.jpg)
The financial results were influenced by a number of factors: A rise in the share trading volume and a boost in issues increased the membership and issuance fees by 32 per cent; Profit from the sale of electronic information grew by 23 per cent; Total costs rose by 25 per cent. Close on half of this increase related to expenses for computer hardware and software in connection with the transfer of trading to SAXESS as well as the operation of two separate trading systems and, finally, the effect of the increase in share trading; In October, bonds will be switched to SAXESS and by the end of the year derivatives will be moved from ELECTRA, which will be closed down at the year-end.
The Board of Directors expresses satisfaction with the operating performance.
Outlook for the full year 2000
Group turnover is expected to grow to somewhere in the region of DKK 200 million, a rise of 20 per cent compared with 1999. The improvement is forecasted on the basis of the boom in membership and issuance fees, provided that the stock market is not hit by a downward trend compared with the current level.
Total group costs are expected to amount to some DKK 185 million, a 10 per cent rise on 1999.
Pre-tax profit is expected to total approx. DKK 10-15 million, which is slightly below what was forecasted in the 1999 annual report.
Like the first half of 1999, the first half of 2000 was influenced by the preparations for the migration of securities to the SAXESS trading system. In October, bond trading with more than 2,400 bonds will be transferred from the present ELECTRA system to SAXESS. Last year the shares were successfully transferred to the common trading system shared by the exchanges in the NOREX Alliance. Moreover, an agreement has been made with the OM Stockholm Exchange on the use of the Swedish systems for trading and clearing of share derivatives. The transfer of these FUTOP products is expected to be completed by the end of 2000, and ELECTRA will thus be closed down.
In March, the Personal Portfolio feature was launched at the Exchange's web site www.xcse.dk, and the users are now able to track the market closely over the day and also the historic performance over five years. Internet users may also create portfolios with the securities of their choice. At end-June, the feature had more than 11,000 registered users.
Share trading increased by 72 per cent to DKK 378 billion in market value, up from DKK 220 billion in the corresponding period a year earlier. Share prices went up. The KFX Index gained 40 per cent compared to end-June 1999 to 287.53, the KF mX Index gained 27 per cent to 1,154.39, while the All-Share Index gained 34 per cent and closed June at 863.13.
Bond trading fell by 28 per cent to DKK 2,837 billion in market value as against DKK 3,952 billion in the first six months of 1999. A total of 79,576 contracts were registered with and cleared by the FUTOP Clearing Centre, a fall of 49 per cent compared with the first half of 1999.
President and CEO Hans-Ole Jochumsen said: "The switch-over to a new system, which was commenced last year, will be completed by the end of the year. Shares and bonds will thus be traded in one and the same system and we have found a solution for the derivatives market. We have worked hard to cement a Danish share investment culture, i.a. via the continued enhancement of our web site www.xcse.dk, and we are pleased that the Danish share market is booming. The Copenhagen Stock Exchange will continue to give members, issuers and investors a better market place with more and improved opportunities for trading and information."
Please download the report at www.xcse.dk/uk/kf/finans/index.asp
