Types of Orders Handled by the System:Odd Lot Orders:
They are introduced in amounts less than the lot unit of each share.
Market Orders:
If the counterparty cannot fully cover the order, the order is partially executed and the remaining part of the order is held by the system as a limit order with a price equal to the price of the last execution for this order.
Limit Orders:
They can be partially executed with the non executed part of the order queuing into the system for execution at the price limit.
The customer may set the period within which limit orders have to be executed:
Order Duration:
Good for today - Good until canceled - Valid until a specified date - Good till executed - Sstop orders.
Order Condition:
No Condition - Stop orders - Stop Limit - Fill or Kill - Immediate or Cancel
Repurchase Agreements:
Repurchase agreements of the same date are allowed by the A.S.E Board of Directors, only when one of the participating parties is a credit institution, insurance company, mutual fund or investment company and the total value of the transaction exceeds EURO 1 million.
After Hours Trading:
After hours trading is not allowed.
Trading Halts:
Trading halts are imposed on rare occasions (i.e. investors interests are harmed, electronic trading system break down, , threats for terrorist action e.t.c)) and on two levels i.e. market and system level. There should always follow an ad hoc ASE president's decision.
Circuit Breakers:
Circuit breakers are imposed on stocks in the form of daily share price limit. When their price fluctuation on a particular day crosses the limit of 18 %, in either direction. Price limits do not apply in the first three days of a company's listing.
Stock Lending and Borrowing:
The practice of stock lending and borrowing has been effected and relevant Law provisions have already been introduced.
Identification Code Numbers
Domestic Codes:
Athens Stock Exchange uses two identification code numbers.
The first number consists of a three or four letter code and is used for internal checking of the traded shares. When a company has both common and preferred shares listed on the Exchange their type is also marked by an additional letter in their code.
The second identification code number is used for clearing purposes and consists of five digits.
International Codes:
All shares listed on the Athens Stock Exchange bear International Standard Identification Numbers (ISIN) issued by the Central Clearing Depository, in order to facilitate international transactions.
Trading in Four Markets and Seven Methods
The system supports seven trading methods in the following four different markets:
1. Basic
2. Under supervision
3. Low liquidity
4. Forced Sales
Methods:
1. Automated and continuous trading
2. Automated and instantaneous trading (call auction)
3. Block trading
4. Transactions for the maintenance of dispersion during the entry of new shares.
5. Forced Sales
6. Block trading resulting from the articles 34 & 38 of the regulations of the Electronic Trading System (buy in method)
7. Transactions for the maintenance of dispersion of shares already listed on the ASE.
Block Trading:
Block trades are trades of a value greater than or equal to EURO 1 million or the shares offered and asked must represent a percentage more or equal of 5% of the share capital of the issuer.
Block trades can be effected outside the Automated Exchange Trade System, provided that there are no opposite bids or offers, within the system, in values equal to or greater than the value of the respective transaction.
A block of shares may be transferred with a 5% price difference in either direction from its current market value, when the total value of the block amounts to EURO 1.2-2.2 million. In trades over EURO 2.2 million, the price can be formulated with a 10% difference in either direction from their last transaction price or from their closing price.
Furthermore, block trades can be effected free of any price limit in the following special cases:
1. When the shares traded represent a percentage more than 30% of the total number of shares of a particular category (i.e. preferred, common e.t.c.)
2. In case of simultaneous transfer of shares of more than one category (i.e. preferred, common e.t.c.) between the same parties, provided the percentage of the total shares offered or asked, irrespective of the percentage per category of shares transferred, exceeds or equals to the 30% of the share capital of the issuer.
3. Block trades of listed enterprises shares, the majority of which owns the Hellenic state, and which value is greater than EURO 0.15 bn or block trades of shares of listed companies which total assets exceed EURO 1.5 bn.
4. Block trades, resulting to the sale of 10% of the total paid up share capital of a listed company, and having a total market capitalisation of at least EURO o.15 billion.
5. In case of transfers of share blocks in the context of IPOs or/and Private Placements as long as it is regulated by an ad hoc ASE Board of Directors decision.
Trading Fees:
0.015% on the transaction value.
Commissions:
Commissions were deregulated in 1995 and are now set freely by the trading parties.
Insider Trading:
Insider trading is strictly prohibited unless it is conducted by an authorised public organisation or similar institution, for the purpose of exercising monetary and foreign exchange policy or managing public debt.
Buybacks:
Listed companies are allowed to buy back up to 10% of their outstanding shares in order to support their price. The procedure must be disclosed to the public at least 10 days in advance and has to be decided by the General Assembly of the Shareholders of the respective company.
Shares acquired through the buyback procedure must be sold back to the market or be distributed to the existing shareholders within three years from their purchase date or else are cancelled.
Bonds Trading:
Bonds are being traded at prices free of any accrued interest. Their price is formed according to supply and demand, while accrued interest is added at the end.
Accrued interest on bonds linked to foreign currencies is expressed in their respective currency and is being calculated on the basis of the average fixing prices for the respective foreign currency during the last two days prior to the ex-coupon date.
There is a daily barrier - namely 2% - set on the fluctuation of bond prices. The price may exceed this barrier only if the transaction value exceeds 60 thousand EURO.
Electronic Trading:
Electronic trading became imperative due to the thin trading activity in the secondary market, that was the result of the «open outcry» system. The market was developed on the basis of Law 2533 which introduced provisions for the trading in the secondary market of fixed income securities.
On the practical side, the system evolves around the electronic trading system which is already in use in Spain, and which ensures continuous operation 24 hours/day throughout the year. It will handle fixed income securities both in physical and in dematerialised form.
Banks also have access to the trading activity.
