ECSE DAILY NEWS REPORT
Welcome to the Eastern Caribbean Securities Exchange daily update for 31st2 September 2010 December 2008, providing the latest trading information and financial tips for the investor.
On the Eastern Caribbean Securities Market today, 75 East Caribbean Financial Holding Company shares traded at $13.89 up thirty-nine cents or 2.89% on its last market close.
On the On the today today 100,000 Bank of Nevis shares traded at $6.05 down five cents or 0.82% on its previous traded price, 506 St Kitts Nevis Anguilla National Bank shares traded at a low of $2.97 and at a high of $2.98 representing a 0.67% increase on its last market close and 20,000 TDC shares traded at $2.00 down twenty cents or 9.09% on it last traded pri
Also, The Nevis Island Administration’s 365-day, Treasury bill issue, auctioned on the Regional Government Securities Market using the primary market platform of the Eastern Caribbean Securities Exchange raised $13.324 million. A competitive uniform price auction methodology was used and the resulting discount rate was 6.75 per cent.
Also, The Government of St. Vincent & the Grenadines’ 91-day, $20 million Treasury bill issue, auctioned on the Regional Securities Market using the primary market platform of the Eastern Caribbean Securities Exchange was oversubscribed by $3.1 million. A competitive uniform price auction methodology was used and the resulting discount rate was 5.82 per cent.5,57050010,05Dominica Electricity ServicesSt Kitts Nevis Anguilla National Bank230095, 1,114 Cable and Wireless St. Kitts Nevis shares traded at $6.50 all unchanged from their previous traded prices both unchanged from their previous market close,, and12,804 Dominica Electricity Services shares traded at $3.00 up twenty-five cents or 9.09%, and 2001,409 5049updown, 360,000 units of the Government of St. Vincent & the Grenadines 91-day Treasury bill VCB010509 traded at 5.82%.Ther
were no trades on the Eastern Caribbean Securities Market today14620,321 St. Kitts Nevis Anguilla National Bank shares traded at 2.98, unchanged from its previous market close..
East Caribbean Financial Holding Company shares traded at $12.50, unchanged from its previous market close20 04East Caribbean Financial HoldingTDC Company150which is and 67,960 TDC shares traded at $2.00, both uuits’theirs15S L Horsford & CompanyTDC Limited down five cents or 2.44% on its last traded price, and 10,000 St. Kitts Nevis Anguilla National Bank shares traded at $2.75,down twenty three cents or 7.72%unchanged from its previous traded price. on its last market close..
OThere were no trades oOn the Eastern Caribbean Securities Market today, 800 shares of East Caribbean Financial Holding Company traded at $12.50, down thirteen cents or 1.03% on it last traded price and 3,631 TDC shares traded at $2.05 unchanged from its previous market close, 120 Cable & Wireless St Kitts & Nevis shares traded at $6.75, up twenty-five cents or 3.85%, 255 St Kitts Nevis Anguilla National Bank shares traded at $2.99 and 2,228 Trinidad Cement Limited shares traded at $3.55 both unchanged from their previous traded prices
Also, The Government of St Vincent and the Grenadine’s 91-day, EC$20 million Treasury bill issue, auctioned on the Regional Government Securities Market using the primary market platform of the Eastern Caribbean Securities Exchange was over-subscribed. A competitive uniform price auction methodology was used and the resulting discount rate was 5.82 per cent
Also, on the Regional Government Securities Market the Government of St Vincent and the Grenadines auctioned a 91-day $20 million Treasury bill issue that was oversubscribed by $235,000. A competitive uniform price auction methodology was used and the resulting discount rate was 5.82 per cent.
Here are the latest closing prices for the equities listed on the ECSE:
Bank of Nevis……..$6.005
Cable & Wireless St Kitts & Nevis Limited……..$5.9700
Dominica Electricity Services.…….$2.50
East Caribbean Financial Holding Company……..$15.005013.89
FirstCaribbean International Bank ……..$5.5049
Grenada Electricity Services Limited……..$10.97
Grenreal Property Corporation Limited……..$5.40
Republic Bank (Grenada) Limited……..$57.00
St Kitts Nevis Anguilla National Bank……..$2.48
St Lucia Electricity Services……..$25.00
S. L. Horsford & Company……..$1.80
Trinidad Cement Limited ……..$3.40
TDC……..$2.00
And today's financial tip:
Who is an arbitrageur?
An arbitrageur is a person or firm engaged in arbitrage. Arbitrageurs profit from the differences in price when the same security, currency or commodity is traded on two or more markets.
Why do organizations issue debt?
In order to obtain money for expansion and the development of goods and services organizations may raise money using a range of financial instruments for short, medium and long-term periods. When an organisation issues debt its repayment conditions are usually more manageable than the repayment conditions offered by banksHow is the market price of a company’s shares determined?
The market price of a company’s shares is determined based on the amount of money a willing buyer pays to obtain the shares from the seller. For example, the market price for TDC shares is $12.00 per share, this means that the last buyer of TDC shares paid $12.00 per share in order to acquire the shares.
What are government securities?
Government securities are financial instruments including treasury bills, notes and bonds that are issued by a government and sold to the public to pay off maturing debt and raise capital needed to finance government expenditure. Backed by the full faith and credit of the issuing government, these instruments are usually considered safe investments. Information is also available at the ECSE or on the ECSE website at
What is meant by Sovereign Debt?
The term sovereign debt is often used to refer to government securities like bonds and treasury bills, but it also refers to government debt of any kind, such as loans from a commercial bank.
What is meant by private placement?
Private placement is the sale of a security (debt or equity) directly to a limited number of investors. For example, an issuer may sell units of a bond to institutional investors without the public's knowledge.
Who is considered a registered representative by the ECSE?
A registered representative is an individual who is licensed by the Eastern Caribbean Securities Regulatory Commission (ECSRC) to solicit and deal in the buying and selling of securities in the member territories of the Eastern Caribbean Securities Market. Those member territories are Anguilla, Antigua & Barbuda, Dominica, Grenada, Montserrat, St Kitts & Nevis, St Lucia, and St Vincent & the Grenadines.
What is a currency zone?
A currency zone is a country or region in which a specific currency is the dominant medium of exchange. The eight OECS territories that use the EC Dollar comprise a currency zone. Another example of a currency zone is the group of European countries that use the Euro as their official currency.
What is meant by the term listed security?
A listed security is a financial instrument that is traded on an exchange. In our region it means that the security may be bought or sold via the Eastern Caribbean Securities Exchange. The ECSE currently has 14 equities listed for trading, two (2) corporate bonds, and several government bonds and treasury bills.
Investing is for rich people isn’t it?
No. We often assume that the term investing means buying shares and bonds for thousands of dollars, but there are many forms of investing that can be as simple as opening a savings account with your credit union or buying a vehicle that has a good re-sale value. Investing is simply using your money to create more money.
What is meant by outstanding shares?
Outstanding shares are shares currently held by investors, including restricted shares owned by the company’s officers and insiders as well as those held by the public. Shares that have been repurchased by the company are not considered outstanding shares.
Do all brokers on the ECSE charge the same fees to investors?
Brokers fees may vary slightly, but they all adhere to the maximum fees set in the Securities Regulations that are issued by the Eastern Caribbean Securities Regulatory Commission. For up to date information on the fee limits set by the Commission, visit their website at
What are preferred shares?
Preferred shares represent partial ownership in a company, but unlike ordinary shares they do not give the holder voting rights. The advantage of holding preferred shares is that they generally receive a fixed dividend and the investor is entitled to be paid before ordinary shareholders.
What is meant by the term listed security?
A listed security is a financial instrument that is traded on an exchange. In our region it means that the security may be bought or sold via the Eastern Caribbean Securities Exchange. The ECSE currently has 8 equities listed for trading as well as several bond and treasury bill issues.
What are government securities?
Government securities are financial instruments including treasury bills, notes and bonds that are issued by a government and sold to the public to pay off maturing debt and raise capital needed to finance government expenditure. Backed by the full faith and credit of the issuing government, these instruments are usually considered safe investments. Information is also available at the ECSE or on the ECSE website at .What is the difference between issued shares and authorized shares?
Issued shares are the total shares held by shareholders, while authorized shares, also called authorized stock, is the maximum number of shares that a company can issue. Generally a much greater number of shares are authorized than required, to give the company flexibility to issue more stock as needed.
Join us next time for the Eastern Caribbean Securities Exchange trading report.
ECSE DAILYBIG WAVE NEWS REPORT
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Today Oo today6015,605Cable & Wireless St Kitts & Nevis Limited traded at $6.50, 150shares ofNational BankTrading & Development Company Ltdshares 2.991.90both unchanged holding firm theirits lastprevious market close. traded prices and 100 East Caribbean Financial Holding Company traded at $12.75 down twenty-five cents or 1.92% on its last market clo
Also, The Government of St Lucia’s $11 million 91-day Treasury bill, auctioned on the Regional Government Securities Market using the primary market platform of the Eastern Caribbean Securities Exchange was over-subscribed by $15,000. A competitive priced auction methodology was used at an interest rate of 6.00 per cent.
510,0Dominicunits of Grenada Electricity Services 10-year bond GES191217 traded at 7.00%a Electricity Services shares traded at $3.00 and 200 East Caribbean Financial Holding Company shares traded at $14.50 both holding firm on their previous traded pricesOn the Eastern Caribbean Securities Market today, 150 Bank of Nevis shares traded at $6.00 down one cent or 0.17% since its last traded price, 20,000 Cable & Wireless St Kitts & Nevis shares traded at $6.00 down fifty cents or 7.69% since its last traded price, 500 St Kitts Nevis Anguilla National Bank shares traded at $2.99 down one cent or 0.33% since its last traded price, 50 Grenada Electricity Services Limited shares traded at $11.00, 500 Grenreal Property Corporation Limited shares traded at $4.70, and 1,000 TDC shares traded at $2.00 all unchanged from their previous traded prices.Today on the Eastern Caribbean Securities Market270 shares of East Caribbean Financial Holding Company traded at $14.75, up twenty-five cents or 1.72 per cent on its previous market close. , 200 shares of Cable & Wireless St Kitts & Nevis traded at $6.45, 251 shares of Grenada Electricity Services traded at $11.00, and 280 shares of Grenreal Property Corporation traded at $5.40, all unchanged on their previous market close, while 1,000 shares of GraceKennedy traded at $4.25, up fifteen cents or 3.66 per cent on its previous market close.
Also, The Government of Antigua and Barbuda’s 91-day, $17 million Treasury bill issue, auctioned on the Regional Government Securities Market using the primary market platform of the Eastern Caribbean Securities Exchange raised $9.048 million. A competitive uniform price auction methodology was used and the resulting discount rate was 6.50 per cent.4003,234TDC of Bank of Nevis 10.256.00down $2.75 or 21.15% sinceholding firm onlast traded priceprevious market close500O, 100 St Kitts Nevis Anguilla National Bank shares traded at $3.28, down one cent of 0.3% on its last market close and 504,000 units of the Government of Antigua and Barbuda’s US Dollar bond FAG070713 traded at 8%, 1,700 Bank of Nevis shares traded at $5.25 down twenty cents or –3.67% and 1,485 St Kitts Nevis Anguilla National Bank shares traded at $3.29 holding firm on its last traded price, while on the Regional Government Securities Market the government of St Lucia auction of EC$27M was oversubscribed by EC$11.8M. odayhere were no trades todayAlso, on the Regional Government Securities Market, the Government of St Vincent and the Grenadines’ 91-day EC$16 million treasury bill issue was oversubscribed. A total of 20 bids were entered by five brokerage firms ranging from $20,000 to $9,500,00 with an aggregate value of $25,575,000. A competitive uniform price auction methodology was used and the resulting discount rate was 5.75%.
3760East Caribbean Financial Holding CompanyBank of Nevis105up twenty five cents or 1.69%unchanged from its previous market close, 88,121 S L Horsford & Company shares traded at $1.50, up twenty-five cents or 20% on its previous market close and 400,000 units of the Government of St Lucia’s 5-year treasury note LCN141010 traded at 5.50%,.101,000 units of the Government of Antigua and Barbuda’s 7-year US dollar bond, FAG070713 traded a207800Trinidad Cement LimitedEast Caribbean Financial Holding Company3.5515.00unchanged sincedown $3.75 or 20% ontradedmarketpriceclose8,500100S L Horsford & CompanySt Kitts Nevis Anguilla National Bank1.503.30down fifteen cents or 9.09% sinceholding firm onlastpreviousmarketclosingcloseprice
0500454018.7515.00557002504.705.40579820
What is a bond?
A bond is an agreement by the issuer to repay to the investor the amount borrowed plus interest, over a specified period of time. If you issue a bond then you are borrowing money. If you invest in a bond then you are lending money.What is meant by the rate of inflation?
A general increase in the price of goods and services in an economy is called inflation and the rate at which prices increase is the rate of inflation. This is measured on an annual basis by the Consumer Price Index and it gives one an idea of how much more things cost today compared to some previous year.What’s the difference between equity and debt financing?
Equity and debt financing are both methods by which a business can raise funds. Debt financing is obtained by taking a commercial loan or selling bonds, bills or notes to investors, while equity financing is obtained by issuing shares. In the first case the business will have to repay its creditors while in the latter case the shareholders are part-owners of the company and their return is dependent on the company’s future performance.What is Corporate Governance?
Corporate Governance is the system by which business corporations are directed and controlled. The corporate governance structure specifies the distribution of rights and responsibilities among different participants in the corporation, such as, the board, managers, shareholders, etc, and spells out the rules and procedures for making decisions on corporate affairs.
What is a risk free interest rate?
Risk free interest rate is the interest rate that it is assumed can be obtained by investing in financial instruments with no risk, for example, in general short dated government bonds.Who is a shareholder?
A shareholder is a person, institution or Government who owns shares in a corporation. The ownership of these shares give the shareholder the right to vote on company matters such as choosing the board of directors, and determining the company’s dividends.Who buys shares?
Traditionally, shares were bought by individuals for long-term investment and savings. Both individuals and institutions offer their money for the purchase of shares in the hope of receiving dividends as a form of income. Also, as an organisation grows its shares may appreciate in value.
Plan to own more than just a home. Invest in a variety of assets such as treasury bills, mutual funds, stocks, bonds and real estate. The old saying “do not put all your eggs in one basket” still rings true today. It pays to diversify your investments. Gains in one investment can offset losses in others.Consider a part-time or weekend job to catch up on your bills While an extra job may be too much to handle for a long period of time, you may wish to take an extra job temporarily until you pay off a few of your bills.
Build a nest egg for yourself. It’s not about having a lot of money; it’s about using what you have to create financial protection and independence.
Is the book value per share an indicator of economic worth?
Book value per share is the ratio of stockholder equity to the average number of common shares. Book value per share is not always a useful indicator of economic worth, since it reflects accounting valuation and not necessarily market valuation.What is a commission and is a commission payable on every trade?
A commission is a fee paid to a broker for executing a trade and is based on either the number of securities traded or the dollar value of the trade that is done on full settlement. A maximum of 5% commission is chargeable for trades on the ECSM and the RGSM and is based on the dollar value of the trades.Who is a bear investor?
An investor who believes that a particular stock or the overall stock market will decline is termed a bear. A bear investor usually operates in a market in which prices are in a declining trend for a prolonged period, usually falling by 20% or more.
What is meant by stop loss?
In the securities market it is a customer’s order to a broker that sets the sell price of a stock below the current market price. A stop-loss order therefore will protect profits that have already been made or prevent further losses if the stock drops.What is capital gain?
Capital gain is the amount by which the selling price of an asset exceeds its purchase price. The profit received when an investment is sold is called realized capital gain, while unrealized capital gain is the potential profit to be made if the investment is sold. However, the term capital gain is often used to refer to realized capital gain.What is an unlisted security?
It is a security that is not listed on an organized exchange and not available for trading. Currently the ECSE has 54 listed securities available for trading, of which 14 are equity and 40 are debt instruments.
Why do companies hold annual general meetings?
Annual general meetings, commonly referred to as AGMs, are held once a year to ensure that shareholders have an opportunity to exercise their ownership rights. At a typical AGM the board of director’s report on the company’s performance over the prior year, shareholders vote on the appointment of directors and auditors, and also vote on the distribution of dividends recommended by the company’s management.