BM&FBOVESPA’s CEO, Edemir Pinto, revealed that the Exchange is putting together an international sales team, which is scheduled to be up and running by April 2009. The announcement was made during a press conference on November 12th to disclose the company’s third quarter earnings release. “This is our most aggressive project whose objective is to cater to a growing demand for our products and services by international exchanges, which have become increasingly attractive due to the current crisis of confidence.”
According to Mr. Pinto, BM&FBOVESPA specialists will seek to establish relationships with executives from European, Asian, and North American exchanges in order to present the advanced know-how, which currently exists in the BM&FBOVESPA settlement systems, volatility control (circuit breaker), clearinghouses, and trading and open interest management, among others, all of which is applicable to both the equities and derivatives markets.
“The fact that Brazil has gone through several economic crisis during the past decades has placed us in an advantageous position in comparison to other global exchanges. Our risk management systems, for instance, have been extensively tested throughout the current crisis, which has in turn strengthened our ability to conquer new markets.”
Another project that was highlighted during the press conference was the integration project with other Latin American exchanges. In the past months, BM&FBOVESPA has held meeting with exchanges from Argentina, Chile, Colombia, and Peru, which along with the Mexican exchange, are part of the first group chosen for these initial talks.
“After the meeting which is scheduled to take place in Mexico, we will be following through with the last phase of the integration project, which consists of offering a plan of action for each of these countries. Our objective is to help them develop their domestic markets. We have already perceived a strong demand for clearinghouse systems.”
In relation to the Brazilian market, Mr. Pinto also stated that he plans to increase the role that the New Exchange will play in attracting new participants to join BM&FBOVESPA’s organized OTC environment while at the same time wooing in more clients to the commodities and stock exchanges. “This was the vision behind the recent advertising campaign we developed for the many visitors and foreign delegates taking part in the G-20 summit meetings held in São Paulo.”
New Exchange prepared for the future
The November 12th press conference was the first ever quarterly earnings release for BM&FBOVESPA SA following the definitive merger of Bovespa Holding and BM&F. The Exchange’s Chief Financial Officer, Carlos Kawall, commenting on the results, stated that the company had undertaken the major necessary adjustments, such as cost reduction and revenue increment, and he added that: “This helps to strengthen us and increases our readiness for the future.”
During the first nine months of 2008, the company’s adjusted net income came in at BRL764.9 million, 44.8% higher than the same period last year. For the third quarter ending September 2008, as compared to the most recent quarter, the adjusted net income was BRL315.9 million, a 44.4% increase over an adjusted net income of BRL218.7 obtained during the third quarter of 2007.
For further information on BM&FBOVESPA’s third quarter earnings release, please access BM&FBOVESPA’s Investor Relations website: http://ri.bmfbovespa.com.br
FTSE Mondo Visione Exchanges Index:
New Exchange Announces Creation Of An International Sales Team - Specialists From BM&FBOVESPA Will Offer Services And Products To Exchanges In Europe, Asia, And North America
Date 18/11/2008