By Mahdi Goodarzi & Omid Q. Rose:
After enactment of two very important laws in Iran including Stock Exchange Act, 2005 and the Law for Development of New Financial Instruments and Institutions, 2009, Iranian legislator has taken an important step in development of Iran’s capital market and coordination of this market with pioneer financial markets.
History
Therefore, Iran’s capital market entered a new phase in which the legal context was provided for activity of new financial instruments after enactment of the two mentioned laws. One of the instruments which had been commissioned even before enactment of the Law for Development of New Financial Instruments and Institutions in Iran’s capital market was mutual funds so that the first mutual fund started working in July 2007 and stock funds started working in early 2008 besides fixed income funds. The first exchange traded fund (ETF) was commissioned in September 2013.