- published: 10 Feb 2015
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Bucharest (Romanian: București pronounced [bukuˈreʃtʲ] ( listen)) is the capital municipality, cultural, industrial, and financial centre of Romania. It is the largest city in Romania, located in the southeast of the country, at 44°25′57″N 26°06′14″E / 44.4325°N 26.10389°E / 44.4325; 26.10389Coordinates: 44°25′57″N 26°06′14″E / 44.4325°N 26.10389°E / 44.4325; 26.10389, and lies on the banks of the Dâmbovița River.
Bucharest was first mentioned in documents as early as 1459. Since then it has gone through a variety of changes, becoming the state capital of Romania in 1862 and steadily consolidating its position as the centre of the Romanian mass media, culture and arts. Its eclectic architecture is a mix of historical (neo-classical), interbellum (Bauhaus and Art Deco), Communist-era and modern. In the period between the two World Wars, the city's elegant architecture and the sophistication of its elite earned Bucharest the nickname of "Little Paris" (Micul Paris). Although many buildings and districts in the historic centre were damaged or destroyed by war, earthquakes, and Nicolae Ceaușescu's program of systematization, many survived. In recent years, the city has been experiencing an economic and cultural boom..
A stock exchange is a form of exchange which provides services for stock brokers and traders to trade stocks, bonds, and other securities. Stock exchanges also provide facilities for issue and redemption of securities and other financial instruments, and capital events including the payment of income and dividends. Securities traded on a stock exchange include shares issued by companies, unit trusts, derivatives, pooled investment products and bonds.
To be able to trade a security on a certain stock exchange, it must be listed there. Usually, there is a central location at least for record keeping, but trade is increasingly less linked to such a physical place, as modern markets are electronic networks, which gives them advantages of increased speed and reduced cost of transactions. Trade on an exchange is by members only.
The initial offering of stocks and bonds to investors is by definition done in the primary market and subsequent trading is done in the secondary market. A stock exchange is often the most important component of a stock market. Supply and demand in stock markets are driven by various factors that, as in all free markets, affect the price of stocks (see stock valuation).
The Bucharest Stock Exchange (Romanian: Bursa de Valori Bucureşti) is a stock exchange in Bucharest, capital of Romania. On December 1, 2005, Bucharest's electronic over-the-counter stock market, Rasdaq, was merged with the Bucharest Stock Exchange.
The total capitalisation of the Bucharest Stock Exchange is around €11 billion (2011), making it a medium CEE stock exchange.
The exchange has pre-market sessions from 09:30am to 10:00am and normal trading sessions from 10:00am to 4:45pm on all days of the week except Saturdays, Sundays and holidays declared by the Exchange in advance.
The Bucharest Exchange opened on 1 December 1882 in the building of the Chamber of Commerce in Bucharest. It was regulated by the "Law on exchanges, securities and commodities brokers" ("Legea asupra Burselor, Mijlocitorilor de Schimb şi Mijlocitorilor de Mărfuri") passed one year earlier. There were 21 securities quoted (6 stocks and 15 commercial paper issues) and it was also used for trading commodities. In 1904 a new "Law on commercial exchanges" ("Legea asupra burselor de comerţ") was passed. Among other things, the new law separated securities trading from commodities trading and introduced a Clearing house, which improved investor confidence. The number of quoted securities also increased to 43 (21 stocks and 22 commercial papers).