Trade via exchange-traded funds at Iran Fara Bourse (IFB) reached 1,983 trillion rials ($4.88 billion) in the first nine months (ended Dec 22) of the calendar year -- 147% higher on the same time last year indicating the role of ETFs in the equities market.
Based on the last monthly market report seen on the IFB website, ETF units worth 382.44 trillion rials ($941.9m) changed hands in the month, up 282% from the same month last year.
An ETF is a type of pooled investment security. Typically, ETFs track a particular index, sector, commodity, or other asset, but can be purchased or sold on a stock exchange in the same way as a regular stock. The price of ETF units change throughout a trading day as the units are bought and sold.
ETFs include diverse investments, including stocks, commodities and bonds. They usually offer low expense ratios and less broker commissions than individual stocks.
Performance in 3 Quarters
IFB posted 180% increase in trade in the first three quarters. The website said about 792.1 billion shares were traded at the junior stock exchange worth 71,039 trillion rials ($174.9 billion) in the nine months -- annual growth of 180% and 76% in value and volume, respectively.
IFB's all-share index, IFX, jumped 9% during the period to end the ninth month at 19,173.
More than 170.63 billion securities worth 875 trillion rials ($2.1 b) were traded in IFB's First Market, up 30% in volume but down 2% in value.
Over 144 billion securities worth 669 trillion rials ($1.64b) changed hands in the Second Market, registering 1% and 34% drop in volume and value, respectively.
Monthly Data
Performance of this market in the fiscal month to Dec. 22 shows that IFX gained 3.6% to close at 19,173. IFX had the highest rise on December 13 adding 218.8 points in one day.
During the month under the review, more than 143.1 billion securities valued at 8,870 trillion rials ($21.8b) were traded, up 159% in value and 89% in value.
More than 48.2 billion securities worth 173.8 trillion rials ($428m) were traded in IFB's First Market, registering 318% increase in volume and 116% in value.
Over 21 billion securities valued at 77 trillion rials ($189m) changed hands in the Second Market, marking 35% growth in value but down 19% in volume.
