Oslo Børs will from 6 August reduce the opening hours for trading equities and derivatives with one hour, and close at 16:30 CET.
The measure is done to improve quality and liquidity throughout the trading day and at the same time strengthen the strongest Nordic market for capital issues by allowing more time for fundraising after exchange opening hours.
The new opening hours will be implemented as a six month trial period.
Experience shows that trade volumes are highest at the beginning and end of the day and that there is relatively lower activity midday. As a result of increased competition and challenging market conditions after the introduction of new opening hours in 2008, total volumes have been lower.
- After dialogue with market participants we believe that reduced opening hours will contribute to concentrated trading and thus to higher quality in the order book during the day. This may also attract new volume. We consider this positive for both market participants and market competitiveness, says President & CEO Bente A. Landsnes at Oslo Børs.
Oslo Børs and the local players specializing in energy / offshore, shipping and seafood sectors in recent years have created an attractive and internationally well known marketplace for companies globally. Although the stock market has been extremely turbulent in recent years, Oslo Børs is recognized internationally as an effective and well functioning market place where it has been possible to raise capital for companies. Time windows companies have to raise capital are becoming ever shorter as a result of the turbulent market conditions. Oslo Børs has recently launched an offer of 'fast track' listing of new companies to remedy this situation. Shorter opening hours will further strengthen the primary market in Oslo and create an advantage for companies that are listed or plan to be listed in this market.
- The Oslo capital market is known to be effective, even under difficult market conditions. We want to further enhance this advantage. This will benefit both our custotomers in the financial market, and companies that issue stocks and bonds in our market, says Bente A. Landsnes.
The adjusted opening hours means that the continuous trading in shares, equity certificates, ETPs and warrants on both Oslo Børs and Oslo Axess will proceed until 16:20 CET. The closing auction will be between 16:20 CET and approx. 16:30 CET. Reporting of after exchange trades can be done until 17:30 CET. The trading day for derivatives will also be reduced by one hour and end at 16:20 CET. For the fixed income market there is no change and trade will continue to end at 16:00 CET.