALEXANDRIA STOCK EXCHANGES: data also include OTCmarket.LIMA SE: number of trades includes ADRs and investment funds.

EURONEXT: Alternext market data are not included.KOREA EXCHANGE: 2004 and 2005 figures include data from Kosdaqmarket following the integration of Korea Exchange.SAO PAULO SE: the decrease in 2005 is the consequence of severalreverse splits.



Equit

y Mark

ets

Total number of trades Total number of trades Number of shares tradedin equity shares in investment funds (in thousands) (in thousands) (in millions)

2005 Total 2004 Total 2005 Total 2004 Total 2005 Total 2004 Total

AMERICAS

American SE 34 011,4 27 747,8 – – 17 134,1 17 495,9Bermuda SE 2,1 2,3 – – 3,0 2,8Buenos Aires SE 943,4 832,0 0,04 0,02 15 324,3 18 171,4Colombia SE 384,7 198,2 – – 342 984,6 74 119,0Lima SE 165,1 143,7 0,2 0,1 2 271,7 2 181,6Mexican Exchange 1 710,3 1 635,0 322,2 251,3 28 965,0 29 299,2Nasdaq 1 076 715,3 955 202,0 NA NA 453 375,7 455 613,7NYSE 1 218 897,3 927 728,9 5 907,4 5 381,9 403 763,6 367 098,5Santiago SE 629,3 427,0 0,3 0,2 NA NASao Paulo SE 15 487,9 13 383,7 11,0 2,6 5 635 877,1 23 863 469,9TSX Group 58 635,4 43 144,1 – – 85 713,0 78 365,1

ASIA - PACIFIC

Australian SE 25 214,7 18 840,4 – – 269 932,9 269 782,0Bombay SE 256 719,5 222 334,8 – – 68 609,0 39 346,4Bursa Malaysia 14 667,7 20 035,3 – – 118 819,0 122 680,4Colombo SE 1 100,5 645,1 – – 5 128,3 2 752,0Hong Kong Exchanges 24 701,1 37 243,8 26,0 32,2 5 779 815,6 4 023 548,0Jakarta SE 4 011,9 3 724,0 – – 401 868,0 411 768,3Korea Exchange 391 600,9 138 354,5 8,8 54,1 116 588,6 92 922,2National Stock Exchange India 564 799,3 424 003,9 141,2 124,1 88 529,7 70 715,0New Zealand Exchange 606,3 596,6 16,1 17,0 9 127,5 9 032,3Osaka SE 12 188,3 6 736,8 NA NA 15 448,7 17 705,0Philippine SE 871,5 633,6 – – 317 640,9 284 341,7Shanghai SE 210 139,8 259 043,4 1 567,3 1 811,4 210 137,8 260 164,6 RShenzhen SE 149 275,7 170 079,1 1 666,1 2 094,3 263 714,4 251 193,4Singapore Exchange NA NA NA NA 159 694,9 171 149,7Taiwan SE Corp. 134 995,6 175 894,2 189,6 196,2 666 593,0 989 544,9Thailand SE 25 136,1 28 551,7 4,0 5,7 649 548,7 555 298,7Tokyo SE NA NA NA NA 558 921,0 378 767,0


Athens Exchange 9 153,7 9 026,7 118,4 104,4 7 202,1 6 068,3BME Spanish Exchanges 17 352,7 13 828,2 – – 79 399,6 61 223,7Borsa Italiana 47 318,5 34 218,0 47,8 30,5 187 508,5 180 717,3Budapest SE 1 104,2 775,2 1,3 1,2 1 186,8 875,2Cairo & Alexandria SEs 4 209,4 1 743,1 0,0 0,0 5 301,3 2 431,6Cyprus SE 186,8 126,9 17,8 12,3 908,3 540,8Deutsche Börse 87 736,4 72 881,3 – – 113 501,5 87 209,8Euronext 78 275,7 67 684,4 NA NA 122 410,4 115 486,7Irish SE 396,0 300,0 – – 10 013,3 7 046,8Istanbul SE 44 892,9 43 182,6 – – 81 107,5 69 629,3JSE 5 064,0 3 911,5 148,7 99,9 54 509,7 45 438,4Ljubljana SE 179,3 231,8 R 63,8 102,3 124,5 271,9London SE 66 289,2 53 582,9 – – 768 161,4 1 469 876,0 RLuxembourg SE 15,3 21,6 2,5 3,5 12,8 18,0Malta SE 13,3 9,1 – – 22,7 16,9Mauritius SE 23,7 21,8 7,5 8,5 271,6 146,4OMX 21 514,9 17 121,6 693,3 424,8 96 656,0 103 426,4Oslo Børs 5 457,7 3 405,8 – – 53 989,3 26 273,2Swiss Exchange 16 107,9 12 836,2 71,2 48,1 24 305,3 20 648,7Tehran SE 1 922,2 2 253,0 347,2 309,3 16 683,0 13 123,6Tel Aviv SE 6 788,6 4 895,3 – – 43 385,7 27 790,8Warsaw SE 4 783,8 3 946,7 248,8 320,2 6 211,4 4 235,1Wiener Börse 1 612,3 813,9 – – 1 372,0 941,9

Exchange

EQUITY - 1.7

NA: Not Available E: Estimate R: Revised

ALSO ON NUMBER OF TRADES IN EQUITY SHARESAND INVESTMENT FUNDS – ELECTRONIC ORDER BOOK TRADES



7 8

Number of trades Number of tradesin equity shares in investment funds (in thousands) (in thousands)

2005 Total 2004 Total 2005 Total 2004 Total

AMERICAS

Bermuda SE 2,1 2,3 – –Buenos Aires SE 943,4 832,0 0,04 0,02Colombia SE 384,7 198,2 – –Lima SE 156,0 137,4 0,2 0,1Mexican Exchange 1 710,3 1 635,0 322,2 251,3Santiago SE 625,4 426,8 0,3 0,2Sao Paulo SE 15 495,2 13 383,7 11,0 2,6

ASIA - PACIFIC

Australian SE 24 970,5 18 486,1 – –Bombay SE 256 719,5 222 334,8 – –Colombo SE 1 100,5 645,1 – –Jakarta SE 3 952,0 3 645,1 – –Korea Exchange 391 600,9 138 354,5 8,8 54,1National Stock Exchange India 564 799,3 424 003,9 141,2 124,1New Zealand Exchange 504,1 500,1 12,9 13,8Osaka SE 12 188,3 6 736,8 NA NAPhilippine SE 871,4 633,5 – –Shanghai SE 210 139,8 259 043,4 1 567,3 1 811,4Shenzhen SE 149 275,7 170 079,1 1 666,1 2 094,3Taiwan SE Corp. 134 995,6 175 894,2 189,6 196,2Thailand SE 25 118,8 28 536,3 4,0 5,7


Athens Exchange 9 153,7 9 026,7 118,4 104,4BME Spanish Exchanges 17 092,4 13 601,7 – –Borsa Italiana 47 272,9 34 198,7 47,8 30,5Budapest SE 1 104,9 776,3 1,3 1,2Cairo & Alexandria SEs 4 209,4 1 743,1 0,0 0,0Cyprus SE 186,8 126,9 17,8 12,3Deutsche Börse 40 181,3 34 303,9 – –Euronext 77 544,9 67 012,0 NA NAIrish SE 190,6 114,2 – –Istanbul SE 43 942,3 41 507,8 – –JSE 5 003,3 3 825,3 148,0 99,1Ljubljana SE 178,7 231,3 R 63,7 102,1London SE 51 415,5 40 868,9 – –Luxembourg SE 14,0 21,6 2,5 3,5Malta SE 13,3 9,1 – –OMX 19 657,5 15 961,3 152,2 104,2Oslo Børs 5 332,1 3 307,2 – –Swiss Exchange 14 637,8 12 065,8 70,4 47,2Tel Aviv SE 6 763,5 4 895,3 – –Warsaw SE 4 686,6 3 945,9 248,4 320,1Wiener Börse 1 612,3 813,9 – –

Exchange

EQUITY - 1.7

NA: Not Available – : Not Applicable R: Revised

ALSO ON NUMBER OF TRADES IN EQUITY SHARESAND INVESTMENT FUNDS – NEGOTIATED DEALS


Equit

y Mark

ets

Number of trades Number of tradesin equity shares in investment funds (in thousands) (in thousands)

2005 Total 2004 Total 2005 Total 2004 Total

AMERICAS

Lima SE 9,2 6,2 0,0 0,0Santiago SE – 0,2 – –

ASIA - PACIFIC

Australian SE 244,2 354,3 – –Jakarta SE 59,9 78,9 – –New Zealand Exchange 102,2 96,5 3,2 3,3Philippine SE 0,1 0,1 – –


BME Spanish Exchanges 260,3 226,5 – –Borsa Italiana 86,5 19,3 0,0 0,0Budapest SE 54,1 0,04 – –Deutsche Börse 47 554,9 38 577,5 – –Euronext 730,8 672,4 NA NAIrish SE 205,5 185,8 – –Istanbul SE 950,6 1 674,8 – –JSE 60,7 86,1 0,7 0,8Ljubljana SE 0,6 0,5 R 0,1 0,2London SE 14 873,7 12 714,0 – –OMX 1 857,4 1 160,3 541,1 320,6Oslo Børs 128,7 98,6 – –Swiss Exchange 1 464,2 770,4 0,8 1,0Tel Aviv SE 25,1 0,0 – –Warsaw SE 96,5 0,8 0,4 0,1

Exchange

EQUITY - 1.8

NA: Not Available E: Estimated

TURNOVER VELOCITY OF DOMESTIC SHARES

Turnover velocity ratios have been calculated with monthly movingaverages.EURONEXT: Alternext market data are not included.JSE: share trading and market capitalization used to compute thevelocity ratio include all companies.

KOREA EXCHANGE: 2004 and 2005 figures include data from Kosdaqmarket following the integration of Korea Exchange. SWISS EXCHANGE: share trading used to compute the velocity ratioalso includes Virt-x. SINGAPORE EXCHANGE: share trading and market capitalizationused to compute the velocity ratio include all companies.


8 0

2005 2004Exchange Turnover Velocity Turnover Velocity

AMERICAS

Bermuda SE 3,5% 3,0%Buenos Aires SE 11,2% 12,5%Colombia SE 24,1% 10,2%Lima SE 10,1% 7,8%Mexican Exchange 27,2% 30,0%Nasdaq 250,4% 249,5%NYSE 99,1% 89,8%Santiago SE 14,8% 12,7%Sao Paulo SE 42,8% 43,0%TSX Group 69,2% 66,2%

ASIA - PACIFIC

Australian SE 84,0% 81,1%Bombay SE 35,4% 43,1%Bursa Malaysia 28,3% 33,8%Colombo SE 19,0% 16,4%Hong Kong Exchanges 50,3% 57,7%Jakarta SE 54,7% 44,9%Korea Exchange 206,9% 147,2%National Stock Exchange India 75,6% 101,5%New Zealand Exchange 43,5% 42,8%Osaka SE 8,5% 5,9%Philippine SE 19,7% 14,3%Shanghai SE 82,1% 87,0%Shenzhen SE 128,9% 120,5%Singapore Exchange 48,4% 60,8%Taiwan SE Corp. 131,4% 177,3%Thailand SE 80,7% 110,8%Tokyo SE 115,3% 97,1%


Athens Exchange 48,8% 40,5%BME Spanish Exchanges 161,2% 187,1%Borsa Italiana 160,0% 134,9%Budapest SE 73,7% 62,6%Cairo & Alexandria SEs 73,8% 16,9%Cyprus SE 12,9% 5,9%Deutsche Börse 149,4% 133,7%Euronext 112,8% 115,0%Irish SE 59,5% 48,1%Istanbul SE 169,9% 197,1%JSE 44,6% 47,2%Ljubljana SE 14,0% 13,9%London SE 110,1% 116,6%Luxembourg SE 0,5% 0,9%Malta SE 4,3% 4,0%Mauritius SE 13,1% 4,8%OMX 116,7% 108,8% EOslo Børs 118,8% 103,6%Swiss Exchange 114,7% 100,5%Tehran SE 18,7% 33,5%Tel Aviv SE 46,1% 40,2%Warsaw SE 38,7% 34,1%Wiener Börse 41,6% 34,9%

EQUITY - 1.9


MARKET CONCENTRATION OF 5% MOST CAPITALIZEDAND MOST TRADED DOMESTIC COMPANIES

Market concentration of 5% of the largest companies by market capitalization compared with total domestic market capitalizationand trading value.



TSX GROUP: Toronto Exchange only.



Equit

y Mark

ets

2005 2004

Exchange 5% market 5% trading Number of 5% market 5% trading Number of Value Value Companies Value Value Companies

AMERICAS

American SE 51,7% 7,7% 25 54,2% 9,4% 25Bermuda SE 58,6% 75,6% 1 56,5% 71,3% 1Buenos Aires SE 67,1% 61,4% 5 64,3% 68,6% 5Colombia SE 39,5% 55,2% 5 33,0% 23,9% 5Lima SE 62,2% 60,0% 10 54,6% 53,2% 10Mexican Exchange 58,9% 64,2% 8 56,4% 62,7% 8Nasdaq 59,2% 78,9% 143 59,3% 68,8% 146NYSE 54,8% 38,3% 91 55,8% 37,8% 92Santiago SE 49,0% 56,4% 12 48,5% 56,7% 12Sao Paulo SE 65,0% 61,3% 19 62,0% 61,3% 19TSX Group 66,0% 64,5% 75 63,1% 65,9% 69

ASIA - PACIFIC

Australian SE 84,2% 90,9% 82 79,8% 83,1% 76Bombay SE 86,4% 72,8% 236 89,2% 91,1% 235Bursa Malaysia 67,8% 49,8% 51 64,8% 40,7% 48Colombo SE 54,7% 48,5% 12 45,8% 47,9% 12Hong Kong Exchanges 79,5% 74,7% 56 78,6% 73,0% 54Jakarta SE 66,6% 68,5% 17 68,4% 66,7% 17Korea Exchange 65,1% 47,9% 81 78,0% 57,2% 79National Stock Exchange India 64,0% 48,5% 44 66,7% 68,8% 41New Zealand Exchange 53,4% 72,7% 8 50,3% 71,2% 8Osaka SE 56,3% 65,6% 53 56,7% 71,7% 55Philippine SE 64,7% 61,2% 12 68,3% 74,4% 12Shanghai SE 49,9% 31,7% 42 46,0% 30,8% 42Shenzhen SE 32,1% 28,7% 27 27,7% 27,2% 27Singapore Exchange 48,3% 56,3% 23 68,3% 65,5% 30Taiwan SE Corp. 60,8% 47,9% 35 60,6% 46,2% 35Thailand SE 63,7% 47,4% 25 61,5% 47,2% 23Tokyo SE 56,4% 53,9% 116 56,9% 59,2% 114


Athens Exchange 72,9% 76,9% 18 72,4% 71,5% 18Borsa Italiana 60,5% 66,2% 14 61,9% 70,7% 13Budapest SE 62,0% 72,2% 2 62,8% 68,1% R 2Cairo & Alexandria SEs 62,9% 61,7% 37 72,7% 66,9% 40Cyprus SE 74,4% 78,4% 7 61,4% 72,3% 7Deutsche Börse 73,3% 78,9% 34 73,2% 76,8% 34Euronext 68,0% 59,5% 48 68,8% 62,3% 50Irish SE 43,3% 43,7% 3 50,9% 50,6% 3Istanbul SE 60,6% 49,9% 15 63,2% 58,7% 15JSE 34,7% 65,7% 18 53,8% 85,3% 19Ljubljana SE 52,7% 26,7% 6 50,1% 37,3% 7London SE 85,7% 85,9% 138 82,2% 84,3% 124Luxembourg SE 55,4% 38,2% 2 52,6% 11,7% 2Malta SE 87,2% 92,3% NA 85,5% 90,2% NAMauritius SE 36,2% 43,4% 2 36,7% 45,9% 2OMX 67,3% 78,8% 33 69,7% 84,2% 33Oslo Børs 69,5% 69,4% 10 71,2% 74,5% 8Swiss Exchange 76,2% 72,4% 14 76,0% 83,6% 14Tehran SE 52,1% 53,1% 21 57,6% 53,8% 21Tel Aviv SE 64,0% 68,1% 29 65,5% 67,0% 29Warsaw SE 68,6% 71,7% 12 67,4% 67,1% 11Wiener Börse 53,7% 63,1% 5 62,3% 77,3% 7

EQUITY - 1.9

R: Revised

MARKET CONCENTRATION OF 10 MOST CAPITALIZEDAND MOST TRADED DOMESTIC COMPANIES

Market concentration of 10 largest companies by market capitaliza-tion compared with total domestic market capitalization and trading value.



TSX GROUP: Toronto Exchange only.


8 2

2005 2004Market Turnover Market Turnover

Exchange Cap. of Value of Cap. of Value ofTop 10 Top 10 Top 10 Top 10

Companies Companies Companies Companies

AMERICAS

American SE 37,8% 6,4% 41,0% 7,4%Bermuda SE 97,9% 93,0% 96,1% 98,4%Buenos Aires SE 80,6% 79,9% 79,3% 81,6%Colombia SE 62,8% 74,5% 54,3% 40,9%Lima SE 62,2% 60,0% 54,6% 53,2%Mexican Exchange 63,5% 70,5% 62,0% 68,7%Nasdaq 28,8% 34,0% 30,2% 27,0%NYSE 18,6% 9,3% 19,6% 9,9%Santiago SE 45,6% 49,6% 44,5% 51,5%Sao Paulo SE 52,4% 48,8% 49,0% 47,3%TSX Group 24,1% 23,0% 23,7% 24,3%

ASIA - PACIFIC

Australian SE 37,1% 38,6% 39,0% 42,5%Bombay SE 34,0% 2,5% 35,9% 45,5%Bursa Malaysia 36,8% 26,8% 36,0% 11,9%Colombo SE 51,1% 44,8% 41,7% 37,5%Hong Kong Exchanges 51,6% 43,8% 52,2% 39,5%Jakarta SE 53,2% 54,1% 55,5% 55,2%Korea Exchange 40,2% 38,7% 49,6% 33,2%National Stock Exchange India 36,5% 20,4% 38,2% 26,8%New Zealand Exchange 59,9% 76,4% 56,0% 75,6%Osaka SE 26,7% 32,5% 25,0% 44,9%Philippine SE 60,8% 57,2% 65,1% 70,4%Shanghai SE 32,6% 15,2% 29,0% 15,0%Shenzhen SE 17,6% 16,9% 14,7% 14,4%Singapore Exchange 39,2% 39,2% 47,8% 40,3%Taiwan SE Corp. 34,9% 26,5% 35,0% 24,7%Thailand SE 47,1% 28,8% 44,8% 25,3%Tokyo SE 18,1% 17,3% 18,1% 20,7%


Athens Exchange 57,6% 65,7% 60,1% 61,9%BME Spanish Exchanges 41,5% 52,4% 43,8% 53,6%Borsa Italiana 54,5% 59,4% 56,9% 65,6%Budapest SE 95,5% 96,2% 95,3% 97,2% RCairo & Alexandria SEs 47,3% 47,6% 48,3% 51,1%Cyprus SE 78,0% 81,4% 71,8% 74,9%Deutsche Börse 45,0% 49,6% 46,1% 49,4%Euronext 31,7% 29,2% 32,7% 28,9%Irish SE 81,7% 80,8% 84,3% 85,0%Istanbul SE 50,8% 41,4% 53,3% 49,7%JSE 44,1% 91,7% 39,4% 68,1%Ljubljana SE 63,8% 30,2% 59,5% 41,7%London SE 40,9% 29,6% 40,2% 32,8%Luxembourg SE 92,9% 85,3% 91,3% 93,8%Malta SE 99,0% 99,2% 98,5% 96,4%Mauritius SE 86,3% 92,6% 85,4% 85,1%OMX 41,6% 50,0% 43,5% 57,6%Oslo Børs 69,5% 69,4% 73,9% 79,4%Swiss Exchange 69,7% 66,8% 69,9% 70,8%Tehran SE 37,0% 38,8% 40,5% 36,9%Tel Aviv SE 47,6% 47,7% 45,8% 44,3%Warsaw SE 65,1% 67,9% 65,9% 65,1%Wiener Börse 71,3% 79,3% 67,9% 84,1%

EQUITY - 1.10

NA: Not Available E : Estimated R: Revised

INVESTMENT FLOWS - NEW CAPITAL RAISED BY SHARES

EURONEXT: Alternext market data are not included.KOREA EXCHANGE: 2004 and 2005 figures include data from Kosdaqmarket following the integration of Korea Exchange.TSX GROUP: all group.



Equit

y Mark

ets

(USD millions)

2005 2004Initial Secondary Initial Secondary

Exchange Public Public Total Public Public TotalOfferings Offerings Offerings Offerings

AMERICAS

American SE NA NA NA 765,6 0,0 765,6Bermuda SE NA 9,8 9,8 NA 11,6 11,6 RBuenos Aires SE 0,0 1 178,7 1 178,7 0,0 201,0 201,0Colombia SE 597,8 282,9 880,6 0,0 20,2 20,2Lima SE 0,0 477,0 477,0 0,0 241,6 241,6Mexican Exchange 129,1 0,0 129,1 150,8 829,9 980,7Nasdaq 12 192,6 NA 12 192,6 15 019,0 NA 15 019,0NYSE 44 115,5 130 913,0 175 028,6 54 519,7 93 413,9 147 933,6Santiago SE 485,8 1 936,6 2 422,4 258,4 942,1 1 200,5Sao Paulo SE 2 028,5 8 857,2 10 885,7 259,3 3 528,2 3 787,5TSX Group 12 780,9 30 412,2 43 193,1 12 197,0 26 874,5 39 071,6

Total Region 246 397,6 209 232,8

ASIA - PACIFIC

Australian SE 18 050,3 15 160,4 33 210,7 10 815,6 14 568,5 25 384,0Bombay SE 1 318,9 7 179,2 8 498,1 2 918,1 392,4 3 310,5Bursa Malaysia 1 088,4 908,0 1 996,3 874,3 1 060,0 1 934,3Colombo SE 6,0 5,4 11,4 57,0 52,5 109,5Hong Kong Exchanges 21 291,4 17 039,5 38 330,8 12 474,1 23 655,1 36 129,2Jakarta SE 363,5 621,1 984,6 238,6 467,5 706,0Korea Exchange 2 182,8 2 600,7 4 783,4 10 952,3 3 941,2 14 893,5National Stock Exchange India 1 980,7 8 587,8 10 568,5 6 182,7 2 186,8 8 369,5New Zealand Exchange 429,1 987,9 1 417,0 823,4 722,7 1 546,2Osaka SE 289,7 6 224,4 6 514,1 271,8 5 159,5 5 431,3Philippine SE 543,0 398,3 941,3 19,8 24,4 44,2Shanghai SE 348,9 3 314,8 3 663,8 2 866,3 2 653,9 5 520,3Shenzhen SE 355,5 14,7 370,1 1 404,1 971,4 2 375,4Singapore Exchange 3 906,8 1 557,9 5 464,6 2 141,2 674,5 2 815,7Taiwan SE Corp. 170,2 2 052,6 2 222,7 4 525,3 1 438,4 5 963,7Thailand SE 1 052,5 2 562,1 3 614,6 982,3 1 276,7 2 259,0Tokyo SE NA 24 603,2 24 603,2 NA 25 902,0 25 902,0

Total Region 147 195,4 142 694,4


Athens Exchange 1 568,6 3 478,0 5 046,6 118,8 552,6 671,4BME Spanish Exchanges 7 771,3 1 125,1 8 896,3 26 969,6 11 617,0 38 586,5Borsa Italiana 12 904,6 1 842,5 14 747,1 3 274,7 15 689,3 18 964,0Budapest SE 6,8 10,9 17,7 7,1 69,9 77,0Cairo & Alexandria SEs 1 324,4 914,8 2 239,2 0,0 851,7 851,7Cyprus SE 0,0 264,1 264,1 1,6 190,9 192,5Deutsche Börse 4 857,0 1,2 4 858,3 7,5 2 485,5 2 493,0Euronext 21 222,9 44 726,3 65 949,3 11 679,1 33 198,1 44 877,2Irish SE 1 262,6 115,2 1 377,8 1 368,5 420,9 1 789,4Istanbul SE 1 757,4 409,3 2 166,7 502,0 726,8 1 228,8 RJSE 0,0 12 964,2 12 964,2 0,0 6 533,2 6 533,2Ljubljana SE 8,8 105,6 114,4 107,2 0,0 107,2London SE 31 169,0 20 669,0 51 838,0 13 831,2 18 649,2 32 480,4Luxembourg SE 3 873,2 38,4 3 911,7 708,7 4 253,0 4 961,7Malta SE 0,0 72,1 72,1 0,0 1,9 1,9OMX 2 344,4 3 122,4 5 466,8 1 196,8 3 982,6 5 179,4 EOslo Børs 2 089,1 2 319,8 4 408,9 1 078,2 312,5 1 390,8Swiss Exchange 2 670,3 NA 2 670,3 1 903,1 NA 1 903,1Tehran SE 745,4 2 908,3 3 653,7 683,4 2 117,4 2 800,8Tel Aviv SE 526,7 2 767,9 3 294,6 370,4 3 249,1 3 619,5Warsaw SE 512,6 1 718,8 2 231,4 2 535,5 1 002,6 3 538,1Wiener Börse 5 596,8 1 120,1 6 716,8 2 366,0 2 356,0 4 721,9

Total Region 202 906,1 176 969,6

WFE Total 596 499,1 528 896,8

EQUITY - 1.11

NA: Not Available – : Not Applicable

NUMBER OF COVERED WARRANTS LISTED AT YEAR-END, TRADING VALUEAND TOTAL NUMBER OF TRADES



THAILAND SE: one covered warrant expired in December 2004.


8 4

Number of covered warrants Trading value Number of tradeslisted at year-end (USD millions) (in thousands)

Exchange 2005 2004 2005 2004 2005 2004Total Total Total Total Total Total

AMERICAS

Mexican Exchange 26 13 150,2 72,4 2,0 1,3TSX Group 66 60 938,0 714,6 116,7 94,8

ASIA - PACIFIC

Australian SE 2 447 1 771 4 985,9 2 810,4 542,8 364,7Bursa Malaysia 12 10 277,4 629,5 NA NAHong Kong Exchanges 1 304 863 110 168,3 67 336,6 11 437,9 8 703,6Korea Exchange 72 3 41,0 5,8 228,1 0,0New Zealand Exchange 21 – 44,6 – 3,2 –Shanghai SE 4 – 21 548,0 – 12 685,5 –Singapore Exchange 455 146 6 521,2 931,1 NA NATaiwan SE Corp. 540 191 4 423,6 6 251,6 8 009,7 7 756,9Thailand SE - 1 – 3 060,0 – 886,3


BME Spanish Exchanges 1 344 1 308 2 654,4 2 273,8 NA NABorsa Italiana 4 076 3 021 62 158,9 20 948,2 4 226,7 3 796,5Deutsche Börse 69 457 46 627 170 516,1 107 599,2 16 237,4 11 693,5Euronext 4 913 4 991 16 413,6 5 693,1 2 170,8 2 158,5JSE 321 210 649,7 351,4 151,7 81,3London SE 213 644 609,9 813,8 58,6 49,2Luxembourg SE 2 821 2 414 5,3 107,5 0,03 0,1OMX 1 463 1 797 1 811,1 1 898,7 396,3 411,3Oslo Børs 84 72 79,1 47,6 9,3 10,7Swiss Exchange 6 246 3 682 25 868,6 20 246,5 1 184,8 1 086,9Warsaw SE 0 29 0,1 1,6 1,6 3,8Wiener Börse 1 563 493 162,6 17,9 15,9 3,3

EQUITY - 1.12


NUMBER OF ETFS LISTED AT YEAR-END, TRADING VALUEAND TOTAL NUMBER OF TRADES





Equit

y Mark

ets

Number of ETFs Trading value Number of tradeslisted at year-end (USD millions) (in thousands)

Exchange2005 2004 2005 2004 2005 2004Total Total Total Total Total Total

AMERICAS

American SE 133 145 315 900,0 406 828,4 NA NALima SE 3 3 3,6 7,4 0,05 0,1Mexican Exchange 26 12 1 261,2 1 183,1 2,7 0,6NYSE 64 18 30 001,4 11 770,3 536,0 221,7Sao Paulo SE 1 1 208,1 52,5 19,8 7,1TSX Group 21 17 21 443,6 18 106,5 429,0 318,8

ASIA - PACIFIC

Australian SE 9 7 752,8 1 080,6 5,9 3,7Bombay SE 1 1 0,7 5,6 2,7 1,6Bursa Malaysia 1 – 12,5 – NA –Hong Kong Exchanges 10 7 2 673,7 3 016,9 110,0 159,0Korea Exchange 5 3 2 601,6 2 459,7 513,2 456,3National Stock Exchange India 5 5 118,4 56,6 12,2 11,9New Zealand Exchange 6 6 63,8 55,6 6,2 5,8Osaka SE 3 3 11 642,4 9 120,7 NA NAShanghai SE 1 – 5152,1 – 940,0 –Singapore Exchange 7 6 20,6 25,7 NA NATaiwan SE Corp. 1 1 2 468,3 2 386,5 125,4 177,4Tokyo SE 11 13 23 512,8 18 164,9 NA NA


Borsa Italiana 30 20 13 699,1 4 017,5 360,4 133,3Deutsche Börse 77 54 65 049,0 45 187,3 309,8 268,3Euronext 95 53 24 319,9 17 877,9 173,5 135,0Irish SE 1 – 110,8 – 0,7 –Istanbul SE 2 – 1 670,1 – 91,1 –JSE 7 5 1 215,7 227,6 12,6 10,0OMX 11 8 6 451,7 5 118,6 10,1 4,5Oslo Børs 2 – 28,2 – 0,5 –Swiss Exchange 34 33 8 636,8 8 511,5 76,9 52,7Tel Aviv SE 39 17 5 167,3 2 147,1 328,0 61,8Wiener Börse 11 – 48,4 – 0,2 –


Fixed

-Inco

me M

arkets

Fixed-Income - 2.1


VALUE OF BONDS LISTED

BORSA ITALIANA: notional value.BOMBAY SE: notional value. Domestic public and private sectorsconcern corporate debt securities only. CAIRO AND ALEXANDRIA STOCK EXCHANGES: notional value.COLOMBIA SE: notional value.COLOMBO SE: notional value.HONG KONG EXCHANGES: notional value.ISTANBUL SE: notional value.

KOREA EXCHANGE: notional value.LONDON SE: notional value.NEW ZEALAND EXCHANGE: notional value.OSLO BØRS: notional value.SAO PAULO SE: notional value.TOKYO SE: notional value.TSX GROUP: debentures, Toronto Exchange only.WIENER BÖRSE: notional value.


8 8

(USD millions)

2005 2004

ExchangeTotal Domestic Domestic Foreign Total Domestic Domestic Foreign

private public private public sector sector sector sector

AMERICAS

Bermuda SE 479,5 275,0 0,0 204,5 425,0 125,0 0,0 300,0Buenos Aires SE 105 531,5 3 548,2 99 495,4 2 487,9 56 336,8 3 390,1 50 413,8 2 532,9Colombia SE 56 200,4 16 932,6 38 512,6 755,2 43 423,7 15 937,2 26 763,9 722,6Lima SE 7 484,2 4 006,4 3 342,5 135,3 5 338,4 3 251,7 1 844,9 241,8Mexican Exchange 40 780,8 27 168,2 13 517,0 95,6 29 245,4 23 443,8 5 801,7 0,0NYSE 968 029,0 160 381,0 744 697,0 62 951,0 1 079 531,0 178 664,0 825 719,0 75 148,0Sao Paulo SE 17 255,1 14 248,8 3 006,3 0,0 8 454,1 R 6 137,0 2 317,1 0,0TSX Group 8 218,1 0,0 8 218,1 0,0 6 571,2 0,0 6 571,2 0,0

Total region 1 203 978,5 1 229 325,6

ASIA - PACIFIC

Australian SE 85 861,2 38 659,0 47 202,2 NA 54 000,9 NA 54 000,9 NABombay SE 18 297,6 2 515,6 15 781,9 0,0 14 396,1 R 1 584,8 12 811,4 0,0Bursa Malaysia 1 391,5 1 391,5 0,0 0,0 1 905,7 1 905,7 0,0 0,0Colombo SE 107,1 104,8 2,3 0,0 130,6 126,4 4,1 0,0Hong Kong Exchanges 55 464,2 9 639,4 23 117,8 22 707,0 57 542,6 8 623,0 21 106,6 27 813,0Korea Exchange 714 294,7 106 149,7 607 892,7 252,3 639 555,8 111 739,0 527 560,8 256,0National Stock Exchange India 344 223,0 10 917,0 333 207,4 98,6 328 388,8 8 953,7 319 337,3 97,8New Zealand Exchange 24 185,7 4 860,6 19 053,9 271,2 22 262,1 4 475,8 17 655,4 130,9Osaka SE 4 807 649,7 12 177,2 4 795 472,5 0,0 5 152 626,4 25 132,3 5 127 494,0 0,0Shanghai SE 181 588,8 16 940,5 164 648,3 0,0 104 670,6 R 9 915,8 94 754,8 0,0Shenzhen SE 2 734,5 2 290,8 443,7 0,0 2 949,2 R 2 586,5 362,7 0,0Singapore Exchange 245 460,5 NA NA NA 281 000,5 NA NA NATaiwan SE Corp. 95 720,0 6,5 95 652,7 60,9 90 339,7 22,0 89 954,9 362,9Thailand SE 18 791,8 6 870,4 11 921,4 0,0 5 015,6 5 015,6 0,0 0,0Tokyo SE 4 730 812,1 15 693,2 4 715 118,8 0,0 5 018 864,8 36 100,3 4 981 157,9 1 606,5

Total region 11 326 582,5 11 773 649,4


Athens Exchange 211 046,5 1 896,6 209 149,9 0,0 214 632,2 1 268,2 213 364,1 0,0Borsa Italiana 1 978 524,5 69 536,4 1 371 676,0 537 312,1 2 153 783,1 78 741,2 1 501 101,7 573 940,3Budapest SE 36 881,3 4 463,4 32 417,9 0,0 38 933,1 R 4 498,5 34 434,6 0,0Cairo & Alexandria SEs 9 063,4 1 280,7 7 782,8 0,0 4 793,5 870,5 3 923,0 0,0Cyprus SE 5 958,9 564,1 5 394,8 0,0 5 399,1 619,0 4 780,1 0,0Irish SE 39 155,0 NA 39 155,0 NA 45 079,2 NA 45 079,2 NAIstanbul SE 187 536,8 0,0 187 536,8 0,0 135 162,0 0,0 135 162,0 0,0Ljubljana SE 7 136,1 1 472,4 5 663,6 0,0 6 277,4 1 198,8 5 078,5 0,0London SE 2 574 315,9 1 041 934,8 633 819,7 898 561,4 2 532 244,2 998 039,9 615 665,2 918 539,1Luxembourg SE 6 655 030,2 184 102,1 322,5 6 470 605,6 7 090 745,1 187 352,0 600,4 6 902 792,7Malta SE 3 915,4 444,9 3 470,5 0,0 4 010,0 591,0 3 419,0 0,0Mauritius SE 23,9 0,0 23,9 0,0 23,8 0,0 23,8 0,0OMX 686 293,9 442 191,6 244 102,4 NA 753 459,3 E 460 119,6 293 339,7 NAOslo Børs 74 186,8 35 037,3 38 571,2 578,3 90 117,9 51 289,8 37 782,0 1 046,1Swiss Exchange 368 633,4 91 223,2 102 615,5 174 794,7 414 688,2 R 112 349,8 114 705,8 187 632,6Tel Aviv SE 79 710,2 22 899,0 56 811,3 0,0 69 369,9 10 798,8 58 571,1 0,0Warsaw SE 88 386,0 52,3 87 987,0 346,7 75 858,2 R 156,3 75 436,3 265,6Wiener Börse 223 345,1 73 707,2 141 053,3 8 584,6 229 255,1 73 543,6 149 120,6 6 591,0

Total region 13 229 143,3 13 863 831,3

WFE Total 25 759 704,3 26 866 806,3

Fixed-Income - 2.2

R: Revised

NUMBER OF BOND ISSUERS

BOMBAY SE: domestic public and private sectors concern corporatedebt securities only.

CAIRO AND ALEXANDRIA STOCK EXCHANGES: domestic public sectoris the Government, sole entity in charge of issuing this type of bonds.TSX GROUP: debentures, Toronto Exchange only.



Fixed

-Inco

me M

arkets

(USD millions)

2005 2004 Exchange Total Domestic Domestic Foreign Total Domestic Domestic Foreign


AMERICAS

American SE 9 9 0 0 13 12 1 0Bermuda SE 7 4 0 3 4 2 0 2Buenos Aires SE 122 95 26 1 120 93 26 1Colombia SE 238 204 30 4 228 194 30 4Lima SE 62 57 1 4 60 56 1 3Mexican Exchange 159 125 33 1 115 97 18 0NYSE 211 165 7 39 228 171 7 50Santiago SE 128 118 10 0 122 112 10 0Sao Paulo SE 74 68 6 0 60 54 6 0TSX Group 92 0 92 0 83 0 83 0

ASIA - PACIFIC

Australian SE 88 70 4 14 50 31 4 15Bombay SE 33 17 16 0 65 R 36 29 0Bursa Malaysia 61 61 0 0 60 60 0 0Colombo SE 13 12 1 0 13 12 1 0Hong Kong Exchanges 62 28 8 26 52 15 8 29Korea Exchange 838 758 78 2 723 R 649 72 2National Stock Exchange India 150 85 64 1 148 88 59 1New Zealand Exchange 45 40 1 4 41 R 38 1 2Osaka SE 38 36 2 0 58 56 2 0Shanghai SE 55 54 1 0 17 16 1 0Shenzhen SE 21 20 1 0 20 19 1 0Taiwan SE Corp. 11 7 3 1 16 9 4 3Thailand SE 25 22 3 0 15 15 0 0Tokyo SE 100 99 1 0 151 147 2 2


Athens Exchange 24 3 21 0 48 R 16 32 0Borsa Italiana 55 33 4 18 57 38 4 15Budapest SE 13 12 1 0 13 12 1 0Cairo & Alexandria SEs 15 14 1 0 19 18 1 0Cyprus SE 6 5 1 0 6 5 1 0Deutsche Börse 773 150 36 587 698 148 39 511Euronext 740 381 52 307 695 369 61 265Irish SE 1 605 275 5 1 325 1 070 158 5 907Istanbul SE 2 0 2 0 2 0 2 0Ljubljana SE 29 26 3 0 27 24 3 0London SE 1 613 923 55 635 1 594 943 57 594Luxembourg SE 3 288 196 2 3 090 3 377 185 2 3 190Malta SE 60 19 41 0 65 21 44 0Mauritius SE 2 1 1 0 2 1 1 0OMX 813 773 8 32 774 737 9 28Oslo Børs 201 133 59 9 202 125 70 7Swiss Exchange 344 95 24 225 401 R 120 27 254Tel Aviv SE 153 151 1 1 87 86 1 0Warsaw SE 7 4 1 2 7 5 1 1Wiener Börse 216 157 8 66 196 R 136 7 65

Fixed-Income - 2.3


NUMBER OF BONDS LISTED

TSX GROUP: debentures, Toronto Exchange only.


9 0

(USD millions)

2005 2004

Exchange Total Domestic Domestic Foreign Total Domestic Domestic Foreignprivate public private public sector sector sector sector

AMERICAS

American SE 15 15 0 0 19 19 0 0Bermuda SE 7 4 0 3 47 2 0 45Buenos Aires SE 852 624 226 2 668 460 206 2Colombia SE 435 227 204 4 417 209 204 4Lima SE 314 266 8 40 313 262 46 5Mexican Exchange 159 NA NA NA 391 342 49 0Santiago SE 5 063 3 207 1 856 0 4 595 R 2 606 1 989 0Sao Paulo SE 139 114 25 0 114 114 0 0TSX Group 169 0 169 0 143 0 143 0

ASIA - PACIFIC

Australian SE 293 156 108 29 283 100 152 31Bombay SE NA NA NA NA 1 404 403 1 001 0Bursa Malaysia 72 72 0 0 73 73 0 0Colombo SE 194 44 150 0 43 43 0 0Hong Kong Exchanges 166 NA NA NA 186 22 92 72Korea Exchange 8 420 2 440 5 973 7 8 740 2 460 6 273 7National Stock Exchange India 3 138 601 2 536 1 2 938 493 2 444 1New Zealand Exchange 99 87 9 3 88 76 9 3Osaka SE 293 35 258 0 310 67 243 0Shanghai SE 108 65 43 0 53 24 29 0Shenzhen SE 65 23 42 0 50 22 28 0Singapore Exchange 525 NA NA NA 403 NA NA NATaiwan SE Corp. 96 7 88 1 98 9 86 3Thailand SE 92 73 19 0 39 39 0 0Tokyo SE 376 118 258 0 421 176 243 2


Athens Exchange 117 57 60 0 126 63 63 0BME Spanish Exchanges 3 285 2843 388 54 2 939 2 503 378 58Borsa Italiana 479 261 108 110 443 264 118 61Budapest SE 96 76 20 0 84 60 24 0Cairo & Alexandria SEs 156 23 133 0 118 25 93 0Cyprus SE 74 13 61 0 74 12 62 0Deutsche Börse 10 848 7 496 1 161 2 191 8 240 5 714 1 039 1 487Euronext 3 503 NA 356 3 147 3 433 1 945 621 867Irish SE 9 709 2 229 30 7 450 6 206 1 127 32 5 047Istanbul SE 182 0 182 0 206 0 206 0Ljubljana SE 99 67 32 0 101 60 41 0London SE 11 009 6 159 128 4 722 10 243 5 728 127 4 388Luxembourg SE 26 782 1 749 4 25 029 24 292 1 474 5 22 813Malta SE 67 26 41 0 72 28 44 0Mauritius SE 6 1 5 0 7 1 6 0OMX 4 318 3 787 345 186 4 578 4 054 315 209Oslo Børs 837 598 203 36 861 590 258 13Swiss Exchange 1 214 438 139 637 1 227 487 155 585Tel Aviv SE 282 228 54 0 210 141 69 0Warsaw SE 76 9 63 4 81 16 61 4Wiener Börse 2 724 2 384 135 205 2 846 130 2 524 192

Fixed-Income - 2.4


NUMBER OF NEW BONDS LISTED

BOMBAY SE: domestic public and private sectors concern corporatedebt securities only.TSX GROUP: debentures, Toronto Exchange only.



Fixed

-Inco

me M

arkets

(USD millions)

2005 2004


AMERICAS

American SE 3 3 0 0 2 2 0 0Bermuda SE 5 2 0 3 0 0 0 0Buenos Aires SE 343 262 81 0 351 254 97 0Colombia SE 39 37 1 1 55 17 35 3Lima SE 67 58 6 3 78 64 13 1Mexican Exchange 163 146 16 1 142 131 11 0Santiago SE 675 641 34 0 716 R 686 30 0Sao Paulo SE 57 51 6 0 55 R 51 4 0TSX Group 45 0 45 0 41 0 41 0

ASIA - PACIFIC

Australian SE 58 55 3 0 55 47 2 6Bombay SE 361 199 162 0 1 045 R 180 865 0Bursa Malaysia 12 12 0 0 10 10 0 0Colombo SE 2 2 0 0 12 12 0 0Hong Kong Exchanges 32 13 16 3 52 17 29 6Korea Exchange 1 534 1 164 366 4 3 540 R 1 288 2 247 5National Stock Exchange India 638 299 339 0 1 631 305 1 325 1New Zealand Exchange 25 22 1 2 24 22 1 1Osaka SE 45 0 45 0 47 5 42 0Shanghai SE 40 25 15 0 21 R 13 8 0Shenzhen SE 19 4 15 0 18 10 8 0Singapore Exchange 714 NA NA NA 256 NA NA NATaiwan SE Corp. 11 0 11 0 14 1 13 0Thailand SE 56 37 19 0 21 21 0 0Tokyo SE 54 9 45 0 64 22 42 0


Athens Exchange NA NA NA NA 13 4 9 0Borsa Italiana 136 NA NA NA 92 35 51 6Budapest SE 133 87 46 0 100 R 54 46 0Cairo & Alexandria SEs 25 7 18 0 14 2 12 0Cyprus SE 25 3 22 0 26 2 24 0Euronext 511 318 33 160 590 467 26 97Irish SE 4 057 1 214 0 2 843 2 721 683 2 2 036Istanbul SE 85 0 85 0 97 0 97 0Ljubljana SE 24 21 3 0 17 14 3 0London SE 2 776 1 099 127 1 550 2 430 1 170 26 1 234Luxembourg SE 6 967 537 0 6 430 6 936 571 0 6 365Malta SE 8 0 8 0 8 0 8 0Mauritius SE 2 0 2 0 3 0 3 0OMX 976 813 85 78 791 642 77 72Oslo Børs 189 173 6 10 192 168 13 11Swiss Exchange 222 NA NA NA 163 41 15 107Tel Aviv SE 87 85 1 1 43 35 8 0Warsaw SE 19 6 12 1 32 18 14 0Wiener Börse 567 NA NA NA 837 NA NA NA

Fixed-Income - 2.5

NA: Not Available

TOTAL VALUE OF BOND TRADING - 2005

Converted with average year exchange rates.The sale & purchase of a bond are counted as one transaction.


9 2

(USD millions)

2005

Exchange Total Domestic Domestic Foreignprivate sector public sector

AMERICAS

Buenos Aires SE 34 085,9 1 245,4 32 839,9 0,7Colombia SE 472 518,1 55 185,7 416 585,3 747,0Lima SE 941,0 541,9 388,5 10,6Mexican Exchange 206,1 NA NA NANYSE 951,4 940,7 0,0 10,7Santiago SE 128 828,2 NA NA NASao Paulo SE 834,5 807,5 27,0 0,0TSX Group 3 645,8 0,0 3 645,8 0,0

ASIA - PACIFIC

Australian SE 902,7 902,7 NA NABombay SE 3 066,8 0,0 3 066,8 0,0Bursa Malaysia 265,1 265,1 0,0 0,0Colombo SE 5,3 2,1 3,2 0,0Hong Kong Exchanges 1,4 0,0 1,4 0,0Korea Exchange 355 088,0 1 894,1 353 193,9 0,0National Stock Exchange India 138 202,8 3 309,2 134 827,8 65,8New Zealand Exchange 1 371,8 972,6 327,7 71,5Osaka SE 662,4 662,4 0,0 0,0Shanghai SE 39 346,5 5 457,8 33 888,7 0,0Shenzhen SE 2 804,2 2 708,4 95,8 0,0Singapore Exchange 6 734,3 NA NA NATaiwan SE Corp. 14,9 14,9 0,0 0,0Thailand SE 8,3 8,3 0,0 0,0Tokyo SE 6 075,6 6 069,1 6,4 0,0


Athens Exchange 49,7 49,7 0,0 0,0BME Spanish Exchanges 4 092 370,6 1 081 703,7 3 010 666,9 0,0Borsa Italiana 154 240,8 12 163,2 136 474,7 5 602,9Budapest SE 1 391,3 990,2 401,1 0,0Cairo & Alexandria SEs 1 531,1 27,9 1 503,3 0,0Cyprus SE 7,1 3,4 3,7 0,0Deutsche Börse 381 052,6 64 737,5 276 095,9 40 219,2Euronext 176 179,0 NA 112 868,3 63 310,7Irish SE 31 779,6 NA 31 779,6 NAIstanbul SE 531 062,6 0,0 531 062,6 0,0Ljubljana SE 1 534,1 182,6 1 351,5 0,0London SE 3 008 685,9 30 807,8 2 946 849,7 31 028,4Luxembourg SE 2 423,1 0,0 0,0 2 423,1Malta SE 171,3 17,5 153,8 0,0Mauritius SE 1,8 0,0 1,8 0,0OMX 3 100 530,8 1 419 411,8 1 678 763,7 2 355,3Oslo Børs 100 232,9 22 760,5 77 348,3 124,1Swiss Exchange 149 333,5 25 417,8 38 695,3 85 220,5Tel Aviv SE 72 956,7 11 680,8 61 275,9 0,0Warsaw SE 813,0 4,5 806,4 2,1Wiener Börse 425,4 363,8 30,9 30,7

BOMBAY SE: data include turnover of Wholesale Debt Segment andcorporate debt securities.TSX GROUP: debentures, Toronto Exchange only.

Fixed-Income - 2.5

NA: Not Available

TOTAL VALUE OF BOND TRADING - 2004



Fixed

-Inco

me M

arkets

(USD millions)

2004Exchange Total Domestic Domestic Investment % Change

private sector public sector Funds 2005/2004

AMERICAS

Buenos Aires SE 15 836,4 253,2 15 583,2 0,0 115,2%Colombia SE 235 322,0 25 088,3 194 503,5 15 730,1 100,8%Lima SE 880,6 517,6 342,4 20,6 6,9%Mexican Exchange 180,8 NA NA NA 14,0%NYSE 1 286,1 1 223,6 0,0 62,5 -26,0%Santiago SE 115 094,7 NA NA NA 11,9%Sao Paulo SE 578,5 578,5 0,0 0,0 44,2%TSX Group 2 779,6 0,0 2 779,6 0,0 31,2%

ASIA - PACIFIC

Australian SE 1 207,6 1 207,6 NA NA -25,3%Bombay SE 1 312,5 0,0 1 312,5 0,0 133,7%Bursa Malaysia 414,0 414,0 0,0 0,0 -36,0%Colombo SE 21,6 2,0 19,6 0,0 -75,4%Hong Kong Exchanges 5,3 0,0 5,3 0,0 -74,7%Korea Exchange 337 532,3 867,1 336 663,0 2,3 5,2%National Stock Exchange India 207 784,5 3 765,9 203 967,7 51,0 -33,5%New Zealand Exchange 1 279,4 920,9 348,3 10,1 7,2%Osaka SE 1 499,9 1 499,9 0,0 0,0 -55,8%Shanghai SE 36 939,3 1 158,4 35 780,9 0,0 6,5%Shenzhen SE 3 935,8 3 871,1 64,8 0,0 -28,8%Singapore Exchange 1 426,8 NA NA NA 372,0%Taiwan SE Corp. 119,8 119,8 0,0 0,0 -87,6%Thailand SE 16,0 16,0 0,0 0,0 -48,1%Tokyo SE 7 206,4 7 198,9 5,5 1,9 -15,7%


Athens Exchange 117,2 117,2 0,0 0,0 -57,6%BME Spanish Exchanges 3 553 064,4 706 898,8 2 846 165,6 0,0 15,2%Borsa Italiana 188 244,2 9 270,5 174 659,2 4 314,5 -18,1%Budapest SE 1 477,0 947,1 529,9 0,0 -5,8%Cairo & Alexandria SEs 467,9 8,4 459,5 0,0 227,3%Cyprus SE 16,9 6,1 10,8 0,0 -58,0%Deutsche Börse 442 056,3 72 160,4 329 832,8 40 063,1 -13,8%Euronext 231 775,2 93 345,6 138 429,5 0,0 -24,0%Irish SE 45 034,7 NA 45 034,7 NA -29,4%Istanbul SE 419 334,1 0,0 419 334,1 0,0 26,6%Ljubljana SE 591,4 53,8 537,6 0,0 159,4%London SE 2 793 040,3 23 033,1 2 748 025,5 21 981,8 7,7%Luxembourg SE 736,2 0,5 0,0 735,7 229,1%Malta SE 179,1 24,4 154,7 0,0 -4,3%Mauritius SE 7,0 0,0 7,0 0,0 -74,6%OMX 2 667 008,2 1 193 575,5 1 471 459,3 1 973,3 16,3%Oslo Børs 110 932,3 21 825,4 89 057,6 49,2 -9,6%Swiss Exchange 165 573,1 28 453,5 54 607,4 82 512,2 -9,8%Tel Aviv SE 51 742,5 3 616,2 48 126,2 0,0 41,0%Warsaw SE 1 151,5 68,9 1 053,9 28,6 -29,4%Wiener Börse 447,7 350,8 65,4 31,5 -5,0%

Fixed-Income - 2.5

NA: Not Available

ALSO ON VALUE OF BOND TRADING – ELECTRONIC ORDER BOOK TRADES




9 4

(USD millions)

2005 2004


AMERICAS

Buenos Aires SE 13 353,6 653,6 12 699,7 0,3 4 561,8 124,2 4 437,6 0,0Colombia SE 472 518,1 55 185,7 416 585,3 747,0 235 322,0 25 088,3 194 503,5 15 730,1Lima SE 203,2 147,0 47,5 8,7 293,3 218,1 72,6 2,7Mexican Exchange 206,1 NA NA NA 180,8 NA NA NASantiago SE 37 549,2 11 197,2 26 352,0 0,0 42 164,8 36 643,3 5 521,6 0,0Sao Paulo SE 834,5 807,5 27,0 0,0 578,5 578,5 0,0 0,0

ASIA - PACIFIC

Bursa Malaysia 88,1 88,1 0,0 0,0 181,7 181,7 0,0 0,0Colombo SE 5,3 2,1 3,2 0,0 21,6 2,0 19,6 0,0Hong Kong Exchanges 1,3 0,0 1,3 0,0 5,3 0,0 5,3 0,0Korea Exchange 355 088,0 1 894,1 353 193,9 0,0 337 530,0 867,1 336 663,0 0,0National Stock Exchange India 7 005,7 3 309,2 3 630,7 65,8 7 567,6 3 538,8 3 977,8 51,0New Zealand Exchange 163,5 150,2 0,5 12,8 130,1 126,3 0,3 3,5Osaka SE 1,2 1,2 0,0 0,0 11,2 11,2 0,0 0,0Shanghai SE 38 504,2 5 258,2 33 245,9 0,0 36 939,3 1 158,4 35 780,9 0,0Shenzhen SE 2 783,5 2 706,5 77,0 0,0 3 935,8 3 871,1 64,8 0,0Taiwan SE Corp. 14,9 14,9 0,0 0,0 119,8 119,8 0,0 0,0Thailand SE 8,3 8,3 0,0 0,0 13,7 13,7 0,0 0,0Tokyo SE 6 075,6 6 069,1 6,4 0,0 7 206,4 7 198,9 5,5 1,9


Athens Exchange 49,7 49,7 0,0 0,0 101,9 101,9 0,0 0,0BME Spanish Exchanges 281 594,6 485,7 281 108,9 0,0 500 756,9 420,9 500 336,0 0,0Borsa Italiana 154 240,8 12 163,2 136 474,7 5 602,9 188 244,2 9 270,5 174 659,2 4 314,5Budapest SE 1 217,2 816,1 401,1 0,0 1 400,1 870,3 529,9 0,0Cyprus SE 7,1 3,4 3,7 0,0 16,9 6,1 10,8 0,0Deutsche Börse 19,2 19,2 0,0 0,0 41,1 41,1 0,0 0,0Euronext 20 700,3 NA 5 662,7 15 037,6 24 653,3 17 755,9 6 897,4 0,0Istanbul SE 357 658,5 0,0 357 658,5 0,0 262 059,2 0,0 262 059,2 0,0Ljubljana SE 117,6 15,3 102,3 0,0 145,1 10,2 134,9 0,0Luxembourg SE 2 423,1 0,0 0,0 2 423,1 736,2 0,5 0,0 735,7Malta SE 171,3 17,5 153,8 0,0 179,1 24,4 154,7 0,0OMX 7 548,7 6 864,3 580,4 104,1 57 858,9 56 847,0 942,4 69,5Oslo Børs 14 760,3 1,6 14 758,7 0,0 18 908,6 3,7 18 904,9 0,0Swiss Exchange 36 781,2 4 694,2 4 913,9 27 173,0 41 702,5 5 401,4 7 779,1 28 521,9Tel Aviv SE 68 928,9 10 176,2 58 752,7 0,0 48 469,3 3 369,6 45 099,7 0,0Warsaw SE 747,6 4,5 740,9 2,1 1 072,2 65,6 1 006,5 0,0Wiener Börse 425,4 363,8 30,9 30,7 447,7 350,8 65,4 31,5

Fixed-Income - 2.5

NA: Not Available

ALSO ON VALUE OF BOND TRADING – NEGOTIATED DEALS





Fixed

-Inco

me M

arkets

(USD millions)

2005 2004



AMERICAS

Buenos Aires SE 20 732,3 591,8 20 140,2 0,3 11 274,6 129,0 11 145,6 0,0Lima SE 737,8 394,8 341,0 1,9 587,3 299,5 269,8 18,0Santiago SE 91 279,0 NA NA 0,0 72 929,9 NA NA 0,0

ASIA - PACIFIC

Bursa Malaysia 177,0 177,0 0,0 0,0 232,3 232,3 0,0 0,0Hong Kong Exchanges 0,1 0,0 0,1 0,0 0,1 0,0 0,1 0,0National Stock Exchange India 131 197,1 0,0 131 197,1 0,0 200 216,9 227,0 199 989,9 0,0New Zealand Exchange 1 208,4 822,4 327,2 58,8 1 149,3 794,6 348,0 6,7Osaka SE 661,2 661,2 0,0 0,0 1 488,7 1 488,7 0,0 0,0Shanghai SE 842,5 199,7 642,7 0,0 0,0 0,0 0,0 0,0Shenzhen SE 20,7 1,8 18,8 0,0 0,0 0,0 0,0 0,0Thailand SE 0,0 0,0 0,0 0,0 2,3 2,3 0,0 0,0


Athens Exchange 0,0 0,0 0,0 0,0 15,3 15,3 0,0 0,0BME Spanish Exchanges 3 810 776,0 1 081 218,0 2 729 558,0 0,0 3 052 307,5 706 477,9 2 345 829,6 0,0Budapest SE 43 170,2 43 170,2 0,0 0,0 19 225,3 19 225,3 0,0 0,0Deutsche Börse 381 033,5 64 718,4 276 095,9 40 219,2 442 015,2 72 119,3 329 832,8 40 063,1Euronext 155 478,7 NA 107 205,7 48 273,1 207 121,9 75 589,8 131 532,2 0,0Irish SE 31 779,6 NA 31 779,6 NA 45 034,7 NA 45 034,7 NAIstanbul SE 173 404,1 0,0 173 404,1 0,0 157 274,9 0,0 157 274,9 0,0Ljubljana SE 1 416,5 167,4 1 249,1 0,0 446,3 43,6 402,7 0,0London SE 3 008 685,9 30 807,8 2 946 849,7 31 028,4 2 793 040,3 23 033,1 2 748 025,5 21 981,8OMX 3 092 981,9 1 412 547,4 1 678 183,2 2 251,3 2 609 149,2 1 136 728,5 1 470 516,9 1 903,8Oslo Børs 85 472,6 22 758,8 62 589,7 124,1 92 023,6 21 821,7 70 152,7 49,2Swiss Exchange 112 552,3 20 723,5 33 781,3 58 047,5 123 871,4 23 052,0 46 828,3 53 991,1Tel Aviv SE 4 027,8 1 504,6 2 523,2 0,0 3 273,2 246,7 3 026,5 0,0Warsaw SE 65,5 0,0 65,5 0,0 73,5 3,3 47,4 22,7

Fixed-Income - 2.6

NA: Not Available

NUMBER OF TRADES IN BONDS

The sale & purchase of a bond are counted as one transaction. ISTANBUL SE: electronic order book trades are single counted ;negotiated deals are double side counted.TSX GROUP: debentures, Toronto Exchange only.


9 6

Total number of trades Electronic order book trades Negotiated deals(in thousands) (in thousands) (in thousands)

Exchange2005 2004 2005 2004 2005 2004Total Total Total Total Total Total

AMERICAS

Buenos Aires SE 466,3 363,3 283,6 204,7 182,7 158,6Colombia SE 919,8 655,6 919,8 655,6 0,0 0,0Lima SE 2,0 1,7 0,8 0,9 1,2 0,8Mexican Exchange 1,6 1,0 1,6 1,0 0,0 0,0NYSE 32,3 48,6 NA NA NA NASantiago SE 495,2 458,9 160,1 179,3 335,1 279,6Sao Paulo SE 0,6 0,3 0,6 0,3 0,0 0,0TSX Group 166,9 662,4 NA NA NA NA

ASIA - PACIFIC

Colombo SE 307,6 554,9 307,6 554,9 0,0 0,0Hong Kong Exchanges 0,1 0,2 0,1 0,2 0,0 0,0Korea Exchange 446,5 260,4 446,5 260,4 0,0 0,0National Stock Exchange India 112,5 166,0 36,2 37,3 76,3 128,7New Zealand Exchange 26,8 27,3 9,6 9,0 17,3 18,3Shanghai SE 2 148,7 2 062,8 2 148,6 2 062,7 0,1 0,1Shenzhen SE 259,2 390,0 259,2 390,0 0,0 0,0Taiwan SE Corp. 0,6 3,9 0,6 3,9 0,0 0,0Thailand SE 0,1 0,2 0,1 0,2 0,0 0,0


BME Spanish Exchanges 768,6 714,5 23,2 29,9 745,4 684,6Borsa Italiana 2 791,1 3 071,8 2 791,1 3 071,8 0,0 0,0Budapest SE 13,4 11,1 13,4 11,1 0,0 0,0Cairo & Alexandria SEs 0,7 0,5 0,7 0,5 0,0 0,0Cyprus SE 0,4 0,6 0,4 0,6 0,0 0,0Deutsche Börse 2 864,5 2 661,7 1,7 2,6 2 862,9 2 659,1Euronext 999,6 1 522,3 941,0 1 409,9 58,5 112,4Irish SE 11,7 13,0 0,0 0,0 11,7 13,0Istanbul SE 1 920,3 1 964,4 592,4 553,4 1 327,9 1 411,1Ljubljana SE 14,2 19,0 13,4 18,4 0,7 0,6London SE 403,2 407,1 0,0 0,0 403,2 407,1Luxembourg SE 6,0 6,4 6,0 6,4 0,0 0,0Malta SE 5,0 2,8 5,0 2,8 0,0 0,0Mauritius SE 0,6 2,2 NA NA NA NAOMX NA NA 55,6 51,2 NA NAOslo Børs 20,0 22,1 1,5 2,4 18,6 19,7Swiss Exchange 530,6 657,4 471,5 518,4 59,0 139,0Tel Aviv SE 938,8 681,1 934,2 674,7 4,6 6,4Warsaw SE 52,7 105,0 52,6 104,9 0,1 0,1Wiener Börse 24,9 28,2 24,9 28,2 0,0 0,0

Fixed-Income - 2.7


INVESTMENT FLOWS - NEW CAPITAL RAISED BY BONDS

Converted with average year exchange rates.SHENZHEN SE: corporate bonds only.



Fixed

-Inco

me M

arkets

(USD millions)

2005 2004



AMERICAS

Buenos Aires SE 13 334,9 4 127,6 9 207,3 0,0 11 512,9 1 520,5 9 992,4 0,0Colombia SE 8 842,2 2 874,4 5 698,8 269,0 7 127,3 2 546,5 3 932,0 648,8Lima SE 3 231,2 1 035,6 1 944,7 251,0 1 979,7 865,2 1 099,8 14,7Mexican Exchange 0,0 0,0 0,0 0,0 10,4 9,1 1,3 0,0Santiago SE 4 314,2 3 250,0 1 064,2 0,0 6 018,9 R 3 005,8 3 013,0 0,0Sao Paulo SE 9 702,5 9 143,4 559,1 0,0 3 104,9 R 2 819,0 285,9 0,0

Total region 39 424,9 29 754,0

ASIA - PACIFIC

Bursa Malaysia 0,0 0,0 0,0 0,0 89,5 89,5 0,0 0,0Colombo SE 4 391,2 3,5 4 387,8 0,0 28,1 0,0 28,1 0,0Hong Kong Exchanges 7 827,6 2 803,9 3 790,7 1 233,1 13 430,1 3 952,2 8 802,5 675,5Korea Exchange 392 329,7 NA NA NA 308 901,0 NA NA NANational Stock Exchange India 0,0 0,0 0,0 0,0 67 535,7 5 673,7 61 751,1 110,9New Zealand Exchange 3 802,2 1 011,0 2 638,3 152,9 3 053,9 825,7 2 204,3 24,0Shanghai SE 0,0 0,0 0,0 0,0 1 596,4 R 1 596,4 0,0 0,0Shenzhen SE 733,3 733,3 0,0 0,0 966,6 966,6 0,0 0,0Singapore Exchange 40 899,4 NA NA NA 36 235,5 NA NA NATaiwan SE Corp. 9 445,9 0,0 9 445,9 0,0 15 262,5 5,8 15 256,7 0,0Thailand SE 13 198,4 2 868,9 10 329,5 0,0 1 799,0 R 1 799,0 0,0 0,0Tokyo SE 56 350,5 56 350,5 NA 0,0 42 965,6 42 965,6 NA 0,0

Total region 528 978,3 491 864,0


Budapest SE 10 052,7 1 443,3 8 609,4 0,0 10 335,1 R 2 050,0 8 285,1 0,0Cairo & Alexandria SEs 4 032,6 747,3 3 285,3 0,0 2 207,8 65,9 2 141,9 0,0Cyprus SE 2 101,1 14,2 2 086,9 0,0 2 277,1 111,6 2 165,5 0,0Deutsche Börse 234 770,0 NA NA NA 490 531,0 131 690,3 336 300,6 22 540,1Euronext 418 206,5 173 437,4 187 258,9 57 510,1 E 323 718,7 143 724,3 145 980,7 34 013,7Irish SE 1 784,2 NA 1 784,2 NA 3 532,7 NA 3 532,7 NAIstanbul SE 115 707,1 0,0 115 707,1 0,0 115 039,7 0,0 115 039,7 0,0Ljubljana SE 1 723,0 415,1 1 307,9 0,0 1 204,8 341,2 863,6 0,0London SE 628 731,3 268 882,2 130 417,7 229 431,4 489 641,4 234 050,8 88 728,3 166 862,3Luxembourg SE 1 258 630,4 46 636,0 0,0 1 211 994,3 1 376 366,7 R 42 958,0 0,0 1 333 408,7Malta SE 923,4 0,0 923,4 0,0 424,8 R 0,0 424,8 0,0OMX 264 969,2 NA NA NA 211 877,5 NA NA NAOslo Børs 27 082,6 14 069,7 12 793,3 219,6 29 368,8 10 870,0 18 245,0 253,8Swiss Exchange 54 295,6 4 342,6 9 785,7 40 167,3 37 255,0 9 292,2 3 061,7 24 901,1Tel Aviv SE 20 462,8 13 317,7 7 145,1 0,0 13 693,9 5 655,9 8 038,1 0,0Warsaw SE 27 299,4 23,0 27 141,5 134,9 21 926,5 R 112,9 21 813,6 0,0Wiener Börse 47 843,1 NA NA NA 40 003,3 NA NA NA

Total region 3 118 614,8 3 169 404,9

WFE TOTAL 3 687 018,0 3 691 022,9

Deriv

ative

Mark

ets

Derivatives - 3.1

NA: Not Available

STOCK OPTIONS

1 0 0

Volume Traded Notional Value Open Interest Number of Trades Option PremiumExchange (Nber of Contracts) (USD millions) (Nber of Contracts) (USD millions)

2005 2004 2005 2004 2005 2004 2005 2004 2005 2004

AMERICAS

American SE 193 086 271 195 402 074 42 238 37 375 NA NA 7 652 680 9 183 451 NA NABourse de Montreal 9 409 938 8 311 818 51 498 29 144 1 259 320 988 837 534 486 431 893 1 534 895Buenos Aires SE 92 386 767 94 686 640 NA NA 1 605 194 2 248 756 NA NA 547 509Chicago Board OptionsExchange (CBOE) 275 646 980 224 316 863 1 264 511 560 792 151 157 355 131 498 380 16 820 556 12 804 414 61 220 43 956International Securities Exchange (ISE) 442 387 776 360 769 161 NA NA NA NA NA NA NA NAMexDer 135 931 4 290 208 NA 2 030 NA 49 58 NA NAOptions Clearing Corp. 0 0 NA NA 181 694 503 149 841 144 NA NA NA NAPacific Exchange 144 780 498 103 262 458 NA NA NA NA NA NA NA NAPhiladelphia SE 156 222 382 127 898 363 49 318 31 560 NA NA 7 190 023 4 517 228 49 318 31 560Sao Paulo SE 266 362 631 233 759 713 392 331 301 659 1 824 504 1 324 326 5 777 709 5 321 989 7 909 6 519

ASIA - PACIFIC

Australian SE 21 547 322 19 164 951 270 423 220 824 1 678 335 1 798 435 NA NA 1 216 1 179Bombay SE 0 6 029 NA NA NA NA NA NA NA NAHong Kong Exchanges 8 772 393 5 611 832 41 784 21 024 1 021 913 684 052 241 785 150 776 1 334 717Korea Exchange 3 655 1 11 NA NA NA 103 1 0,24 NANational Stock Exchange India 5 224 485 4 874 958 40 260 38 880 24 181 41 794 4 550 367 4 188 081 1 100 1 281Osaka SE 1 206 987 1 481 415 NA NA 79 610 24 529 5 497 5 533 293 288TAIFEX 1 018 917 410 026 79 NA 3 959 8 585 126 245 243 469 161 127Tokyo SE 201 798 174 482 33 NA 11 906 40 056 NA NA 33 36


Athens Derivatives Exchange 21 729 27 463 60 44 NA 1 200 NA NA NA NABME Spanish Exchanges 10 915 227 8 200 314 20 605 13 217 2 411 628 1 213 001 205 197 94 309 633 412Borsa Italiana 12 439 716 9 500 498 67 776 45 743 1 646 014 1 441 003 442 151 420 278 1 979 1 449Budapest SE 176 197 6 4 NA NA 8 10 NA NAEurex 255 918 793 211 720 243 752 434 584 733 53 312 606 38 759 292 NA NA 38 740 32 722Euronext.liffe 264 714 188 300 375 612 618 732 364 594 55 353 971 63 571 235 2 728 180 2 478 346 70 685 28 570JSE 2 801 262 7 171 281 164 212 564 302 741 716 1 827 2 326 NA NAOMX 57 138 563 58 266 213 NA NA 7 404 092 8 041 776 NA NA 1 655 1 818Oslo Børs 3 325 368 2 921 189 NA NA NA 271 344 NA NA NA NARTS SE 7 281 162 3 332 257 2 797 942 433 158 345 844 113 317 50 454 NA NAWarsaw SE 4 372 0 29 0 413 0 2 642 0 1 0Wiener Börse 816 032 2 077 320 4 609 7 011 76 166 217 135 NA NA 165 352

Total 2 233 771 319 1 983 727 661 – – – – – – – –

Derivatives - 3.2

NA: Not Available

STOCK FUTURES

WORLD FEDERATION OF EXCHANGES1 0 1

Deriv

ative

Mark

ets

Volume Traded Notional Value Open Interest Number of TradesExchange (Nber of Contracts) (USD millions) (Nber of Contracts)

2005 2004 2005 2004 2005 2004 2005 2004

AMERICAS

Buenos Aires SE 300 0 NA NA NA NA NA NAMexDer 19 400 12 591 85 26 3 400 3 800 17 51

ASIA - PACIFIC

Australian SE 490 233 459 801 5 872 4 259 78 289 85 031 NA NAHong Kong Exchanges 13 069 17 274 77 83 1 750 1 821 2 170 2 338National Stock Exchange India 68 911 754 44 051 780 510 701 340 007 464 559 299 997 56 491 871 37 493 491SFE Corp. 38 156 29 986 433 305 1 396 1 399 NA NA


Athens Derivatives Exchange 1 424 516 917 778 3 139 1 693 NA NA NA NABME Spanish Exchanges 18 813 689 12 054 799 31 708 17 979 1 921 717 1 608 127 119 499 115 777Borsa Italiana 5 957 674 1 734 256 41 798 9 692 58 071 49 754 66 605 59 242Budapest SE 740 396 706 386 7 842 4 802 24 936 29 493 81 468 59 088Eurex 77 802 0 NA 0 58 107 0 NA 0Euronext.liffe 12 158 093 13 491 781 64 062 57 565 467 117 250 838 21 006 25 868JSE 24 434 415 8 922 123 10 100 3 330 1 535 839 655 575 175 440 48 967OMX 5 659 823 4 348 331 NA NA 1 387 095 682 983 NA NAWarsaw SE 172 828 87 888 845 322 2 928 2 268 130 674 63 296Wiener Börse 23 748 7 862 331 163 2 448 554 NA NA

Total 138 935 896 86 842 636 – – – – – –

Derivatives - 3.3

NA: Not Available

STOCK INDEX OPTIONS

1 0 2


2005 2004 2005 2004 2005 2004 2005 2004 2005 2004

AMERICAS

American SE 8 678 564 7 290 157 6 922 6 549 NA NA 122 714 151 206 NA NABM&F 6 344 16 485 77 134 97 9 840 NA NA NA NABourse de Montreal 650 186 336 544 4 932 2 407 91 634 48 439 1 648 14 135 141 77Chicago Boardof Trade (CBOT) 728 349 762 007 NA NA 26 794 21 318 NA NA NA NAChicago Board Options Exchange (CBOE) 192 536 695 136 679 303 11 541 513 7 624 273 29 381 746 23 214 537 7 432 423 5 663 003 141 437 121 818Chicago Mercantile Exchange (CME) 15 106 187 6 451 862 3 295 855 1 695 498 1 226 413 676 384 1 457 075 797 636 NA NAInternational Securities Exchange (ISE) 4 464 094 83 358 NA NA NA NA NA NA NA NAMexDer 37 346 35 989 5 048 NA 3 493 4 676 459 2 028 NA NANew York Board of Trade (NYBOT) 217 334 181 215 NA NA 10 904 23 603 NA NA NA NAOptions Clearing Corp. 0 0 NA NA 11 263 271 8 276 898 NA NA NA NAPhiladelphia SE 6 234 567 5 275 701 2 773 2 397 NA NA 357 506 397 590 2 773 2 397Sao Paulo SE 2 257 756 1 589 765 25 751 12 191 98 924 112 801 9 333 6 451 935 537

ASIA - PACIFIC

Australian SE 1 163 260 794 121 38 337 NA 102 534 110 796 NA NA 430 377Bombay SE 100 0 1 NA NA NA NA NA NA NAHong Kong Exchanges 3 367 228 2 133 708 304 789 188 094 225 654 86 322 728 417 524 723 NA NAKorea Exchange 2 535 201 693 2 521 557 274 34 652 198 23 924 106 3 299 722 2 782 724 87 656 989 79 039 420 137 847 127 143National Stock Exchange India 10 140 239 2 812 109 60 025 22 061 85 370 27 061 2 749 463 1 526 324 1 022 437Osaka SE 24 894 925 16 561 365 NA 1 720 252 1 160 453 639 964 3 419 284 849 423 12 943 9 570SFE Corp. 680 303 523 428 49 942 NA 90 675 83 100 NA NA NA NASingapore Exchange 157 742 247 388 10 750 12 102 27 620 15 636 NA NA NA NATAIFEX 81 533 102 43 824 511 20 903 NA 790 814 695 766 15 559 660 15 479 718 40 207 28 682Tokyo SE 20 004 17 643 2 102 1 788 3 550 1 440 NA NA 156 64


Athens Derivatives Exchange 700 094 941 387 7 745 7 777 NA NA NA NA NA NABME Spanish Exchanges 4 407 465 2 947 529 52 421 29 217 892 188 372 940 86 390 181 825 1 316 553Borsa Italiana 2 597 830 2 220 807 259 612 190 321 120 680 132 234 576 503 555 091 2 802 2 053Eurex 149 380 569 117 779 232 5 273 496 3 646 166 24 868 589 16 720 767 NA NA 140 841 111 514Euronext.liffe 70 228 310 99 607 852 2 792 892 2 587 999 6 329 304 10 743 394 2 546 234 2 314 416 45 812 51 931JSE 11 473 116 11 303 311 7 696 7 557 151 486 1 403 378 10 550 NA NA NAOMX 12 229 145 8 947 439 NA NA 973 817 455 844 NA NA 1 394 NAOslo Børs 515 538 695 672 NA NA NA NA NA NA NA NATel Aviv SE 63 133 416 36 915 103 964 614 437 944 341 242 316 186 9 640 727 4 978 241 11 084 6 265Warsaw SE 250 060 78 752 1 758 384 6 432 4 775 83 834 34 157 22 7Wiener Börse 37 127 40 855 2 549 1 872 4 808 3 127 NA NA 49 38

Total 3 203 028 688 3 028 651 872 – – – – – – – –

Derivatives - 3.4

NA: Not Available

STOCK INDEX FUTURES


Deriv

ative

Mark

ets


2005 2004 2005 2004 2005 2004 2005 2004

AMERICAS

BM&F 6 065 361 6 759 469 88 306 52 404 51 404 40 754 NA NABourse de Montreal 2 258 404 1 910 248 245 880 133 812 110 405 100 062 1 025 432 732 852Chicago Board of Trade (CBOT) 26 679 733 23 276 014 1 501 704 1 330 976 97 208 88 856 NA NAChicago Board Options Exchange (CBOE) 33 730 620 2 363 18 336 264 NA NAChicago Mercantile Exchange (CME) 378 748 159 306 058 836 22 578 526 18 017 473 41 786 549 11 873 348 122 479 477 108 652 244MexDer 410 565 348 835 61 413 37 526 22 130 3 885 24 244 29 538New York Board of Trade (NYBOT) 922 099 1 000 963 NA NA 92 485 NA NA NA

ASIA - PACIFIC

Australian SE 105 795 66 195 127 913 2 434 6 760 NA NABursa Malaysia Derivatives 1 111 575 1 088 419 13 210 12 092 17 814 10 092 NA NAHong Kong Exchanges 13 393 462 11 805 613 987 256 865 116 136 465 150 418 6 338 836 5 939 157Korea Exchange 43 952 325 55 608 856 2 983 463 2 618 437 83 418 89 702 13 557 429 14 804 375National Stock Exchange India 47 375 214 23 354 782 279 775 180 287 234 624 57 740 12 771 115 9 713 366Osaka SE 18 070 352 14 583 283 2 068 205 1 501 916 409 588 280 483 3 743 203 818 403SFE Corp. 5 607 366 4 622 207 NA NA 173 112 162 990 NA NASingapore Exchange 21 725 170 16 428 769 1 068 947 618 131 411 558 337 193 NA NATAIFEX 10 104 645 14 634 573 688 666 920 937 63 667 67 864 8 464 444 14 397 754Tokyo SE 12 786 102 10 306 359 1 510 707 1 076 798 385 914 313 191 NA NA


Athens Derivatives Exchange 2 512 957 2 922 919 27 724 24 389 NA NA NA NABME Spanish Exchanges 6 081 276 5 537 365 615 976 454 302 75 608 83 256 1 993 832 1 870 856Borsa Italiana 4 875 301 4 816 955 777 839 633 350 26 348 24 135 2 966 677 3 066 603Budapest SE 529 563 361 412 5 222 2 186 4 307 3 110 182 057 111 573Eurex 184 508 585 161 855 167 10 851 355 8 285 358 2 166 818 1 982 306 NA NAEuronext.liffe 56 092 515 52 732 215 4 154 454 3 397 336 1 027 559 1 024 797 13 122 326 11 960 874JSE 10 654 407 9 484 968 215 630 149 847 289 321 248 828 445 750 559 370OMX 20 259 026 16 460 920 NA NA 504 687 307 597 NA NAOslo Børs 562 591 677 513 NA NA NA NA NA NATel Aviv SE 13 460 8 316 219 108 2 315 5 047 71 173Warsaw SE 5 167 111 3 517 782 34 864 16 975 30 348 27 787 1 437 611 1 088 755Wiener Börse 168 399 116 458 8 759 4 076 18 420 11 795 NA NA

Total 880 775 248 750 346 031 – – – – – –

Derivatives - 3.5

NA: Not Available

SHORT TERM INTEREST RATE OPTIONS

Derivatives - 3.6 SHORT TERM INTEREST RATE FUTURES

1 0 4


2005 2004 2005 2004 2005 2004 2005 2004 2005 2004

AMERICAS

Bourse de Montreal 377 370 265 937 311 501 204 937 44 375 31 371 1 476 950 76 63Chicago Board of Trade (CBOT) 6 534 587 4 707 103 32 672 935 23 535 515 927 916 659 658 NA NA NA NAChicago Mercantile Exchange (CME) 188 001 096 130 599 067 188 001 090 130 599 474 16 325 364 11 668 011 951 078 841 792 NA NA

ASIA - PACIFIC

SFE Corp. 247 790 179 801 188 719 132 804 54 132 14 116 NA NA NA NATokyo Financial Exchange 41 204 2 000 37 171 1 858 32 500 2 000 NA NA NA NA


Euronext.liffe 79 482 008 76 328 919 89 041 892 89 256 375 9 586 715 7 632 865 76 311 66 814 NA NA

Total 274 684 055 212 082 827 – – – – – – – –


2005 2004 2005 2004 2005 2004 2005 2004

AMERICAS

Bourse de Montreal 11 157 298 7 766 540 8 598 080 5 989 643 331 916 255 289 724 190 544 868Chicago Board of Trade (CBOT) 11 602 282 11 940 120 58 011 410 59 700 600 455 444 470 136 NA NAChicago Mercantile Exchange (CME) 411 706 656 300 849 399 413 781 671 306 534 090 8 596 023 6 798 257 52 168 804 32 245 258MexDer 104 339 918 202 074 714 10 348 810 20 076 319 21 205 907 22 901 861 48 626 75 729

ASIA - PACIFIC

Bursa Malaysia Derivatives 162 592 141 969 42 787 37 360 37 966 27 418 NA NAHong Kong Exchanges 25 181 59 040 3 870 9 440 1 477 6 600 1 229 2 161Korea Exchange 3 308 2 621 558 442 NA NA 163 183SFE Corp. 18 501 038 15 364 820 15 666 591 12 323 567 760 267 627 631 NA NASingapore Exchange 2 890 729 10 808 968 2 434 609 10 366 054 415 431 411 628 NA NATAIFEX 217 209 561 300 102 602 NA 209 217 31 388Tokyo Financial Exchange 10 977 591 7 262 779 10 200 010 6 748 331 1 418 937 1 080 642 NA NA


Budapest SE 1 390 3 445 3 4 500 600 16 55Eurex 688 831 585 142 837 918 713 829 37 838 26 887 NA NAEuronext.liffe 248 662 893 221 070 137 281 718 123 254 186 086 5 242 458 4 343 958 25 668 450 23 071 615JSE 9 415 0 NA NA NA NA 463 NAOMX 6 315 805 4 489 482 NA NA 345 833 371 321 NA NA

Total 827 045 144 782 628 737 – – – – – –

Derivatives - 3.8 LONG TERM INTEREST RATE FUTURES

Derivatives - 3.7

NA: Not Available

LONG TERM INTEREST RATE OPTIONS


Deriv

ative

Mark

ets


2005 2004 2005 2004 2005 2004 2005 2004 2005 2004

AMERICAS

Bourse de Montreal 7 613 0 12 2 59 NA 53 NA 1Buenos Aires SE 86 036 109 730 NA NA 293 592 NA NA 5 3Chicago Board of Trade (CBOT) 89 888 554 88 212 785 NA NA 2 517 698 2 943 559 NA NA NA NAChicago Board OptionsExchange (CBOE) 65 626 90 608 279 409 7 782 18 238 5 780 9 645 14 22

ASIA - PACIFIC

SFE Corp. 2 307 599 2 300 556 1 757 490 1 699 228 1 729 10 722 NA NA NA NASingapore Exchange 725 1 990 308 931 NA NA NA NA NA NATokyo SE 1 699 037 1 262 994 2 120 602 1 607 777 22 939 17 096 NA NA 3 222 3 123


Eurex 58 551 836 51 509 033 8 449 133 7 209 791 1 405 446 1 157 069 NA NA NA NAEuronext.liffe 0 4 528 NA 564 NA NA NA 40 NA NAJSE 4 831 5 656 11 11 NA NA 79 219 NA NA

Total 152 604 251 143 498 493 – – – – – – – –


2005 2004 2005 2004 2005 2004 2005 2004

AMERICAS

Bourse de Montreal 482 924 3 223 428 398 274 248 405 166 504 128 154 772 125 569 270Chicago Board of Trade (CBOT) 446 065 592 385 179 109 NA NA 3 614 314 3 592 470 NA NAMexDer 284 460 293 864 27 750 27 604 2 101 18 400 1 402 1 765

ASIA - PACIFIC

Bursa Malaysia Derivatives 27 068 23 821 715 627 150 NA NA NAHong Kong Exchanges 1 250 2 225 169 317 NA NA 50 88Korea Exchange 11 223 811 7 352 368 1 208 118 714 438 NA 79 783 1 836 163 1 195 066SFE Corp. 36 885 866 31 363 504 28 092 637 23 165 588 593 812 633 912 NA NASingapore Exchange 1 241 852 931 642 105 758 87 263 27 645 38 162 NA NATAIFEX 2 887 67 705 1 045 23 091 22 73 2 348 50 263Tokyo Financial Exchange 78 943 392 531 7 122 36 473 1 450 9 965 NA NATokyo SE 9 844 617 8 025 268 8 881 026 7 456 810 116 664 86 062 NA NA


BME Spanish Exchanges 46 95 6 12 2 5 22 9Eurex 599 621 461 522 190 193 85 843 727 72 861 463 3 357 373 2 656 902 NA NAEuronext.liffe 19 078 373 15 929 862 3 468 410 2 874 981 292 141 275 520 2 002 722 1 574 583OMX 3 097 742 2 056 553 NA NA 140 258 59 800 NA NA

Total 1 127 936 892 977 032 168 – – – – – –

Derivatives - 3.9

NA: Not Available

CURRENCY OPTIONS

Derivatives - 3.10 CURRENCY FUTURES

1 0 6


2005 2004 2005 2004 2005 2004 2005 2004 2005 2004

AMERICAS

Bourse de Montreal 7 264 NA 70 NA 2 691 NA 466 NA 1 NAChicago Mercantile Exchange (CME) 3 182 525 2 435 337 440 565 332 982 228 288 268 812 608 974 600 034 NA NANew York Board of Trade (NYBOT) 35 970 58 219 NA NA 1 778 6 654 NA NA NA NAOptions Clearing Corp. 0 0 NA NA 17 330 22 442 NA NA NA NAPhiladelphia SE 159 748 230 779 NA NA NA NA 8 861 17 630 166 196


Budapest SE 258 000 49 000 251 61 86 700 2 000 209 9 NA NAEuronext.liffe 403 957 239 080 4 728 2 727 42 240 37 951 23 871 18 961 133 81Tel Aviv SE 6 937 575 6 445 397 69 802 65 936 217 476 209 586 270 799 239 737 1 597 1 879

Total 10 985 039 9 457 812 – – – – – – – –


2005 2004 2005 2004 2005 2004 2005 2004

AMERICAS

Buenos Aires SE 2 416 31 372 2 31 NA 970 NA NAChicago Mercantile Exchange (CME) 81 105 391 48 772 627 9 798 906 5 849 779 711 360 699 627 53 154 207 29 792 526MexDer 2 934 783 1 400 448 323 969 223 331 134 992 97 878 2 785 1 867New York Board of Trade (NYBOT) 3 604 877 2 362 615 NA NA 127 497 113 591 NA NA

ASIA - PACIFIC

Korea Exchange 2 667 005 2 090 291 133 679 105 044 85 520 74 192 633 614 632 938SFE Corp. 4 422 41 862 3 368 30 920 37 429 NA NATokyo Financial Exchange 600 200 5 2 NA 200 NA NA


Budapest SE 7 742 408 2 965 818 10 698 3 966 406 942 165 455 19 760 5 357Euronext.liffe 7 435 3 985 176 90 518 326 1 510 916Warsaw SE 6 216 3 455 65 38 84 215 5 184 2 900

Total 98 075 553 57 672 673 – – – – – –

Derivatives - 3.12 COMMODITY FUTURES

Derivatives - 3.11

NA: Not Available

COMMODITY OPTIONS


Deriv

ative

Mark

ets


2005 2004 2005 2004 2005 2004 2005 2004 2005 2004

AMERICAS

Chicago Board of Trade (CBOT) 16 353 965 17 082 347 NA NA 900 266 810 483 NA NA NA NAChicago Mercantile Exchange (CME) 943 377 970 808 34 006 34 399 116 431 105 805 389 526 417 968 NA NANew York Board of Trade (NYBOT) 8 663 470 7 534 944 NA NA 928 436 825 599 NA NA NA NANew York Mercantile Exchange (NYMEX) 38 002 895 29 873 559 NA NA NA NA NA NA NA NA

ASIA - PACIFIC

Australian SE 9 397 0 NA 0 NA 0 NA 0 NA 0SFE Corp. 558 1 274 NA NA 369 548 NA NA NA NA


Budapest SE 40 0 0,47 NA 95 NA 3 NA NA NAEuronext.liffe 444 754 533 771 226 226 60 129 95 965 7 059 6 901 11 8JSE 451 885 434 266 453 420 448 814 57 950 45 744 40 655 45 703 NA NALondon Metal Exchange (LME) 8 184 187 4 734 928 468 446 239 719 757 837 376 748 NA NA 4 397 2 407

Total 73 054 528 61 165 897 – – – – – – – –


2005 2004 2005 2004 2005 2004 2005 2004

AMERICAS

Chicago Board of Trade (CBOT) 75 532 080 68 834 901 NA NA 1 732 853 1 330 478 NA NAChicago Mercantile Exchange (CME) 11 558 317 9 203 925 394 707 312 284 387 575 282 020 4 212 551 3 984 152New York Board of Trade (NYBOT) 24 486 440 20 591 634 NA NA 901 038 713 873 NA NANew York Mercantile Exchange (NYMEX) 166 608 642 133 284 248 NA NA NA NA NA NA

ASIA - PACIFIC

Australian SE 18 448 33 957 NA 98 5 943 9 433 NA NABursa Malaysia Derivatives 1 158 510 1 378 783 NA NA 28 918 28 314 NA NAKorea Exchange 0 969 NA 13 NA 0 NA 1 191SFE Corp. 40 521 27 763 NA NA 18 412 10 522 NA NAZhengzhou Commodity Exchange 56 945 140 48 474 548 264 538 140 639 452 058 314 146 NA NA


Budapest SE 778 0 9 0 601 0 189 0Euronext.liffe 8 054 116 7 473 547 85 794 73 761 419 333 460 691 906 230 767 040JSE 1 336 266 1 458 549 23 858 349 25 514 379 50 995 42 674 169 768 335 391London Metal Exchange (LME) 70 444 665 67 171 973 4 045 775 3 276 895 2 411 870 826 659 NA NA

Total 416 183 923 357 934 797 – – – – – –

Indica

tors

Indicators - 4.1

P: Price Index R: Return Index NA: Not Available

BROAD STOCK MARKET INDEXES

1 1 0

Exchange Name of Index 2005 High Date 2005 Low Date

AMERICAS

American SE Amex Composite Index P 1 766,99 Dec. 14 1 385,85 May 01Bermuda SE BSX Index P 3 965,83 Dec. 16 3 220,63 Apr. 27Buenos Aires SE General Index R 76 054,19 Oct. 03 53 885,97 Jan. 05Colombia SE IGBC P 9 513,25 Dec. 29 4 270,11 Jan. 06Lima SE General Index (IGBVL) R 5 235,65 Dec. 09 3 703,17 May 13Mexican Exchange Price & Quotations Index (IPC) P 18 054,03 Dec. 14 11 739,99 Apr. 18Nasdaq Nasdaq Composite P 2 273,37 Dec. 02 1 904,18 Apr. 28NYSE NYSE Composite P 7 852,18 Dec. 14 6 935,31 Apr. 28Santiago SE IGPA P 10 179,23 Oct. 04 8 620,05 Jan. 18Sao Paulo SE Bovespa Index R 33 837,00 Dec. 14 23 533,00 Jan. 20TSX Group S&P/TSX Composite P 11 296,29 Dec. 29 9 006,22 Jan. 07

ASIA - PACIFIC

Australian SE ASX/S&P All Ordinaries P 4 718,30 NA 4 057,10 NABombay SE BSE-500 P 3 795,93 Dec. 30 2 547,75 Jan. 24Bursa Malaysia Composite (KLCI) P 952,59 Mar. 08 860,73 May 31 Colombo SE All Share Price Index P 2 551,40 Nov. 16 1 509,30 Jan. 03Hong Kong Exchanges S&P/HKEx Large Cap Index P 17 775,07 Aug. 15 14 836,20 Jan. 24Jakarta SE JSX Composite P 1 192,20 Aug. 03 994,77 Aug. 29Korea Exchange KOSPI P 1 379,37 Dec. 29 866,17 Jan. 10National Stock Exchange India S&P CNX 500 P 2 459,20 Dec. 30 1 653,80 Jan. 24New Zealand Exchange NZSX All Index R 3 569,00 Oct. 04 2 996,00 May 09Osaka SE 300 Common Stock Index P 1 731,07 Dec. 29 1 115,62 May 18Philippine SE PSE Composite P 2 166,10 Mar. 07 1 813,04 Jul. 06Shanghai SE SSE Composite Index P 1 318,27 Mar. 08 1 011,50 Jul. 11Shenzhen SE SZSE Component Index P 333,28 Mar. 09 237,18 Jul. 18Singapore Exchange All-Sing Equities Index P 607,27 Aug. 02 533,60 Jan. 03Taiwan SE Corp. TAIEX R 6 575,53 Dec. 29 5 632,97 Oct. 28Thailand SE SET P 741,55 Feb. 28 638,31 Jul. 07Tokyo SE TOPIX P 1 663,75 Dec. 29 1 109,19 May 18


Athens Exchange ATHEX Composite Price Index P 3 663,90 Dec. 30 2 786,51 Jan. 03BME Spanish Exchanges Barcelona BCN Global-100 P 900,21 Oct. 10 762,15 Apr. 18BME Spanish Exchanges Bilbao Bolsa Bilbao 2000 P 1 950,20 Oct. 03 1 615,49 Jan. 12BME Spanish Exchanges Madrid General Index (IGBM) P 1 176,86 Oct. 04 949,14 Jan. 12BME Spanish Exchanges Valencia IGBV Index P 948,18 Oct. 04 764,41 Jan. 12Borsa Italiana MIB Index P 26 224,00 Dec. 29 22 889,00 Jan. 12Budapest SE BUX R 23 671,96 Oct. 04 14 586,69 Jan. 10Cairo & Alexandria SEs CASE 30 P 6 324,70 Dec. 29 2 663,72 Jan. 02Cyprus SE CSE General Price Index P 1 723,27 Dec. 29 1 006,30 Jan. 04Deutsche Börse CDAX P 338,20 Dec. 29 261,90 Apr. 29Euronext Amsterdam AAX All Share Index P 647,49 Dec. 29 514,53 Jan. 12Euronext Brussels BAS P 10 993,84 Dec. 29 8 784,53 Jan. 20Euronext Lisbon PSI General P 2 617,44 Dec. 29 2 233,78 Jan. 03Euronext Paris SBF 250 P 3 334,98 Dec. 29 2 633,56 Jan. 12Irish SE ISEQ Overall Index P 7 363,96 Dec. 30 5 779,19 Apr. 28Istanbul SE ISE National 100 P 39 837,27 Dec. 29 23 285,94 Apr. 18JSE FTSE/JSE All Share Index P 18 312,14 Dec. 27 12 467,30 Apr. 28Ljubljana SE Slovene Stock Exchange Index SBI 20 P 5 131,61 Feb. 01 4 301,58 Sep. 28London SE FTSE All Share P 2 856,43 Dec. 29 2 393,29 Apr. 28Luxembourg SE Lux General Price Index P 1 097,97 Dec. 30 848,83 Jan. 20Malta SE MSE Ordinary Share Index P 5 014,55 Dec. 29 3 060,61 Jan. 01Mauritius SE SEMDEX P 832,84 Sep. 30 693,23 May 05OMX Copenhagen SE OMXC P 368,72 Dec. 29 263,71 Jan. 05OMX Helsinki SE OMXH P 8 230,19 Dec. 27 6 084,13 Jan. 24OMX Riga SE OMXR R 676,35 Dec. 30 408,62 Jan. 03OMX Stockholm SE OMXS P 304,41 Dec. 29 225,82 Jan. 24OMX Tallinn SE OMXT R 700,74 Oct. 04 451,13 Jan. 03OMX Vilnius OMXV R 531,11 Oct. 04 293,97 Jan. 03Oslo Børs Oslo Børs Benchmark Price Index P 250,20 Dec. 30 184,22 Jan. 05Swiss Exchange Swiss Performance Index (SPI) R 5 770,90 Dec. 07 4 214,00 Jan. 12Tehran SE TEPIX P 13 535,15 Jan. 02 9 788,67 Nov. 21Tel Aviv SE General Share Index R 782,25 Dec. 25 587,38 Jan. 02Warsaw SE WIG R 36 068,56 Dec. 27 25 206,50 Jan. 21Wiener Börse Wiener Börse Index (WBI) P 1 324,86 Dec. 29 933,68 Jan. 13

Indicators - 4.1

P: Price Index R: Return Index NA: Not Available – : Not Applicable



Indica

tors

% ChangeExchange Name of Index 2005 Year-end 2004 Year-end end 2005/2004

AMERICAS

American SE Amex Composite Index P 1 759,00 1 434,34 22,6%Bermuda SE BSX Index P 3 884,08 3 208,05 21,1%Buenos Aires SE General Index R 68 822,65 56 639,12 21,5%Colombia SE IGBC P 9 513,25 4 345,83 118,9%Lima SE General Index (IGBVL) R 4 802,25 3 710,39 29,4%Mexican Exchange Price & Quotations Index (IPC) P 17 802,71 12 917,88 37,8%Nasdaq Nasdaq Composite P 2 205,32 2 175,44 1,4%NYSE NYSE Composite P 7 753,95 7 250,06 7,0%Santiago SE IGPA P 9 206,10 8 962,56 2,7%Sao Paulo SE Bovespa Index R 33 455,00 26 196,00 27,7%TSX Group S&P/TSX Composite P 11 272,26 9 246,65 21,9%

ASIA - PACIFIC

Australian SE ASX/S&P All Ordinaries P 4 708,80 4 053,10 16,2%Bombay SE BSE-500 P 9 397,93 6 602,69 42,3%Bursa Malaysia Composite (KLCI) P 899,79 907,43 -0,8%Colombo SE All Share Price Index P 1 922,21 1 506,90 27,6%Hong Kong Exchanges S&P/HKEx Large Cap Index P 17 025,45 15 740,43 8,2%Jakarta SE JSX Composite P 1 162,64 1 000,23 16,2%Korea Exchange KOSPI P 1 379,37 895,92 54,0%National Stock Exchange India S&P CNX 500 P 2 459,20 1 804,39 36,3%New Zealand Exchange NZSX All Index R 3 469,09 3 183,90 9,0%Osaka SE 300 Common Stock Index P 1 724,95 1 145,24 50,6%Philippine SE PSE Composite P 2 096,04 1 822,83 15,0%Shanghai SE SSE Composite Index P 1 161,06 1 266,50 -8,3%Shenzhen SE SZSE Component Index P 278,75 315,81 -11,7%Singapore Exchange All-Sing Equities Index P 601,28 531,73 13,1%Taiwan SE Corp. TAIEX R 6 548,34 6 139,69 6,7%Thailand SE SET P 713,73 668,10 6,8%Tokyo SE TOPIX P 1 649,76 1 149,63 43,5%


Athens Exchange ATHEX Composite Price Index P 3 663,90 2 786,18 31,5%BME Spanish Exchanges Barcelona BCN Global-100 P 877,63 779,07 12,7%BME Spanish Exchanges Bilbao Bolsa Bilbao 2000 P 1 921,50 1 633,05 17,7%BME Spanish Exchanges Madrid General Index (IGBM) P 1 156,21 959,06 20,6%BME Spanish Exchanges Valencia IGBV Index P 936,91 771,76 21,4%Borsa Italiana MIB Index P 26 056,00 22 886,00 13,9%Budapest SE BUX R 20 784,88 14 742,57 41,0%Cairo & Alexandria SEs CASE 30 P 6 324,70 2 567,99 146,3%Cyprus SE CSE General Price Index P 1 704,76 1 012,27 68,4%Deutsche Börse CDAX P 335,59 268,32 25,1%Euronext Amsterdam AAX All Share Index P 643,05 513,31 25,3%Euronext Brussels BAS P 10 924,01 8 730,30 25,1%Euronext Lisbon PSI General P 2 615,43 2 231,84 17,2%Euronext Paris SBF 250 P 3 300,94 2 634,12 25,3%Irish SE ISEQ Overall Index P 7 363,96 6 197,83 18,8%Istanbul SE ISE National 100 P 39 777,70 24 971,68 59,3%JSE FTSE/JSE All Share Index P 18 096,54 12 656,86 43,0%Ljubljana SE Slovene Stock Exchange Index SBI 20 P 4 630,10 4 904,48 -5,6%London SE FTSE All Share P 2 847,02 2 410,75 18,1%Luxembourg SE Lux General Price Index P 1 097,97 858,36 27,9%Malta SE MSE Ordinary Share Index P 5 014,55 3 068,96 63,4%Mauritius SE SEMDEX P 804,03 710,77 13,1%OMX Copenhagen SE OMXC P 367,50 263,32 39,6%OMX Helsinki SE OMXH P 8 166,90 6 228,11 31,1%OMX Riga SE OMXR R 676,35 NA –OMX Stockholm SE OMXS P 302,91 228,41 32,6%OMX Tallinn SE OMXT R 664,08 NA –OMX Vilnius OMXV R 448,76 293,44 52,9%Oslo Børs Oslo Børs Benchmark Price Index P 250,20 186,40 34,2%Swiss Exchange Swiss Performance Index (SPI) R 5 742,41 4 234,56 35,6%Tehran SE TEPIX P 10 258,91 13 543,25 -24,3%Tel Aviv SE General Share Index R 770,93 580,37 32,8%Warsaw SE WIG R 35 600,79 26 636,19 33,7%Wiener Börse Wiener Börse Index (WBI) P 1 324,86 928,24 42,7%

Indicators - 4.2


BLUE CHIP INDEXES

1 1 2

Exchange Name of Index 2005 High Date 2005 Low Date

AMERICAS

Buenos Aires SE Burcap Index R 5 194,50 Oct. 03 2 945,71 Jan. 05Colombia SE IGBC P 9 513,25 Dec. 29 4 270,11 Jan. 06Lima SE Indice Selectivo BVL (ISBVL) R 8 422,51 Dec. 09 6 081,55 May 13Mexican Exchange Price & Quotations Index (IPC) P 18 054,03 Dec. 14 11 739,99 Apr. 18NYSE NYSE US 100 R 6 187,74 Nov. 25 5 696,80 Apr. 20Santiago SE IPSA R 2 214,07 Aug. 02 1 710,07 Jan. 12Sao Paulo SE IBX 50 R 4 844,00 Dec. 23 3 207,00 May 13TSX Group S&P/TSX 60 P 637,60 Dec. 29 498,36 Jan. 07

ASIA - PACIFIC

Australian SE 50 Leaders Index P 4 683,20 Dec. 30 3 983,00 NABombay SE Sensex P 9 397,93 Dec. 30 6 102,74 Jan. 12Colombo SE Milanka Index P 3 374,00 Nov. 16 2 074,40 Jan. 03Hong Kong Exchanges Hang Seng Index P 15 466,06 Aug. 15 13 355,23 Apr. 18Jakarta SE LQ 45 Index P 263,25 Aug. 03 216,68 Aug. 29Korea Exchange KRX 100 P 2 814,55 Dec. 27 1 796,83 Jan. 07National Stock Exchange India S&P CNX Nifty P 2 842,60 Dec. 19 1 902,50 Apr. 29New Zealand Exchange NZX 10 P 1 288,00 Oct. 04 1 112,00 May 09Osaka SE 250 Adjusted Stock Price Average P 30 955,58 Dec. 29 20 243,37 Jan. 06Shanghai SE SSE 180 Index P 2 468,11 Feb. 22 1 931,30 Jun. 03Shenzhen SE SZSE 100 P 1 059,51 Mar. 09 798,77 Jul. 11Singapore Exchange Straits Times P 2 377,13 Aug. 02 2 065,71 Jan. 25Taiwan SE Corp. TSEC Taiwan 50 Index R 4 954,63 Dec. 29 4 231,53 Oct. 28Thailand SE SET 50 P 522,64 Feb. 28 446,03 Jul. 07Tokyo SE TOPIX Core 30 P 997,80 Dec. 29 677,80 May 18


Athens Exchange FTSE/ASE 20 P 2 023,41 Dec. 19 1 546,80 May 04BME Spanish Exchanges Ibex 35 P 10 919,20 Oct. 04 8 907,00 Jan. 24Borsa Italiana S&P/MIB 30 P 35 957,00 Dec. 29 30 645,00 Jan. 12Budapest SE BUX R 23 671,96 Oct. 04 14 586,69 Jan. 10Cyprus SE FTSE/CySE 20 P 583,31 Dec. 29 336,95 Jan. 04Deutsche Börse DAX 30 R 5 458,58 Dec. 29 4 178,10 Apr. 28Euronext Amsterdam AEX P 440,87 Dec. 29 346,95 Apr. 28Euronext Brussels BEL 20 P 3 575,19 Dec. 29 2 958,79 Jan. 14Euronext Lisbon PSI 20 P 8 618,67 Dec. 30 7 398,43 Jun. 08Euronext Paris CAC 40 P 4 772,93 Dec. 29 3 816,14 Jan. 12Irish SE ISEQ 20 P 1 164,71 Dec. 29 918,50 Jan. 28Istanbul SE ISE National 30 P 50 621,01 Dec. 29 29 919,75 Apr. 18JSE FTSE/JSE Top 40 P 16 685,92 Dec. 27 11 223,82 Jan. 20Ljubljana SE Slovene Stock Exchange Index SBI 20 P 5 131,61 Feb. 01 4 301,58 Sep. 28London SE FTSE 100 P 5 638,32 Dec. 29 4 783,58 Jan. 28Luxembourg SE LuxX Price Index P 1 639,50 Dec. 28 1 281,26 Jan. 10Mauritius SE SEM-7 P 182,86 Sep. 30 144,88 May 05OMX Copenhagen SE OMXC20 P 395,03 Dec. 29 285,22 Jan. 24OMX Helsinki SE OMXH25 P 2 310,99 Dec. 27 1 809,08 Jan. 24OMX Stockholm SE OMXS30 P 966,74 Dec. 29 727,56 Jan. 24Oslo Børs OBX 25 P 1 113,42 Dec. 14 811,41 Jan. 05Swiss Exchange Swiss Market Index (SMI) P 7 648,40 Dec. 07 5 655,10 Jan. 12Tehran SE TSE 50 P 1 002,33 Jan. 02 721,82 Nov. 15Tel Aviv SE TA 25 R 830,45 Dec. 25 623,12 Jan. 02Warsaw SE WIG 20 P 2 699,07 Dec. 27 1 824,99 May 16Wiener Börse ATX P 3 675,14 Dec. 29 2 399,25 Jan. 14

Indicators - 4.2

P: Price Index R: Return Index NA: Not Available –: Not Applicable

BLUE CHIP INDEXES


Indica

tors

2005 2004 % Change Average Average Exchange Name of Index Year-end Year-end end % Volatility % Volatility

2005/2004 in 2005 in 2004

AMERICAS

Buenos Aires SE Burcap Index R 4 601,48 3 113,23 47,8% 22,8% 20,1%Colombia SE IGBC P 9 513,25 4 345,83 118,9% 17,4% NALima SE Indice Selectivo BVL (ISBVL) R 7 681,11 6 159,63 24,7% 14,7% 6,5%Mexican Exchange Price & Quotations Index (IPC) P 17 802,71 12 917,88 37,8% 16,7% 15,1%NYSE NYSE US 100 R 6 081,53 5 997,37 1,4% NA NASantiago SE IPSA R 1 964,47 1 796,48 9,4% 9,0% 8,5%Sao Paulo SE IBX 50 R 4 823,00 3 493,00 38,1% 15,5% 24,7%TSX Group S&P/TSX 60 P 634,72 511,91 24,0% NA NA

ASIA - PACIFIC

Australian SE 50 Leaders Index P 4 668,20 3 976,00 17,4% 10,9% 7,2%Bombay SE Sensex P 9 397,93 6 602,69 42,3% NA NAColombo SE Milanka Index P 2 451,06 2 073,70 18,2% NA NAHong Kong Exchanges Hang Seng Index P 14 876,43 14 230,14 4,5% 12,3% 12,6%Jakarta SE LQ 45 Index P 254,35 217,10 17,2% 16,2% 17,2%Korea Exchange KRX 100 P 2 810,62 NA – NA 1,5%National Stock Exchange India S&P CNX Nifty P 2 836,55 2 080,50 36,3% NA NANew Zealand Exchange NZX 10 P 1 241,55 1 191,53 4,2% 7,2% 5,6%Osaka SE 250 Adjusted Stock Price Average P 30 851,17 20 161,30 53,0% NA NAShanghai SE SSE 180 Index P 2 166,78 2 362,07 -8,3% NA NAShenzhen SE SZSE 100 P 917,50 991,13 -7,4% 11,0% 9,1%Singapore Exchange Straits Times P 2 347,34 2 066,14 13,6% NA NATaiwan SE Corp. TSEC Taiwan 50 Index R 4 922,51 4 479,18 9,9% 15,1% 25,3%Thailand SE SET 50 P 502,85 468,68 7,3% 15,0% 27,8%Tokyo SE TOPIX Core 30 P 990,04 735,42 34,6% 10,5% 48,1%


Athens Exchange FTSE/ASE 20 P 2 019,04 1 547,47 30,5% 15,1% 16,6%BME Spanish Exchanges Ibex 35 P 10 733,90 9 080,80 18,2% 10,1% 10,3%Borsa Italiana S&P/MIB 30 P 35 704,00 30 903,00 15,5% 9,9% 11,0%Budapest SE BUX R 20 784,88 14 742,57 41,0% 21,9% 16,9%Cyprus SE FTSE/CySE 20 P 576,87 338,50 70,4% NA NADeutsche Börse DAX 30 R 5 408,26 4 256,08 27,1% 12,0% 17,1%Euronext Amsterdam AEX P 436,78 348,08 25,5% 10,2% 10,8%Euronext Brussels BEL 20 P 3 549,25 2 932,62 21,0% 9,0% 8,0%Euronext Lisbon PSI 20 P 8 618,67 7 600,16 13,4% 7,8% 7,2%Euronext Paris CAC 40 P 4 715,23 3 821,16 23,4% 10,9% 11,3%Irish SE ISEQ 20 P 1 162,62 – – NA NAIstanbul SE ISE National 30 P 50 467,53 32 152,87 57,0% 16,7% 17,4%JSE FTSE/JSE Top 40 P 16 438,05 11 405,72 44,1% NA NALjubljana SE Slovene Stock Exchange Index SBI 20 P 4 630,10 4 904,48 -5,6% NA 24,7%London SE FTSE 100 P 5 618,76 4 814,30 16,7% 8,3% 9,8%Luxembourg SE LuxX Price Index P 1 636,98 1 292,22 26,7% 10,1% 11,8%Mauritius SE SEM-7 P 175,43 149,67 17,2% NA NAOMX Copenhagen SE OMXC20 P 393,52 286,66 37,3% 11,9% 13,5%OMX Helsinki SE OMXH25 P 2 301,26 1 830,98 25,7% 11,3% 12,6%OMX Stockholm SE OMXS30 P 960,01 741,88 29,4% 12,0% 13,9%Oslo Børs OBX 25 P 1 112,82 821,59 35,4% 15,0% 12,4%Swiss Exchange Swiss Market Index (SMI) P 7 583,93 5 693,20 33,2% 9,3% 13,2%Tehran SE TSE 50 P 761,08 1 003,54 -24,2% NA NATel Aviv SE TA 25 R 823,42 617,94 33,3% NA 12,3%Warsaw SE WIG 20 P 2 654,95 1 960,57 35,4% 16,0% 17,0%Wiener Börse ATX P 3 667,03 2 431,38 50,8% 13,0% 14,1%


Total Return = stock index performance + gross dividend yield. For SEwith stock return indexes, total return = stock index performance.BOMBAY SE: PER and gross dividend yield based on SENSEX.CAIRO AND ALEXANDRIA STOCK EXCHANGES: dividend yield of the50 most active companies at year-end.

PHILIPPINE SE: computed using PSE Composite index stocks only.SAO PAULO SE: for 2004, market value of 307 companies at Dec. 04divided by their net profit obtained in the period 1 Jan. 04 to 30 Dec. 04.For 2005, market value of 314 companies at Sep. 05 divided by theirnet profit obtained during the period 1 Oct. 04 to 30 Sep. 05.


Indicators - 4.3 AVERAGE OF PRICE EARNING RATIOS, GROSS DIVIDEND YIELDS, INFLATION RATES, TOTAL MARKET RETURNS

1 1 4

Price Earning Ratio Gross Dividend Yield Inflation Rate Total Return

Exchange 2005 2004 2005 2004 2005 2004 2005 2004% % % % % %

AMERICAS

American SE 14,7 18,5 1,4 1,9 3,4 3,3 24,0 24,1Bermuda SE 12,6 7,9 4,1 4,6 3,1 3,6 R 25,2 12,8Buenos Aires SE 10,3 23,3 3,5 3,4 12,3 6,1 21,5 17,4Colombia SE 26,2 29,2 13,4 6,9 4,9 5,5 132,3 NALima SE NA NA 4,6 4,6 1,5 3,5 29,4 52,4Mexican Exchange 17,3 14,6 1,9 1,7 3,3 5,2 39,7 48,6Nasdaq NA NA NA NA 3,4 3,3 NA NANYSE NA NA NA NA 3,4 3,3 NA NASantiago SE 19,8 20,0 3,8 3,7 3,7 2,4 6,5 26,2Sao Paulo SE 10,5 10,2 R 3,5 3,2 1,2 12,4 27,7 17,8TSX Group 19,9 18,8 2,0 1,7 2,3 2,1 23,9 14,2

ASIA - PACIFIC

Australian SE 17,0 20,5 3,7 3,4 2,8 2,6 19,9 26,0Bombay SE 16,2 17,3 1,6 2,0 5,6 5,2 43,9 19,5Bursa Malaysia 15,2 19,0 4,1 2,9 3,0 1,4 R 3,3 17,2Colombo SE 12,4 10,8 2,7 3,2 11,6 7,6 30,3 45,1Hong Kong Exchanges 15,6 18,7 2,9 2,9 1,8 0,2 11,1 18,3Jakarta SE 12,5 9,1 R NA NA 17,1 6,4 NA NAKorea Exchange 11,0 15,8 1,7 2,1 4,0 3,4 R 55,7 12,6National Stock Exchange India 17,2 16,3 1,6 1,8 5,6 5,2 37,9 19,6New Zealand Exchange 15,5 22,3 7,0 5,7 3,2 2,7 9,0 28,0Osaka SE 37,7 44,1 NA NA -0,3 0,0 NA NAPhilippine SE 14,8 18,3 1,5 1,7 7,6 6,0 R 16,5 28,1Shanghai SE 16,3 24,2 2,6 1,7 1,8 3,9 -5,7 -13,7Shenzhen SE 16,4 24,6 2,2 1,4 1,8 3,9 -9,5 -15,2Singapore Exchange 15,4 16,6 3,2 2,8 0,5 1,7 16,3 14,6Taiwan SE Corp. 17,6 12,6 5,4 4,4 2,3 1,6 6,7 4,2Thailand SE 9,4 9,4 3,4 2,8 5,8 2,9 10,2 -10,8Tokyo SE 50,4 52,4 1,1 1,1 -0,3 0,0 44,6 11,3


Athens Exchange 29,4 26,7 3,6 4,0 3,6 3,1 35,1 27,1BME Spanish Exchanges 16,1 18,4 2,9 3,0 3,7 3,2 23,5 21,7Borsa Italiana 16,0 22,1 R 3,1 3,4 2,2 2,3 17,0 20,9Budapest SE 12,4 10,0 R 2,5 2,3 3,6 6,8 41,0 57,2Cairo & Alexandria SEs 14,8 13,0 3,8 6,9 3,1 17,3 150,1 129,1Cyprus SE NA NA NA NA E 2,6 2,3 NA NADeutsche Börse NA NA NA NA 2,1 2,1 NA NAEuronext Amsterdam 13,3 11,4 R 5,0 4,1 2,1 1,2 30,3 9,8Euronext Brussels 16,0 14,7 R 3,0 3,4 2,8 1,9 28,1 38,2Euronext Lisbon 19,3 18,1 R 3,9 3,3 2,5 2,6 17,2 18,0Euronext Paris 15,1 13,1 R 3,1 3,8 1,8 2,3 28,4 13,0Irish SE 16,0 15,1 2,2 2,3 2,5 2,2 21,0 28,3Istanbul SE 19,4 13,3 1,7 1,4 7,7 9,3 61,0 35,5JSE 15,1 14,8 2,5 2,8 4,0 4,3 45,5 24,7Ljubljana SE 18,7 24,9 1,6 1,7 2,3 3,6 -4,0 26,4London SE 14,0 14,7 3,1 3,2 2,2 3,6 R 21,2 12,4Luxembourg SE 24,6 19,6 1,4 2,4 1,0 2,4 29,3 20,6Malta SE NA NA NA NA 3,0 2,8 NA NAMauritius SE 8,0 9,9 4,6 4,9 5,6 3,9 17,7 34,2OMX Copenhagen SE NA NA NA NA 1,2 1,8 NA NAOMX Helsinki SE NA NA 4,1 4,0 0,9 0,2 35,2 7,3OMX Riga SE 38,9 8,5 1,1 1,4 7,0 7,3 NA NAOMX Stockholm SE 17,5 16,3 2,6 2,5 0,5 0,4 R 35,2 20,1OMX Tallinn SE 17,5 17,5 3,1 3,8 4,1 3,0 NA NAOMX Vilnius 12,8 13,2 NA NA 3,0 2,9 52,9 NAOslo Børs NA NA 3,5 2,1 1,8 1,1 37,7 34,1Swiss Exchange NA NA NA NA 1,2 0,8 R 35,6 6,9Tehran SE 5,8 8,8 11,1 7,3 13,0 15,0 -13,2 31,7Tel Aviv SE 15,9 16,3 NA 3,4 2,4 1,2 32,8 17,6Warsaw SE 14,3 17,1 2,8 1,3 0,7 4,4 33,7 27,9Wiener Börse 17,0 16,1 1,9 2,2 2,1 1,9 44,6 51,0

Indicators - 4.4


MARKET INTEREST RATES AND COMMODITY PRICES

Sources for commodity prices: Bloomberg, Financial Times, International Monetary Fund statistics.

TEL AVIV SE: money market rates are prime rates ; yields on 10-yeargovernment bonds are nominal.THAILAND SE: as of 4 January 2005, the start date of the BangkokInterbank Offered Rate (BIBOR).



Indica

tors

In the exchange's jurisdiction, short and long term interest rates were as follows. (in USD)

3-month money Yield on current market rates 10 years Govn. bonds

Exchange 2005 year-end 2004 year-end 2005 year-end 2004 year-end% % % %

AMERICAS

American SE 3,42 1,41 4,29 4,27 RBuenos Aires SE 8,38 4,88 3,68 1,83Colombia SE 5,92 6,59 R 8,60 12,65 RLima SE 3,30 3,00 NA NAMexican Exchange 8,01 8,81 8,25 10,02Nasdaq 3,42 1,41 4,29 4,27 RNYSE 3,42 1,41 4,29 4,27 RSantiago SE 8,90 3,22 3,23 3,32 RSao Paulo SE 18,24 17,50 8,45 8,30

ASIA - PACIFIC

Australian SE 5,64 5,43 5,20 5,30Bombay SE 6,88 5,68 7,13 6,62Bursa Malaysia 3,20 2,80 4,74 4,24 RColombo SE 11,91 10,30 7,50 6,65Hong Kong Exchanges 4,16 0,28 NA NAJakarta SE 14,48 7,55 NA NAKorea Exchange 3,65 3,79 4,95 4,73National Stock Exchange India 6,88 5,68 7,13 6,62New Zealand Exchange 7,66 6,71 5,85 5,95Osaka SE 0,10 0,10 1,49 1,40Philippine SE 6,43 8,40 R 10,08 12,59 RShanghai SE 3,60 2,35 4,44 5,10Shenzhen SE 3,60 2,35 4,44 5,10Singapore Exchange 3,25 1,44 3,21 2,58Taiwan SE Corp. 1,40 1,12 R 1,84 2,43 RThailand SE 4,01 2,39 5,80 4,86Tokyo SE 0,10 0,10 1,49 1,40


Athens Exchange 2,84 2,16 3,70 3,80BME Spanish Exchanges 2,47 2,17 3,46 3,71Borsa Italiana 2,47 2,17 3,51 3,83 RBudapest SE 6,27 9,57 6,95 7,05Cairo & Alexandria SEs 8,57 9,90 9,24 11,38Cyprus SE 3,47 5,16 4,75 6,00Deutsche Börse 2,47 2,17 3,40 3,60Euronext Amsterdam 2,47 2,17 3,35 3,63Euronext Brussels 2,47 2,17 3,39 3,66 REuronext Lisbon 2,47 2,17 3,46 3,64 REuronext Paris 2,47 2,17 3,38 3,64 RIrish SE 2,49 2,16 3,30 3,49JSE 7,05 7,47 7,60 8,38Ljubljana SE NA NA 3,71 4,43London SE 4,64 4,84 4,12 4,53Luxembourg SE 2,49 2,16 2,82 2,47Malta SE NA NA NA NAMauritius SE 6,91 5,23 NA NAOMX Copenhagen SE 2,50 2,21 3,30 3,87OMX Helsinki SE 2,49 2,16 3,23 3,70OMX Riga SE 3,95 4,40 3,50 4,75OMX Stockholm SE 1,97 2,17 R 3,34 4,02 ROMX Tallinn SE 2,60 2,41 NA NAOMX Vilnius SE 2,54 2,64 3,79 3,85Oslo Børs 2,56 1,97 3,31 3,61Swiss Exchange 1,01 0,72 R 2,11 2,73 RTehran SE 7,00 7,00 15,50 17,00Tel Aviv SE 6,00 5,20 6,20 7,00Warsaw SE 4,60 6,64 5,23 6,27Wiener Börse 2,40 2,13 3,27 3,71

2005 2004

Commodities year-end year-endCash Cash

Market Market

Oil Brent 57,72 40,50West Texas Intern. 62,40 48,40Gold 512,90 438,50

Indicators - 4.5

NA: Not Available –: Not Applicable

STOCK MARKETS’ SIGNIFICANCE IN THE NATIONAL ECONOMY

1 1 6

(USD billions)

2004 2004Exchange GDP1 Domestic market % GFCF1 New capital %

capitalization raised

AMERICAS

American SE 11 734,3 83,0 0,7% 2 245,2 0,8 0,0%Bermuda SE NA 1,9 – NA 0,01 –Buenos Aires SE 151,2 40,6 26,9% 28,9 0,2 0,7%Colombia SE 106,5 25,2 23,7% NA 0,0 –Lima SE 71,1 18,0 25,3% 13,2 0,2 1,8%Mexican Exchange 677,8 171,9 25,4% 136,8 1,0 0,7%Nasdaq 11 734,3 3 532,9 30,1% 2 245,2 15,0 0,7%NYSE 11 734,3 12 707,6 108,3% 2 245,2 147,9 6,6%Santiago SE 102,5 116,9 114,1% 21,1 1,2 5,7%Sao Paulo SE 665,6 330,3 49,6% 130,5 3,8 2,9%TSX Group 1 071,9 1 177,5 109,8% 215,2 39,1 18,2%

ASIA - PACIFIC

Australian SE 653,6 776,4 118,8% 160,4 25,4 15,8%Bombay SE 713,2 386,3 54,2% NA 3,3 –Bursa Malaysia 117,8 181,6 154,2% 24,2 1,9 8,0%Colombo SE 19,4 3,7 18,9% 4,8 0,1 2,3%Hong Kong Exchanges 163,2 861,5 527,7% NA 36,1 –Jakarta SE 247,9 73,3 29,5% 52,0 0,7 1,4%Korea Exchange 752,0 389,5 51,8% 221,9 14,9 6,7%National Stock Exchange India 713,2 363,3 50,9% NA 8,4 –New Zealand Exchange 106,5 43,7 41,1% 24,1 1,5 6,4%Osaka SE 4 852,0 2 287,0 47,1% 1 155,9 5,4 0,5%Philippine SE 84,2 28,6 34,0% 14,2 0,04 0,3%Shanghai SE 1 649,4 314,3 19,1% NA 5,5 –Shenzhen SE 1 649,4 133,4 8,1% NA 2,4 –Singapore Exchange2 110,5 217,6 196,9% 26,5 2,8 10,6%Taiwan SE Corp. 355,5 441,4 124,2% 72,7 6,0 8,2%Thailand SE 168,4 115,4 68,5% 43,4 2,3 5,2%Tokyo SE 4 852,0 3 557,7 73,3% 1 155,9 25,9 2,2%


Athens Exchange 225,1 121,9 54,2% 57,5 0,7 1,2%BME Spanish Exchanges 1 141,4 940,7 82,4% 317,4 38,6 12,2%Borsa Italiana 1 840,5 789,6 42,9% 358,1 19,0 5,3%Budapest SE 112,8 28,3 25,1% 25,5 0,1 0,3%Cairo & Alexandria SEs 79,1 38,5 48,7% 13,0 0,9 6,6%Cyprus SE 17,0 4,9 28,7% 3,1 0,2 6,1%Deutsche Börse 3 006,3 1 194,5 39,7% 516,9 2,5 0,5%Euronext3 3 450,9 2 441,3 70,7% 673,8 44,9 6,7%Irish SE 199,2 114,1 57,3% 49,7 1,8 3,6%Istanbul SE 318,3 98,3 30,9% 60,1 1,2 2,0%JSE2 244,1 442,5 181,3% 40,2 6,5 16,3%Ljubljana SE 35,1 9,7 27,5% 8,7 0,1 1,2%London SE 2 249,3 2 865,2 127,4% 378,3 32,5 8,6%Luxembourg SE 35,0 50,1 143,3% 6,8 5,0 72,9%Malta SE 5,8 2,8 49,0% 1,2 0,002 0,2%Mauritius SE 6,2 2,1 34,0% 1,3 NA –OMX4 904,2 728,8 80,6% 164,3 5,2 3,2%Oslo Børs 279,1 141,6 50,7% 50,3 1,4 2,8%Swiss Exchange 392,7 826,0 210,3% 82,9 1,9 2,3%Tehran SE NA 42,6 – NA 2,8 –Tel Aviv SE 122,3 90,2 73,7% 20,8 3,6 17,4%Warsaw SE 295,0 71,5 24,3% 53,8 3,5 6,6%Wiener Börse 320,6 87,8 27,4% 69,7 4,7 6,8%

SOURCE: IMF International Financial Statistics Yearbook 2005 andexchange members.All GDP and GFCF figures are subject to change.1. GDP = Gross Domestic Product - GFCF = Gross Fixed Capital Formation.2. Singapore Exchange and JSE market capitalization data includealso foreign listed companies.

3. Euronext figures include data from Belgium, France, the Netherlandsand Portugal.4. OMX figures include data from Denmark, Estonia, Finland, Latvia,Lithuania, and Sweden.


SME M

arkets

SME - 5.1



Excluding investment funds.ATHENS EXCHANGE: on 28 November 2005, a new market “Mediumand Small Capitalization Category” replaced NEHA. Companies weretransferred to the new market. 2005 data have been adjusted toreflect the end of year new market structure.

BOMBAY SE: Indonext segment was launched in January 2005.IRISH SE: on 12 April 2005, all companies previously quoted on theESM and DCM transferred to IEX.SHENZHEN SE: Small & Medium Enterprises Board was launched on25 June 2004.


1 1 8

% ChangeExchange Name of the Market 2005 20042005/2004

AMERICAS

Sao Paulo SE SOMA 12 158,6 12 618,0 -3,6%TSX Group TSX Venture 29 075,5 21 115,0 37,7%

ASIA - PACIFIC

Bombay SE Indonext 12 362,5 NA –Bursa Malaysia Second Board 3 829,9 5 414,6 -29,3%Bursa Malaysia Mesdaq Market 2 068,6 1 762,8 17,3%Hong Kong Exchanges Growth Enterprise Market 8 590,2 8 583,4 0,1%Korea Exchange Kosdaq 70 136,8 30 089,9 133,1%New Zealand Exchange New Zealand Alternative Market 434,4 341,5 27,2%Osaka SE New Market "Hercules" 37 292,3 19 994,9 86,5%Philippine SE SME Board 5,5 4,7 16,6%Shenzhen SE Small & Medium Enterprises Board 5 967,0 4 995,2 19,5%Singapore Exchange Sesdaq 3 533,9 3 550,6 -0,5%Thailand SE Market for Alternative Investment (MAI) 346,1 260,0 33,1%Tokyo SE Mothers 59 341,0 31 486,7 88,5%


Athens Exchange Medium & Small Capitalization Category 11 078,8 – –BME Spanish Exchanges Nuevo Mercado 11 176,0 18 682,0 -40,2%Borsa Italiana Mercato Expandi 8 615,1 7 212,6 19,4%Cyprus SE Alternative Market 899,0 903,9 -0,5%Cyprus SE Parallel Market 301,2 291,0 3,5%Cyprus SE Investment Companies Market 276,9 269,6 2,7%Euronext Alternext 967,6 NA –Irish SE Irish Enterprise Exchange 1 002,4 938,8 6,8%Istanbul SE Second National Market 989,3 607,3 62,9%Istanbul SE New Economy Market 153,2 75,9 101,8%JSE Alternative Exchange 305,6 177,6 72,1%JSE Development Capital Market 31,1 35,2 -11,7%JSE Venture Capital Market 679,1 121,9 457,2%Ljubljana SE Semi-official Market 2 074,4 2 682,6 -22,7%London SE AIM 97 199,1 60 958,7 59,5%OMX Helsinki I List (Investors' List) 772,6 681,3 13,4%OMX Helsinki NM List (New Market) 257,0 765,3 -66,4%OMX Baltic I-list (Investors' List) 7 483,1 5 600,2 33,6%Swiss Exchange SWX Local Caps Segment NA NA –Warsaw SE SiTech 15 463,7 13 064,3 18,4%Wiener Börse Semi-official Market and Third Market 1 971,0 2 098,7 -6,1%

(USD millions)

SME - 5.2

NA: Not Available –: Not Applicable R: Revised

NUMBER OF COMPANIES WITH SHARES TRADED

ATHENS EXCHANGE: on 28 November 2005, a new market “Mediumand Small Capitalization Category” replaced NEHA. Companies weretransferred to the new market. 2005 data have been adjusted toreflect the end of year new market structure.BOMBAY SE: Indonext segment was launched in January 2005.

IRISH SE: on 12 April 2005, all companies previously quoted on theESM and DCM transferred to IEX.SHENZHEN SE: Small & Medium Enterprises Board was launched on25 June 2004.



SME M

arkets

2005 2004

Exchange Name of the Market Total Domestic Foreign Total Domestic ForeignCies Cies Cies Cies

AMERICAS

Sao Paulo SE SOMA 88 88 0 94 94 0TSX Group TSX Venture 2 221 2 221 0 2 209 2 209 0

ASIA - PACIFIC

Bombay SE Indonext 524 524 0 – – –Bursa Malaysia Second Board 268 268 0 278 278 0Bursa Malaysia Mesdaq Market 107 107 0 63 63 0Hong Kong Exchanges Growth Enterprise Market 201 201 0 204 204 0Korea Exchange Kosdaq 918 918 0 890 890 0New Zealand Exchange New Zealand Alternative Market 25 25 0 22 22 0Osaka SE New Market "Hercules" 125 124 1 110 110 0Philippine SE SME Board 3 3 0 3 3 0Shenzhen SE Small & Medium Enterprises Board 50 50 0 38 38 0Singapore Exchange Sesdaq 171 131 40 163 163 0Thailand SE Market for Alternative Investment (MAI) 36 36 0 24 24 0Tokyo SE Mothers 151 150 1 123 122 1


Athens Exchange Medium & Small Capitalization Category 213 212 1 – – –BME Spanish Exchanges Nuevo Mercado 11 10 1 14 13 1Borsa Italiana Mercato Expandi 18 18 0 13 13 0Cyprus SE Alternative Market 85 85 0 87 87 0Cyprus SE Parallel Market 18 18 0 20 20 0Cyprus SE Investment Companies Market 25 25 0 25 25 0Deutsche Börse Entry Standard 20 3 17 – – –Euronext Alternext 20 20 0 – – –Irish SE Irish Enterprise Exchange 13 11 2 8 8 0Istanbul SE Second National Market 16 16 0 17 17 0Istanbul SE New Economy Market 2 2 0 1 1 0JSE Alternative Exchange 15 15 0 10 10 0JSE Development Capital Market 11 11 0 13 13 0JSE Venture Capital Market 18 17 1 22 21 1Ljubljana SE Semi-official Market 91 91 0 111 111 0London SE AIM 1 399 1179 220 1 021 905 116OMX Helsinki I List (Investors' List) 24 24 0 26 R 26 0OMX Helsinki NM List (New Market) 10 10 0 14 14 0OMX Baltic I-list (Investors' List) 47 47 0 49 49 0Swiss Exchange SWX Local Caps Segment 36 36 0 34 34 0Warsaw SE SiTech 38 37 1 32 31 1Wiener Börse Semi-official Market and Third Market 27 24 3 33 25 8

SME - 5.3


NUMBER OF NEWLY LISTED COMPANIES AND DELISTINGS

ATHENS EXCHANGE: on 28 November 2005, a new market “Mediumand Small Capitalization Category” replaced NEHA. Companies weretransferred to the new market. 2005 data have been adjusted toreflect the end of year new market structure.



1 2 0

Newly listed companies Delistings

2005 2004 2005 2004Exchange Name of the Market Total Dom. Foreign Total Dom. Foreign Total Dom. Foreign Total Dom. Foreign


AMERICAS

Sao Paulo SE SOMA 1 1 0 2 2 0 7 7 0 9 9 0TSX Group TSX Venture 165 165 0 142 142 0 134 134 0 172 172 0

ASIA - PACIFIC

Bursa Malaysia Second Board 17 17 0 26 26 0 5 5 0 29 29 0Bursa Malaysia Mesdaq Market 46 46 0 31 31 0 1 1 0 0 0 0Hong Kong Exchanges Growth Enterprise Market 10 10 0 21 21 0 13 13 0 2 2 0Korea Exchange Kosdaq 69 69 0 48 48 0 40 40 0 40 40 0New Zealand Exchange New Zealand Alternative Market 5 5 0 11 11 0 0 0 0 0 0 0Osaka SE New Market "Hercules" 22 21 1 18 18 0 7 7 0 11 11 0Shenzhen SE Small & Medium Enterprises Board 12 12 0 38 38 0 0 0 0 0 0 0Singapore Exchange Sesdaq 19 10 9 31 31 0 1 0 1 0 0 0Thailand SE Market for Alternative Investment (MAI) 14 14 0 14 14 0 1 1 0 0 0 0Tokyo SE Mothers 37 37 0 57 56 1 3 3 0 1 1 0


Athens Exchange Medium & Small Capitalization Category 6 6 0 – – – 2 2 0 – – –Borsa Italiana Mercato Expandi 6 6 0 2 2 0 1 1 0 0 0 0Cyprus SE Alternative Market 0 0 0 0 0 0 2 2 0 0 0 0Cyprus SE Parallel Market 0 0 0 0 0 0 2 2 0 0 0 0Euronext Alternext 20 20 0 – – – 0 0 0 – – –Irish SE Irish Enterprise Exchange 5 3 2 1 1 0 0 0 0 0 0 0Istanbul SE Second National Market 1 1 0 1 1 0 0 0 0 0 0 0Istanbul SE New Economy Market 1 1 0 1 1 0 0 0 0 0 0 0JSE Alternative Exchange 6 6 0 10 10 0 1 1 0 0 0 0JSE Development Capital Market 0 0 0 0 0 0 1 1 0 2 2 0JSE Venture Capital Market 0 0 0 1 1 0 2 2 0 4 4 0Ljubljana SE Semi-official Market 3 3 0 19 19 0 23 23 0 9 9 0London SE AIM 519 399 120 355 294 61 141 125 16 88 83 5OMX Helsinki I List (Investors' List) 0 0 0 0 0 0 2 2 0 2 2 0OMX Helsinki NM List (New Market) 0 0 0 0 0 0 0 0 0 1 1 0OMX Baltic I-list (Investors' List) 0 0 0 1 1 0 0 0 0 4 4 0Swiss Exchange SWX Local Caps Segment 0 0 0 1 1 0 NA NA NA NA NA NAWarsaw SE SiTech 6 6 0 9 8 1 0 0 0 0 0 0Wiener Börse Semi-official Market and Third Market 1 1 0 3 1 2 2 2 0 2 2 0

SME - 5.4


TOTAL VALUE OF SHARE TRADING

The sale & purchase of a share are counted as one transaction.Totals include investment funds.Figures converted with year-average exchange rates.ATHENS EXCHANGE: on 28 November 2005, a new market “Mediumand Small Capitalization Category” replaced NEHA. Companies weretransferred to the new market. 2005 data have been adjusted toreflect the end of year new market structure.




SME M

arkets

2005 2004Exchange Name of the Market Total Domestic Foreign Invest. Total Domestic Foreign Invest.

Cies Cies Funds Cies Cies Funds

AMERICAS

Sao Paulo SE SOMA 86,0 86,0 0,0 0,0 303,3 303,3 0,0 0,0TSX Group TSX Venture 12 956,6 12 956,6 0,0 0,0 8 430,8 8 430,8 0,0 0,0

ASIA - PACIFIC

Bombay SE Indonext 8 791,9 8 791,9 0,0 0,0 – – – –Bursa Malaysia Second Board 149,4 149,4 0,0 0,0 7 394,5 7 394,5 0,0 0,0Bursa Malaysia Mesdaq Market 218,5 218,5 0,0 0,0 2 329,9 2 329,9 0,0 0,0Hong Kong Exchanges Growth Enterprise Market 2 872,8 2 872,8 0,0 0,0 3 307,4 3 307,4 0,0 0,0Korea Exchange Kosdaq 436 938,3 436 937,4 0,0 0,9 136 815,7 136 811,6 0,0 4,0New Zealand Exchange New Zealand Alternative Market 40,7 40,7 0,0 0,0 23,0 23,0 0,0 0,0Osaka SE New Market "Hercules" 87 487,3 87 278,4 209,0 0,0 34 522,1 34 522,1 0,0 0,0Philippine SE SME Board 1,9 1,9 0,0 0,0 0,03 0,03 0,0 0,0Shenzhen SE Small & Medium Enterprises Board 14 714,2 14 714,2 0,0 0,0 9 939,0 9 939,0 0,0 0,0Singapore Exchange Sesdaq 2 583,9 NA NA NA 3 842,1 NA NA NAThailand SE Market for Alternative Investment (MAI) 888,1 888,1 0,0 0,0 845,1 845,1 0,0 0,0Tokyo SE Mothers 187 905,9 185 575,4 2 330,5 0,0 102 756,0 102 447,3 308,7 0,0


Athens Exchange Medium & Small Capitalization Category 4 264,2 4 009,9 4,7 249,6 – – – –BME Spanish Exchanges Nuevo Mercado 43 764,3 43 764,3 0,0 0,0 31 897,5 31 897,5 0,0 0,0Borsa Italiana Mercato Expandi 1 400,5 1 400,5 0,0 0,0 600,1 600,1 0,0 0,0Cyprus SE Alternative Market 52,0 52,0 0,0 0,0 NA NA NA NACyprus SE Parallel Market 12,2 12,2 0,0 0,0 NA NA NA NACyprus SE Investment Companies Market 19,3 19,3 0,0 0,0 NA NA NA NADeutsche Börse Entry Standard 1 085,8 550,7 535,1 0,0 – – – –Euronext Alternext 210,6 210,6 0,0 0,0 – – – –Irish SE Irish Enterprise Exchange 337,5 317,7 19,8 0,0 186,8 186,8 0,0 0,0Istanbul SE Second National Market 2 217,2 2 217,2 0,0 0,0 939,0 939,0 0,0 0,0Istanbul SE New Economy Market 687,8 687,8 0,0 0,0 214,3 214,3 0,0 0,0JSE Alternative Exchange 47,3 47,3 0,0 0,0 7,2 7,2 0,0 0,0JSE Development Capital Market 1,8 1,8 0,0 0,0 5,4 R 5,4 0,0 0,0JSE Venture Capital Market 14,7 14,7 0,0 0,0 72,5 72,5 0,0 0,0Ljubljana SE Semi-official Market 390,8 205,8 0,0 185,0 609,7 297,5 0,0 312,2London SE AIM 38 216,2 38 216,2 NA NA 16 636,0 16 636,0 NA NAOMX Helsinki I List (Investors' List) 158,6 158,6 0,0 0,0 134,1 134,1 0,0 0,0OMX Helsinki NM List (New Market) 232,4 232,4 0,0 0,0 332,4 332,4 0,0 0,0OMX Baltic I-list (Investors' List) 513,6 513,6 0,0 0,0 310,6 310,6 0,0 0,0Swiss Exchange SWX Local Caps Segment 3 997,1 885,9 0,0 3 111,3 2 728,9 445,6 0,0 2 283,4Warsaw SE SiTech 7 088,6 7 084,3 4,2 0,0 4 184,5 4 183,6 0,9 0,0Wiener Börse Semi-official Market and Third Market 219,3 194,5 24,8 0,0 104,6 98,4 6,2 0,0

(USD millions)

SME - 5.4

NA: Not Available R: Revised –:Not Applicable

ALSO ON VALUE OF SHARE TRADING – ELECTRONIC ORDER BOOK TRADES




1 2 2



AMERICAS

Sao Paulo SE SOMA 86,0 86,0 0,0 0,0 303,3 303,3 0,0 0,0

ASIA - PACIFIC

Bursa Malaysia Second Board 112,6 112,6 0,0 0,0 6 584,2 6 584,2 0,0 0,0Bursa Malaysia Mesdaq Market 185,0 185,0 0,0 0,0 2 080,3 2 080,3 0,0 0,0Hong Kong Exchanges Growth Enterprise Market 2 425,6 2 425,6 0,0 0,0 3 022,6 3 022,6 0,0 0,0Korea Exchange Kosdaq 435 576,0 435 575,2 0,0 0,9 135 866,6 135 862,6 0,0 4,0New Zealand Exchange New Zealand Alternative Market 33,2 33,2 0,0 0,0 17,3 R 17,3 0,0 0,0Osaka SE New Market "Hercules" 86 479,9 86 270,9 209,0 0,0 33 945,2 33 945,2 0,0 0,0Philippine SE SME Board 1,3 1,3 0,0 0,0 0,03 0,03 0,0 0,0Shenzhen SE Small & Medium Enterprises Board 14 711,0 14 711,0 0,0 0,0 9 939,0 9 939,0 0,0 0,0Thailand SE Market for Alternative Investment (MAI) 882,7 882,7 0,0 0,0 842,4 842,4 0,0 0,0Tokyo SE Mothers 187 905,9 185 575,4 2 330,5 0,0 102 756,0 102 447,3 308,7 0,0


Athens Exchange Medium & Small Capitalization Category 3 740,0 3 580,9 4,7 154,4 – – – –BME Spanish Exchanges Nuevo Mercado 34 783,5 34 783,5 0,0 0,0 21 478,7 21 478,7 0,0 0,0Borsa Italiana Mercato Expandi 1 233,9 1 233,9 0,0 0,0 577,4 577,4 0,0 0,0Deutsche Börse Entry Standard 253,7 137,7 116,0 0,0 – – – –Euronext Alternext 143,7 143,7 0,0 0,0 – – – –Irish SE Irish Enterprise Exchange 40,5 40,4 0,1 0,0 29,2 29,2 0,0 0,0Istanbul SE Second National Market 2 217,2 2 217,2 0,0 0,0 939,0 939,0 0,0 0,0Istanbul SE New Economy Market 687,8 687,8 0,0 0,0 214,3 214,3 0,0 0,0JSE Alternative Exchange 24,6 24,6 0,0 0,0 NA NA NA NAJSE Development Capital Market 1,5 1,5 0,0 0,0 NA NA NA NAJSE Venture Capital Market 5,1 5,0 0,0 0,0 NA NA NA NALjubljana SE Semi-official Market 210,7 110,7 0,0 100,0 344,6 155,6 0,0 189,0OMX Helsinki I List (Investors' List) 102,9 102,9 0,0 0,0 77,2 77,2 0,0 0,0OMX Helsinki NM List (New Market) 110,3 110,3 0,0 0,0 220,3 220,3 0,0 0,0OMX Baltic I-list (Investors' List) 278,1 278,1 0,0 0,0 119,0 119,0 0,0 0,0Swiss Exchange SWX Local Caps Segment 2 940,0 755,4 0,0 2 184,6 2 032,0 392,4 0,0 1 639,6Warsaw SE SiTech 6 762,2 6 757,9 4,2 0,0 3 985,0 3 984,0 0,9 0,0Wiener Börse Semi-official Market and Third Market 219,3 194,5 24,8 0,0 104,6 98,4 6,2 0,0

(USD millions)

SME - 5.4

NA: Not Available –:Not Applicable

ALSO ON VALUE OF SHARE TRADING – NEGOTIATED DEALS





SME M

arkets



ASIA - PACIFIC

Bursa Malaysia Second Board 36,8 36,8 0,0 0,0 810,3 810,3 0,0 0,0Bursa Malaysia Mesdaq Market 33,5 33,5 0,0 0,0 249,6 249,6 0,0 0,0Hong Kong Exchanges Growth Enterprise Market 447,2 447,2 0,0 0,0 284,8 284,8 0,0 0,0Korea Exchange Kosdaq 1 362,2 1 362,2 0,0 0,0 949,1 949,1 0,0 0,0New Zealand Exchange New Zealand Alternative Market 7,5 7,5 0,0 0,0 5,6 5,6 0,0 0,0Osaka SE New Market "Hercules" 105,3 105,3 0,0 0,0 576,9 576,9 0,0 0,0Shenzhen SE Small & Medium Enterprises Board 3,2 3,2 0,0 0,0 0,0 0,0 0,0 0,0Philippine SE SME Board 0,7 0,7 0,0 0,0 0,0 0,0 0,0 0,0Thailand SE Market for Alternative Investment (MAI) 5,4 5,4 0,0 0,0 2,8 2,8 0,0 0,0


Athens Exchange Medium & Small Capitalization Category 524,2 429,0 0,0 95,2 – – – –BME Spanish Exchanges Nuevo Mercado 8 980,8 8 980,8 0,0 0,0 10 418,9 10 418,9 0,0 0,0Borsa Italiana Mercato Expandi 166,6 166,6 0,0 0,0 22,7 22,7 0,0 0,0Deutsche Börse Entry Standard 832,1 413,0 419,1 0,0 – – – –Euronext Alternext 66,9 66,9 0,0 0,0 – – – –Irish SE Irish Enterprise Exchange 297,0 277,3 19,7 0,0 157,6 157,6 0,0 0,0JSE Alternative Exchange 22,7 22,7 0,0 0,0 NA NA NA NAJSE Development Capital Market 0,3 0,3 0,0 0,0 NA NA NA NAJSE Venture Capital Market 9,7 9,7 0,0 0,0 NA NA NA NALjubljana SE Semi-official Market 180,1 95,1 0,0 85,0 265,1 141,9 0,0 123,2London SE AIM 38 216,2 38 216,2 NA NA 16 636,0 16 636,0 NA NAOMX Helsinki I List (Investors' List) 55,7 55,7 0,0 0,0 56,9 56,9 0,0 0,0OMX Helsinki NM List (New Market) 122,1 122,1 0,0 0,0 112,1 112,1 0,0 0,0OMX Baltic I-list (Investors' List) 235,5 235,5 0,0 0,0 191,7 191,7 0,0 0,0Swiss Exchange SWX Local Caps Segment 1 057,1 130,4 0,0 926,7 697,7 53,2 0,0 644,6Warsaw SE SiTech 326,4 326,4 0,0 0,0 199,5 199,5 0,0 0,0

(USD millions)

SME - 5.5

NA: Not Available R: Revised –:Not Applicable

INVESTMENT FLOWS - NEW CAPITAL RAISED BY SHARES

ATHENS EXCHANGE: on 28 November 2005, a new market “Mediumand Small Capitalization Category” replaced NEHA. Companies weretransferred to the new market. 2005 data have been adjusted toreflect the end of year new market structure.



1 2 4

2005 2004Exchange Name of the Market Initial Secondary Total Initial Secondary Total

Public Public Public Public Offerings Offerings Offerings Offerings

AMERICAS

TSX Group TSX Venture 198,4 4 598,0 4 796,4 149,7 3 091,2 3 240,9

ASIA - PACIFIC

Bursa Malaysia Second Board 59,1 97,5 156,5 99,1 262,0 361,1 RBursa Malaysia Mesdaq Market 183,0 15,7 198,7 153,9 34,8 188,8 RHong Kong Exchanges Growth Enterprise Market 85,5 306,1 391,6 345,9 332,0 677,9Korea Exchange Kosdaq 3 725,0 2 207,5 5 932,5 1 782,6 1 079,8 2 862,4New Zealand Exchange New Zealand Alternative Market 5,3 28,7 34,1 7,0 18,8 25,8Osaka SE New Market "Hercules" 286,3 836,4 1 122,7 236,3 687,4 923,6 RShenzhen SE Small & Medium Enterprises Board 355,5 0,0 355,5 1 100,4 0,0 1 100,4Singapore Exchange Sesdaq 95,6 7,7 103,3 150,6 26,1 176,7 RThailand SE Market for Alternative Investment (MAI) 36,5 4,2 40,7 35,4 11,1 46,5 RTokyo SE Mothers NA 1 480,1 1 480,1 NA 925,4 925,4


Athens Exchange Medium & Small Capitalization Category 68,7 70,6 139,2 – – –Borsa Italiana Mercato Expandi 204,9 0,0 204,9 18,0 307,8 325,8 RCyprus SE Alternative Market Index 0,0 5,4 5,4 0,0 0,0 0,0Euronext Alternext 106,6 62,0 168,6 – – –Irish SE Irish Enterprise Exchange 163,5 0,2 163,6 25,9 33,3 59,1Istanbul SE Second National Market 2,8 24,9 27,7 2,8 2,3 5,1Istanbul SE New Economy Market 25,0 0,0 25,0 9,0 0,0 9,0JSE Alternative Exchange 0,0 159,3 159,3 0,0 35,7 35,7 RJSE Development Capital Market 0,0 2,5 2,5 0,0 1,7 1,7 RJSE Venture Capital Market 0,0 7,6 7,6 0,0 4,2 4,2 RLjubljana SE Semi-official Market 8,8 100,7 109,5 0,0 64,5 64,5 RLondon SE AIM 11 714,1 4 498,4 16 212,6 5 029,5 3 451,4 8 480,8 ROMX Helsinki I List (Investors' List) 0,0 4,0 4,0 0,0 14,8 14,8OMX Helsinki NM List (New Market) 0,0 9,4 9,4 0,0 0,0 0,0Swiss Exchange SWX Local Caps Segment 0,0 NA 0,0 362,6 NA 362,6Warsaw SE SiTech 24,5 NA 24,5 69,0 NA 69,0Wiener Börse Semi-official Market and Third Market 146,2 0,0 146,2 236,6 79,7 316,3

(USD millions)

SME - 5.6

NA: Not Available –:Not Applicable

SME STOCK MARKET INDEXES


SME M

arkets

2005 2004 % Change Exchange Name of the Index 2005 High Date 2005 Low Date Year-end Year-end 2005/2004

AMERICAS

TSX Group S&P / TSX Venture 2 237,78 Dec. 30 1 587,51 May 17 2 236,55 1 825,47 22,5%

ASIA - PACIFIC

Bursa Malaysia Second Board Index 115,01 Jan. 17 79,26 Dec. 20 80,44 110,87 -27,4%Bursa Malaysia Mesdaq Market Index 126,84 Jan. 25 82,89 Nov. 14 87,09 122,84 -29,1%Hong Kong Exchanges S&P/HKEx GEM Index 1 013,35 Feb. 15 863,79 Jul. 08 1 007,28 988,60 1,9%Korea Exchange Kosdaq Index 747,96 Dec. 06 390,40 Jan. 03 701,79 380,33 84,5%New Zealand Exchange NZAX All Index 1 426,00 Jan. 11 1 113,00 Jul. 06 1 344,00 1 258,85 6,8%Osaka SE Hercules Index 3 751,49 Dec. 30 2 133,43 Jan. 04 3 751,49 2 105,56 78,2%Shenzhen SE SME Composite 1 439,00 Nov. 30 1 000,00 Jun. 07 1 415,65 – –Singapore Exchange UOB-Sesdaq 94,28 Jan. 19 75,94 Jun. 02 88,10 86,94 1,3%Thailand SE MAI Index 214,00 Feb. 16 154,05 Dec. 02 158,23 188,07 -15,9%Tokyo SE Mothers Index 2 544,05 Dec. 30 1 738,48 Sep. 29 2 544,05 1 722,44 47,7%


Athens Exchange FTSE/Athex SmallCap 80 639,28 Dec. 28 442,36 Jul. 07 613,61 – –BME Spanish Exchanges Ibex NM NA NA NA NA 2 622,10 2 325,80 12,7%Borsa Italiana MEX Index 9 903,00 Oct. 05 7 867,00 Jan. 03 9 575,00 7 841,00 22,1%Cyprus SE Alternative Market Index 1 162,12 Feb. 14 849,20 Jan. 04 1 037,18 849,61 22,1%Cyprus SE Parallel Market Index 1 203,93 Feb. 14 916,10 Jan. 04 1 085,70 929,50 16,8%Cyprus SE Investment Market Index 1 205,91 Feb. 14 916,15 Jan. 05 1 133,53 932,33 21,6%Deutsche Börse Entry Standard Index 1 229,17 Dec. 12 992,14 Oct. 28 1 224,93 – –Istanbul SE Second National Market Index 28 474,96 Dec. 30 17 325,24 Apr. 18 28 474,96 23 415,86 21,6%Istanbul SE New Economy Market Index 40 984,76 Jan. 05 20 317,98 May 02 29 820,90 39 240,73 -24,0%JSE FTSE/JSE Venture Capital Index 632,73 Dec. 30 65,46 Jan. 03 632,73 71,54 784,4%JSE FTSE/JSE Development

Capital Index 480,06 Oct. 18 250,48 Feb. 15 451,14 321,12 40,5%London SE FTSE AIM 1 166,83 Mar. 07 944,52 May 18 1 046,15 1 005,59 4,0%OMX Helsinki I List (Investors' List) 3 759,21 Sep. 29 2 802,60 Jan. 03 3 723,77 2 788,46 33,5%OMX Helsinki NM List (New Market) 1 057,85 Sep. 27 854,67 Jan. 03 1 005,17 836,68 20,1%Warsaw SE TechWIG 851,54 Mar. 29 579,27 May 17 844,41 666,26 26,7%

Other

Marke

ts

OTHER MARKETS - 6.1

NA: Not Available –:Not Applicable R: Revised


Excluding investment fundsBRVM: Bourse Régionale des Valeurs Mobilières (West African StockExchange).

MICEX SE / MICEX: from 2005, all listing and trading in equities,investment funds and bonds has been transferred from MICEX toMICEX SE.



Other

Marke

ts

(USD millions)

Exchange End End % change2005 2004 2005/2004

AMERICAS

Cayman Islands SE 2 217,4 2 477,0 -10,5%Costa Rica SE 1 510,6 1 558,3 R -3,1%Panama SE 5 962,8 4 202,6 R 41,9%Rosario SE 48 369,5 41 485,5 16,6%

ASIA - PACIFIC

Chittagong SE 3 299,6 3 585,5 -8,0%GreTai 39 961,6 35 422,2 12,8%Karachi SE 45 317,3 28 541,9 58,8%Port Moresby SE 6 138,4 3 825,0 60,5%Surabaya SE NA 65 218,4 –


Abu Dhabi SE 132 412,9 55 491,9 R 138,6%Amman SE 37 644,1 18 383,4 104,8%Bahrain SE 17 364,8 13 540,8 28,2%Beirut SE 4 809,8 2 206,3 118,0%Belgrade SE 5 365,2 3 259,9 64,6%Bratislava SE 2 458,0 2 409,1 2,0%BRVM 2 332,4 2 082,7 12,0%Bucharest SE 15 857,8 10 964,6 44,6%Bulgarian SE 5 085,6 2 804,0 81,4%Casablanca SE 27 220,0 25 064,3 8,6%Channel Islands SE 537,3 184,3 191,6%Ghana SE 10 094,2 10 846,1 -6,9%Iceland SE 27 799,0 17 628,9 57,7%Kazakhstan SE 10 528,7 3 941,9 167,1%Kuwait SE 294 058,2 72 903,7 303,4%Lusaka SE 2 516,7 1 650,0 52,5%MICEX SE / MICEX 274 106,0 153 323,2 R 78,8%Muscat Securities Market 15 268,9 9 434,9 61,8%Nairobi SE 6 384,0 3 891,0 R 64,1%Namibian SE 121 337,8 92 229,4 31,6%Nigerian SE 22 244,0 15 865,9 40,2%Palestine SE 4 457,2 1 096,5 R 306,5%Prague SE 34 886,4 26 891,4 29,7%"Russian Trading System" SE 330 104,2 74 772,0 341,5%Saudi Stock Market 650 107,4 306 247,5 112,3%Swaziland SE 196,3 222,0 -11,6%Zagreb SE 12 918,2 10 958,6 17,9%

OTHER MARKETS - 6.2


NUMBER OF LISTED COMPANIES

Excluding investment fundsBRVM: Bourse Régionale des Valeurs Mobilières (West African StockExchange).



1 3 0

2005 2004

Exchange Total Domestic Foreign Total Domestic ForeignCompanies Companies Companies Companies

AMERICAS

Cayman Islands SE 5 1 4 5 1 4Costa Rica SE 20 19 1 26 R 23 3Panama SE 30 27 3 28 R 26 2Rosario SE 106 102 4 109 105 4

ASIA - PACIFIC

Chittagong SE 195 195 0 185 185 0GreTai 503 503 0 466 466 0Karachi SE 639 639 0 642 642 0Port Moresby SE 14 9 5 13 9 4Surabaya SE NA NA NA 206 206 0


Abu Dhabi SE 59 55 4 35 32 3Amman SE 201 201 0 192 192 0Bahrain SE 47 40 7 45 38 7Beirut SE 11 11 0 11 11 0Bratislava SE 7 7 0 8 8 0BRVM 39 39 0 39 39 0Bucharest SE 59 59 0 55 55 0Bulgarian SE 331 331 0 332 332 0Casablanca SE 54 54 0 53 53 0Channel Islands SE 5 0 5 1 1 0Ghana SE 29 27 2 30 28 2Iceland SE 26 24 2 34 34 0Kazakhstan SE 94 90 4 79 R 75 4Kuwait SE 157 142 15 120 108 12Lusaka SE 13 12 1 12 11 1MICEX SE / MICEX 343 343 0 229 R 229 0Muscat Securities Market 235 235 0 225 225 0Nairobi SE 47 47 0 48 R 48 0Namibian SE 28 9 19 32 9 23Nigerian SE 215 215 0 207 206 1Palestine SE 28 28 0 27 27 0Prague SE 27 23 4 35 33 2"Russian Trading System" SE 253 253 0 183 R 183 0Saudi Stock Market 77 77 NA 73 73 NASwaziland SE 6 6 0 6 6 0Zagreb SE 177 177 0 166 166 0

OTHER MARKETS - 6.3


NUMBER OF NEWLY LISTED COMPANIES AND DELISTINGS

Excluding investment funds MICEX SE / MICEX: from 2005, all listing and trading in equities,investment funds and bonds has been transferred from MICEX to MICEX SE.



Other

Marke

ts

New listings Delistings

2005 2004 2005 2004Exchange Total Domestic Foreign Total Domestic Foreign Total Domestic Foreign Total Domestic Foreign


AMERICAS

Costa Rica SE 1 1 0 1 R 1 0 2 2 0 1 1 0Panama SE 4 3 1 2 0 2 2 2 0 0 R 0 0Rosario SE 0 0 0 1 1 0 3 3 0 4 3 1

ASIA - PACIFIC

Chittagong SE 12 12 0 9 9 0 1 1 0 6 6 0GreTai 56 56 0 87 87 0 19 19 0 44 44 0Karachi SE 19 19 0 17 17 0 18 18 0 57 57 0Port Moresby SE 1 0 1 1 0 1 0 0 0 0 0 0Surabaya SE NA NA NA 6 6 0 NA NA NA 10 10 0


Abu Dhabi SE 24 23 1 5 4 1 0 0 0 0 0 0Amman SE 13 13 0 32 32 0 4 4 0 1 1 0Bahrain SE 2 2 0 2 1 1 0 0 0 1 1 0Bratislava SE 0 0 0 0 0 0 1 1 0 1 1 0Bucharest SE 5 5 0 3 3 0 0 0 0 5 5 0Bulgarian SE 16 16 0 20 20 0 17 17 0 14 14 0Casablanca SE 3 3 0 2 2 0 2 2 0 1 1 0Channel Islands SE 5 0 5 0 0 0 1 1 0 1 1 0Ghana SE 1 1 0 5 R 4 1 0 0 0 1 1 0Iceland SE 2 0 2 0 0 0 10 10 0 14 14 0Kazakhstan SE 20 19 1 18 17 1 5 4 1 7 7 0Kuwait SE 32 30 2 18 16 2 0 0 0 1 0 1Lusaka SE 1 1 0 1 1 0 0 0 0 0 0 0MICEX SE/MICEX 159 159 0 62 R 62 0 59 59 0 58 R 58 0Muscat Securities Market 4 4 0 4 4 0 3 3 0 3 3 0Nairobi SE 0 0 0 0 0 0 1 1 0 0 0 0Namibian SE 0 0 0 1 1 0 4 1 3 2 1 1Nigerian SE 9 9 0 7 7 0 2 1 1 0 0 0Palestine SE 3 3 0 2 2 0 1 1 0 1 1 0Prague SE 2 0 2 1 0 1 10 10 0 4 4 0"Russian Trading System" SE 85 85 0 4 4 0 15 15 0 25 25 0Saudi Stock Market 5 5 0 3 3 0 0 0 0 0 0 0Swaziland SE 0 0 0 1 1 0 0 0 0 0 0 0Zagreb SE 17 17 0 15 15 0 6 6 0 6 6 0

OTHER MARKETS - 6.4


VALUE OF SHARE TRADING

The sale & purchase of a share are counted as one transaction.BRVM: Bourse Régionale des Valeurs Mobilières (West African StockExchange).



1 3 2

2005 2004Exchange Total Domestic Foreign Invest. Total Domestic Foreign Invest. % Change

Cies Cies Funds Cies Cies Funds 2005/2004

AMERICAS

Costa Rica SE 196,6 21,9 4,9 169,8 154,5 R 37,6 5,3 111,6 27,2%Panama SE 301,1 156,4 6,0 138,7 282,5 R 180,5 0,5 101,5 6,6%Rosario SE 651,2 NA NA NA 374,5 NA NA NA 73,9%

ASIA - PACIFIC

Chittagong SE 212,0 205,6 0,0 6,5 248,1 247,2 0,0 0,9 -14,5%GreTai 96 411,7 NA NA NA 109 670,2 R NA NA NA -12,1%Karachi SE 140 421,9 139 436,3 0,0 985,5 72 946,2 71 445,1 0,0 1 501,1 92,5%Port Moresby SE 17,3 17,1 0,2 NA 4,0 4,0 0,0 NA 331,7%Surabaya SE NA NA NA NA 879,8 523,6 356,3 NA –


Abu Dhabi SE 28 507,3 27 335,6 1 171,7 0,0 4 449,9 4 265,5 184,4 0,0 540,6%Amman SE 23 815,6 23 815,6 0,0 0,0 5 350,2 5 350,2 0,0 0,0 345,1%Bahrain SE 711,1 340,0 371,1 0,0 463,1 R 311,6 151,4 0,0 53,6%Beirut SE 925,6 904,2 0,0 21,4 197,1 188,2 0,0 8,8 369,7%Belgrade SE 540,1 540,1 0,0 0,0 437,8 437,8 0,0 0,0 23,4%Bratislava SE 66,4 66,4 0,0 0,0 750,6 750,5 0,0 0,1 -91,2%BRVM 35,0 35,0 0,0 0,0 50,2 50,2 0,0 0,0 -30,3%Bucharest SE 2 500,2 1 421,6 0,0 1 078,6 828,2 R 619,1 0,0 209,1 201,9%Bulgarian SE 783,9 781,5 0,0 2,4 458,8 R 458,1 0,0 0,7 70,8%Casablanca SE 7 775,8 7 775,8 0,0 0,0 3 928,7 3 928,7 0,0 0,0 97,9%Channel Islands SE 70,7 4,5 0,4 65,8 34,1 12,5 0,0 21,5 107,5%Ghana SE 51,0 51,0 0,0 0,0 72,9 72,9 0,0 0,0 -30,0%Iceland SE 19 001,2 18 836,9 164,3 0,0 11 735,2 11 735,2 0,0 0,0 61,9%Kazakhstan SE 1 033,5 1 033,5 0,0 0,0 1 016,4 R 1 016,4 0,0 0,0 1,7%Kuwait SE 52 313,8 48 919,0 3 389,8 5,1 96 411,5 R 91 346,9 5 058,5 6,2 -45,7%Lusaka SE 20,1 11,1 9,0 0,0 7,1 R 2,2 4,9 0,0 181,3%MICEX SE / MICEX 140 096,9 140 043,3 0,0 53,6 112 744,6 R 112 739,5 0,0 5,1 24,3%Muscat Securities Market 3 654,2 3 654,2 0,0 0,0 1 971,4 1 971,4 0,0 0,0 85,4%Nairobi SE 504,1 504,1 NA NA 283,8 R 283,8 NA NA 77,6%Namibian SE 530,9 5,5 525,3 0,0 488,8 19,9 469,0 0,0 8,6%Nigerian SE 1 953,8 1 953,8 0,0 0,0 1 680,6 1 680,6 0,0 0,0 16,3%Palestine SE 322,6 322,6 0,0 0,0 200,6 R 200,6 0,0 0,0 60,8%Prague SE 40 835,4 34 840,2 6 495,2 0,0 20 166,9 18 009,9 2 156,9 0,0 102,5%"Russian Trading System" SE 7 842,3 7 842,3 0,0 0,1 5 949,1 5 949,1 0,0 0,0 31,8%Saudi Stock Market 1 103 534,5 1 103 534,5 0,0 0,0 472 940,8 472 940,8 0,0 0,0 133,3%Swaziland SE 0,03 0,03 0,0 0,0 0,04 0,04 0,0 0,0 -32,1%Zagreb SE 756,9 756,9 0,0 0,0 465,0 465,0 0,0 0,0 62,8%

(USD millions)

OTHER MARKETS - 6.5


INVESTMENT FLOWS -NEW CAPITAL RAISED BY SHARES

BRVM: Bourse Régionale des Valeurs Mobilières (West African StockExchange).




Other

Marke

ts

(USD millions)

2005 2004Initial Secondary Initial Secondary

Exchange Public Public Total Public Public TotalOfferings Offerings Offerings Offerings

AMERICAS

Panama SE 35,0 NA 35,0 180,0 NA 180,0Rosario SE 0,0 1 015,2 1 015,2 17,7 108,8 126,5

ASIA - PACIFIC

Chittagong SE 24,4 67,8 92,2 9,9 39,9 49,8GreTai 1 266,0 417,4 1 683,5 1 592,0 939,7 2 531,7Karachi SE 503,3 182,4 685,7 1 124,7 247,9 1 372,6Port Moresby SE 0,0 15,0 15,0 0,0 24,5 24,5Surabaya SE NA NA NA 47,3 420,1 467,4


Abu Dhabi SE 0,0 806,9 806,9 0,0 214,6 214,6Amman SE 279,8 967,0 1 246,8 41,6 250,5 292,1Bahrain SE 5,9 193,9 199,7 0,0 88,8 88,8 RBeirut SE 0,0 231,5 231,5 0,0 233,1 233,1 RBratislava SE 0,0 0,0 0,0 0,0 35,8 35,8BRVM 0,0 0,0 0,0 0,0 37,0 37,0Bucharest SE 20,6 0,0 20,6 0,0 0,01 0,01 RBulgarian SE 3,0 49,4 52,5 1,4 30,6 32,0 RCasablanca SE 3,2 12,1 15,3 0,0 0,0 0,0Channel Islands SE 15,5 0,0 15,5 0,0 0,2 0,2 RGhana SE 0,6 0,0 0,6 17,7 7,4 25,1 RIceland SE 0,0 1 940,9 1 940,9 0,0 2 758,4 2 758,4Kazakhstan SE 62,9 970,6 1 033,5 25,4 991,0 1 016,4 RLusaka SE 0,0 1,6 1,6 1,6 0,0 1,6Muscat Securities Market 989,2 773,0 1 762,2 79,9 803,2 883,1MICEX SE / MICEX 3,8 NA 3,8 26,3 NA 26,3Nairobi SE 0,0 20,7 20,7 0,0 34,9 34,9 RNamibian SE 0,0 NA 0,0 22,0 NA 22,0Nigerian SE 2 238,2 1 746,1 3 984,3 912,8 1 330,3 2 243,1Prague SE 0,0 88,2 88,2 200,7 0,0 200,7"Russian Trading System" SE 0,0 0,0 0,0 83,5 0,0 83,5Saudi Stock Market 3 716,8 315 074,4 318 791,2 1 740,7 453,2 2 193,9 R

OTHER MARKETS - 6.6


VALUE OF BOND TRADING

BRVM: Bourse Régionale des Valeurs Mobilières (West African StockExchange).

MICEX SE & MICEX: although listing and trading in bonds has beentransferred from MICEX to MICEX SE, bond trading is still done atMICEX.


1 3 4

(USD millions)

2005 2004


AMERICAS

Cayman Islands SE 181,2 181,2 0,0 0,0 0,0 0,0 0,0 0,0Costa Rica SE 5 037,9 224,6 4 479,8 333,4 5 995,2 R 408,4 5 563,1 23,7Panama SE 715,1 342,5 372,6 0,0 573,7 R 206,9 324,8 42,0Rosario SE 893,8 5,0 888,8 0,0 441,0 4,6 436,3 0,0

ASIA - PACIFIC

GreTai 3 915 398,4 79 116,7 3 828 754,0 7 527,6 2 351 061,8 R 67 166,3 2 267 467,7 16 427,9Karachi SE 0,02 0,02 0,0 0,0 44,4 44,4 0,0 0,0Surabaya SE NA NA NA NA 13 825,0 389,3 13 435,7 NA


Amman SE 4,4 1,4 3,0 0,0 8,5 8,3 0,1 0,0Bahrain SE 0,4 0,4 0,0 0,0 0,03 0,03 0,0 0,0Beirut SE 2,7 NA NA NA 7,6 NA NA NABelgrade SE 126,8 0,0 126,8 0,0 218,9 R 63,8 155,1 0,0Bratislava SE 31 164,1 47,1 31 117,1 0,0 14 417,9 119,0 14 298,9 0,0BRVM 2,2 0,0 2,2 0,0 26,9 0,6 26,3 0,0Bucharest SE 40,8 33,6 7,2 0,0 100,0 R 19,4 80,6 0,0Bulgarian SE 152,0 152,0 0,0 0,0 87,7 R 87,6 0,1 0,0Casablanca SE 238,4 129,3 0,0 109,1 429,6 R 429,6 0,0 0,0Ghana SE 0,1 0,1 0,0 0,0 4,0 0,1 3,9 0,0Iceland SE 20 905,9 1 399,4 19 455,1 51,5 24 824,9 1 500,5 23 264,3 60,1Kazakhstan SE 6 437,3 1 710,4 4 726,0 0,8 6 685,8 R 884,1 5 794,9 6,8Lusaka SE 5,6 0,0 5,6 0,0 13,1 R 0,0 13,1 0,0MICEX SE & MICEX 182 823,0 53 988,3 128 834,7 0,0 91 803,0 R 25 193,7 66 609,3 0,0Muscat Securities Market 31,6 24,9 6,7 0,0 18,1 10,6 7,5 0,0Nairobi SE 452,1 NA 452,1 NA 172,8 R NA 172,8 NANamibian SE 288,0 52,1 235,9 0,0 102,4 17,3 85,1 0,0Nigerian SE 63,0 1,3 61,7 0,0 15,4 0,1 15,2 0,0Prague 21 655,5 1 979,6 19 395,6 280,3 31 010,8 3 967,0 26 421,6 622,1"Russian Trading System" SE 0,8 0,6 0,2 0,0 0,6 0,6 0,0 0,0Swaziland SE 0,0 0,0 0,0 0,0 0,5 0,5 0,0 0,0Zagreb SE 4 716,3 129,3 4 587,0 0,0 3 747,0 91,6 3 655,3 0,0

OTHER MARKETS - 6.7




Other

Marke

ts

BULGARIAN SE: BG40 index was created in January 2005.


2005 2005 2005 2004 % Change Exchange Name of Index High Low Year-end Year-end 2005/2004

AMERICAS

Costa Rica IBNV P 3 816,49 3 202,80 3 691,34 3 372,28 9,5%Panama SE BVPSI R 147,74 130,49 147,74 130,34 13,3%Rosario SE MERVAL P 1 731,33 1 276,48 1 543,31 1 375,37 12,2%

ASIA - PACIFIC

Chittagong SE CASPI P 3 701,56 2 865,43 3 378,68 3 597,70 -6,1%GreTai GTSM Index P 133,34 103,57 133,34 115,75 15,2%Karachi SE KSE 100 Index R 10 303,13 6 220,28 9 556,61 6 218,40 53,7%Port Moresby SE Kina Securities Share Index P 3 834,82 2 256,25 3 546,46 2 237,45 58,5%Surabaya SE SSX Composite Stock Index P NA NA NA 545,62 –


Abu Dhabi ADSM Index P 6 237,98 3 155,12 5 202,95 3 070,88 69,4%Amman SE ASE Index P 9 348,13 4 422,47 8 191,51 4 245,63 92,9%Bahrain SE All Share Index P 2 375,90 1 778,71 2 195,80 1 773,65 23,8%Belgrade SE BELEXfm P 1 611,09 1 135,67 1 594,51 1 135,67 40,4%Bratislava SE SAX R 507,98 324,19 413,31 326,63 26,5%BRVM BRVM Composite P 112,68 83,68 112,68 87,61 28,6%Bucharest SE BET-C P 4 108,74 2 893,12 3 910,88 2 829,32 38,2%Bulgarian SE BG40 P 140,87 92,01 133,42 – –Casablanca MASI P 5 628,10 4 352,67 5 539,13 4 521,98 22,5%Ghana SE GSE All-Share Index P 6 901,36 4 751,17 4 769,02 6 798,59 -29,9%Iceland SE ICEX - Main P 5 107,49 3 158,25 5 107,49 3 173,91 60,9%Kazakhstan SE KASE - Shares P 683,91 206,88 646,42 213,37 203,0%Kuwait SE KSE Price Index P 11 962,00 6 389,30 11 445,10 6 409,50 78,6%Lusaka SE LuSE All Share P 1 311,30 765,75 1 240,22 765,75 62,0%MICEX SE / MICEX MICEX Index P 1 020,30 534,60 1 011,00 552,22 83,1%Muscat Securities Market MSM 30 P 5 699,32 3 357,68 4 875,11 3 375,05 44,4%Nairobi SE NSE 20 Share Index P 4 282,55 2 955,99 3 973,04 2 945,58 34,9%Namibian SE NSX Overall Index P 589,32 410,11 581,68 425,93 36,6%Nigerian SE All-Share Index P 26 221,90 20 661,44 24 085,76 23 844,45 1,0%Palestine SE Al-Quds P 1 336,30 276,76 1 128,59 277,56 306,6%Prague SE PX-GLOB P 1 815,80 1 252,60 1 811,30 1 232,70 46,9%"Russian Trading System" SE RTS Index P 1 128,51 591,67 1 125,60 614,11 83,3%Saudi Stock Market TASI P 16 988,08 7 904,50 16 712,64 8 206,23 103,7%Swaziland SE SSX All Share Index R 156,68 154,70 156,68 157,40 -0,5%Zagreb SE CROBEX P 2 157,00 1 566,40 1 997,50 1 565,80 27,6%

FOREIGN EXCHANGE RATESTHE US DOLLAR AGAINST OTHER CURRENCIES

Source: Financial Times.


1 3 6

Exchange Currency Year-end 2005 Year-end 2004 % Changecode exchange rate exchange rate 2005/2004

AMERICAS

American SE USD 1,0000 1,0000 0,0%Bermuda SE BMD 1,0000 1,0000 0,0%Buenos Aires SE ARA 3,0263 2,9725 1,8%Colombia SE COP 2 286,5300 2 352,5000 -2,8%Lima SE PEN 3,4305 3,2790 4,6%Mexican Exchange MXP 10,6377 11,1470 -4,6%Nasdaq USD 1,0000 1,0000 0,0%NYSE USD 1,0000 1,0000 0,0%Santiago SE CLP 512,0500 555,7500 -7,9%Sao Paulo SE BRN 2,3355 2,6560 -12,1%TSX Group CAD 1,1682 1,1982 -2,5%

ASIA - PACIFIC

Australian SE AUD 1,3632 1,2757 6,9%Bombay SE INR 45,0100 43,4700 3,5%Bursa Malaysia MYR 3,7795 3,8000 -0,5%Colombo SE LKR 102,1050 104,4750 -2,3%Hong Kong Exchanges HKD 7,7535 7,7727 -0,2%Jakarta SE IDR 9 840,0000 9 282,5000 6,0%Korea Exchange KRW 1 010,8500 1 035,2000 -2,4%National Stock Exchange India INR 45,0100 43,4700 3,5%New Zealand Exchange NZD 1,4683 1,3845 6,1%Osaka SE JPY 118,0300 102,4700 15,2%Philippine SE PHP 53,0350 56,1250 -5,5%Shanghai SE CNY 8,0702 8,2765 -2,5%Shenzhen SE CNY 8,0702 8,2765 -2,5%Singapore Exchange SGD 1,6628 1,6324 1,9%Taiwan SE Corp. TWD 32,8430 31,6900 3,6%Thailand SE THB 41,0000 38,8500 5,5%Tokyo SE JPY 118,0300 102,4700 15,2%


Athens Exchange EUR 0,8478 0,7357 15,2%BME Spanish Exchanges EUR 0,8478 0,7357 15,2%Borsa Italiana EUR 0,8478 0,7357 15,2%Budapest SE HUF 214,0220 180,7250 18,4%Cairo & Alexandria SEs EGP 5,7387 6,0700 -5,5%Cyprus SE CYP 0,4861 0,4265 14,0%Deutsche Börse EUR 0,8478 0,7357 15,2%Euronext EUR 0,8478 0,7357 15,2%Irish SE EUR 0,8478 0,7357 15,2%Istanbul SE TRY 1,3515 1,3485 0,2%JSE South Africa ZAR 6,3425 5,6338 12,6%Ljubljana SE SIT 203,1100 176,2800 15,2%London SE GBP 0,5825 0,5209 11,8%Luxembourg SE EUR 0,8478 0,7357 15,2%Malta SE MLT 0,3640 0,3194 14,0%Mauritius SE MUR 30,5800 28,1800 8,5%OMX EUR 0,8478 0,7357 15,2%Oslo Børs NOK 6,7713 6,0567 11,8%Swiss Exchange CHF 1,3179 1,1371 15,9%Tehran SE IRR 9 093,0000 8 795,0000 3,4%Tel Aviv SE ILS 4,6037 4,3200 6,6%Warsaw SE PLN 3,2574 2,9954 8,7%Wiener Börse EUR 0,8478 0,7357 15,2%

FOREIGN EXCHANGE RATES

FOR OTHER MARKETSTHE US DOLLAR AGAINST OTHER CURRENCIES

Source: Financial Times.



Other

Marke

ts

Exchange Currency Year-end 2005 Year-end 2004 % Changecode exchange rate exchange rate 2005/2004

AMERICAS

Cayman Islands SE USD 1,0000 1,0000 0,0%Costa Rica SE CRC 496,6500 458,6000 8,3%Panama SE PAB 1,0000 1,0000 0,0%Rosario SE ARA 3,0263 2,9725 1,8%

ASIA - PACIFIC

Chittagong SE BDT 66,2250 59,6850 11,0%GreTai TWD 32,8430 31,6900 3,6%Karachi SE PKR 59,7900 59,4250 0,6%Port Moresby SE PGK 3,0301 3,0588 -0,9%Surabaya SE IDR 9 840,0000 9 282,5000 6,0%


Abu Dhabi SE AED 3,6730 3,6728 0,0%Amman SE JOD 0,7084 0,7090 -0,1%Bahrain SE BHD 0,3770 0,3770 0,0%Beirut SE LBP 1 507,5000 1 513,5000 -0,4%Belgrade SE CSD 72,4997 58,3035 24,3%Bratislava SE SKK 32,0800 28,4966 12,6%BRVM CFA 556,1100 482,5800 15,2%Bucharest SE RON 3,1237 2,8979 7,8%Bulgarian SE BGN 1,6584 1,4384 15,3%Casablanca SE MAD 9,2699 8,2395 12,5%Channel Islands SE GBP 0,5825 0,5209 11,8%Ghana SE GHC 9 100,0000 9 000,0000 1,1%Iceland SE ISK 63,2450 61,4750 2,9%Kazakhstan SE KZT 133,6750 129,9600 2,9%Kuwait SE KWD 0,2920 0,2948 -0,9%Lusaka SE ZMK 3 415,0000 4 700,0000 -27,3%MICEX SE / MICEX RUR 28,7414 27,7200 3,7%Muscat Securities Market OMR 0,3850 0,3850 0,0%Nairobi SE KES 72,4500 78,6500 -7,9%Namibian SE NAD 6,3425 5,6338 12,6%Nigerian SE NGN 130,3750 133,1500 -2,1%Palestine SE JOD 0,7084 0,7090 -0,1%Prague SE CZK 24,6238 22,3303 10,3%"Russian Trading System" SE RUR 28,7414 27,7200 3,7%Saudi Stock Market SAR 3,7504 3,7507 0,0%Swaziland SE SZL 6,3425 5,6338 12,6%Zagreb SE HRK 6,2489 5,6334 10,9%

STATISTICS DEFINITIONS AND EXAMPLES

1 3 8

The Federation’s member exchanges have reached a general agreement on the following statistical notions, and they

strictly comply with the definitions below.

These definitions and examples are intended to help readers to understand the statistics and how they are compiled.

Note on exchange groupings:

• Euronext is the operator of Amsterdam, Brussels, Lisbon and Paris exchanges, and of the London International Financial

Futures Exchange (Euronext.liffe).

• BME (Spanish Exchanges) is the holding company of Barcelona, Bilbao, Madrid and Valencia exchanges.

• OMX started its consolidation process in 2004, and the Group includes the Copenhagen, Helsinki, Stockholm, Tallinn,

Riga and Vilnius Stock Exchanges.

1. EQUITY

Equity 1.1 - Domestic market capitalization

Definition

The market capitalization of a stock exchange is the total number of issued shares of domestic companies, including their

several classes, multiplied by their respective prices at a given time. This figure reflects the comprehensive value of the

market at that time.

The market capitalization figures include:

• shares of domestic companies;

• shares of foreign companies which are exclusively listed on an exchange, i.e. the foreign company is not quoted on any

other exchange

• common and preferred shares of domestic companies.

The market capitalization figures exclude:

• investment funds;

• rights, warrants, ETFs, convertible instruments;

• options, futures;

• foreign listed shares other than exclusively listed ones;

• companies whose only business goal is to hold shares of other listed companies.

Example

Company Share Number Price Share class Company Exchange class of shares market cap market cap market cap

Company A Ordinary shares 100 2 200 Included

Company A total 200 200Company B Ordinary shares 300 2 600 Included

Company B total 600 600Company C Preference shares 150 1 150 Included

Company C total 150 150Company D Ordinary shares 100 4 400 Included (foreign company exclusively quoted)Company D total 400 400Total Exchange market cap 1 350


Equity 1.2 - Market capitalization of newly listed domestic shares, and delistings

Definition

The market capitalization of newly listed domestic shares is the total number of new shares issued multiplied by their

value on the first day of quotation.

The market capitalization of delisted domestic shares is the total number of these shares multiplied by their value on the

last day of quotation.

Examples

Share Class Number of Issuing price Company Newly listed Company newly listed market cap market cap

shares on Exchange

Company A Ordinary shares 100 2 200

Company A total 200Company B Ordinary shares 300 2 600

Company B total 600Company C Ordinary shares 100 1 100

Company C Preference shares 50 1 50

Company C total 150Total New Exchange Market Cap 950

Share Class Number of Issuing price Company Delisted Company newly delisted market cap market cap

shares on Exchange

Company A Ordinary shares 25 3 75

Company A total 75Company B Preference shares 150 1 150

Company B total 150Company C Ordinary shares 200 1 200

Company C total 200Total Market Cap delisted 425

Equity 1.3 - Number of listed companies

Definition

Number of companies which have shares listed on a specific exchange, split into domestic and foreign, excluding invest-

ment funds and unit trusts. A company with several classes of shares is counted just once.

Foreign company

A company is considered foreign when it is incorporated in a country other than that where the exchange is located.

Example

Company Number of domestic Number of foreigncompanies listed companies listed

Domestic Company Awith ordinary shares

1

Domestic Company Bwith preference shares

1

Foreign Company Awith ordinary shares

1

Foreign Company Bwith ordinary shares

1

Domestic/Foreign sub-totals 2 2Total 4

STATISTICS DEFINITIONS AND EXAMPLES (continued)

1 4 0

Equity 1.4 - Number of newly listed and delisted companies

Definition

The number of newly listed companies is the number of companies which list shares for the first time on a stock exchange.

The number of delisted companies is the number of companies removed from listing and trading.

Example

Equity 1.5 - Value of share trading

Definition

The value of share trading is the total number of shares traded multiplied by their respective matching prices. The table

distinguishes trading value of domestic and foreign shares, as well as investment funds. Investment funds are excluded

from market capitalization (table 1.1) to avoid double counting, but included in share trading to reflect the exchange’s

entire share transaction business. Figures are single counted (only one side of the transaction is considered).

In order to achieve a more complete view of market activity, some years ago the Federation introduced a split which

distinguishes two main categories of trades according to the facility/means used to execute the trading operation:

• Trades effected through the electronic order book These trades represent the transfer of ownership effected automatically through the exchange’s electronic order book

where authorized intermediaries place the orders, generally matched on a price/time priority basis.

• Negotiated dealsThese trades represent the transfer of ownership effected through a bilateral negotiation and involving at least one

exchange’s member intermediary (trades between two intermediaries or between an intermediary and a customer).

These trades can be executed in a number of ways, including special trading platforms, telephone or other structures,

and are reported by the intermediary to the exchange’s authorities. They can be executed and/or reported on systems

operated by the exchange. To be included in the statistical reporting, this activity must generate revenues for the

exchange.

• Total share turnover is composed of electronic order book and negotiated deals.

Domestic Company A with ordinary shares with preference shares

Within the period under

review

1

Domestic Company B with ordinary shares with preference shares


review

1

Foreign Company A with ordinary shares with preference shares


review1

Foreign Company B with ordinary shares


review1

Domestic / foreign companies sub-totals

1 1 1 1

Total 2 2

Company Date oflisting/delisting

New domestic companies

listed during the year

Domestic companies

delisted during the year

Foreign companies

delisted during the year

New foreign companies

listed during the year


Example

Equity 1.6 - Number of trading days, average daily turnover, and average value of trades

The number of trading days is simply the total days during which market operations were conducted.

Definition

The average daily turnover is calculated by dividing the total value of share trading by the number of trading days during

the year.

Example

Definition

The average value of trades during a given year is calculated by dividing the total value of share trading divided by the

total number of trades in equity shares.

Example

Equity 1.7 - Number of trades in equity shares, number of trades in investment funds and number of shares traded

Definition

The total number of trades represents all transactions in equity shares/investment funds. The number is single counted

(i.e., includes one side of the transaction only).

Elec tron ic orde r book

Ne gotiat ed de alsBu ye r Se lle r Plat form

Number of shares

Pr ice

Tu rnover Tu rnover

A Member A Member B Order Book 10 1 10

B Member A Member BBi-lateral

negotiation20 2 40

C Member A Non - MemberBi-lateral

negotiation30 3 90

D Member B Member A Order Book 40 1 40

E Member B Member ABi-lateral

negotiation50 2 100

F Member B Non - Member!Bi-lateral

negotiation60 3 180

Sub-totals 50 410

Total 460

Trade

Total share turnover during the year

(USD m)

Total number of trading days

Average daily turnover (USD m)

134,819.0 253 533.0

Total share turnover during the year

(USD m)

Total number of trades (in millions)

Average value of a trade (USD thousand)

134,819.0 3,4 39,6


1 4 2

In order to generate a more complete information, several years ago the Federation introduced a split which distinguishes

two main categories of trades according to the facility/means used to execute the trade (see definitions above in

Equity 1.5):

• Trades effected through the electronic order book

• Negotiated deals

The total number of shares traded includes domestic and foreign shares and investment funds. The number is single

counted.

Example

Equity - 1.8 Turnover velocity of domestic shares

Definition

The turnover velocity is the ratio between the turnover of domestic shares and their market capitalization. The value is

annualized by multiplying the monthly moving average by 12, according to the following formula:

Monthly Domestic Share Turnover

Month-end Domestic Market Capitalization

Only domestic shares are used in order to be consistent.

Turnover velocity is calculated in 2 steps:

• step 1: we first calculate for each month the annualized ratio between the domestic share turnover and the domestic

market capitalization, multiplied by 12;

• step 2: then, we add together, using a moving average methodology, the percentage ratios obtained in step 1, divided

by 12.

Example

• step 1

• step 2

Number of trades in equity shares/investment funds Trade Buyer Seller Platform

Electronic order book Negotiated deals

Number of shares traded

A Member A Member B Order Book 1 10

B Member A Member B Bi-lateral

negotiation 1 20

C Member A Non - Member Bi-lateral

negotiation 1 30

D Member B Member A Order Book 1 40

E Member B Member A Bi-lateral

negotiation 1 50

F Member B Non - Member Bi-lateral

negotiation 1 60

Total 2 4 210

x 12

Monthly domestic share turnover

(USD m)

Monthly domestic market cap

(USD m)

Annualized turnover velocity (simple average * 12)

2,800.0 77,540.0 43.3%

Annualized turnover velocity (moving average / 12 months

from Feb. 05 to Feb. 06)

49.1%


Equity 1.9 - Market concentration: the top 5% and the 10 most heavily capitalized and most traded domestic companies

Definition

This information is given in percentage.

Market concentration shows the part represented by 5% of the most heavily capitalized domestic companies, and 5% of the most

traded domestic shares compared to domestic market capitalization and share trading value, respectively.

It also indicates the part represented by the 10 most capitalized domestic companies and the 10 most traded ones compared to the

domestic market capitalization and share trading value respectively.

Example (concentration of the 5% most capitalized domestic companies in market capitalization)

Example (concentration of the 5% most traded domestic companies in domestic turnover value)

Example (concentration of the 10 most capitalized domestic companies in market capitalization)

Example (concentration of the 10 most traded domestic companies in domestic turnover value)

Total number of domestic companies

Top 5% of listed domestic companies

Market cap of these

5% companies (USD m)

Total domestic market cap

Market concentration

500 25 235,000 500,000 47.0%


Top 5% of listed domestic companies

Turnover value of these


Total domestic turnover


500 25 55,000 85,000 65.7%


Top 10 listed domestic companies

by market cap

Market cap of these


Total domestic market cap


500 10 75,000 500,000 15.0%


Top 10 listed domestic companies

by turnover

Turnover value of these


Total domestic turnover


500 10 25,000 85,000 29,4%


1 4 4

Equity 1.10 - Investment flows - new capital raised by shares

Definition

The table indicates the amount of Initial Public Offerings (IPO) representing the amount of money raised by shares issued

by domestic companies entering the market, and Secondary Public Offerings representing the amount raised by domestic

companies already listed.

Example

Equity 1.11 - Covered warrants

Definition

A covered warrant is an instrument which allows investors to buy or sell an underlying asset at a pre-established price.

Covered warrants are of two types:

• call warrants allow the investor to buy the underlying asset

• put warrants allow the investor to sell the underlying asset.

Covered warrants are generally issued by financial intermediaries, and not the issuer. Most frequently, the underlying

asset is represented by shares, but other instruments can also serve as underlyings (bonds, interest rates, etc). At the

expiration date, they provide for a cash settlement of the potential gain or loss.

Example of warrant trading

Company Shares Issued Issued Price IPOs SPOs

Domestic Company A Initial Public Offering (new issues)

100 new 10 1000

Domestic Company B Additional shares already issued by existing company

200 20 4,000

Domestic Company C New shares issued by existing company

300 10 3,000

Foreign Company A Initial Public Offering

100 10 Not included as foreign company

Foreign Company B Additional shares issued by existing company

200 20 Not included as foreign company

Total 1,000 7,000

Trade Buyer Seller Platform Shares Price Turnover Turnover



negotiation 20 2 40


negotiation 30 3 90



negotiation 50 2 100



Total 50 410

Electronic order book

Negotiated deals


Equity 1.12 - ETFs

Definition

An ETF, or index share, is a listed unit of an index fund. ETFs track the performance of an index; this index can be a blue

chip, a regional, or a sector index. These instruments are used by investors as a hedging tool or as an investment product.

Example of ETF trading

2. FIXED-INCOME

Fixed-Income 2.1 - Value of bonds listed

Definition

Data represent the number of bonds listed multiplied by their price at year-end.

Some exchanges publish a bond market value at a notional value (signaled in a footnote); the other bourses use the real

market value.

Example

* Prices can be market price (matching price) or notional value.

Trade Buyer Seller Platform Shares Price Turnover Turnover



negotiation 20 2 40


negotiation 30 3 90






Sub-totals 50

460

410


Negotiated deals

Total

Issuer Number of

issues Price * Bond value

Domestic public bond issuer A

250 10 2,500

Domestic private bond issuer B

150 5 750

Foreign bond issuer C 300 2 600

Total 3,850


1 4 6

Fixed-Income 2.2 - Number of bond issuers

Definition

The total number of bond issuers represents the number of organizations which issued the fixed-income instruments

listed on the exchange. These issuers are broken down into domestic private, public, and foreign entities.

• Domestic private bonds include corporate bonds, bonds issued by domestic banks and financial institutions;

• Domestic public bonds include government bonds and bills, state-related institutions whose instruments are guaran-

teed by the state, and municipal bonds;

• Foreign bonds listed on the exchange are issued by non-resident institutions: foreign governments, banks, financial

institutions, supranational organizations (EIB, EBRD, World Bank, etc). They also include eurobonds (bonds issued under

a law of a state different from the one of the issuer and placed in a foreign country inside the euro zone).

An issuer may list bonds with different maturities, but the total number of issuers is unchanged.

Example

Fixed-Income 2.3 - Number of bonds listed

Definition

This table presents the number of bonds listed by the different categories of issuers, and split into domestic public bonds,

domestic private bonds, and foreign bonds. A single issuer may list many securities with different maturities.

Example

Bond issuer Number of domestic public bonds issuers

Number of domestic private bond issuers

Number of foreign bond issuers

Bond issuer of domestic public company A

1

Bond issuer of domestic public company B

1

Bond issuer of domestic private company C

1

Bond issuer of foreign company A 1

Bond issuer of foreign company B 1

Domestic / Foreign sub-totals 2 21

Total 5

Bond Number of domestic public bonds listed

Number of domestic privat e bond listed

Number of foreign bonds listed

Domestic public bonds

Domestic private bonds

Foreign bonds

5

1

5 2 1

Total 8

2

Domestic / Foreign sub-totals


Fixed-Income 2.4 - Number of new bonds listed

Definition

This table presents the number of new bonds listed during a given year issued by the different categories of issuers, and

split into domestic public bonds, domestic private bonds, and foreign bonds.

Example

Fixed-Income 2.5 - Value of bond trading

Definition

The bond trading value is the total number of bonds traded multiplied by their respective matching prices. The table indi-

cates the value of bond trading split into domestic private, domestic public and foreign bonds. As WFE does for the value

of share turnover, the value of bond trading is broken down into electronic order book trades and negotiated deals. Figures

are single counted.

Example

Bond

Number of domestic public bonds

Number of domestic private bo bondsnd

Number of foreign

Domestic public bonds

Domestic private bonds

Foreign bonds

2

1

2 1 1

Total 5

1

newly listed newly listed newly listed

Domestic / Foreign sub-totals


Negotiated Trade Buyer Seller Platform Bonds Price

Turnover Turnover



negotiation 20 2 40


negotiation 30 3 90






Sub-totals 50 410

Total 460

deals


1 4 8

Fixed-Income 2.6 - Number of trades in bonds

Definition

The total number of trades in bonds represents all trades which have taken place on the exchange during the period. The

number is single counted.

As WFE does for the number of trades in equity shares, data are broken down according to the type facility/means used

to execute the trading operation (see definitions above):

• trades effected through the electronic order book

• negotiated deals

Example

Fixed-Income 2.7 - Investment flows – capital raised by bonds

Definition

The table indicates the amount of capital raised through the sale of bonds issued by a new or existing issuer during the

reporting period.

Example

Number of trades in bonds Trade Buyer Seller Platform

Electronic order book Negotiated deals

A Member A Member B Order Book 1


negotiation 1


negotiation 1

D Member B Member A Order Book 1


negotiation 1


negotiation 1

Sub-totals 2 4

Total 6

Issuer Number of new bond

issues Issue price Investment flows

Domestic public bond issuer A 50 10 500

Domestic private bond issuer B 10 5 50

Foreign bond issuer C 30 2 60

Total 610


3. DERIVATIVES

These definitions concern all derivatives tables:

• Number of contracts traded

A contract is a standard unit of trading denoted by the number of shares or the amount of capital that may vary from class

to class, or from product to product, as defined by an exchange.

• Notional Value

The notional value of derivatives is the number of contracts traded multiplied by the contracts’ underlying value. The

contracts’ underlying value is calculated by multiplying the market price of the underlying asset for each contract times

the contract’s multiplier. It is an approximate measure of the underlying value of the number of contracts traded.

• Option Premium

The option premium represents the money paid by buyers to writers of calls or put options.

If the following table gives trades made on contract X as of January 3, 2006, the premium turnover for each trade is

computed by multiplying price by volume by lot size.

Day premium turnover is the cumulative value of each trade.

Example

Contract X

As of January 3, the option premium for contract X is 202 110

Trading time Call/Put Lot size Price Volume Premium turnover

03/01/2006 13:37 C 100 3,800 10 3 800

03/01/2006 15:03 P 100 0,700 5 350

03/01/2006 15:09 P 100 0,800 2 160

03/01/2006 09:05 C 100 0,900 20 1 800

03/01/2006 15:00 C 100 1,960 500 98 000

03/01/2006 15:10 C 100 1,960 500 98 000

03/01/2006 option premium for contract X 202 110

Derivatives 3.1 - Stock options

A stock option is a standardized tradable contract that

gives the owner the right to buy or sell a particular stock

at a specified date in the future at a pre-determined price.

Derivatives 3.2 - Stock futures

A stock future is a standardized tradable contract that

gives the owner the right to buy or sell a particular stock

at a specified date in the future at a pre-determined price.

Derivatives 3.3 - Stock index options

A stock index option is an option whose underlying

reference is determined by stock index prices.

Derivatives 3.4 - Stock index futures

A stock index future is a future whose underlying

reference is determined by stock index prices.

Derivatives 3.5 - Short term interest rate options

A short term interest rate option is a contract whose

underlying reference is determined by the level of interest

rates in the country.

Derivatives 3.6 - Short term interest rate futures

A short term interest rate future is a contract whose




1 5 0

Derivatives 3.7 - Long term interest rate options

A long term interest rate option is a contract whose



Derivatives 3.8 - Long term interest rate futures

A long term interest rate future is a contract whose under-

lying reference is determined by the level of interest rates

in the country.

Derivatives 3.9 - Commodity options

A commodity option is a contract whose underlying

reference is determined by commodity prices. Options

commodity contracts can be based on a wide range of

commodities from agricultural to mining products.

Derivatives 3.10 - Commodity futures

A commodity future is a contract whose underlying

reference is determined by commodity prices. Futures

commodity contracts can be based on a wide range of

commodities from agricultural to mining products.

Derivatives 3.11 - Currency options

A currency option is a contract whose underlying

reference is based on a currency. The most used curren-

cies are the US dollar, the euro, and the Japanese yen.

Derivatives 3.12 - Currency futures

A currency future is a contract whose underlying

reference is based on a currency. The most used curren-

cies are the US dollar, the euro, and the Japanese yen.

The key characteristics of an option and a future transaction can be summarized in the following table:

Examples

The index options/futures on index X traded on an exchange has a notional value that is calculated in two steps:

1. the unit of trading of this product is calculated as: 1 index unit multiplied by the multiplier;

2. the notional value is calculated as: units of trading multiplied by the number of contracts traded.

Stock options and futures, and options/futures on the other underlyings products (interest rates, currencies, commodities)

are calculated in the same way:

The stock options/futures on company A, traded on an exchange, has a notional value that is calculated in two steps:

1. the unit of trading of this product is calculated as: the contract size of the product, (which is 100 shares in the

example), multiplied by the future’s closing price;

2. the notional value is calculated as: units of trading multiplied by the number of contracts traded.

Basic characteristics Options contract transaction Futures contract transaction

Agreement today Yes Yes

Delivery and payment in the future Yes Yes

Obligation to complete the transaction

One of the parties may choose to complete the transaction

Both parties have the obligation to complete the transaction

Unit of trading Index options/futures

Multiplier Index closing

price

Number of contracts traded

Notional Turnover

Index X 5 1,600 1 8,000

Index Y 2 1,350 12 32,400

Total 13 40,400


4. INDICATORS

INDICATORS 4.1 - Broad stock market indexes

Definition

Broad indexes are, in general, market capitalization-weighted, including a large sample of listed domestic companies, as

the all-share or composite indexes. They are generally recalculated to adjust to capital operations and to modifications in

the company composition of the index. The index can be market capitalization-weighted or free float based.

When the index is a price index, it measures the pure change of share prices without taking into consideration returns from

dividend pay-outs.

When the index is a return index, it measures the total return of investments on the index shares, including reinvested

dividends.

Certain WFE member exchanges operate several markets, and report the index performances on an individual basis.

Example

As can be seen from the example above, the index has changed from 100 to 105 based on the change in total market

capitalization of companies A, B, C and D.

Monthly high and low figures provided are based on all index calculations throughout the month, i.e. the calculations

include intra-day figures and not just end-of-day figures.

Unit of trading Stock options/futures

Contract Size Stock closing price

Number of contracts traded

Notional Turnover

Company A 100 28,33 1 2,833

Company B 100 17,02 117 199,134

Total 118 201,967

Day 1 Shares Price Market Capitalization Weighting

Company A 100 1 100 10%

Company B 100 2 200 20%

Company C 300 2 600 60%

Company D 100 1 100 10%

Total 1000 100%

Market Cap : Index Value 10 : 1

Index Value 100

Day 2 Shares Price Market Capitalization Weighting

Company A 100 0.5 50 5%

Company B 100 1.5 150 14%

Company C 300 2.5 750 71%

Company D 100 1 100 10%

Total 1050 100%

Market Cap : Index Value 10 : 1

Index Value 105


1 5 2

Broad stock market indexes composition and methodology:

American Stock Exchange: American Composite Index (XAX)

29 December 1995 = 550. Index covers 747 stocks

Index is based on domestic market capitalization

Athens Exchange: ATHEX Main Market Composite Price

Index

31 December 1980 = 100. Covers 60 stocks


and is calculated by the Exchange

Australian Stock Exchange: All Ordinaries Index

31 December 1979 = 500. Covers 470-500 stocks


and is calculated by Standard and Poor’s

Bermuda Stock Exchange: RG/BSX Index

February 1993 = 1 000. Covers 19 stocks


BME Spanish Exchanges/Madrid: Bolsa de Madrid

General Index


Index is based on domestic market capitalization and is

calculated by the Exchange

BME Spanish Exchanges /Barcelona: Bolsa de Barcelona

BCN Global-100 Index

1 January 1986 = 100. Index covers 100 stocks



BME Spanish Exchanges /Bilbao: Bolsa de Bilbao

Index 2000

31 December 1999 = 2 000. Index covers 50 stocks



BME Spanish Exchanges /Valencia: Bolsa de Valencia

IGBV Index




Bolsa de Commercio de Buenos Aires: Bolsa General

30 June 2000 = 19 570,98. Index covers 68 stocks

Bolsa de Commercio de Santiago: IGPA Index

31 December 1980 = 100. Covers approx. 161 stocks


Bolsa de Valores de Colombia: IGBC Index

3 July 2001 = 1 000.


Bolsa de Valores de Lima: General Index BVL (IGBVL)


Bolsa de Valores do São Paulo: BOVESPA Index

2 January 1968 = 0,0000000001. Covers 57 stocks

Bolsa Mexicana de Valores: Price and Quotations Index

(IPC)

31 October 1998 = 0,78162. Covers 35 stocks


Bombay Stock Exchange Ltd.: BSE 500 Index

1 February 1999 = 1 000. Covers 500 stocks


Borsa Italiana SpA: MIB Index

2 January 1975 = 1 000. Covers all listed stocks


and is calculated by Standard and Poor’s

Bourse de Luxembourg: Lux General Price Index

4 January 1999 = 1 000. Index covers 41 stocks


Budapest Stock Exchange Ltd.: BUX

2 January 1991 = 1 000. Covers 12 stocks

Index is based on free float and is calculated

by the Exchange

Bursa Malaysia: KL Composite Index

Jan 1977 = 75. Covers 100 stocks


Cairo & Alexandria Stock Exchanges: CASE 30

1 January 1998 = 1 000.Covers 30 stocks.

Colombo Stock Exchange: All Share Price Index (ASPI)

1 January 1985 = 100. Covers all equity Shares listed


Cyprus Stock Exchange: CSE General Index

3 September 2004 = 1 000. All stocks listed.

Deutsche Börse AG: CDAX Price Index



by the Exchange

Euronext Amsterdam: AAX Index



Euronext Brussels: BAS Index



Euronext Lisbon: PSI General Index

1 May 1988 = 1 000. Covers 53 stocks


Euronext Paris: SBF 250

31 December 1990 = 1 000. Covers 250 stocks


by the Exchange

Hong Kong Exchanges and Clearing: S&P/HKEx Large

Cap Index


Index is based on free float and is calculated by Standard

and Poor’s

Irish Stock Exchange: ISEQ Overall Index




Istanbul Stock Exchange: ISE National 100

January 1986 = 1. Covers 100 stocks


by the Exchange

Jakarta Stock Exchange: JSX Composite Stock Price

Index

10 August 1982 = 100. Covers 334 stocks


JSE Limited: FTSE/JSE All-Share Index

21 June 2002 = 10 815,08. Index covers 162 stocks

Index is based on free float and is calculated by FTSE

Korea Exchange: KOSPI (Korean Composite Price Index)

4 January 1980 = 100. Covers 699 stocks


Ljubljana Stock Exchange: SBI 20


London Stock Exchange: FTSE All-Share

1 April 1962 = 100. Covers 683 stocks

Malta Stock Exchange: MSE Ordinary Share Index




NASD’s Nasdaq: Composite Index

2 May 1971 = 100. Covers 3199 stocks



National Stock Exchange of India Limited: S&P CNX 500



New York Stock Exchange: NYSE Composite Index

31 December 2002 = 5 000. covers 2 053 stocks

Index is based on free float and is calculated by Dow Jones

New Zealand Exchange Ltd.: NZSX All Index

1 July 1986 = 1 000. Covers all domestic listed stocks

(approx. 123)


by the Exchange

OMX Copenhagen Stock Exchange: OMXC


OMX Helsinki Stock Exchange: OMXH

28 December 1990 = 1 000. Covers 116 stocks.



OMX Riga Stock Exchange: OMXR

1 January 2000.

OMX Stockholm Stock Exchange: OMXS

31 December 1995 = 100. Index covers all shares at the A

and 0-lists.

Index is based on domestic market capitalization.

Currently, the index is calculated by SIX AB, but index

calculation will be transferred to Exchange in Q1 2005

OMX Tallinn Stock Exchange: OMXT

3 June 1996 = 100.

OMX Vilnius Stock Exchange: OMXV

1 January 2000 = 100.

Osaka Securities Exchange: 300 Common Stock Index

4 January 1968 = 100. Covers 300 stocks listed on the

1st Section

Oslo Børs: Børs Oslo Benchmark Price Index




Philippine Stock Exchange: PSE Composite Index

28 February 1990 = 1 022,045. Covers 30 stocks


Shanghai Stock Exchange: SSE Composite Index



Shenzhen Stock Exchange: SZSE Composite Index




Singapore Exchange: All-Sing Equities Index

1975 = 100. Covers 387 stocks


and is calculated by Singapore Press Holdings

Stock Exchange of Mauritius: SEMDEX

5 July 1989 = 100. Covers 41 stocks.

Stock Exchange of Tehran: TEPIX

21 March 1990 = 100. Covers all stocks


and is calculated by their own Exchange

Stock Exchange of Thailand: SET Index



SWX Swiss Exchange: SPI®

1 June 1987 = 1 000. Covers 230 stocks

Index is based on domestic market capitalization and on

free float. It is calculated by the Exchange and based on

mandatory disclosures made by issuers to the exchange

Taiwan Stock Exchange Corp.: TAIEX



and is calculated by FTSE Group

Tel-Aviv Stock Exchange: General Share Index



Tokyo Stock Exchange: TOPIX




1 5 4

TSX Group: S&P/TSX Composite Index

1975 = 1 000. Covers 278 stocks

Index is based on free float and is calculated by

Standard and Poor’s

Warsaw Stock Exchange: WIG Index

16 April 1991 = 1 000. Covers 123 stocks

Wiener Börse AG: Wiener Börse Index (WBI)




INDICATORS 4.2 - Blue chips indexes

Definition

A blue chip index measures the price movements of a

selected range of blue chips stocks, generally the most

heavily capitalized and traded shares. Blue chips indexes

often serve as underlyings for derivatives (options and

futures). The index can be market capitalization-weighted

or free float based.

As with the broad stock market indexes, certain WFE

member exchanges operate several markets, and report

index performances on an individual basis.

Example

Same as for 4.1 above

Blue chip indexes composition and methodology:

Athens Exchange: FTSE/ASE 20

23 September 1997 = 1 000. Covers 20 stocks


by the Exchange

Australian Stock Exchange: 50 Leaders



by Standard and Poor’s

BME Spanish Exchanges: Ibex 35



and on free float, and is calculated by the Exchange

Bolsa de Commercio de Buenos Aires: Burcap Index

30 December 1992 = 426.33. Covers 12 stocks


Bolsa de Commercio de Santiago: IPSA Index



Bolsa de Valores de Colombia: IGBC Index

3 July 2001 = 1 000.


Bolsa de Valores de Lima: Indice Selectivo BVL (ISBVL)


Bolsa de Valores do São Paulo: IBrX 50 - Brazil Index 50



by the Exchange

Bolsa Mexicana de Valores: Price and Quotations Index

(IPC)

31 October 1978 = 0,78162. Covers 35 stocks


Bombay Stock Exchange Ltd.: SENSEX

1978/79 = 100. Covers 30 stocks


by the Exchange

Borsa Italiana SpA: S&P/MIB




Bourse de Luxembourg: LuxX Price Index




Budapest Stock Exchange Ltd.: BUX



by the Exchange

Colombo Stock Exchange: Milanka Index



Cyprus Stock Exchange: FTSE/CySE 20

30 November 2000 = 1 000. Covers 20 stocks.

Deutsche Börse AG: DAX Performance Index



by the Exchange

Euronext Amsterdam: AEX 25

2 January 1983 = 45.38. Covers 23 stocks


by the Exchange

Euronext Brussels: BEL 20



by the Exchange

Euronext Lisbon: PSI 20



by the Exchange

Euronext Paris: CAC 40



by the Exchange

Hong Kong Exchanges and Clearing: Hang Seng Index

31 July 1964 = 100. Covers 33 stocks

Index is based on domestic market capitalization and is

calculated by Standard and Poor’s


Istanbul Stock Exchange: ISE National 30



by the Exchange

Jakarta Stock Exchange: LQ45 Index



JSE Limited: FTSE/JSE Top 40 Index

21 June 2002= 10 399,52. Covers 41 stocks


Korea Exchange: KRX 100


Ljubljana Stock Exchange: SBI 20



by the Exchange

London Stock Exchange: FTSE 100


National Stock Exchange of India Limited: S&P CNX Nifty

3 November 1995 = 1 000. Covers 50 stocks


New York Stock Exchange: NYSE US 100


Index is based on free float and is calculated by Dow Jones

New Zealand Exchange Ltd: NZSX 10 Index

1 July 1988 = 1 000. Covers 10 stocks


by the Exchange

OMX Copenhagen Stock Exchange: KFX




OMX Helsinki Stock Exchange: OMXH25 Index

4 March 1988 = 500. Covers 25 stocks.


by the Exchange

OMX Stockholm Stock Exchange: OMX Stockholm

30 Index (OMXS30)

30 September 1986 = 125. Covers 30 stocks


Currently, the index is calculated by SIX AB, but index

calculation will be transferred to Exchange in Q1 2005

Osaka Securities Exchange: 250 Adjusted Stock Price

Average Index

Covers 250 stocks

Oslo Børs: OBX Index



by the Exchange

Shanghai Stock Exchange: SSE 180 Index

28 June 2002 = 3 299.06. Covers 180 stocks


Shenzhen Stock Exchange: SZSE 100 Index



by the Exchange

Singapore Exchange: Straits Times Index

28 August 1998 = 885.26. Covers 50 stocks


by Singapore Press Holdings

Stock Exchange of Mauritius: SEM-7

27 March 1998. Covers 7 stocks.

Stock Exchange of Tehran: TSE-50

21 March 1998 = 100. Covers 50 stocks


and is calculated by their own Exchange

Stock Exchange of Thailand: SET 50 Index

16 August 1995 = 100. Covers 50 stocks


SWX Swiss Exchange: SMI®

30 June 1988 = 1 500. Covers 27 stocks

Index is based on domestic market capitalization and on

free float. It is calculated by the Exchange and based on

mandatory disclosures made by issuers to the exchange

Taiwan Stock Exchange Corp.: TSEC Taiwan 50 Index



Group

Tel-Aviv Stock Exchange: TA-25



Tokyo Stock Exchange: TOPIX Core 30



TSX Group: S&P/TSX 60

Covers 60 stocks



Warsaw Stock Exchange: WIG 20 Index



by the Exchange

Wiener Börse AG: Austrian Traded Index (ATX)



by the Exchange


1 5 6

INDICATORS 4.3 - Price earning ratio, gross dividend yield, total return

a) Price earning ratio

Definition

The PER is calculated by dividing the market capitalization by the total market earnings. It concerns stocks included in

the main index of the stock exchange, when possible.

Example

For company A, if MV is the market value and E earnings based on last published accounts, we have:

In order to calculate a PER for the whole market, we recommend using a broad index sample and cumulated values for

the sample.

For example, let suppose:

j = 1, …n companies of a broad index,

MVj: market value of company j at year end T,

Ej earnings (possibly losses) of company j based

on last published accounts

We have :

PER = 15,3

b) Dividend yield

Definition

The dividend yield is calculated by dividing the total dividends distributed by the domestic companies composing the

main index (when possible) by the market capitalization.

Let assume that:

- j = 1, …n companies of a broad index,

- GDivj: gross dividend per share for company j, paid at time tj- Divj, net dividend per share, for company j, paid at time tj- qj number of outstanding share having receive a dividend for financial year T,

- Pj, price of company at year end T,

- cj adjustment coefficient for price at time tj

PER = MVE

PER =

∑

∑

j=1

j=n MVj

j=1

j=n Ej

Price Outstanding

shares Market value

Earnings or Losses Company

as of year-end T last published accounts

PER

A 10 1 000 10 000 800 12.50

B 5 100 000 500 000 30 000 16.67

C 20 50 000 1 000 000 -1 000 –

D 25 500 000 12 500 000 900 000 13.89

E 50 35 000 1 750 000 100 000 17.50

Total 15 760 000 1 029 800 15.30


Net dividend is often more simply called dividend. So: gross dividend per share = dividend per share + dividend tax credit.

cj is an adjustment coefficient taking into account corporate action between time tj, when the dividend is paid and time T,

end of the year.

Example

Gross dividend yield = 2.48%Dividend yield = 1.99%

c) Total return

The total return is calculated by adding the annual stock price index performance and the gross dividend yield paid dur-

ing a given year. When a stock exchange provides a return stock index, which includes the payment of dividends, the total

return is equal to the stock index performance.

INDICATORS 4.4 – Interest rates, commodity prices

Short term interest rates are represented by the 3-month money market rate or Inter Bank Offered Interest Rate (IBOR) at

year-end.

Long term interest rates are represented by the yield on the current 10-year government bonds at year-end.

The following commodities prices at year-end are shown:

• oil brent

• the West Texas International (WTI) oil price

• gold London fixing.

The sources for commodity prices are Bloomberg and the “Financial Times” newspaper.

INDICATORS 4.5 - Stock markets’ significance in the national economy

These indicators compare the exchange’s market capitalization to the national gross domestic product (GDP), and the

exchange’s investment flows-capital raised to the national gross fixed capital formation (GFCF).

GDP and GFCF figures are taken from the International Monetary Fund’s statistics.

Gross dividend yield at year end T =

∑j=n

j=1

q j * GDivj

∑j=n

j=1

q j * cj* Pj

Dividend yield at year end T =

∑j=n

j=1

q j * Divj

∑j=n

j=1

q j * cj* Pj

Price, as of year-end

T

Outstanding shares,

as of payment

date

Adjustment coefficient

Gross dividend

per share

Dividend per share

Gross amount paid

Adjusted market value

Gross dividend

yield Company

(1) (2) (3) (4) (5) (6)° (7)=(1)*(2)*

(3) (8)=(6)/(7)

A 10 500 2 1.0 0.80 500 10 000 5.00%

B 5 100 000 1 0.1 0.08 10 000 500 000 2.00%

C 10 25 000 1 - - - 250 000 0.00%

D 25 400 000 1 0.4 0.32 160 000 10 000 000 1.60%

E 50 35 000 1 4.0 3.20 140 000 1 750 000 8.00%

Total 310 500 12 510 000 2.48%


1 5 8

5. SME Markets

The small and medium enterprises (SME) markets operated

by the exchange are usually dedicated to medium and

small businesses; listing requirements are different from

those of the main market. OTC markets, or national

electronic markets, not operated and supervised by a

recognized exchange are not included in the statistics.

The items described in the tables of this section have the

same definitions and examples than those presented in

the equity and indicators sections above.

SME 5.6 - SME stock market indexes

SME indexes composition and methodology:

Athens Exchange: FTSE/Athex SmallCap 80

31 May 2001 = 1 000. Covers 80 stocks.

BME Spanish Exchanges: Ibex NM


Borsa Italiana SpA: MEX Index

3 January 1979 = 1 000. Covers all listed stocks

Bursa Malaysia: Second Board Index


Bursa Malaysia: MESDAQ Market Index

30 April 1999. Covers 96 stocks

Cyprus Stock Exchange: Alternative Market Index

3 September 2004 = 1 000. Covers all stocks listed

Cyprus Stock Exchange: Parallel Market Index


Cyprus Stock Exchange: Investment Market Index


Deutsche Börse AG: Entry Standard Index

24 October 2005 = 1 000. Covers 20 stocks.

Hong Kong Exchanges: S&P/HKEx GEM Index


Istanbul Stock Exchange: Second National Market Index


Istanbul Stock Exchange: New Economy Market Index

2 September 2004 = 20 525.92. Covers 2 stocks

JSE Limited: FTSE/JSE Venture Capital Index

21 June 2002 = 119.06. Covers 23 stocks

JSE Limited: FTSE/JSE Development Capital Index

21 June 2002 = 208.07. Covers 13 stocks

Korea Exchange: Kosdaq Index


London Stock Exchange: FTSE AIM Index


New Zealand Exchange: NZAX All Index

18 November 2003 = 1 000. Covers all eligible domestic

securities (18 stocks)

The index was launched in February 2004

OMX: HEX I List Index

16 October 1998 = 1 000. Covers 27 series

OMX: HEX NM List Index

16 March 1999 = 1 000. Covers 10 series

Osaka Securities Exchange: Hercules Index

30 June 2003 = 1 000. Covers all listed stocks

Shenzhen Stock Exchange: SME Composite

7 June 2005 = 1 000. Covers 50 stocks.

Singapore Exchange: UOB-Sesdaq

18 February 1987 = 100. Covers 171 stocks

Stock Exchange of Thailand: MAI Index


Tokyo Stock Exchange: Mothers index


TSX Group: S&P/TSX Venture Composite

Covers approx. 498 stocks

Warsaw Stock Exchange: TechWIG


6. Other Markets

The items described in the tables of this section have the

same definitions and examples than those presented in

the Equity, Fixed-income and Indicators sections above.

Other markets 6.7 - Broad stock market indexes

Abu Dhabi Securities Market: ADSM Index

30 June 2001 = 1 000. Covers 1 stock.

Amman SE: ASE Weighted Index


Bahrain SE: All Share Index

1 July 2002 – 31 December 2002. Covers 38 stocks

Belgrade SE: BELEXfm

1 May 2004 = 1 000. Covers 655 stocks.

Bratislava SE: SAX Index

14 September 1993 = 100. Covers 7 companies

BRVM: BRVM Composite


Bucharest SE: BET-C


Bulgarian SE: BG40



Casablanca SE: MASI


Chittagong Securities Market: CASPI (CSE All Share price

Index)


Costa Rica SE: IBNV


Ghana SE: GSE All-Share Index

November 1990 = 100. Covers 29 stocks

GreTai Securities Market: GTSM Index

1 November 1995 = 100. Covers 503 stocks

Iceland SE: ICEX-MAIN Index

1 January 1997=1 000. Index covers 30 stocks

Karachi Stock Exchange Ltd. = KSE 100 Index

November 1991 = 1 000.

Covers 100 Top Market Cap Companies.

Kazakhstan SE: KASE Shares


Kuwait SE: KSE Market Index

29 December 2002 = 2375.3 . Covers 162 stocks

Lusaka SE: LuSE All Share


MICEX SE/MICEX: MICEX index


Muscat Securities Market: MSM 30

1993. Covers 30 stocks.

Nairobi SE: NSE 20 Share Index


Namibian SE: NSX Overall Index


Nigerian SE: All-share Index


Palestine SE: Al Quds Index


Panama SE: BVPSI

December 2002 = 100. Covers 14 stocks

Port Moresby SE: Kina Securities Share Index


Prague SE: PX-GLOB


Rosario SE: MERVAL

30 June 1986 = 100. Covers 12 stocks

“Russian Trading System” SE: RTS Index


Saudi Stock Market: TASI

28 February 1985 = 1 000. Covers all listed stocks (77)

Surabaya SE: CSPI


Swaziland SE: SSX All Share index

June 1990 = 100. Covers all listed stocks

Zagreb SE: CROBEX

1 July 1997 = 1 000. Covers 21 stocks

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American Stock Exchange - KU Leuven...Keynote speaker: Matthew Andresen, President of Citadel...

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Transcript of American Stock Exchange - KU Leuven...Keynote speaker: Matthew Andresen, President of Citadel...