BMV - The Mexican Stock Exchange

abril 9, 2023S&P bmv,ftse biva,mexican stock exchange,Brokers,Economia,Indices / Indexbmv,bolsa mexicana de valores,S&P

BMV (Bolsa Mexicana de Valores) stands for Mexican Stock Exchange and is the financial organization responsible for establishing mechanisms and instruments for the trading of securities in Mexico.

Just like in other stock markets, through the Mexican Stock Exchange (BMV), companies can go public by listing their stocks, and the stocks are bought and sold through an auction mechanism between the supply of available securities and the demand for them.

How many companies operate in the Mexican Stock Exchange (BMV)?

The Mexican stock market is very small compared to the size of its economy. There are only 139 companies that have shares listed on the stock exchange.

BMV market capitalization

The entire Mexican Stock Exchange, made up of 139 companies, has a value of $517.124 billion dollars, which naturally fluctuates due to being listed on the stock market. Its main index, the S&P/BMV IPC, alone has a market value of $410.451 billion dollars.

BMV main index

S&P/BMV IPC

This is the main index of the Mexican Stock Exchange, consisting of the 35 most important companies by market capitalization (similar to the IBEX 35 in the case of Spain).
The S&P/BMV IPC was launched on October 30th, 1978, as part of a Mexican market revolution, and since then it has been the icon of this stock market. The index is designed to provide a representative measure of the Mexican stock market.

You can check the index's price on the website S&P Dow Jones index

S&P/BMV IPC 10-year evolution

BMV other benchmark index:

FTSE BIVA

It includes 57 medium and large Mexican companies dedicated to telecommunications, transportation, mining, banking, retail, and other segments.
The inclusion of small and medium-sized companies in the FTSE-BIVA makes it an attractive option for investors seeking investment opportunities in growing companies with a good performance in the stock market. On the other hand, the companies already consolidated in the index provide stability and balance to investment portfolios.

You can check the index's price FTSE BIVA

More about FTSE BIVA

Banamex

You can check the index's price Banamex

BMV other main index

• S&P/BMV Materials Sector Index

• S&P/BMV Industrials Sector Index

• S&P/BMV Consumer Discretionary Sector Index

• S&P/BMV Consumer Staples Sector Index

• S&P/BMV Health Care Sector Index

• S&P/BMV Financial Sector Index

• S&P/BMV Telecomunication Services Sector Index

BMV regulatory bodies

The Mexico Stock Exchange is supervised by the National Banking and Securities Commission (Comisión Nacional Bancaria y de Valores or CNBV) (formerly the National Council on Securities). In 1975, the BMV became the only stock exchange in Mexico as a result of a merger between the Monterrey, Guadalajara and Mexico City stock exchanges

The BMV is the second largest stock exchange in Latin America and has a total market capitalization in excess of US$500 billion.

BMV main duties

Establish the premises, facilities, and mechanisms necessary to facilitate transactions between the supply and demand of securities, credit instruments, and other documents registered in the National Securities Registry (RNV).
Provide and maintain detailed information about the securities listed on the Mexican Stock Exchange and listed on its International Quotation System, as well as about the issuers and transactions carried out on it, available to the public.
The Mexican Stock Exchange must also take measures to ensure that the operations carried out by brokerage firms comply with the applicable provisions.

Likewise, it must issue regulations that promote fair and equitable practices in the securities market, establish operational and behavioral standards and schemes, monitor compliance, and apply disciplinary and corrective measures in case of non-compliance, mandatory for brokerage firms and issuers with securities listed on the Mexican Stock Exchange.

Initial public offerings in Mexico can be classified as follows:

• Primary: When the proceeds from the sale of shares offered go directly to the issuer.
• Secondary: When the proceeds from the sale of shares go directly to the issuer's selling shareholders.
• Mixed: When the proceeds from the sale of shares offered are divided between the issuer and the issuer's selling shareholders.

BMV a little bit of history:

The beginning of the stock market life took place on the streets of Plateros and Cadena, in the center of Mexico City, where meetings were held where brokers and businessmen made purchases and sales of all kinds of goods and securities in the public space. Later, exclusive groups of shareholders and issuers were formed, who met to negotiate behind closed doors, at different points in the city.

1894

In 1894, Manuel Algara, Camilo Arriaga, and Manuel Nicolín promoted, among the most distinguished brokers of the time, the idea that securities trading should have a regulatory and institutional framework.

October 31, 1894.

On October 31, 1894, the National Stock Exchange was founded, with its headquarters located at Plateros No. 9 street (now Madero street).

June 14, 1895 - birth of the Mexican Stock Exchange

Another group of brokers, led by Francisco A. Llerena and Luis G. Necoechea, formed a society under the name of Bolsa de México, registering the public deed on June 14, 1895.

More information abut Bolsa Mexicana de Valores

Access to official page BMV

BMV annual review

You can access to the Bolsa Mexicana de Valores annual reviews through this link

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