* The BET-FI index rises 10.06%
* Farmache: "The holding limit is not the only factor that influences liquidity"
A burning wish of investors - the raising of the maximum holding limit in the SIFs - was fulfilled yesterday, after a wait of approximately two years.
Yesterday morning, the deputies discussed the project to raise the holding limit in the SIFs from 1% to 5%, which caused the Bucharest Stock Exchange to suspend trading in the shares of the SIFs in the beginning of the session. A little before 11 o'clock, the Chamber of Deputies began the vote, and the draft bill was passed with 170 votes in favor and 63 against.
The shares of the five financial investment companies resumed trading (ed. note: at 11:35), and their prices quickly rose by up to 15%, and the BSE raised the upper fluctuation limit to 25%. By the end of the session, the rises began to wane; the BET-FI index which tracks the evolution of the SIFs and of the Proprietatea Fund ended the day at 19,943 points, up 10.06% over Wednesday's price.
Several investors claimed that the raising of the holding limit in the SIFs represents one of the solutions for the development of the stock market.
* Dan Paul: The Board of the Exchange did not support the project to raise the holding limit in the SIFs
Dan Paul, the president of the "Association of Brokers", considers that an important benefit of this draft bill is the increase of liquidity in the market. "By raising the holding limit, the market will grow, and institutional investors will be able to buy bigger blocks of shares".
On the other hand, Stere Farmache, the president of the Bucharest Stock Exchange said that the raising of the holding limit in the SIFs will not have a major impact on liquidity in the market. "The holding limit is not the only factor that influences liquidity", he emphasized.
The pr
