The Belex15 Index rose last week for the first time in 2012

For the very first time this year the market capitalisation of the 15 most liquid stocks listed on the Belgrade Stock Exchange rose at a weekly level amid trading value worth RSD 628.7m, almost two-and-a-half times greater than prior week.

The Belex15 Index, widely considered the market benchmark, rose by 0.79% and ended the session at 479.30.

The most traded issue in the market was the stock in Nis-based AIK Banka. Trading value amounted to RSD 292.5m and the largest part of the trade took place on Monday and Tuesday. The stock price was rather volatile and ended the session on Friday at RSD 1,524, up 4.58% compared to the previous Friday close. To recall, the shareholders at last extraordinary shareholders’ meeting accepted the proposal set by the Board of Directors that the bank could repurchase the shares. According to the plan, the bank should see RSD 4bn in pre-tax income in 2011. This year, bank’s market cap has been down 2.91%.

The largest company listed in the market, NIS, saw a trading value worth RSD 31.77m, 42.49% greater turnover than a week ago. The stock price slid by 1.54% due to the large fall seen on Wednesday. Since the start of 2012 NIS has been in red 4.79%.

Imlek, biggest Serbia’s dairy, saw trading value RSD 33.34m and the stock price rose by 3.42% over the last five days. The stock price ended the session on Friday at RSD 2,600.

Belgrade-based Agrobanka saw turnover RSD 23.02m and the price had huge ups and downs. Over the week the bank had an increase in market value of 2.31%. Yet, since the start of the year, Agrobanka saw a fall of almost 50%.

Becej-based Sojaprotein saw trading value of RSD 7.53m amid the price rise of 4.50%. This year company’s market cap was lower 4.42%.

Belgrade-headquartered Airport Nikola Tesla had lighter turnover of RSD 7.91m. The stock price was weaker 0.41% which gives this year’s loss of 1.41%.

State-run Komercijalna Banka had RSD 8.57m worth turnover. The stock finished the Friday’s trading session at 1,663, 1.89% lower than 5 trading days ago.

One of the best index performers, Energoprojekt Holding, had turnover of RSD 15.64m. The stock price soared 11.82% over the all 5 trading days.

On Tuesday Serbia’s Treasury sold 5-year bullet notes for the first time in its history on Jan. 24, 2012. It auctioned RSD 3bn, but managed to sell RSD 2.7bn worth notes. The price was lower and amounted to RSD 2.26bn. Notes pay semi-annual coupons at nominal rate of 10%. Yield-to-maturity on bond equivalent basis is 14.70%. Since the notes were sold at the discount, current yield exceeds the value of the coupon rate by 1.94 pp. Owing to the same reason, notes’ yield to maturity as an internal rate of return of the investment amounts to 7.35% at semi-annual level which gives 14.70% on bond equivalent basis. Effectively, notes yield 15.24% annually as they pay coupons twice a year. The notes are non-amortizing notes which mature in 5 years, 10 semi-annual periods. As coupons are received before the maturity date, the notes effectively mature in 3.95 year time (Macaulay Duration is 7.9). According to modified duration, notes’ risk sensitivity is 7.363 meaning that for small yield changes the price would approximately change by 7.36% per unit of yield change.

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