2016
First Quarter Report
8th Avenue Belleville, St. Michael BB11114, Barbados T: (246) 436-9871/2 | F: (246) 429-8942 | www.bse.com.bb
2016 Q1 Report Overall trading volume increased by 1,896% and trading value increased by 2,405% for the first quarter of 2016. Regular Market activity increased by 2,141% in terms of volume traded and 2,787% in terms of value traded. The Put-Through Market recorded an increase in the volume traded of 69%, however, the value traded on this market suffered a decline in activity of 42%. The total number of trades at the close of the first quarter increased by 39% from 437 in 2015 to 608 in 2016. All market measures, with the exception of the Cross-Listed Index, recorded increases when compared to their December 31st 2015 figures. The index values recorded increases due to upward price movements in nine locally listed securities; no cross-listed securities experienced price movements. As a result of these upward price movements, coupled with the additional listing of shares in a cross listed security1 and the listing of a new security 2, all market capitalization measures recorded increases as well. One security was delisted from the board of the BSE during the first quarter of 20163. There was no trading activity on the Junior or Block Trade markets. Transactions pursuant to the takeover of both Emera (Caribbean) Incorporated and Banks Holdings Limited continued during the first quarter of 2016 as 63,850 shares in Emera (Caribbean) Incorporated traded at $33.30 while 25,722,775 shares in Banks Holdings Limited traded at $7.10. Table 1 - Year-to-Date Statistics shows a summary of year to date trading activity. Table 1: Table 1 – Year-to-Date Statistics Year-to-Date
% Change
Market
2016 Volume
2015 Volume
2016 Value ($)
2015 Value ($)
Volume
Value
Regular
28,565,823
1,274,923
192,120,908
6,653,670
2,141
2,787
288,264
170,643
600,728
1,041,023
69
-42
Junior
-
-
-
-
NA
NA
Block Trade
-
-
-
-
NA
NA
28,854,087
1,445,566
192,721,636
7,694,692
1,896
2,405
Put - Through
Total
1 Massy Holdings Limited – Please be advised that 440,279 common shares in Massy Holdings Limited were listed on the Exchange representing shares issued as part of the Share Option Plan (201601-25 - 438,451 shares & 2016-01-26 - 1,828 shares). 2 Emera Deposit Receipt - The Barbados Stock Exchange Inc. (BSE) wishes to advise that, effective January 8th, 2016, the BSE has listed 5,129,581 Emera Deposit Receipts. The listing price for this new security is $14.82 and the trading symbol for this security is EMABDR. 3 See Junior Market, Block Trade Market & Put Through Market section.
Trading Activity by Market Regular Regular Market volume and value increased for the first quarter of 2016 when compared to the corresponding period in 2015. Trading volume increased by 2,141% from 1,274,923 shares at the close of the first quarter in 2015, to 28,565,823 shares at the close of the corresponding reporting period of 2016. This resulted in a 2,787% increase in the value of shares traded on the Regular Market as seen in Table 2 - 1st Quarter Regular Market Performance - Year on Year. There was a marginal increase in the number of trades (3%) as 436 trades occurred during the first quarter of 2016, as compared to 424 trades for the corresponding period in 2015. The average share price rose by 6% as it moved from $5.83 at the 2015 first quarter close to $6.20 at March 31st, 2016. A snapshot of the advance-decline ratio at the end of the first quarter of 2016 showed that nine securities advanced and one declined versus five securities advancing in price and five declining at the close of the first quarter of 2015. Table 2: 1st Quarter Regular Market Performance – Year on Year
2016 first Quarter Report
4
 Total Share Volume
March 31 2016
March 31 2015
% Change
28,565,823
1,274,923
2,141
192,120,908
6,653,670
2,787
460,739
20,563
2,141
$3,098,724
$107,317
2,787
436
424
3
62
62
0
$6.20
$5.83
6
9/1
5/5
N/A
2,478.82
2,194.13
13
1,738.11
1,726.65
1
678.19
624.23
9
Local Market Capitalization
6,272,039,643
5,499,741,674
14
Cross-Listed Market Capitalization
2,862,760,630
2,895,433,099
-1
Composite Market Capitalization
9,134,800,272
8,395,174,773
9
24
25
-4
Total Share Value Average Daily Share Volume Average Daily Share Value Number of Trades Number of Trade Days Average Share Price Advance/Decline Ratio Local Index Cross-Listed Index Composite Market Index
Number of Listed Securities
Sagicor Financial Corporation was the most actively traded security on the market accounting for 29.82% of the number of trades occurring in the market. They were followed by FirstCaribbean International Bank and Insurance Corporation of Barbados Limited which accounted for 12.39% and 10.09% of the number of trades for the quarter in this market respectively. Figure 1 - No. of Trades - 1st Quarter 2016 illustrates the number of trades occurring on the Regular Market by Security.
Figure 1 – No. of Trades – 1st Quarter 2016
Table 3 – Top Five Traded Companies By Volume
Volume
Company
2016
Banks Holdings Limited
Value ($) 2015
2016
2015
25,726,590
177,231
182,654,263
504,907
1,053,098
49,421
2,838,249
118,491
FirstCaribbean International Bank
674,212
95,955
1,290,232
182,004
Sagicor Financial Corporation
359,585
264,241
712,355
466,261
One Caribbean Media Limited
187,058
24,153
1,232,861
165,154
Insurance Corporation of Barbados Ltd
Table 4 – Top Five Traded Companies By Value Company Banks Holdings Limited
Value ($) 2016
Volume 2015
2016
2015
182,654,263
504,907
25,726,590
177,231
2,838,249
118,491
1,053,098
49,421
EMERA (Caribbean) Incorporated
2,128,185
569,049
63,910
22,142
FirstCaribbean International Bank
1,290,232
182,004
674,212
95,955
One Caribbean Media Limited
1,232,861
165,154
187,058
24,153
Insurance Corporation of Barbados Ltd
5 2016 first Quarter Report
Table 3 and Table 4, show the top traded companies for the quarter based on volume and value respectively. Banks Holdings Limited was the top performer in terms of both volume and value. Insurance Corporation of Barbados Limited was the second best performer, again, in terms of both volume and value while FirstCaribbean International Bank rounded out the top three in terms of volume traded. Emera (Caribbean) Incorporated was the third best performer in terms of value traded.
Junior Market, Block Trade Market & Put Through Market There was no trading activity recorded for the Junior or Block Trade Markets for the first quarter of 2016. The number of securities listed on the Junior market was reduced by one (1) when Royal Fidelity TIGRS A2 Fund was delisted from the board of the BSE 1. The Put-through Market recorded increases in volume traded but decreases in terms of value traded. The total volume of shares traded increased by 69% while the total value of shares traded decreased by 42%. Table 5 - Put-through Market Activity - 1st Quarter 2016 illustrates the activity which occurred on this market as at March 31st, 2016. Table 5: Put-through Market Activity - 1st Quarter 2016 Company
No. of Trades
Volume
Value ($)
Sagicor Financial Corporation
172
288,264
600,728.20
Total
172
288,264
600,728.20
Fixed Income Market
2016 first Quarter Report
6
The Fixed Income Market recorded a total of 92 trades in which twenty (20) Barbados Government Debentures and eleven (11) Barbados Government Treasury Notes were traded with a face value of $38,685,000. This as compared to the 59 trades - eighteen (18) Barbados Government Debentures and seven (7) Barbados Government Treasury Notes - recorded on this market with a corresponding face value of $2,553,000 traded at the close of the first quarter of 2015. Table 6 - Fixed Income Market Activity - 1st Quarter 2016 gives details on each bond traded as at March 31st, 2016.
1 Pursuant to the Rules of the Barbados Stock Exchange Inc. (BSE) and the Order of the Financial Services Commission, the shares of Royal Fidelity TIGRS A2 Fund were delisted from the Board of the BSE on February 12th, 2016. The TIGRS securities were each structured with a fiveyear maturity at which point the proceeds are paid to shareholders; Royal Fidelity TIGRS A2 Fund matured on November 30th, 2015.
Table 6: Fixed Income Market Activity - 1st Quarter 2016 Security
No. of Trades
Amount Traded 3
3,000
Barbados Government Debenture 6.125% 2021
1
500,000
Barbados Government Debenture 6.25% 2019
10
541,000
Barbados Government Debenture 6.25% 2022
2
1,502,000
Barbados Government Debenture 6.625% 2020
2
7,000
Barbados Government Debenture 6.75% 2016
1
4,882,000
Barbados Government Debenture 6.75% 2021
2
10,000
Barbados Government Debenture 6.875% 2023
4
105,000
Barbados Government Debenture 6.875% 2024
1
1,000
Barbados Government Debenture 7% 2017
7
14,686,000
Barbados Government Debenture 7% 2023
10
1,612,000
Barbados Government Debenture 7.125% 2026
3
3,000
Barbados Government Debenture 7.25% 2028
3
52,000
Barbados Government Debenture 7.25% 2029
1
20,000
Barbados Government Debenture 7.375% 2027
5
1,009,000
Barbados Government Debenture 7.375% 2029
2
2,000
Barbados Government Debenture 7.50% 2026
1
2,500,000
Barbados Government Debenture 7.75% 2016
1
1,607,000
Barbados Government Debenture 7.75% 2025
4
3,007,000
Barbados Government Debenture 7.75% 2032
1
1,000
Barbados Government T/Note 6% 2016
10
38,000
Barbados Government T/Note 6% 2017
2
503,000
Barbados Government T/Note 6% 2019
1
2,500,000
Barbados Government T/Note 6.125% 2021
2
2,000
Barbados Government T/Note 6.25% 2018
3
4,000
Barbados Government T/Note 6.25% 2021
1
16,000
Barbados Government T/Note 6.375% 2019
4
6,000
Barbados Government T/Note 6.5% 2016
1
1,500,000
Barbados Government T/Note 6.5% 2019
1
2,000
Barbados Government T/Note 6.625% 2019
2
2,004,000
Barbados Government T/Note 7.5% 2017
1
60,000
92
38,685,000
Total
7 2016 first Quarter Report
Barbados Government Debenture 4.75% 2016
Index & Market Capitalization Movement A year on year comparison of the Index and Market Capitalization performance (Table 7) shows that all Index measures experienced increases over the last 12 months. Local Index performance was fueled primarily by significant improvements in the share price of both Emera (Caribbean) Incorporated and Banks Holdings Limited coupled with increases in prices of another eleven securities over their March 31, 2015 closing figures. Figure 2 - Index Movement March 2015 to March 2016 illustrates the trend of the indices over the period under consideration. The year-on-year market capitalization figures illustrated in Table 7 show improvements in the Local Market Capitalization which recorded an increase of 14.04% while the Cross Listed Market Capitalization recorded a decline of 1.13%. Table 7: Index and Market Capitalization Comparison - Year on Year Index Local
2016 first Quarter Report
8
Cross-Listed Composite Market Capitalization
31-Mar-16
31-Mar-15
% Change
2,478.82
2,194.13
12.98
1,738.11
1,726.65
0.66
678.19
624.23
8.64
31-Mar-16
31-Mar-15
% Change
Local
6,272,039,643
5,499,741,674
14.04
Cross-Listed
2,862,760,630
2,895,433,099
-1.13
Composite
9,134,800,272
8,395,174,773
8.81
The indices and market capitalization measures for the first quarter of 2016 (Table 8) showed positive results as all market measures, with the exception of the Cross Listed Index, recorded marginal increases over their December 2015 figures; the Cross Listed Index did not record any movement. The Local Index and Market Capitalization measures showed improvement recording increases of 4.97% and 6.34% respectively. As stated previously, the Cross Listed Index did not record any movements, however the Cross Listed Market Capitalization recorded a minor increase of 0.31%. These results led to the Composite Index increasing by 3.29% and its corresponding Market Capitalization measure improving by 4.37% over their respective December 31st, 2015 results. Table 8: Index and Market Capitalization Comparison - 1st Quarter Index Local Cross-Listed Composite Market Capitalization
31-Mar-16
31-Dec-15
% Change
2,478.82
2,361.47
4.97
1,738.11
1,738.11
0.00
678.19
656.56
3.29
31-Mar-16
31-Dec-15
% Change
Local
6,272,039,643
5,898,175,671
6.34
Cross-Listed
2,862,760,630
2,853,955,050
0.31
Composite
9,134,800,272
8,752,130,721
4.37
Figure 2 - Index Movement March 2015 to March 2016
9 2016 first Quarter Report
Company Activity Comparative Report For the first quarter of 2016, nine (9) securities advanced, one (1) declined, nine (9) remained unchanged and five (5) did not trade one (1) of which was a new listing; there was one (1) delisting 1. This as compared to five (5) securities advanced, five (5) declined, seven (7) remained unchanged and eight (8) did not trade; there was one (1) delisting. Insurance Corporation of Barbados Limited was the top performer for the quarter climbing 18.46% from $2.60 at the close of 2015 to $3.08 at the close of the first quarter of 2016. Sagicor Financial Corporation (11.73%) and Cave Shepherd and Company Limited (11.30%) were the remaining securities experiencing double digit increases during the quarter. ABV Investments Incorporated was the only security to record a double-digit decline (93.75%) at the close of the first quarter of 2016. Table 9 - 1st Quarter Trading Activity By Company illustrates the price movements for the first quarter of 2016.
2016 first Quarter Report
10
1 Pursuant to the Rules of the Barbados Stock Exchange Inc. (BSE) and the Order of the Financial Services Commission, the shares of Royal Fidelity TIGRS A2 Fund were delisted from the Board of the BSE on February 12th, 2016.
Table 9: 1st Quarter Trading Activity By Company (Regular and Junior market only) Â Security
1st Quarter 2016 Volume
Closing Price ($)
Value ($)
Dec 31 2015
Dec 31 2014
% Change
ABV Investments Incorporated
69,000
1,380
0.02
0.32
93.75
BICO Limited
27,950
51,987
1.86
1.85
0.54
1.60
1.60
0.00
Barbados Dairy Industries Limited
0
Barbados Farms Limited
10,000
4,366
0.40
0.40
0.00
Banks Holdings Limited
25,726,590
182,654,263
7.10
7.10
0.00
Fortress Caribbean Property Fund - Dev Fund
82,523
15,864
0.19
0.19
0.00
Fortress Caribbean Property Fund - Val Fund
150,958
92,915
0.61
0.60
1.67
Cave Shepherd & Company Limited
22,498
75,008
3.35
3.01
11.30
Cable & Wireless Barbados Limited
74,941
197,302
2.66
2.60
2.31
674,212
1,290,232
2.00
1.90
5.26
11
24,265
172,895
7.25
6.61
9.68
1,053,098
2,838,249
3.08
2.60
18.46
1,500
225
0.15
0.15
0.00
63,910
2,128,185
33.30
33.30
0.00
3.11
0.00
2016 first Quarter Report
FirstCaribbean Int’l Bank Goddard Enterprises Limited Insurance Corporation of Barbados Limited JMMB Group Limited Emera (Caribbean) Incorporated Emera (Caribbean) Inc 5.5% PREF
0
3.11
Emera Deposit Receipt
0
17.99
Massy Holdings Limited
NA
28,334
565,633
20.00
20.00
0.00
One Caribbean Media Limited
187,058
1,232,861
7.00
7.00
0.00
Sagicor Financial Corporation 6.5% PREF
2,593
5,389
2.26
2.26
0.00
Sagicor Financial Corporation
359,585
712,355
2.00
1.79
11.73
Trinidad Cement Limited
1,100
1,320
0.80
0.80
0.00
West India Biscuit Company Limited
5,708
80,479
14.10
13.00
8.46
The West Indies Rum Distilleries Limited
0
8.00
8.00
0.00
Royal Fidelity TIGRS A2 Fund (J)*
0
10.00
10.00
0.00
10.00
10.00
0.00
Royal Fidelity TIGRS A3 Fund (J)
0 28,565,823
*Denotes Delisted Security
192,120,908
Table 10: Year on Year Trading Activity By Company (Regular and Junior market only)
Closing Price $ Mar 31 2016
Security
May 31 2015
% Change
0.02
0.32
-93.75
BICO Limited
1.86
1.85
0.54
Barbados Dairy Industries Limited
1.60
1.50
6.67
Barbados Farms Limited
0.40
0.50
-20.00
Banks Holdings Limited
7.10
2.85
149.12
Fortress Caribbean Property Fund - Dev Fund
0.19
0.20
-5.00
Fortress Caribbean Property Fund - Val Fund
0.61
0.52
17.31
Cave Shepherd & Company Limited
3.35
3.00
11.67
Cable & Wireless Barbados Limited
2.66
3.00
-11.33
FirstCaribbean Int’l Bank
2.00
1.90
5.26
Goddard Enterprises Limited
7.25
6.43
12.75
Insurance Corporation of Barbados Limited
3.08
2.40
28.33
JMMB Group Limited
0.15
0.15
0.00
33.30
25.70
29.57
3.11
3.30
-5.76
Emera Deposit Receipt
17.99
NA
NA
Massy Holdings Limited
20.00
19.96
0.20
One Caribbean Media Limited
7.00
6.77
3.40
Sagicor Financial Corporation 6.5% PREF
2.26
2.26
0.00
Sagicor Financial Corporation
2.00
1.72
16.28
Trinidad Cement Limited
0.80
0.80
0.00
14.10
10.46
37.80
8.00
8.00
0.00
Royal Fidelity TIGRS A2 Fund (J)*
10.00
10.00
0.00
Royal Fidelity TIGRS A3 Fund (J)
10.00
10.00
0.00
-
-
12
Emera (Caribbean) Incorporated
2016 first Quarter Report
ABV Investments Incorporated
Emera (Caribbean) Inc 5.5% PREF
West India Biscuit Company Limited The West Indies Rum Distilleries Limited
* Denotes delisted security
Conclusion Table 11: Year to date Index Comparison Index Name
Region/Exchange
BSE Composite Index
Barbados Stock Exchange
JSE Market Index
Jamaica Stock Exchange
TTSE Composite Index
Trinidad and Tobago Stock Exchange
ECSE Index
Eastern Caribbean Stock Exchange
Closing Mar 31 2016
Closing Dec 31 2015
678.19
656.56
3.29
153,911.33
150,692.13
2.14
1,133.16
1,162.30
-2.51
141.97
133.14
6.63
% Change
An examination of closing indices for exchanges across the region reveal that much like the BSE, all exchanges, with the exception of the Trinidad and Tobago Stock Exchange, are experiencing an upturn in market performance when compared to their closing values as at December 31st, 2015. The ECSE Index recorded the highest increase of 6.63%, followed by the BSE Composite Index (3.29%), the JSE Market Index (2.14%) and the TTSE Composite Index, which recorded the only decrease of 2.51%. The BSE is pleased to announce that it received the requisite approvals for both the International Securities Market (ISM) and the Demutualization of the Barbados Stock Exchange in late December 2015. On March 15th, 2016, at a breakfast meeting held at the Hilton Barbados resort, Minister of Industry, International Business, Commerce and Small Business Development - the Honorable Donville Inniss, MP, declared the ISM open for business. Minister Inniss applauded, “the vision and determination of the BSE in the launch of the International Securities Market as it aligns with the futuristic view which my Ministry has articulated as a goal for the development of our international business and financial services sector. It also brings our vision of Barbados becoming the international financial wealth management centre of choice in the western hemisphere, one step closer to reality.� On March 31st, 2016, the BSE held its last Meeting of Members at which all Members of the Exchange became shareholders (owners) of the organization. We are proud to announce that the BSE has made a smooth transition from being a member-owned, non-profit organization to a shareholder-owned, for profit company.
13 2015 Annual Report
First quarter 2016 performance, when compared to the first quarter of 2015 figures, was indeed favorable. This performance follows on from very positive trading activity experienced during the fourth quarter of 2015 that involved transactions pursuant to the takeover of two listed companies - Banks Holdings Limited & Emera (Caribbean) Incorporated.
8th Avenue Belleville, St. Michael BB11114, Barbados T: (246) 436-9871/2 | F: (246) 429-8942 | www.bse.com.bb