The liquidity of trading in foreign equities registered on the BETa Market is ensured by official market makers who, in accordance with the market making agreement, undertake to keep a continuous supply of bid and ask quotes in the order book. Market making helps investors find bid and ask quotes in the foreign equities at all times, at adequate prices.
Trading hours and periods, trading rules, as well as order types and their expiry on the BETa Market are identical to those applied in BSE’s Equities Section. Capital gains attained on the BETa Market are subject to the same tax rates as those attained on BSE’s equity market. The clearing and settlement of the transactions executed on the BETa Market is done by KELER Ltd., and KELER CCP Ltd. guarantees the transactions.
In May 2012 BSE launched futures trading with foreign equities, thus enabling the leveraged trading with these equities. The new equity-based futures contracts were introduced to the Derivatives Section of BSE’s regulated market, and their underlying products are the equities traded on the BETa Market. Similarly to the BETa Market spot equities the currency of trading and settlement is conducted in HUF. The BETa Market equity based futures contracts are identical to the ones with underlyings traded on the BSE’s official market in terms of expiration months, delivery method (physical delivery), settlement (KELER Ltd.) and guarantee system (KELER KSZF Ltd.). The ticker of thefutures contracts with BETa equity underlying begins with “BTA”.
Rules of the BETa Market