OSE All Share Index (Oslo)

The Oslo Stock Exchange is a medium-sized stock exchange based in Oslo, Norway. Domestic market capitalization, or the number of issued shares of domestic companies, including their several classes, multiplied by their respective prices at a given time, is $353,353 million (2007)—an increase of 26.2 percent from 2006, making the Oslo Stock Exchange 24th in the world in terms of domestic market capitalization. It is also ranked 28th in the world in terms of growth. Market capitalization over gross domestic product, an indicator of the relative importance of stock exchange in local markets, has been increasing sharply, from 43 percent in 1997 to 81 percent in 2007.

As of 2007, 241 companies were listed on the Oslo Stock Exchange, 40 of which were foreign. Also in 2007, 30 new companies were listed, six of which were foreign. Concurrently, a relatively large number of firms—18, all domestic—was delisted.

The origin of the Oslo Stock Exchange is commonly traced to the Exchange Act of 1818 and the April 1819 opening of the Christiania Exchange. Originally, the stock exchange facilitated exchanges of foreign currencies, specific goods (e.g., ships), and a limited number of commodities. The exchange started listing prices for stocks and shares on March 1, 1881. The level of activity in stock and shares trade was very modest before World War I. The postwar era was characterized by a shift from trading commodities and foreign currencies to trading stocks and shares. The Norwegian economy was strictly regulated following World War II. Deregulation in the 1980s and the revival of the Norwegian economy after the discovery of commercially viable oil fields off the west coast of Norway were largely responsible for the steady growth of the exchange ever since.

It should be noted, however, that like many other exchanges around the world, the level of activity in the Oslo Stock Exchange has been affected by global economic shocks (e.g., the Great Depression, the oil crisis of the 1970s, and Black Monday in 1987) and speculative booms (e.g., the period after World War I and the dotcom era).

The Oslo Stock Exchange was one of the first movers into the age of electronic trading. As early as 1988, the exchange put an electronic trading support system in place. As of 1999, a new electronic system both eliminated brokers' need to have any physical connection to the exchange and, more important, allowed trading to take place from anywhere in the world. The exchange was very late in introducing option trading, however. It was not until 1990—some 20 years after option trading had begun in the United States—that an option market was opened at the Oslo Stock Exchange.

The OBX index is a weighted summary of the value of the 25 most liquid stocks traded on the Oslo Stock Exchange. The index is adjusted for divided payments and is revised every June and December. The index is tradable in its own right, and futures and options services are available. It is heavily dependent on the energy sector generally and on the performance of StatoilHydro ASA in particular. The weight of this company in the index varies at around 25 percent, and its market capitalization is approximately 40 percent of the market cap of all 25 firms in the OBX index.

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