By
Diego Al Safi
MA3N0204
INTRODUCTION
 A stock market or exchange is the center of a network of
transactions, where securities buyers meet sellers at a
certain price.
 The Copenhagen Stock Exchange or CSE is an
international marketplace for Danish securities,
including shares, bonds, treasury bills and notes, and
financial futures and options. CSE is one of
the OMX Exchanges, which was founded in 2003 and since
February 2008, is part of the NASDAQ OMX Group.
 The CSE main index, C20 Index lists 20 Danish blue chips.
OLD STOCK EXCHANGE
(Børsen)
 In Chinese is termed as 舊股票交易中心. One of the oldest
buildings in Copenhagen is the Old Stock Exchange which
was built by King Christian IV (1577-1648 - ruled Denmark
and Norway 1588-1648) in 1619-1640. The King was called
the great builder and architect of Copenhagen - and had
the ambitions to turn Copenhagen into a financial and
trade centre by creating this magnificent building that
housed the Danish stock-market until 1974.
 The Stock building was designed in
the Dutch Renaissance style with its
prominent spire of four dragons with
their tails twisting towards the top
and ending in a spear with three
crowns representing The Kalmar
Union between Denmark - Norway
and Sweden symbolizing the close
relationship among the three Nordic
countries.
CSE FACTS
 There are nearly 200 companies listed on the Copenhagen Stock
Exchange. The market value of listed companies at the beginning of
2004 amounted to more than €97 billion ($116.7 billion) and the market
value has increased since.
 The size of the Danish stock market has always been relatively small
compared to the Danish bond market. This should be viewed in light of
the large mortgage credit sector that also finance buildings acquired by
the Danish firms .
 The Copenhagen Stock Exchange estimates that shareholdings owned
by foreign investors exceed 25%. In 2005, the Danish initial public
offering market slowly started to emerge, and a number of new listings
are expected
 The market for private and public placements seems to be continuing
at the same level as in recent years. The securities market is still
dominated by public-to-private transactions. In recent years, private
equity funds have acquired and delisted a large number of companies
on the Copenhagen Stock Exchange (the latest example being the
tender offer on Foras Holding A/S and ISS A/S).
APPROACHING THE CSE
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Several dozen brokerages in the United States have been longterm members of the Danish stock market. These brokers have
presence on the stock market floor, allowing you to move your
investments quickly.
The Copenhagen Exchange allows you to establish a maximum
price for purchasing shares, a minimum share for selling shares
and a preordained time for transactions.
The rules of the Exchange require investors to provide stocks,
money or property to protect the bank from speculative
ventures like derivatives.
While the market in Copenhagen follows international trade
rules, foreign investors must follow specific banking and
commerce rules in Denmark.
The Nordic Exchange through OMX connects investors
through Copenhagen to markets in Scandinavian and Baltic
countries in an instant.
The KVX index in Copenhagen includes dozens of medical
technology, software and other high-tech ventures that have
demonstrated strong growth over the last few years.
OMXC20
 OMX Copenhagen 20 CAP is the Copenhagen Stock
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Exchange's leading share index.
The index consists of the 20 most actively traded shares on
the Copenhagen Stock Exchange.
The limited number of constituents guarantees that all the
underlying shares of the index have excellent liquidity,
which results in an index that is highly suitable as
underlying for derivatives products.
OMXC20CAP is a tradable index on which futures and
options are issued.
The composition of the OMXC20CAP index is revised twice
a year.
The OMXC20CAP is a market weighted price index.
OMXC Smallcap+
 The OMXC Smallcap+ index consists of companies
with a market value of less than €150 million. The
“plus”, which is included in the index name, implies
that the companies of this index have been making a
special effort in frequently conveying relevant
company information to the stock exchange.
 In June and December it is evaluated, whether the
companies still fulfill the requirements of being
included in the index.
 Like the OMXC20, this index is value weighted, giving
relatively more directional power to the largest stocks
REASONS FOR SUCCESS
In the every changing global market place, Denmark has managed to make its
name as a top investment destination across the world due to:
1. Complete transparency
The hallmark of good governance is the level of transparency in the day-to-day
dealings. Denmark has been consistently voted one of the least corrupt nations
across the globe by various agencies that monitor corruption. This atmosphere
ensures that companies can conduct their dealings, including those in Danish
shares, in a fair manner.
2. Access to a large consumer base
Any business needs a consumer base to thrive and expand. Since Denmark is a
part of the European Union, companies can sell their products in any country
within the European Union without any restriction. So in effect, companies
have access to the entire European consumer base.
3. Very flexible laws related to labor
Most companies across the world have a rigid system when it comes to labor laws.
However, Denmark employs a system that allows companies based in the
country to be flexible when recruiting or laying off employees. As a result,
companies have an environment where they can work round the clock and all
days of the year.
CONTINUED…
4. Extremely simple to start a company
Red tape and delay in getting permits are two of the most common complaints by
companies across the world. However, in Denmark, the average number of days
to have your business up and running is five working days. This short time
period is meant to encourage more and more businesses to set up shop in
Denmark.
5. Access to an educated workforce
Companies across the world face problem with recruiting because most countries
do not have a high number of educated workforce. In Denmark, this is one
issue, which is never faced. Denmark has a very high literacy rate. As a result,
companies have access to a workforce, which is dynamic and educated. This
helps companies work with the best minds thus leading to higher productivity.
Consequently, the Danish shares enjoy a steady growth rate too.
6. Excellent transport network
Another aspect that companies struggle with is the transport network. Most
countries do not possess a network, which is seamless and integrated.
Denmark on the other hand, has one of the top transport networks across the
world. Both air and road networks are extremely well-operated thus allowing
companies to move their goods faster.
7. Technology leaders and environmentally friendly practices
Denmark leads the globe when it comes to the penetration of technology in the
country. Nearly 80% of the population is tech savvy. Denmark also leads the
world in using alternate fuels like bio fuels instead of fossil fuels like
petroleum.
THANK YOU