Malta Stock Exchange had another record year in 2017, having posted a 4.3 per cent increase in revenues and a cut of 2.3 per cent in operating expenses – the second straight yearly drop, which helped contribute to a 10.8 per cent jump in operating income. After-tax net income rose by 3.2 per cent on the back of increases in 14 out of 21 revenue streams and a continued disciplined approach to spending.
Trading volumes continued to come under pressure in spite of the Malta Stock Exchange doubling its trading hours to a more respectful six hours trading session. A number of steps are being taken to increase trading activity and improve liquidity including revamping market-making rules in the hope of attracting market makers to the Exchange.
Last year, two new businesses were added, including the Institutional Financial Securities Market or IFSM, a regulated wholesale market geared towards the listing of securitised products including asset back securities, convertible bonds and insurance linked notes. For the first time in the MSEs history, the Exchange is in a position to cater to the needs of institutional investors. With the addition of the IFSM, the MSE can consider itself a full service stock exchange catering to the needs of both retail and institutional investors.
On the training front the Malta Stock Exchange Institute was inaugurated. With over 600 students attending some 32 courses, the training centre is designed to deliver affordable investment education.
As for corporate listings 2017 was a record year, with dozens of new issues emanating from both the Regulated Main Market and the Prospects MTF.
In 2017, the Malta Stock Exchange embarked on the second stage of its three-year refurbishment programme. The executive floor reception area, boardroom and other spaces were fully refurbished and been given a more modern look. On the business development, marketing and PR front, the Exchange continued its strategy of promoting its brand locally and overseas.
Many events were hosted at the Exchange during 2017 including numerous bell-ringing ceremonies, investment managers, iGaming, MiFid II and securitisation forums, events done in conjunction with 100 Woman in Finance and with the Malta Association of Small Shareholders, the Third Annual Investor Education Conference and an art exhibition among other events.
“A very strong economy helped contribute to another record year,” Malta Stock Exchange chairman Joseph Portelli said. “I want to thank the board, management team and all our staff for their efforts. We expect a lot more interesting initiatives and developments which will very positively affect the capital markets and Maltese economy for years to come.”