Introduction of BETa Market

Introduction of BETa Market

The Budapest Stock Exchange launched its new market, BETa Market, in November 2011, where investors can trade with foreign equities. Equities bought on the BETa Market are identical in every way to those traded on foreign markets. Trading is conducted in Hungarian forints, thus the BETa Market offers access to the equities of several European companies issued in foreign currency without the need to face currency conversion costs.

The liquidity of trading in foreign equities registered on the BETa Market is ensured by official market makers who, in accordance with the market making agreement, undertake to keep a continuous supply of bid and ask quotes in the order book. Market making helps investors find bid and ask quotes in the foreign equities at all times, at adequate prices.

Trading hours and periods, trading rules, as well as order types and their expiry on the BETa Market are identical to those applied in BSE’s Equities Section. Capital gains attained on the BETa Market are subject to the same tax rates as those attained on BSE’s equity market. The clearing and settlement of the transactions executed on the BETa Market is done by KELER Ltd., and KELER CCP Ltd. guarantees the transactions.