Johannesburg Stock Exchange

About Johannesburg Stock Exchange

Situated at One Exchange Square in Sandown, Sandton, the JSE Limited, more commonly known as the JSE (after its former name, the Johannesburg Stock Exchange), is an important global market in which securities can be traded freely and within a safe, regulated environment. It is the premier exchange of both South Africa and the continent as a whole.

The Johannesburg Stock Exchange has grown and developed over the past more-than-125 years, adopting some of the most advanced technologies and trading techniques in order to keep up with the fast-paced, ever-evolving nature of the global economy. Its surveillance system alone rivals some of the finest in the world, and ensures a significant measure of safety and security.

When gold was discovered in South Africa in the 19th century, the entire world sat up and took notice of this previously neglected part of the “Dark Continent”. This precious commodity was discovered in the Witwatersrand in 1886 and it was in November 1887 that the Johannesburg Stock Exchange was founded in order to manage and benefit from this important source of wealth and financial influence. It began as a floor-based equities trading market. Today, however, it offers investors full electronic trading capabilities, equity clearing and settlement, financial derivatives, agricultural derivatives, and more. The JSE is the only exchange in South Africa, but legislation allows for other such exchanges to be created.

In 1997, SENS (Stock Exchange News Service) was established with the aim of providing a more transparent, informative platform for investors. This has boosted investor confidence enormously.

The JSE deals in the South African currency (Rands) and has more than 470 companies listed with it. At the end of the fiscal year of 2012, it had a MarketCap of $903 billion (American Dollars). As it continues to grow, the JSE is looking at creating a pan-African exchange, which will involve enabling its investors to consider trading in shares from Zimbabwe, Zambia, Namibia and Ghana. Depending on the success of this initiative, this can extend further into other African countries.

The JSE is directed by an honorary committee, which consists of 16 individuals. The stock broking members are elected into their position and cannot exceed 11 people. The committee makes policy decisions, and is overseen by the executive president.