BOVESPA

BOVESPA was founded in 1890 and today is constituted as a mutual, non-for-profit and self-regulatory organization under the supervision of the Brazilian Securities and Exchange Commission - CVM. Its Board of Directors - totally segregated from the Executive Board - has a multi-stakeholder composition made up of representatives from member brokerage firms, listed companies and institutional and individual investors. Since 2000, BOVESPA has operated as the sole equity market in Brazil.

More than 99% of equity and equity derivative trading is executed electronically through an order driven trading system called Megabolsa. Additionally, a Home Broker system through the Internet has been established allowing retail investors to transmit orders directly to the Exchange. BOVESPA also manages the BOVESPA FIX electronic system for corporate bond trading.

In recent years, BOVESPA has played a prominent role in disseminating corporate governance standards in Latin America through the creation of the Novo Mercado. This is a special segment for companies adhering to stricter corporate governance rules and representing more than 35% of BOVESPA’s current trading value. BOVESPA has spearheaded important initiatives such as regional integration, social responsibility and the increased participation of individual investors in stock market trading. It plays an important role in several international bodies, such as IOSCO, the World Federation of Exchanges and the Ibero-American Federation of Exchanges. BOVESPA has a permanent commitment to adapting to international standards, recommendations and best practices, ranking it in the forefront of stock exchanges in Latin America, where it represents 60% of the region’s total traded value.