Name: Althea Louise S.

Palac

Section: MA-21

1. History of stock exchange in the Philippines.

 On February 3, 1936, the Securities and Exchange Commission announced that it had
"relinquished control of the Manila Stock Exchange."[5]
 The Philippine Stock Exchange was formed on December 23, 1992 from the merger of
the Manila Stock Exchange (MSE) (established on August 12, 1927, based on Muelle de la
Industria, Binondo, Manila) and the Makati Stock Exchange (MkSE) (established on May 15,
1963, based in the Makati Central Business District, within Ayala Tower One). Both
exchanges traded the same stocks of the same companies.
 In June 1998, the Securities and Exchange Commission (SEC) granted the PSE a "Self-
Regulatory Organization" (SRO) status, which meant that the bourse can implement its own
rules and establish penalties on erring trading participants (TPs) and listed companies.
 In 2001, the PSE was transformed from a non-profit, non-stock, member-governed
organization into a shareholder-based, revenue-earning corporation headed by a president
and a board of directors and on December 15, 2003 listed its own shares on the exchange
(traded under the ticker symbol PSE).
 On January 4, 1993, the former Manila Stock Exchange started the computerization of its
operations using the Stratus Trading System (STS) with a company called Equicom. On
June 15, the former Makati Stock Exchange adopted the MakTrade trading system. Both
systems were linked on March 25, 1994 to produce a One Price-One Market exchange. Two
years later, on November 13, 1995, the implementation of the Unified Trading System (UTS)
allowed the use of a single-order-book system on a MakTrade software where all the orders
are posted and matched in one computer.
 In October 2004, the Securities Clearing Corporation of the Philippines (SCCP), a clearing
and settlement agency for depository eligible trades, became a wholly owned subsidiary of
the PSE. The SCCP acts as the settlement coordinator and risk manager for broker
transactions as well as administrator of the trade guaranty fund.
 In 2005, the PSE adopted an online daily disclosure system (ODiSy) to improve the
transparency of listed companies and ensure full, fair, timely and accurate disclosure of
material information from all listed companies. The ODiSy provides a 24/7 online system
access for the submission of all types of disclosures.
 On July 26, 2010, the PSE launched its new trading system, PSEtrade, which replaced the
MakTrade system. The system was acquired from the New York Stock Exchange.
 On June 22, 2015, the PSE launch its new trading system, the PSEtrade XTS, which will
replace the PSEtrade system acquired from the New York Stock Exchange. The new trading
system will be acquired from the NASDAQ
 In 2016, The Marquee Awards of Alpha Southeast Asia magazine recognized PSE as the
Best Stock Market in Southeast Asia for the year 2015.
 The Alpha Southeast Asia, Named PSE Again as the Best Stock Market in Southeast Asia
in 2017, for 4 Times in 5 Years.
 In 2019, The PSE has introduced a new index that will help track the overall returns of the
main index, The Total Return Index (PSEi TRI), as part of the efforts to create a broader
investor base for the market.
 The Philippine Stock Exchange first appeared in 1993, but its history runs much longer. The
exchange was a merger of the Manila Stock Exchange and the Makati Stock Exchange,
which created a single exchange in the Phllippines. The merger also served as a symbol to a
country that had seen its share of political divisions that the nation could act in a singular
direction.
Manila Stock Exchange

 The Manila Stock Exchange was founded Aug. 8, 1927, by five U.S. businessmen. It was in
the Insular Life Building on Plaza Cervantes, Binondo. Founders W.P.G. Elliot, W. Eric Little,
Gordon W. Mackay, John J. Russell and Frank W. Wakefield said that they wanted a stock
exchange that would serve the public, practice ethical standards and uphold good business
practices. They also claimed that trading in stocks would stimulate the Philippine's economy.
The Manila Stock Exchange moved to Pasig in 1992.
 Makati Stock Exchange
 The younger Makati Stock Exchange was founded May 27, 1963. It, too, had five founding
members: Miguel Campos, Bernard Gaberman, Aristeo Lat, Eduardo Ortigas and
Hermenegildo B. Reyes. Because the Philippines already had an operating stock exchange,
there was opposition to a second one. The exchange, which was in the Insular Life Building
in Makati, did not begin operating until Nov. 16, 1965. In 1971, it moved to its own building
on Ayala Avenue in Makati
 Competition

 Though the Philippines had two stock exchanges, they both traded the same stocks. They
were duplicating efforts, but they had different policies, different members and different stock
prices. It soon became evident that the country needed only a single stock exchange.
 Unification
 Philippine President Fidel Ramos led the effort to unite the two exchanges as one. The
Philippine Stock Exchange was founded July 14, 1992, and by Dec. 23, both the Makati and
the Manila exchanges agreed to become part of it.
 2. Common terms used in stock exchange.

1. Buy – Means to buys shares or take position in a company.

2. Sell – Getting rid of the shares as you have achieved your goal or want to cut down losses.
3. Ask – Ask is what people who are looking to sell their stocks are looking to get for their
shares.
4. Bid – Bid is what you are willing to pay for a stock.
5. Ask-Bid Spread– Spread is the difference between what people want to spend and what
people want to get.
6. Bull – A bull market is a market condition where investors are expecting prices to rise.
7. Bear – A bear market is a market condition where investors are expecting prices to fall.
8. Limit Order – A limit order is a type of order which executes at the price placed for buy or
sell.
9. Market Order – A market order is a type of order which executes as quickly as possible at
the market price.
10. Day Order – A day order is a direction to a broker to execute a trade at a specific price that
expires at the end of the trading day if it is not complicated.
11. Volatility – Means how fast a stock moves up or down.
12. Going Long – Betting on the stock price will increase so that you can buy low and sell high.
13. Averaging Down – This is when an investor buys as the stock goes down so as to increase
the price at which purchased.
14. Capitalization – This is what the market thinks a company’s value is.
15. Float – This is the number of shares which can be actually traded after deducting the shares
held by insiders.
16. Authorized Shares – This is the total number of shares that a company can trade.
17. IPO – It is an Initial Public Offering that happens when the private company becomes a
publicly traded company.
18. Secondary Offering – This is another offering in order to sell more stocks and to raise more
money from the public.
19. Dividend – Portion of the company’s earning which is paid to the shareholders.
20. Broker – A broker is a person who buy or sell stocks on your behalf.
21. Exchange – An exchange is a place where different types of investment are traded.
22. Portfolio – A collection of investments owned by you.
23. Margin – Margin account lets a person to borrow money from the broker to buy shares.
24. Sector – A group of stocks in the same sector.
25. Stock Symbol – A one to three-character alphabet root symbol which represents a company
listed on the exchange.

3.company list

 Ayala Corp. (AC)

 Aboitiz Equity Ventures, Inc. (AEV)
 Alliance Global Group, Inc. (AGI)
 Ayala Land, Inc. (ALI)
 Aboitiz Power Corp. (AP)
 BDO Unibank, Inc. (BDO)
 Bloomberry Resorts Corp. (BLOOM)
 Bank of the Philippine Islands (BPI)
 DMCI Holdings, Inc. (DMC)
 First Gen Corp. (FGEN)
 Globe Telecom, Inc. (GLO)
 GT Capital Holdings, Inc. (GTCAP)
 International container Terminal Services, Inc. (ICT)
 Jollibee Foods Corp. (JFC)
 JG Summit Holdings, Inc. (JGS)
 LT Group, Inc. (LTG)
 Metropolitan Bank & Trust Company (MBT)
 Megaworld Corp. (MEG)
 Manila Electric Company (MER)
 Metro Pacific Investments Corp. (MPI)
 Puregold Price Club Inc. (PGOLD)
 Robinsons Land Corp. (RLC)
 Robinsons Retail Holdings, Inc. (RRHI)
 Semirara Mining and Power Corp. (SCC)
 Security Bank Corp. (SECB)
 SM Investments Corp. (SM)
 San Miguel Corp. (SMC)
 SM Prime Holdings, Inc. (SMPH)
 PLDT (TEL)
 Universal Robina Corp. (URC)