Stockholm Stock Exchange (STO) .ST
What Is the Stockholm Stock Exchange (STO) .ST
The Stockholm Stock Exchange (STO) fills in as a trading exchange for the Swedish securities market. Sweden's 30 most-traded stocks make up the Stockholm Stock Exchange's primary benchmark index, the market-esteem weighted OMX Stockholm 30.
Understanding the Stockholm Stock Exchange (STO) .ST
The Stockholm Stock Exchange (STO) started in 1863 in Stockholm, Sweden, under the name Stockholm Securities Exchange. In 1990, the exchange adopted automated trading, and, in 1993, it turned into a limited liability company.
In 1994, the Stockholm Stock Exchange turned into the main European exchange to permit trading by remote individuals. The exchange merged with the OM Group, otherwise called OMX, in 1998, that very year it entered the NOREX Alliance with the Copenhagen stock exchange. NOREX in the long run developed to remember stock exchanges for Oslo, Iceland, and regional markets looked to make the most of greater international investment opportunities by utilizing a common trading platform and regulatory structure.
The OMX Nordic Exchange sent off in 2006, laid out a common trading profile for listed Nordic companies. Nasdaq therefore acquired OMX in 2007.
The Stockholm Stock Exchange's primary benchmark index, the market-esteem weighted OMX Stockholm 30, incorporates Sweden's 30 most-traded stocks.
Nasdaq's International Expansion
When Nasdaq agreed to purchase OMX ABO in May 2007, the group had expanded to incorporate the Stockholm Stock Exchange and exchanges in Helsinki, Copenhagen, and Iceland. With the merger, Nasdaq acquired international presence all through the Nordic and Baltic districts and with an integrated trading and clearing system for equities and derivatives utilized broadly across the areas.
Nasdaq's previous endeavor at international expansion had involved its purchase of the European Association of Securities Dealers Automatic Quotation System (EASDAQ) in 2001, which collapsed after the dotcom collapse. The merger with OMX in 2007 followed a failed bid for the London Stock Exchange, making it Nasdaq's initial fruitful introduction to international exchanges. The group has kept on growing since and presently serves capital markets worldwide.
International Investing
Notwithstanding the developing availability of trading opportunities on foreign exchanges, numerous domestic investors find cross-border tax issues and capital controls more convoluted and costly than their craving for international diversification warrants. Devices like American Depositary Receipts (ADRs) and domestic funds that trade in shares of international stocks might give a more helpful method of investing in international equities.
ADRs permit investors to purchase blocks of shares of foreign stocks held and issued by U.S.- based banks. ADRs basically act like a domestic vehicle for foreign equities. Traders can buy and sell them in U.S. dollars, receive dividend payments, and generally receive tax treatment equivalent to shares of domestic stocks.
Mutual funds and exchange traded funds (ETFs) offer comparable flexibility and ostensibly greater commonality since most investors have more experience with these products than ADRs. Investors need just search out mutual funds or ETFs expected to give international exposure and purchase their shares. Such funds generally center around countries or areas with extra options accessible for emerging markets or developed markets outside the United States and Canada.
Features
- In 1994, the Stockholm Stock Exchange turned into the main European exchange to permit trading by remote individuals.
- The Stockholm Stock Exchange (STO) started in 1863 in Stockholm, Sweden, under the name Stockholm Securities Exchange.
- The Stockholm Stock Exchange (STO) is a trading exchange for the Swedish securities market.
- Sweden's 30 most-traded stocks make up the Stockholm Stock Exchange's primary benchmark index, the market-esteem weighted OMX Stockholm 30.
