Baku Stock Exchange facts for kids

The Baku Stock Exchange (BSE) is the main place where stocks and other financial items are bought and sold in Azerbaijan. It is often called the BSE. The BSE is set up as a company owned by 19 different groups or people.

What the BSE Does

The Baku Stock Exchange is where different types of financial items are traded. These include:

• Short-term government bonds: These are like short-term loans to the government.
• Company stocks: These are small parts of companies, especially those that used to be owned by the government. This includes businesses that make food and drinks, build things, and banks.
• Foreign currency futures: These are agreements to buy or sell foreign money at a set price in the future.

The BSE is the only place in Azerbaijan where government financial items are traded. This includes special bonds from the Ministry of Finance and notes from the Central Bank of Azerbaijan. The rules for the stock exchange are set by the Financial Markets Supervisor Authority.

The BSE follows rules from different places:

• The main laws of Azerbaijan.
• Rules from the State Committee for Securities of Azerbaijan.
• Its own special rules.

History of the BSE

A group started planning the Stock Exchange on December 25, 1999. The Baku Stock Exchange officially began its work on February 15, 2000. The very first trade happened on September 1, 2000.

Over the years, the BSE started trading new things:

• January 2004: Companies started selling their own bonds on the BSE.
• April 2004: The first time company stocks were traded on the BSE.
• September 14, 2004: The Central Bank of Azerbaijan began trading its own notes.
• June 2009: The Azerbaijan Mortgage Fund started trading its bonds.
• January 2013: A "market maker" system was set up. This helps make sure there are always buyers and sellers for financial items.
• March 2014: New types of financial tools called "derivative financial instruments" began trading.
• 2023: A new electronic trading system (BETP) was launched. This system helps with buying, selling, and keeping track of trades. It was created to make the capital market in Azerbaijan more modern.

How the BSE is Managed

The person in charge of the Baku Stock Exchange's board of directors is Eldar Abdullayev. The supervisory board, which oversees everything, is led by Yashar Mammadov.

How the BSE is Organized

Organizational chart of BSE

Bell Ceremonies

At the BSE, special bell ceremonies happen at the start and end of each trading day. These bells show when trading begins and finishes. Even though most trading is done by computers now, these ceremonies keep an old tradition alive. They are also used to celebrate important events related to the stock market or to bring attention to social causes.

For example, on March 9, 2017, the BSE took part in the "Ring the Bell for Gender Equality" event. This event helps raise awareness about gender equality. It was organized by groups like UN Women and the IFC.

Trading Hours

The Baku Stock Exchange is open for trading from Monday to Friday.

• Morning session: 10:00 a.m. to 1:00 p.m.
• Afternoon session: 2:00 p.m. to 4:30 p.m.

The exchange is closed on Saturdays, Sundays, and official public holidays.

See also

• Financial Markets Supervisor Authority
• List of stock exchanges
• List of European stock exchanges