World Stock Exchanges – Bolsa Mexicana de ValoresPosted: June 26, 2012
|Mexican Stock Exchange
Bolsa Mexicana de Valores, BMV
|Location||Mexico City, Mexico|
|No. of listings||466|
|MarketCap||US$ 451 billion (Feb 2012) |
Mexican Stock Exchange
Structure and operations
BMV is now a public company following its IPO in June 2008, and its shares are traded on the BMV equities market. It operates by concession of the Secretariat of Finance and Public Credit.  Until its IPO BMV was owned by its members, which were a group of banks and brokerage firms. The exchange trades debt instruments including Federal Treasury certificates (CETES), Federal Government Development bonds (BONDES), Investment Unit bonds (UDIBONOS), Bankers acceptances, promissory notes with yield payable at maturity, commercial paper anddevelopment bank bonds. In addition, it also trades stocks, debentures, mutual fund shares, and warrants. Trading is conducted electronically through the BMV-SENTRA Equities System. Settlement is T+3, and trading hours are 8:30 a.m. to 3 p.m. for the capital markets and 8 a.m. to 2:30 p.m. for debt instruments (Monday through Friday).
The BMV calculates 13 indices of stock prices. Each index can be used as an underlying value for derivativeproducts listed on specialized markets. The main benchmark stock index is called the IPC, which stands for Índice de Precios y Cotizaciones, and is the broadest indicator of the BMV’s overall performance. It is made up of a balanced weighted selection of shares that are representative of all the shares listed on the exchange from various sectors across the economy, and is revised twice a year. Weight is determined by market capitalization. The IPC’s value is related to the previous day’s value, rather than the base date of October 30, 1978. Since February 2009 the IPC index has included BMV’s own A shares. Indice Mexico (INMEX) is a market capitalization weighted index of 20 to 25 of the BMV’s most highly marketable issuers, using their most representative series. The sample is limited to issuers with a minimum market value of $100 million and is revised every six months. The weighting cannot be greater than 10% at the start of each calculation period.