Market structure


The market structure of the Baltic stock exchanges comprises two markets

  • Equities market 
  • Fixed income market

 Equities can be traded on the following market segments:

  • Equities
    Shares and depositary receipts representing shares
  • Subscription rights
    Subscription rights are the securities that grant the right to acquire shares by way of subscription or exchange.
  • Initial Public Offering (IPO) (in NASDAQ OMX Riga and NASDAQ OMX Vilnius)
    Offering of the shares of a new issue, issued when increasing the issuer’s authorized (share) capital from complementary contributions
  • Public share sale (only in NASDAQ OMX Vilnius)
    for the execution of privatization of shares held by the state (municipality) by the right of ownership by way of a public share sale and may be also used for selling blocks of shares where a block of shares offered complies with the concept of a block of shares defined under this section.
  • Tender offers (in NASDAQ OMX Riga and NASDAQ OMX Vilnius)
    execution of tender offers registered with the local Financial Supervisory Authority.
  • Fund Units

Fixed income securities can be traded on the following markets:

  • Market where orders are automatically matched (yield should be specified in the order)
  • Market where orders are not automatically matched (price as per cents from the nominal including accrued interest should be specified in the order)
  • New issue market where initial issuing auctions of fixed income instruments are held (in NASDAQ OMX Riga and NASDAQ OMX Vilnius)

Securities on Baltic market are traded on two trading systems:

  • INET Nordic - the electronic Trading System for trading in Instruments in Equities Market.
  • Genium INET - the electronic Trading System for trading in Instruments in the Fixed-Income Market as well as for execution of the Special procedures.

 

List structure


The Baltic stock exchanges have a common presentation of all listed Baltic companies on a common list, the companies in which are grouped in the lists below. In legal terms, the companies are listed on home market, i.e. the exchange in Tallinn, Riga or Vilnius and supervised by the local financial supervisory authority.

Structure of lists of securities traded in the NASDAQ OMX Tallinn, Riga and Vilnius exchanges:

  • Baltic Main List
  • Baltic Secondary List
  • Baltic Funds List 
  • Baltic Bond List


Baltic Main List
The Baltic Main List is a line-up of all blue-chip companies listed on the Tallinn, Riga and Vilnius stock exchanges. To be eligible for inclusion, a company must have 3 years of operating history, an established financial position, market cap of not less than EUR 4 million, with reporting according to the International Financial Reporting Standards, and a free float of 25% or worth at least EUR 10 million.

Baltic Secondary List
The Baltic Secondary List comprises companies that do not meet quantitative admission requirements (free float, capitalization). The admission requirements are not as strict compared with those of the Baltic Main List.

Baltic Funds List
The Baltic Funds List contains the investment fund units or shares of collective investment subjects that are listed and traded on the Baltic exchanges in a similar manner as equities.

Baltic Bond List
Baltic fixed-income instruments are presented in a joint Baltic Bond List. The fixed-income instruments include Latvian and Lithuanian government bonds, corporate and mortgage bonds of different maturities. Listing of and trading in fixed-income instruments in possible in both national (EEK, LVL, LTL) and non-national currencies (USD and EUR). NASDAQ OMX Riga has a developed infrastructure for primary placement of new bond issues, which is used by both the Latvian Government and corporate issuers.