In order to further integrate the Baltic securities market, the stock exchanges in Tallinn, Riga and Vilnius will introduce joint OMX Baltic Membership as of January 1, 2007. Becoming a pan-Baltic member will mean a more streamlined application process and cost-savings for the existing and new members.
Joint OMX Baltic Membership is an opportunity to a member operating in one Baltic exchange also to trade on the other two Baltic exchanges without annual fixed fee. To meet the demand of members, OMX will improve access to all three exchanges by introducing a single entry point.
"This change is part of OMX strive to create an integrated and efficient Nordic Baltic marketplace," said Johan Rudén, President of the Baltic Market business unit at OMX.
Membership application procedure will be made easier and more efficient. Financial Supervisory Authority notification procedure for all Baltic exchanges will be simplified. Enhancement of the current Baltic membership will also include a harmonized and efficient Guarantee Fund structure on the Baltic level.
In addition to the introduction of single membership, Baltic central depositories keep on enhancing and expanding the pan-Baltic clearing and settlement possibilities. Today it is possible to clear and settle free of payment transfers and against payment cross-border Baltic stock exchanges transactions. This is in accordance with pan-Baltic harmonized clearing and settlement time schedule, which is the same to all Baltic market participants. Our intention is to expand the cross-border clearing and settlement service by including the over the counter against payment transactions to the offering.
"The OMX Baltic Membership will encourage members to exercise to full extent the advantages of the common trading platform," remarks Rudén. "Our aim is to remove barriers to facilitate membership application, and to make the entire transaction chain, including clearing and settlement, according to the same pattern in all three countries."
Enhancement of the current membership concept aims at facilitating access to Baltic securities markets and increasing attractiveness of the region. Currently the Baltic exchanges have altogether 40 members.
