KASE index may grow in next 3 months
2012-07-07 16:10:49
The index of the Kazakhstan Stock Exchange could demonstrate significant growth within the next three months. The external factors and the arrival of new issuers under the “People’s IPO” will become the main locomotive of this growth.
Kazakhstan analysts are optimistic about the development of the domestic stock market. In such a manner, experts believe that the index of the Kazakhstan Stock Exchange could demonstrate significant growth in the next three months. Such external factors as improvement of the macroeconomic situation in the euro area, reducing unemployment and economic growth in the USA will act as the main locomotive of this growth.
Nurlan RAKHIMBAYEV, ANALYTICAL CENTRE DIRECTOR AT MANAGEMENT COMPANY:
-If we have the conditions under which regulators will scrutinize the need for introduction of new impetuses for the economy in the near future, it could grow in the next quarter.
Additionally the change in the index of the Kazakhstan Stock Exchange will be affected by the implementation of the “The People’s IPO” programme. The expected demand for the securities of domestic companies and placing issuers on a domestic trading platform will provide increased liquidity and increase the cost of the securities. If the market is dominated by a positive trend, the shares will be included in the list, forming an index of the exchange. In addition, experts say that the population has already shown interest in acquiring shares under the state-run programme.
Nurgali NURMAKHAMBETOV, ASSET MANAGEMENT DEPARTMENT DIRECTOR AT MANAGEMENT COMPANY:
-Currently, we can witness the active promotion of the national IPO by the state, many management companies and brokerage firms and we believe that this may raise serious interest. We can feel this interest, since the number of clients is increasing. They are opening more brokerage accounts.
The representative list of KASE involves the shares of companies of raw materials, mining sectors as well as securities of the leading financial institutions. Since late June, the increase in this index has been about 2.5%.