– Acting as a catalyst to deepen Iran capital market by directing liquidity to real economic sectors, debt securities with the highest yields have been reported below until 18 January 2017:
– According to the Statistical Center of Iran, the Inflation Index stood at 6.9% over 21 Dec- 19 Jan, registering 3 points down in comparison with the same period last year.
Market News
IFB ranked by transparency!
All listed tickers on IFB ranked with regards to disclosure quality and proper notification over a 12 months period ended September 2nd, 2016.
Disclosure quality measured based on two factors, reliability and timeliness. Moreover, since investments companies are not ought to release EPS estimates, therefore, points on them counted regardless of the estimates.
Tourism Bank Fixed Income Mutual Fund Fact Sheet (Sep 2016)
Four angles on ETFs!
An exchange-traded fund (ETF) is an investment fund traded on stock exchanges, much like stocks. An ETF holds assets such as stocks, commodities, or bonds, and trades close to its net asset value over the course of the trading day. ETFs may be attractive as investments because of their low costs, tax efficiency, and stock-like features.
Market News
Mahan financed airplanes on IFB
Mahan Airlines Sukuks were sold on IFB today. The aviation giant decided to finance two airbuses by issuing Ijara securities with 21% nominal rate at par value of 1,000,000. The coupon payments will be quarterly and the maturity is in 4 years. The ask demand was 16 times higher than 2.1 mn issued papers and in an eye blink IRR 2,100 mn worth of securities were purchased.
“The idea of financing though capital markets is fast, easy and cheap” said Reza Namakshenas, the CEO of Mahan air.
In the Market
TSE index, TEDPIX, were down 303.62 points (-0.40%) this morning and stood on 76,387. Despite a moderate hike early session, most of the tickers remain red. There is absolutely no specific catalysts behind the fall according to the analysts. Altogether, the economic data released during the past week and the positive political news, kept the possibility of a summer hike, however the market begs to differ to this point.
The signals in Auto sector were mixed today. “Saipa” traded over 240 mn shares and closed at 1,281 IRR (+1.03%) to compensate a little for the catastrophic loss of yesterday. “Khodro on the other hand mustered moderate loss and closed at 3,594 IRR (-1.13%). Rumors behind USD 1 bn finance contract with Korea may tickled the giant’s trading trend. Other industry participants also were traded lower to prove that weakness in the sector fundamentals are only to blame for recent dizzy trend.
Banking went under a mild swing amid the old capital raising news. Analysts believes that it might be the actual catalyst to accelerate the sector’s profitability plans. Most of the trades were happened near support levels. With more than 15 mn shares traded, Mellat Bank placed the second, having the worst impact on TEDPIX. The trend was followed by Tejarat bank and the ticker closed at 1,054 IRR to stamp -18.23 point on the index.
Bandar Abbas oil refinery was the first to pull down on TSE. Although the trading volume was not high, however “Shebandar” had the worst impact on the index (-60.23 points). According to analysts, the lack of proper support from major shareholders is among reasons weaken the trades’ trend on a bear day like today. “Sehpna” on the other hand gained more than 2% and closed at 3,026 IRR to be the first with most positive impact.
It is safe to say the whole market saw below-average trading volume over the past 2 weeks and the reduced activity is bold. The trading week is going to be pretty quiet on the economic front, and only a handful of reports that cross the wires, might revive the investors’ sentiment.
DISCLAIMER: This report has been prepared and issued by Agah Brokerage Firm on the basis of publicly available information, internally developed data and other sources believed to be reliable. The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. Agah does not assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions. Any expressions of opinions are subject to change without notice.
To contact reporters: inter@agah.com
Market News
According to Monetary and Banking Research Institute (MBRI) public relations, Akbar Komijani, deputy of Central Bank of Iran (CBI), in his speech in the 26th annual conference, dubbed “monetary policies performance and plans for the FY2016/17,” said: “the monetary base over financial year 2015/16 witnessed 17.1% growth YOY and reached the amount 1,535.7 trillion rials, indicating 6.4 unit percent growth to that 2014/15.
Money multiplier stood at 6.624, showing 11% rise compared with that of 2014/15 and registering 0.5 unit percent rise with the prior year. This is to say that the major catalyst behind liquidity in the previous year was the spike in monetary base, noted Komijani.
Regarding the effective factors in the change in monetary base, this official also stressed that net foreign assets of CBI with 21.3% growth y/y and constituting 25.7 unit percent was the main driver behind money base increase in the earlier Fiscal Year.
The market rallied today on a flurry of good news. Based on unofficial statements of one the SEO’s directors (Security and Exchange Organization of Iran), an ETF will be established soon which its unit holders have an option to sell 30 percent higher than initial price within one year maturity. If the NAV improves more than 30%, the units can be sold at market price. That means the fund will guarantee at least 30 percent interest for a year which is higher than deposit interest rates of all the banks. It is also mentioned that all the legal market entities can offer and underwrite these kinds of funds and the first one will be offered by the Market Development Fund. However, no more details have been officially approved by the SEO until now.