BYMA adds two new Market Makers programs in Term Share Lots and CEDEARs

BYMA introduces two new programs to support the local stock market and CEDEARs. In this way, BYMA reinforces its active presence in the global context of the capital market attracting important benefits for the local economy.Market Makers are agents in charge of providing liquidity in the financial instruments on which it operates. They make purchase and sale offers on certain instruments with a maximum price differential allowed, generating a more efficient price formulation and reducing entry and exit costs.On the other hand, the Term by Lots is an operation of purchase and sale of shares, CEDEARs or public securities whose settlement, instead of occurring in the spot, is in a longer term. Trading is done in lots of 10 VN for CEDEARs, 100 VN for stocks and 1,000 VN for fixed income and at the time of settlement at the end of the month, the traded instrument is delivered. In order to operate a Term by Lots it is only necessary to leave an initial guarantee and the same must be replenished only when there is an unfavorable variation in the traded asset, according to the criteria established by BYMA. For this reason, we say that Term by Lots allows to obtain leverage, or leverage. The Term by Lots trading allows the interaction of investors seeking hedging, as well as investors who, speculating on the rise or fall of prices, seek to ensure a profit. This trading allows to combine the expectations of both participants and to enhance arbitrage with the spot and options markets. As of today, the two Market Makers together will be participating in the Term by Lots of more than 70 instruments. With these new programs, BYMA expands its offer of possible strategies by having a spot market, options market and, now also Term by Lots on the same tradable securities. About Market MakersA Market Maker or also known as market makers, are agents in charge of providing liquidity to the species with the objective of improving price formation, decreasing costs and increasing the traded volume. The Market Maker becomes the client's counterpart in the transaction, promoting a greater fluidity, until he/she finds another buyer/seller for it. About Term Batch TradingIt is a term trading modality, with similar conditions to the normal spot trading. With this transaction, investors may lock in a certain price for the purchase or sale of equities or fixed income securities at a fixed maturity date (last trading day of the month). There is no daily profit and loss settlement.More information about the Lot Term