Iran Market Reporter 04

Iran Market----------------------- Reporter

ADDRESSING THE NEEDS OF INDIVIDUAL INVESTORSADDRESSING THE NEEDS OF INDIVIDUAL INVESTORS

Mofid Securities Co.Member of TSE(Tehran Stock Exchange)Member of IME(Iran Mercantile Exchange)Member of Farabourse

Contact Person: Mr. Seifollahit 009821 8190 1165f 009821 8190 1022e [email protected] www.emofid.comw www.mofidkala.com

IRAN MARKET REPORTER Is produced by Mofid Securities Co.Distributed electronically via email.

Top Ranked2010

The First Ranked BrokerThe First Ranked Broker in in 20072007, , 20082008, , 20092009, , 20102010

Top Mutual Fund Manager in Top Mutual Fund Manager in 20092009

VOluME 1ISSuE 4AuGuST 20114

2www.emofid.com Iran Market Reporter No. 4 August 2011 ( Issue 4, Vol. 1 )

Overview Market Summary 3Tehran Stock Exchange and Iran Farabourse Exchange (OTC Market) performances during August are shown in this sec-tion. While the trade value in Farabourse has increased dra-matically (87%) in compare with the last month, TSE expe-rienced a slight decrease (25%) in trade value. It seems that the month of Ramadan has affected TEDPIX and after the Eid ul-Fitr we will have a rise in the market.

Best and Worst 4Banking and investment companies were the most active groups of TSE during August, with 14 names among 20 most actives in terms of value and volume. Tejarat Bank with 43% increase marked the best performance of banking compa-nies. Index of banking companies including 10 major finan-cial companies of TSE rose by 9.5% during August.

Funds 7 Among 10 best mutual funds of August Momtaz is the only fund with large asset under management. There are 10 funds with the minimum of 50,000 units active in TSE.

News 8Crude oil transaction for the first time on the IME and IPO of Pasargad Bank were the hottest news of August. Pasargad Bank named the largest bank of TSE after its IPO with total value of uSD 24.4 million. Mofid Securities Company is leading the brokerage firms in-dustry with more than 6% of market share, reported by TSE in August.

Eid ul-Fitr Prayer in TehranAugust 1 2011 Eid ul-Fitr is a Muslim holiday that marks the end of Ramadan, the Islamic holy month of fast-ing.


Stock | Market Summery

Trade Value (M USD) Trade Volume (M) Number of Trades Number of Trading Days

TSE* 1,867.56 7,796 391,334 21

Farabourse** 1,097 3,841 158,026 21* Tehran Stock Exchange ** OTC Market

Tehran Stock Exchange (As of August 30)

Value of Index

High low Average Compared to last

month %

Compared to last Month (%) (In uSD Terms)

Compared to last year %

TEDPIX* 25,822 25,822 24,597 25,215 2.83% 2.46% 43.95%

TEDPIX (FM) 21,985 21,985 20,912 21,464 2.58% 2.21% 48.53%

TEDPIX (SM) 30,890 30,890 29,613 30,215 4.70% 4.33% 22.38%

FFI** 33,822 33,822 31,916 32,878 3.96% 3.59% 48.47%

Industry Index 19,679 19,679 18,770 19,246 1.49% 1.13% 43.83%* TSE Dividend & Price Index (All-share Index) ** Free Float Index

TEDPIX

23800

24000

24200

24400

24600

24800

25000

25200

25400

25600

25800

26000

01/0

8/20

1102

/08/

2011

03/0

8/20

1104

/08/

2011

05/0

8/20

1106

/08/

2011

07/0

8/20

1108

/08/

2011

09/0

8/20

1110

/08/

2011

11/0

8/20

1112

/08/

2011

13/0

8/20

1114

/08/

2011

15/0

8/20

1116

/08/

2011

17/0

8/20

1118

/08/

2011

19/0

8/20

1120

/08/

2011

21/0

8/20

1122

/08/

2011

23/0

8/20

1124

/08/

2011

25/0

8/20

1126

/08/

2011

27/0

8/20

1128

/08/

2011

29/0

8/20

1130

/08/

2011


Stock | Best and Worst

10 Top GainersCompany last Price (Rial) Change (%)

Bafgh Mining 30,001 88.27

Neyshabour S. 4,145 68.77

Marjan Kar 7,103 56.35

Iran Mn Mines 8,775 52.82

Yazd Fold 2,536 47.61

Tejarat Bank 2,223 43.21

Nirou Moharreke 1,377 35.92

Marvdasht Sugar 12,224 34.71

Shirin Khorasan 2,739 33.54

EN Bank 4,030 32.92

10 Top LosersCompany last Price (Rial) Change (%)

Sadid Group 1,373 (16.53)

Asia Bime 3,713 (15.23)

Tidewater 2,696 (13.87)

Iran Transfo 6,024 (13.61)

Margarin 1,405 (11.47)

Rena Investment 2,201 (10.42)

Iran Kh. A. M 667 (10.23)

Herbicides Prod 3,564 (9.73)

Karoon Cement 2,314 (8.72)

Piazar Agro 3,995 (8.33)


10 Most Active (Value)Company Change (%) Value (uSD)

Saderat Bank 4.01 204,234,541

Pasargad Bank 6.84 191,687,451

Buali Inv. 4.66 109,588,505

Mobarakeh Steel 9.78 100,123,896

Khavarmiane Mine -R 0 96,408,318

Karafarin Bank 2.91 84,434,273

Saipa Inv. 11.08 79,486,773

Shahed Inv. -31.03 55,919,048

Iran Tele Co. -0.51 48,982,250

Iran Transfo -6.38 43,776,146

10 Most Active (Volume)Company Change (%) Volume

Buali Inv. 4.66 1,110,274,025

Saderat Bank 4.01 1,097,662,361

Pasargad Bank 6.84 907,047,789

Khavarmiane Mine -R 0 500,000,000

Arian e-Bank -R -8.71 371,373,467

Mobarakeh Steel 9.78 354,443,440

Day Bank 11.24 342,222,166

Karafarin Bank 2.91 336,505,730

Saipa Inv. 11.08 288,523,370

Shahed Inv. -31.03 269,640,488



Highest P/E*Company last Price

(Rial)P/E Percent of

Market Cap

Khouz Steel 8,064 12.78 1.21

Gol-E-Gohar 6,604 11.39 2.72

Mobarakeh Steel 3,198 10.84 5.67

Chadormalu 6,378 9.75 2.63

Iran Tele Co. 3,252 9.59 10.25

National Iranian Copper (I.N.C Ind) 4,972 8.94 5.93

Iran Mobile Tele 45,892 8.21 6.51

Omid Inv. Mng 3,848 8.17 2.64

Mellat Bank 2,333 7.99 2.57

EN Bank 3,977 7.94 2.19

*Filtered by companies with more than 1% of market cap

Lowest P/E*Company lastPprice

(Rial)P/E Percent of

Market Cap

Saipa 2,205 4.01 1.58

Pension Fund 2,589 5.31 1.28

Isf. Oil Ref. Co. 4,110 5.65 1.18

Khark Petr 17,157 5.7 1.18

Mapna 2,765 5.92 1.9

Ghadir Inv. 4,003 6.02 3.3

Parsian Bank 3,391 6.26 2.56

Saderat Bank 1,696 6.4 2.35

Iran Khodro 3,286 6.46 1.42

Tejarat Bank 1,917 6.85 2.31

*Filtered by companies with more than 1% of market cap



Top 10 Best Funds (Regarding return rate)Working

DaysNAV

(Rial)Asset Under Man-

agement (M USD)*Last Month

(%)Last 6 Months

(%)Last 12

Months (%)Since Inception

(Compound Return)

Boursiran 777 2,932,898 15,187,335 -0.6 16 46.5 65.8

Ganjineh Bahman

502 2,002,438 4,679,962 -0.1 13.3 51.4 65.7

Farabi 650 2,431,833 7,725,898 -2.2 15.4 47.8 64.7

Novin 535 2,048,098 3,945,558 1.1 16.3 81.9 63.1

Agah 1122 4,376,379 11,675,803 0.6 11.6 36.7 61.6

Melli 1211 4,790,653 7,106,238 -1.3 14.7 29.6 60.4

Momtaz** 564 2,074,684 49,364,367 1.4 16.1 42.1 60.4

Pishtaz** 1212 4,168,299 13,231,380 0.8 17.5 46.1 53.9

Sahm Ashena

1229 4,216,717 2,569,471 -1.1 22.5 30.5 53.3

Amin Karafarin

657 2,132,831 1,379,868 -0.4 21.1 47.8 52.3

TEDPIX 2.8 19 44

All Funds Index***

0.8 12.6 30.1

* uSD to Rial exchange rate: 10,580 ** Managed by Mofid *** Including 60 Funds

Fund | All Funds Overview

-5

5

15

25

35

45

55

65

75

85

Boursiran GanjinehBahman

Farabi Novin Agah Melli Momtaz Pishtaz Sahm Ashena

Amin Karafarin

TEDPIX All Funds Index

Since Inception (Compound Return) last 12 Month (%) last 6 Month (%) last Month (%)


Pishtaz Mutual Fund Momtaz Mutual Fund Pishro Mutual Fund

Inception date May 9, 2008 February 16, 2010 April 20, 2011

Asset under management (IR Rials) 139,988,141,328 522,274,714,685 408,661,567,462

1 Month 0.80% 1.40% 1.50%

6 Months 17.50% 16.10% 4.00%

12 Months 46.10% 42.10% 4.00%

life (Compound Return) 53.90% 60.40% 0.40%

NAV (Rial) 4,168,299 2,074,684 1,004,319

12 Months High 4,458,222 2,182,376 1,004,358

low 2,830,042 1,460,148 933,824

Here is a comparative chart between Nav of Pishtaz Fund and TEDPIX since the inception date of Pishtaz. You can see how it has outperformed the main index of TSE during the past three years.

Fund | Mofid Funds Summary

50

100

150

200

250

300

350

400

450

500

07/05/2008

07/07/2008

07/09/2008

07/11/2008

07/01/2009

07/03/2009

07/05/2009

07/07/2009

07/09/2009

07/11/2009

07/01/2010

07/03/2010

07/05/2010

07/07/2010

07/09/2010

07/11/2010

07/01/2011

07/03/2011

07/05/2011

07/07/2011

Reba

sed

to 1

00

TEDPIX Pishtaz (NAV)


Iran Mercantile ExchangeToal value of commodities traded on the IME in August, increased by 27% in compare with last month. Export Ring trade value also rose by 20% due to its new guest, crude oil. other groups detail are shown in the following table:

Groups of Product Value (uSD) Percent

Industrial 727,252,094 60.09%

Agricultural 3,328,170 0.27%

Oil & Petrochemical Export Ring 144,589,206 11.95%

Domestic Ring 335,107,536 27.69%

Mineral 0 0.00%

Total 1,210,277,007 100%

Commodity | Summary

60.09%

0.27%

11.95%

27.69%

0.00%Industrial

Agricultural

Oil & Petrochemical Export Ring

Ring

Mineral


In the following figure you can see the market share of brokerage firms active in the IME regarding their trading value in August.

Brokerage Firm Market Share (%)

Iranian Rial Exchange Rate (As of August 30, 2011)

Code Currency in Rial Compared to Last Month (%)

uSD united States Dollar 10,580 0.36%

GBP Pound Sterling 17,349 0.23%

CHF Swiss Franc 12,931 -3.64%

AED uAE Dirham 2,881 0.38%

KWD Kuwaiti Dinar 38,884 0.78%

JPY100 Japanese Yen 13,768 0.25%

HKD Hong Kong Dollar 1,358 0.37%

OMR Omani Rial 27,479 0.37%

CAD Canadian Dollar 10,833 -1.83%

TRY Turkish lira 6,112 -2.10%

QAR Qatar Riyal 2,906 0.38%

SAR Saudi Riyal 2,821 0.36%

Commodity | Summary

10,50010,51010,52010,53010,54010,55010,56010,57010,58010,59010,600

USD to IRR

The above graph shows the exchange rate of united States Dollar to Iran Rial during August. while uSD exchange rate rose by 0.36%, CAD decreased by 1.83%. Other currency’s rate are shown in the table.

17%

10%

10%

8%7%7%5%

4%3%

3%

26%

Sepehr Bastan

Khobregan

Mobin Sarmaye

Bahonar

Seavolexkala

Kala Khavarmiane

Shahr

Tosee Saderat Bank

Hafez


NewsAfter 5 month of the beginning of Shamsi year,Mofid is still the leader of the marketAugust 30, 2011

On the last day of August, TSE released the list of brokerage firms regarding their trading value dur-ing last 5 months. Mofid Securities Company is the first on this list with 6.21% of total trading value among 87 brokerage firms. The total trading value of the last 5 months is around uSD 20,000 million. Mofid, also has the best market share of online trading having more than 35% of the online trades done through “mofidonline.com”. After Mofid, Nahayatnegar with 8% of trades is the second best company in online trading. You can see the summary of brokerage firms trading value from March 21, 2011 to August 22, 2011 in the following table:

Brokerage Firm

Trade Value

Online Normal Other Total

Value (uSD) Percent Value (uSD) Percent Value (uSD) Percent Value (uSD) Percent

Mofid 345,179,395 35.48% 750,834,121 4.76% 150,665,406 4.54% 1,246,678,828 6.21%

Behgozin 4,008,318 0.41% 392,857,656 2.49% 693,231,285 20.91% 1,090,097,259 5.43%Kaspian 16,361,815 1.68% 1,007,930,718 6.39% 8,222,968 0.25% 1,032,515,501 5.15%Khobre-gan

23,157 0.00% 526,855,388 3.34% 351,167,202 10.59% 878,045,652 4.38%

Hafez 7,189,792 0.74% 409,735,539 2.60% 459,460,302 13.86% 876,385,633 4.37%Rahnama 1,890 0.00% 146,991,304 0.93% 689,644,329 20.80% 836,637,524 4.17%Saderat Bank

15,427,221 1.59% 467,690,076 2.96% 286,879,112 8.65% 769,996,314 3.84%

Nahayat-negar

79,522,306 8.17% 636,458,034 4.03% 0 0.00% 715,980,340 3.57%

Mellat Bank

321,739 0.03% 538,364,461 3.41% 51,517,958 1.55% 590,204,159 2.94%

Bahman 24,785,917 2.55% 304,976,181 1.93% 247,552,268 7.47% 577,314,367 2.88%

Other 479,979,868 49.34% 10,592,357,278 67.15% 377,376,843 11.38% 11,449,714,272 57.07%

Total 972,801,418 100% 15,775,050,756 100% 3,315,717,675 100% 20,063,569,849 100%


Gold Coin Futures Transactions Volume Hits a new Record August 29, 2011

In the wake of the unprecedented welcome of the market participants and traders to the futures contracts of Bahar-e-Azadi gold coin, a new record in volume of transactions hit the market for the second time. As per report of the Public Relations and International Affairs of IME, the trading floor on Wednesday 24 August 2011, amassed with traders and the clients behind the floor, witnessed the total volume of trades in gold coin futures contracts as 13077 trades shown on the exchange screen worth 768 billion rials ( 72 million uSD).The report adds that according to the contract specification the contract size is ten coins equivalent to1/4 one troy ounce.The previous record was registered on Tuesday August 10, 2011 with total volume of 10508 trades worth 50 million uSD.

Iran Starts Crude Transaction in Kish Oil BourseAugust 20, 2011

TEHRAN (FNA)- Iran started transaction of crude in the country’s international oil bourse on the Per-sian Gulf island of Kish after the first shipment of Iranian crude oil was sold through the bourse.Mohammad Reza Khajenasiri, the chief supervisor of bourses and markets in Iran’s Bourse Organiza-tion, said that a shipment of 500,000 barrels of heavy crude oil were offered at the Kish Commodity Exchange on Thursday and were traded at $105.49 per barrel. The crude consignment was traded “without any discount or additional premium,” he stressed.Iran started fuel oil transactions in the Kish Oil Bourse early June. Some 35,000 tons of fuel oil was of-fered on the international trade hall of the Iranian Mercantile Exchange in the Persian Gulf island of Kish on the day.The base price for fuel oil was 621.35 dollar per ton and payment was made through Euro or Dirham accounts overseas under the supervision of the National Iranian Oil Company.Iran, having the world’s second largest oil and gas reserves, is trying to play a more active role in oil and petrochemical transactions in international markets. Recently Iran started offering gasoline in the Kish Island Oil Bourse.The Islamic Republic launched the first phase of the oil stock exchange on Kish Island for trade in crude and petrochemical products on February 17, 2008, and successfully managed to make the sec-ond phase operational in late 2009.

News |


Tehran Stock Exchange: Offers Bank Pasargard (BPI) to PublicAugust 16, 2011

Trading on Bank Pasargad’s equity shares was started on Tehran Stock Exchange for first time after listing. At the first day, 122 Million equity shares of BPI (as 9th listed Bank) were traded at the price of IRR 2,106 (0.20 uSD) with the total value of IRR 257 billion (24.4 uSD million).

“Today, Pasargad Bank was listed as ninth bank in TSE. So far, 6 private banks and three state banks, including Bank Saderat, Bank Mellat and Bank Tejarat in line of privatization programs, have been offered in the Exchange” Dr. Hassan Ghalibaf Asl, CEO of TSE, stated in an inaugural ceremony.

He added, “with regard to the price of 2,106 Rials per share, the market value of BPI reached 5.7 thousand billion Rial that is the largest value in the banking industry in TSE.”

BPI is a major Iranian bank which offers retail, commercial and investment banking services. The company was established in 2005 as a part of the government’s privatization of the banking system.

While established in Tehran, the bank operates throughout the country with 2930 employees and 269 branches. The bank is currently the fastest growing bank in Iran and is the fifth largest in the country.

In 2010, The Banker Magazine rated BPI among the top “1000 banks in the world”, ranking 435th overall. The Bank is also on The Banker’s list of the top 500 Islamic financial institutions.

Tehran bourse moves towards options launchAugust 5, 2011

Iran’s bourse plans to expand its fledgling derivatives market by launching options in the coming months despite the cold shoulder traders have given to single stock futures.Tehran Stock Exchange, whose operations are limited mostly to stocks, warrants and bonds, intro-duced single stock futures in July 2010 to help diversify, vowing to add options and stock index futures as next steps in the development of the country’s capital markets.Bourse officials have promised to launch the options by October but market analysts say the intro-duction could be delayed to the end of this year.Soudabeh Einali, a senior official in the exchange’s research and development department, said

News |


final preparations were under way to meet the deadline. Her department is in charge of regulat-ing options, which are to be approved by the Securities and Exchange Organization, which also supervises the exchange. No time frame is set for the launch of stock index futures. Traders suspect it could be next year.

IMF praises Iran on regulatory reformsAugust 3, 2011

The IMF has praised Iranian authorities for progressing financial sector reforms and improving eco-nomic indicators, despite sanctions on the country and its increasing political isolation.In a report published on Wednesday, the International Monetary Fund says Iran’s financial sector has “undergone major transformations in the last two years”. The IMF says four government-owned banks were privatized and listed on the Tehran Stock Ex-change while the Iranian central bank began supervising about 1,700 credit cooperatives.It says Iran needs to ensure its private banks have better capital adequacy ratios because of “the intrinsic volatility” of the country’s economy.The IMF says Iran has progressed corporate disclosure reforms and increased the central bank’s powers but that more still needs to be done.“It was critical that the central bank be given full autonomy to exercise its prompt enforcement powers (cease-and-desist), which are currently limited.”It says “intensified loan collection efforts” in Iran have brought the percentage of non-performing loans from 24.5 per cent of the total loan portfolio in January 2010 to 13.5 per cent in March 2011. The fund is positive about Iran’s medium-term outlook.“On the strength of high oil prices and expected efficiency gains resulting from the domestic sub-sidy reform, growth is expected to rebound to about 4.5 per cent in the medium term.”But in the same report, representatives from IMF member states have raised concerns about the im-pact of sanctions on Iran’s ability to meet payments and settlements under the international mon-etary system.The report says Iran’s main challenge is to grow its market-based economy while controlling infla-tion and maintaining stability.“large scale subsidies and inefficiencies have limited Iran’s ability to further develop its non-oil econ-omy. Iran’s total factor productivity growth has been low, and its energy-intensiveness increased in recent years.

News |

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Iran Market Reporter 04