14% of People Active in Capital Market
IRAN NEWS ECONOMIC DESK
TEHRAN – Head of Iran’s Securities and Exchange Organization (SEO) says currently about 14 percent of people in the country are involved in the stock market trade, as investment in the stock market in a span of three to five years is more profitable than investment in the gold and forex markets.
Speaking to Fars News Agency and when was asked how the ground can be prepared for presences of majority of the people in the stock market, Shahpour Mohammadi said country should work on investment funds because people are eager to be present in the capital market but first indirect tools like investment funds should be equipped more.
Mohammadi added that the idea of investment in the capital and stock market should be taught in schools and universities because it is a daily job and people have to know all skills of investing in capital market before entering it.
He also said that all supportive laws about the current companies in the capital market should be changed, adding that all issues about one listed company in the stock market are transparent but they may also have some defects but the company is in better condition comparing to other companies.
Mohammadi added that all should work together to bring discipline and transparency to all segments of the economy and the government should levy heavy taxes on those economic activities which disrupt the economy like hoarding.
He noted that to support production and companies in the stock market which are almost production units, the government should levy heavy taxes on those who invest in the gold and forex taxes or hoard vehicles, real estate property and apartment and this move will strengthen production companies and the stock market.
He added that currently some 11.2m people have codes for trading in the market and it is almost 14 percent of the total population while India with population over some 1.3b has only 25m codes for its people for trade in the stock market.
On the recent growth in the stock market index despite the existing economic condition, he said that the SEO as a supervising body cannot talk about the trend in the market but something is important that if people want to purchase shares, they should only not think about the total index in the market and they should only focus on the index on the certain company that they want to investment on it.
