According to Tejarat News, according to the report published by the Tehran Stock Exchange and Securities Organization under the title “Capital Market Status Report” which is published in the third week of every month, the total value of the foreign investment portfolio in the Tehran Stock Exchange and the Iranian OTC is 7.46 thousand billion Tomans. Hemat) has been
Investigations show that of this amount, about 499 billion tomans was the share of real investors and about 6.7 hemats was the share of legal investors. In this month, the total number of real and legal investors was 4,567 codes, of which 3,161 were real and 1,406 legal share codes. This number has increased by 18 codes, equivalent to 0.39%, and by 350 codes, equivalent to 7.66%, compared to the same month last year. The total value of foreign investment in the Tehran Stock Exchange and the Iranian Foreign Exchange in September 1402 increased by 10.8% compared to the previous month and reached 7.46 Hemats from 6.73 Hemats. Also, this amount was 4.33 hemats in the same month as last year, and these numbers indicate that the value of the foreign investment portfolio has grown by 3.13 hemats, equal to 72.3%. Investigations show that the foreign investment portfolio in Iran’s stock market and over-the-counter market, which had a very upward trend from October 1401 to May 1402, was on a downward slope from May 1402 to August 1402; In Shahrivar, it returned to its upward trend with an increase of 730 billion tomans in the foreign investment portfolio compared to the previous month.
The importance of foreign investment in the stock market
Tehran Stock Exchange and Iran OTC is a place for investment where securities are traded by traders and brokers. According to the foreign investment regulations, foreign real and legal investors can also participate in the Iranian capital market in addition to domestic investors, which is important in some ways. Part of the importance of foreign investment in the Tehran Stock Exchange and the Iranian OTC can be explained through the general importance of investing in the stock market. One of the most important existential philosophies of the capital market is the collection of small and large funds from natural and legal persons and the financing of economic activities.
Economic growth and development in any country requires large investments. The existence of a strong and efficient capital market in the country means the existence of a long-term financing infrastructure as well as a powerful financing artery, which causes the flow of liquidity to invest in productive sectors. Foreign investment, if its value is strengthened and increased, can contribute to the formation and progress of this process more than domestic investments. Also, from another point of view, it is possible to understand other important issues from the amount of foreign investments in the country, checking the periodic decrease or increase related to it and accuracy in the process. Among these issues is the degree of the country’s stock market being known to investors from other countries. Also, in addition to being known, one can see how much the country’s capital market is attractive to foreign investors. For a long time, Iran’s capital market has not been the focus of foreign investors due to sanctions and issues related to international relations, and currently it is not in a very favorable condition. This problem has resulted in a decrease in the volume of investment in the Iranian stock market, through the channels of problems to enter the market and increased risk and uncertainty.
Foreign investment ratio to total investment
According to the monthly report of the Tehran Stock Exchange, out of the total value of the total bond market of 10,236,000 billion tomans on 31 September 1402, 7,635,000 billion tomans was the value of the Tehran Stock Exchange and 2,546,000 billion tomans was the value of Farabus Iran in This has been history. The total value of these two markets was about 10 million and 182 thousand billion tomans, and the difference between these values was allocated to the value of the energy and commodity exchanges. Foreign investors, both real and legal, who only have the possibility to invest in the Tehran Stock Exchange and the Iranian OSE, from the total of 10 million and 182 thousand billion tomans of the value of these markets in Shahrivar 1402, a share equal to 7.46 thousand billion tomans equal to 0.07% of the total. have. In the last year and the same month, the total value of the Tehran Stock Exchange and the Iranian Foreign Exchange was 7 million and 73 thousand billion tomans, of which 4.33 thousand billion tomans was equal to 0.06% of the value of foreign investors’ portfolio. These figures indicate that the total share of the value of the investment portfolio of real and legal investors in the Tehran Stock Exchange and the Iranian Foreign Exchange is very small, which requires attention. There are several reasons for this, the most important of which are related sanctions, the tension in international relations, the great uncertainties of the stock market in Iran, the lack of necessary infrastructure in many countries to enter the Iranian stock market, and finally the existence of strict rules for entering He pointed to this market.
International Stock Exchange, the fifth stock exchange of the country
At the end of the third week of September, the call for the establishment of the international stock exchange was published, with an initial currency capital of 30 million euros and with the acquisition of the majority of shares by foreign parties. In the text of this announcement, all qualified applicants, including stock exchanges, capital market institutions, capital supply companies and financial institutions, were invited to participate in the International Stock Exchange, as the fifth stock exchange of the country after Tehran Stock Exchange, Iran Fara Exchange, Commodity Exchange and Energy Exchange. Declare readiness as a founder. Also, in order to participate in the founding board, they were required to have sources of foreign currency income from a foreign source and only from this place to provide their contribution. This happened while Iran is not connected to the SWIFT network and is still on the FATF blacklist, and in addition, no explanation has been given about the outlook and operation of this stock exchange. Considering the current situation, i.e., the amount of foreign investment in the Tehran Stock Exchange and the Iranian OTC, as well as the lack of connection to the global community of interbank financial communication (SWIFT), the question arises whether the creation of this space is a start to strengthen foreign investment or is it merely symbolic. . Kamal Khanzadeh, CEO of Powish Alborz Brokerage, stated in a statement that Turkey intends to play a role in the energy pricing base of the region and Iran wants to form an international stock exchange in order to keep up with the caravan, so that it may sell some of its oil derivatives to foreign customers. . These statements and the existence of problems related to sanctions confirm the symbolic nature of this event, so it is impossible to imagine a clear future for the development of foreign investment in the Iranian stock market, at least until the current important problems and bumps are resolved.
Source: World Economy