We at PSE are committed to good governance; we believe that our success on the long run is linked with our responsibilities toward our shareholders and stakeholders. And as an essential part of our commitment our governance structure complies with the advanced standards of good governance.

As a component of the national economy we feel that we have a commitment in enhancing the codes of good governance in Palestine, and we seek to create a model in this aspect through managing a market which is orderly, fair in its structure and transparent, impartial in its information.

So, we appeal all related parties (shareholders and stakeholders) to join us and contribute in enhancing the quality of PEX through practicing good governance not only for their business growth but also for the prosperity of Palestine.

Memorandum of Association         Articles of Incorporations         PSE Governance Guide

Corporate Social Reponsibility Policy

Palestine securities exchange PLC. Board of directors is considered responsible for leading the company directly and indirectly through his committees. The board works on setting the strategic direction of the company, approving policies and working plans in addition to supervising the executive management and monitoring the efficiency of its internal controls.

The board of directors believes that delegating his authorities and duties to his committees doesn’t dissolve him from the responsibility over the company good management.

According to articles # 11 and 90  of the Securities Law No.12 of the year 2004 and the disclosure instructions issued by the Palestine Capital Market Authority (PCMA) and the prevailing disclosure regulations of Palestine Exchange (PEX), the Palestine Securities Exchange PLC (PSE) Board of Directors, their representatives, their first degree relatives, the company employees and their first degree relatives adhere to disclose their stocks transactions in listed companies in general and in the Palestine Securities Exchange PLC in particular.

The disclosure should be made to both the PCMA and PEX within three working days of the transaction date. Consideration must be taken that, based on the PCMA instructions; it is forbidden for the Board of Directors, their representatives, their first degree relatives, the company employees and their first degree relatives to sell the bought securities until a month after the possession date.

  To review the directors' shareholdings disclosures, click here.

Investors seeking to buy shares should seek professional advice before investing in the Exchange. The following are some investment considerations and risks associated with shares:

1.    Political and economic trends:

The Exchange is registered in Palestine with headquarters based in the city of Nablus. Palestine has been influenced by political fluctuations over the past years and especially during the years of the Intifada, which have adversely affected the Palestinian economy causing high unemployment rates leading to poverty and limited investment.

2.     Risks of legislation

Despite the significant change created by the adoption of the Securities Law No. 12 in 2004, the legislative branch has yet to complete the enactment the entire package of commercial and financial sector laws, which would have enhanced the investment environment in Palestine. Any change in existing legislation may affect the activities of the Exchange.

The Exchange is supervised by the Capital Market Authority and the instructions it issues; it is the regulator of the non-bank financial sector, including the securities industry, brokerage firms and their activities, securities advisers and others persons working in the securities sector. Any changes to the rules and regulations issued by the Capital Market Authority may affect the activities of the Exchange.  Also note that the Capital Market Authority receives fees assessed as a percentage of the Exchange’s commissions, being the main source of income for the Exchange 

3.    Competitive edge

Like other countries in the region (except the United Arab Emirates which has a special political characteristic), Palestine has one exchange only. Considering most other countries, including the most dominant ones, also have only one exchange, it is not expected that a second exchange will be established.  Further, the Exchange has captured most public limited liability shareholding companies . The real competition lies in nearby markets which sometimes drain liquidity from our economy and Exchange since local investors invest in other Arab markets especially in Jordan, Egypt and the UAE.

4.    Stock price volatility

Despite the controls placed on the trading of shares following listing, share prices are subject to market fluctuations. There will be no guarantee that the value of the shares will rise or that the share price does not fall once listed.

5.    Exchange dividend policy

Our dividend policy depends upon profitability and the availability of sufficient reserves to distribute those dividends to shareholders. Dividend distribution is not guaranteed.

6.    Risk of legal action 

The Exchange has no pending legal actions.  Foreseeable potential legal risks that we may be exposed to may arise from third party claims in relation to multi-party trading.  There have been no such claims or any other claims brought against the Exchange.