The Budapest Stock Exchange (BSE) and the Budapest Commodities Exchange (BCE) yesterday completed their proposed merger.
The last trading day on BCE will be 28 October 2005, with BSE opening its new commodities trading segment on 2 November 2005. All unclosed positions on BCE will be transferred automatically to BSE at no additional cost to investors.
Grain trading will use the open outcry method, as before, but foreign exchange and derivatives trading will be transferred to the BSE’s existing foreign exchange and derivatives section.
The merger aims to reduce costs and increase transparency and liquidity, especially in foreign exchange. The grain futures and options market will become accessible to foreign financial investors for the first time.
The Hungarian-Austrian consortium led by HVB Bank Hungary and the Vienna Stock Exchange, which holds 68% of BSE and 75% of BCE, has been instrumental in the merger.