Bolsa Mexicana de Valores S.A.B.
|Bolsa Mexicana de Valores S.A.B.|
|Founded||June 2008 as listed company|
|Key People||Chairman Luis Téllez|
|Products||Trading exchanges and services|
Template:Infobox Midpage Need Sponsor Bolsa Mexicana de Valores S.A.B. (BMVSAB) sprang originally from the Mexican Stock Exchange (MSE) and is now a fully fledged publicly traded exchange operations company following an initial public offering (IPO) by the Mexican government in mid-2008. BMV owns not only the MSE - also confusingly known locally as the Bolsa Mexicana de Valores - but all the other important exchanges Mexico plus their main clearinghouse.
In early March of 2010, CME Group and the Bolsa Mexicana de Valores, S.A.B. de C.V. announced that they had entered into a strategic partnership that included an order routing agreement for derivatives products. CME Group purchased shares in the Mexican exchange valued at $17 million, or approximately 1.9 percent of outstanding BMV shares, as part of the equity portion of the agreement.
Bolsa Mexicana de Valores S.A.B. became a listed company on June 13, 2008 after a successful IPO in which over 13,600 investors purchased shares at 16.5 Mexican pesos each. The Mexican Stock Exchange was owned for 114 years by a group of Mexican banks and brokerages prior to BMVSAB's $388 million IPO. BMVSAB's A shares joined the Mexican Stock Exchange's benchmark IPC Index as one of the couintry's top 35 stocks.
Disappointing 2009 expectations, the Mexican Stock Exchange saw a decrease in IPO activity because many companies were reluctant to open their books to outside firms. The last listings by companies were pharmaceutical company Genomma Lab Internacional and the stock exchange operator Bolsa Mexicana de Valores in 2008. The exchange announced in February of 2010 that they expect to see an increase in this area due to regulatory changes that give Mexican pension funds greater flexibility to invest in individual stocks. 
On March 8, 2010, it was announced that the CME Group and the Mexican Stock Exchange had entered into an order routing agreement for derivatives products. Details of the agreement include the CME Group acquiring shares of the Mexican exchange valued at $17 million. Also, the CME Group was granted by the Control Trust of BMV the right to nominate a member to BMV Board of Directors. The CME Group will become the exclusive exchange provider of derivatives order routing services to BMV outside of Latin American and the BMV will be the exclusive exchange provider of derivatives order routing services to the CME Group in Mexico. The BMV's derivatives products are traded at their subsidiary, the Mexican Derivatives Exchange. 
- Mexican Stock Exchange (MSE) - Fully electronic trading of domestic and international equities and debt securities.
- Mexican Derivatives Exchange (MexDer) - Electronic trading of mostly Mexican interest rates, forex and index futures and options contracts.
- SIF-ICAP - An OTC inter-dealer market in derivatives and fixed income securities.
- Indeval, Asigna and the CCV - Companies that provide BMVSAB's exchange investors with custody, clearing and settlement services.
On March 25, 2009 the Mexican government named long-time political operative and former Secretary of Communications and Transportation Luis Téllez as chairman of BMVSAB. The announcement came just a few weeks after Mexican President Felipe Calderón was forced to announce Téllez's resignation as a government minister following a financial scandal. Téllez joined the long-ruling Institutional Revolutionary Party (PRI) in 1980 and rose to serve as Secretary of Energy under President Ernesto Zedillo from 1997 to 2000 before being appointed managing director of private equity powerhouse The Carlyle Group. He replaced Guillermo Prieto, who took over in 2001 and later engineered the 2008 IPO but after presided over a 51% stock price decline.
BMVSAB's main exchange business, the Mexican Stock Exchange, showed improvement in some key market indicators over the second quarter of 2009 following precipitous falls in previous months. According to the report, the IPC Index rose slightly from 24,331.71 at the end of May to 24,368.38 by the end of June and has produced a yield of 11.7% so far over 2009, comparable to the world's best-performing stock markets.
- Press Release. CME Group.
- History and operations of the Mexican Stock Exchange. ArticlesBase.com.
- Mexico's Stock-Market Regulator Sees IPO Recovery in 2010. Wall Street Journal.
- CME Group, Bolsa Mexicana de Valores and MexDer Announce Order Routing, Equity Agreement. CNN Money.
- Bolsa Mexicana Nominates Luis Tellez as Chairman. Bloomberg.
- Luis Téllez. Wikipedia.
- BMV performance report June 2009. BMV.