Tourism Bank, one of Iran’s private banks, was listed on the Stock market in Iran on December 4, 2022.
Mohammadreza Fahmi, the CEO of Tourism Bank, attended the opening ceremony of the trading symbol of this bank. In his speech, he welcomed the listing of the Tourism Bank in the Stock market in Iran and considered this action a turning point in the bank’s history.
Fahmi also appreciated the support of small investors in the initial offering (IPO) of the Tourism Bank. In the IPO of “Vagardesh” shares, most of the transactions on the buying side of shares were done by small investors with 98% ownership.
With the opening of the trading symbol of Tourism Bank in the stock market, this bank will be traded with a fluctuation range of 5% from now on.
The opening of the trading symbol of the Tourism Bank in the stock market in Iran caused an increase in transparency and competition in the Iranian capital market. This can happen for several reasons:
Increased transparency: Listing the Tourism Bank’s trading symbol on the stock exchange makes the bank’s financial information available to the public. This increases transparency in the Iranian capital market.
Currently, Tourism Bank’s financial information is only available to its shareholders. By listing the trading symbol of this bank on the Stock market, its financial information will be made available to the public. This will allow investors to make more informed decisions about buying shares in this bank.
Increased competition: With the Tourism Bank’s entry into the second stock exchange market, competition will increase. This can lead to improved performance of banks in this market.
With the entry of Tourism Bank to the second market of the Stock market, the number of banks in this market will increase. This will lead to increased competition in this market.
Competition can lead to improved performance of banks. Banks need to perform better to attract investors. This can lead to increased profitability of banks.
The financial information that is made available to the public includes the following:
- Annual and interim financial statements
- Board of Directors and statutory auditor reports
- Independent auditor reports
In addition, competition can lead to reduced costs for banks. Banks need to optimize their processes to reduce their costs. This can lead to increased efficiency of banks.
In conclusion, the opening of the trading symbol of the Tourism Bank on the Stock market in Iran has positive implications for the Iranian capital market. This can lead to increased transparency and competition in this market.