Stock Exchange lost half of Romanian buyers this year

The monthly number of Romanian buyers on the Bucharest Stock Exchange (BVB) decreased to some 5,500 in August, less than half compared to the number registered at the beginning of 2008.

The evolution of Romanian buyers on BVB was connected to banking market interests in the past years, but brokers say the main reason for this decrease that many investors are on standby, due to the market swift decline recently. The interests of bank deposits interests exceed 11 percent per year. 

"Many investors who bought last year have high average prices, so they would rather wait rather than mark losses," said the General Manager of BT Securities brokerage company, Rares Nilas.

Romanian investors were net sellers on the stock market last month, with their acquisitions down to €74.2 million, some €43 million less compared to July. Sales amounted to €77.8 million lower compared to the previous months. 

Meanwhile, foreign investors were net buyers in August, for the second month in a row, with a €3.2 million balance, close to July levels. 

The shares of top listed companies declined last month by an average 9 percent. In July, the stock market underwent the largest decline in 2008, caused by local investors, according to brokers.

Business Standard