The reference highlighted that the company “offers different types of products, ranging from fixed income, variable income, sureties, loans, investment funds, primary placements, derivatives, options, futures and batch terms.” At the same time, it defined itself as “a technology company that offers both negotiation and settlement platforms and custody, which are our three central axes.”
Changes in the capital market and technology
Fernández admitted that “There is a myth that Argentina has a very small capital market.” and the reality is that it is very small in terms of stock, because the Argentine saves little, the banks have few deposits and you do not have more pension funds like in other Latin American countries and there is a lack of long-term savings.
“When you start to see a variety of products, intermediaries and technological offerings, I think Argentina is doing very well. With a more orderly macro and letting the markets form the prices of the assets, which is something that in Argentina we were losing,” compared.
The MatbaRofex representative assured that “the greatest added value” of the firm “is that Any Argentine on their cell phone can see how much soy is worth in cash for next year or wheat for December and it helps them make decisions about whether to plant one crop or another, or when to do it.”
At the same time, Araya expressed himself “optimistic about the future that is coming for the capital market, taking into account deregulations, possible elimination of the stocks and the drop in inflation.”
“We are preparing for the coming capital market. We have been making great leaps at the level of technological infrastructure, preparing for a different panorama with the entry of international or institutional investors, but also caring for and protecting and offering more products to the investors we currently have,” he said.
“We are talking about a number of very large participants in the market. We are reaching 13 million accounts in Caja de Valores that want to transform their savings into investments. And that happened a lot hand in hand with the increase and technological development that the markets have, because behind the fact that one can enter an app to see a certain price or buy, behind there is technology and infrastructure that makes this practically automatic from the cell phone, by pressing a button and doing it instantly,” projection.
The effects of the stocks on the activity
Fernández considered that the exchange rate “It is one of the most distorting restrictions on the free formation of prices, because the exchange rate is like a basic price that influences all other goods in the economy.”
Specifically, regarding the effects it causes on Matba, Rofex stated: “The dollar futures that we operate, to the extent there are stocks, have lower volume and utility. An exporter or importer who uses it to cover their payments, in reality the product is of no use to them because they do not have access to the MULC.”
At the same time, he pointed out that “all Argentine exports, instead of settling at the official exchange rate, can settle 20% through the bond market and that takes away volume from agricultural futures operations.” “They are distortions that come from before, they are not from this government, which has not yet removed them,” he pointed out.
Regarding an eventual exit from the capital control measure, he said: “I think the harmful effects outweigh the benefits, by far. I understand that the government is prudent and does not want to have an exchange rate run, but as CEO of a market that wants the freedom of price formation for the economy’s goods, I want it to be released as soon as possible. Yes, I understand that maybe we have to wait.” “I think it could be at the beginning of next year,” forecast.
Meanwhile, Araya was “optimistic that the economic variables will be adjusted to generate growth” and admitted that “there are still tasks to be done regarding market regulation such as the elimination of parking, the reduction of inflation and the elimination of stocks.”
“In addition, we know that investors are also going to push our buttons a bit in terms of objectives and new products and as a technology company we have different alliances with Nasdaq, EPA and Amazon Web Services,” he added.
The bet on credit
When asked about the possibilities of credit, Fernández pointed out that “if you take what are common investment funds, they are above 30 million, “The level of inclusion is tremendous.” and maintained that “this was because the peso was devaluating and rather than having it dead, people wanted some return.”
“The mutual fund industry, which is the general public’s gateway to the capital market, gives you other tools that include SME instruments, private fixed income and investments abroad, because Argentines must be allowed to invest wherever they want and to choose to invest in Argentina, not because they are forced to,” he stated.
The MatbaRofex representative considered that “in the past, banks and the capital market were thought of as two dichotomies, but The banks have lost the gymnastics of lending and surely part of the financing they provide in the first years will be very focused through capital market instruments.”
To the same extent, Araya highlighted the BYMA Primarias platform. “BYMA’s primary market is precisely the possibility that SMEs and large companies can finance themselves through the capital market, “It is the engine of the real economy.”he highlighted.
“Of the 13 million client accounts, 30% come through virtual wallets and not only offer this first entry, which is to remunerate the account and have a common investment fund behind, but right now the wallets are offering other alternatives and there “We have other types of instruments such as the purchase of the MEP dollar,” he added.
Financial education as a fundamental value
Along these lines, Fernández pointed out as “very important” the financial education and he considered it key “that the candidate to be educated starts young” because what you see with what happened in San Pedro (Rainbowex) “The last week is that people buy promises of returns that are absolutely impossible and that is very easy if you educate yourself that nothing is so wonderful and that there cannot be such easy investments.”
“When I was a kid you learned at the end of your university career, today you have to get to high school,” He stated and explained that “from the age of 13 you can educate a lot.”
In turn, Araya indicated that “Byma has a great commitment to financial education, with “free talks and programs to teach investors from the very basics what savings is, what investment is and all the instruments that can be channeled through the capital market.”
Regarding the possibility of investing from the age of 13 that the government enabled, he considered that “it is essential that it comes accompanied with financial education to equalize opportunities for all” and highlighted: “We have launched a simulator in which anyone who wants to participate has a front end just like any other trading platform and it is totally free.”
Future projects
Finally, Fernández referred to the company’s future projects. “We have a technology business with third parties. We not only build the technology that the market uses, but we also sell technology to participants in the Argentine capital market and we have operations in other countries. Latin America, very strong in Mexico”, projection.
And announced: “The next step is a merger process with another of the markets, which is the Electronic Open Market (MAE) and we are calling assemblies for October and November to approve a merger process.”
“This is fundamental because to the extent that you take the best available technology, not fragmenting liquidity between different markets, you become cheaper and more efficient. We are working a long time so that In the first months of 2025 it will already be operating as a single market, which will be called A3”, he sentenced.
In turn, Araya pointed out that “the development of new products is constant” and highlighted that “The Brazilian CEDEARs were very well accepted by our investors and we have recently released new equity futures.”
Thinking about the next steps, he anticipated that “new CEDEARs are coming that we believe are going to be one of the biggest milestones of the year, with top-level companies and funds that have a lot of volume,” while clarifying: “The announcement will be next week.”
Source: Ambito
David William is a talented author who has made a name for himself in the world of writing. He is a professional author who writes on a wide range of topics, from general interest to opinion news. David is currently working as a writer at 24 hours worlds where he brings his unique perspective and in-depth research to his articles, making them both informative and engaging.
