Ljubljana, 26 November (STA) - Ljubljanska borza, the operator of the Ljubljana Stock Exchange (LJSE), said on Friday it will introduce on 6 December the electronic securities trading system Xetra, boosting the stock exchange's presence abroad.
The introduction of the platform is one of the most important strategic goals in the integration of the Slovenian market into international capital markets, Ljubljanska borza said in a press release.
Xetra is used by more than 250 financial firms with more than 4,800 stock brokers. Investors access the system directly from 18 countries in Europe and the Middle East.
It is also an optimal platform for the CEE Stock Exchange Group, of which the LJSE is a member, while the creation of a single trading platform is of key importance for development and integration of markets, according to Ljubljanska borza.
Xetra is expected to boost the interest of international investment firms and banks in Slovenian stocks, attract new foreign portfolio investors, enable trading of new financial products and help LJSE members enter new markets.
As part of its adoption of Xetra, the LJSE introduced new rules as of Saturday. The main change is the adoption of closing price as the official share price.
Additionally, closing auctions, which accumulate supply and demand, are being introduced to improve the formation of the closing price.
According to Ljubljanska borza, which is owned by the Vienna Stock Exchange, the closing price is a much better indicator of end-of-day market situation and future trading than the average price, currently used by the LJSE as the official price.
The Vienna-based Raiffeisen Centrobank (RCB) became a LJSE member today, and the bank is expected to be listed soon after the introduction of Xetra. Ljubljanska borza boss Andrej Sketa said some other major international banks are expected to join the LJSE by year's end.