What is insuring shares in the stock market? – Tejarat News
According to Tejarat News, it was on Saturday that the support package for the capital market was unveiled, and based on this package, it was decided to defend the capital and rights of stock market investors in 10 paragraphs. In a way, because of this package, the market can find a new path for itself.
According to the 10th package of the capital market, the capital of stock market shareholders is supposed to be insured. Insuring the shares in the portfolio of natural persons up to 100 million tomans per person (which make up about 96% of the number of active real codes in the market) is done through public issuance of subordinated bonds and purchase by investors.
The maturity date of these bonds is one year and the amount of the purchase commitment is 20% higher than the value of the combination of people’s portfolio on the last trading day, Wednesday, November 4, 1401. It will be implemented and finalized based on the announcement of the stock exchange organization.
One of the most important reasons for insuring shares is the uncertainty of the future price of that share. Stock insurance or secondary put option helps to guarantee investors’ profits in addition to guaranteeing the principal of the capital. In a way, it can be said that secondary sales bonds are the best tool to stabilize the stock price in the stock market investment. This means that the investor’s profit will be guaranteed at least 20% annual profit at maturity.
The important and noteworthy point here is that if the shareholder, at the end of the trading day on November 4 this year, up to 100 million tomans, only the stocks of the main markets of the exchange and over-the-counter markets are included in this plan. If these people do not sell their shares until next year, the government is obliged to pay the difference in the price of the shareholder’s portfolio 20% higher than the value on November 4, 1401 in cash. This payment is in a situation where even the shareholders’ profit has decreased.
