Client Profile: ResCap Securities LLC
Implemented Solution: NRI Financial Solutions for Broker Dealers
Established in 1991, the Mongolian Stock Exchange (MSE) entered a period of rapid growth beginning in 2006, when it was the world’s smallest stock exchange by market capitalization valued at roughly $83 million USD. By 2008 its market capitalization had increased to $406 million, which quadrupled to $2 billion by 2011. In 2010 the exchange was the world’s best performing stock market, growing 121 percent over the previous year. This continued through 2011 as it grew 57.8 percent, ranking second-best in the world. By March 2012, the MSE had 332 listed companies and market capitalization of $2.3 billion.
Resulting from the exchange’s rapid growth, in conjunction with advances in trading infrastructure and global capital markets IT sophistication, the MSE realized that it needed to modernize the financial and trading infrastructure of its exchange as well as the Mongolian market broadly. Beginning in 2013, this initiative was spearheaded by a partnership of three essential firms: Nomura Research Institute, Omnesys Technologies (a Thomson Reuters Company), and Global Investment Initiative (GII), a Mongolian IT solutions provider. This partnership resulted in the successful implementation of a modern trading infrastructure covering the full trade life cycle for Mongolian broker/dealers, fully customized to meet the specific challenges of the Mongolian capital market and scalable to adapt to the continued evolution of the operational and regulatory landscape.