The company will begin the process of going public during an Initial Public Offering (IPO), when it will offer its shares to the general public for the first time. Once the public offering is completed, the company goes public and its shares start trading. This means that the price of the share will be determined by supply and demand in the market. The share price fluctuates and is influenced by factors such as the company's performance and profitability, the economic and political environment, market sentiment and so on.
The shares are traded in continuous mode on the Xetra® T7 electronic trading system operated by Deutsche Börse AG, which is a combination of an order- and quote-driven system. Orders are processed according to price and time priority. The exception is trading at the closing price, where only time priority is used. Trading is anonymous. Detailed information is given in the Rules for Separate Auction and Continuous Trading.
Trading takes place on weekdays from 8am to 4:30pm. A detailed schedule of the trading day is published on the PSE website. The results of the exchange day are published in the official price list at 5:15pm. There is no trading on weekends, public holidays and the last day of the year. The list of non-trading days is given in the Exchange Days Calendar.
Each market has its own specificities, different conditions of entry or requirements for issuers regarding their information obligations. The Prime Market is the most prestigious regulated market of the PSE with the strictest requirements, the Standard Market is a regulated market for other equity issues, the Free Market is an unregulated market for dual listings and the unregulated Start Market is only open to Czech and Slovak companies. Detailed information and requirements for issuers can be found in the Rules of each market.
| Prime Market |
Standard Market |
Free Market |
Start Market |
| PM Rules | SM Rules | FM Rules | SM Rules |
Each issue has its own tab on the PSE website, where you can find, for example, the current and historical share price, the market capitalization of the issue, information on traded volumes, company profile and financial news.
Financial statements are included in the annual reports or financial statements of all companies whose shares are traded on the PSE.
For companies whose shares are traded on the Start Market, you can also find financial data and basic financial ratios (balance sheet and income statement) in the About the Company folder. The data can be exported in editable XLSX format.
Each issuer must comply with relevant Czech and EU legislation. These include, but are not limited to, the Capital Market Undertakings Act and the Market Abuse Regulation. The Market Abuse Regulation is an EU law that deals with the definition of inside information and how it should be disclosed, insider position (trading and management transactions) and market manipulation.
Each issuer has an investor section on its website where it publishes the information required by the relevant legislation as well as other information and documents relevant to investors. Certain documents or notices are also published on the website of the PSE and on the website of the relevant supervisory authority.
Issuers on the Start Market are obliged to disclose important events and financial indicators to investors and analysts during the so-called Start Days (Start Market Rules - Article 9). During the Start Days, representatives of issuers present up-to-date information regarding the issuer's performance and the development of its business. The dates and programme of the Start Days are determined by the Exchange. The Start Days calendar is published on the Exchange's website.
Issuers that are preparing to enter the Start Market may also present during Start Days. These are so-called IPO or pre-IPO presentations. Existing issuers can also inform investors about their next subscriptions, i.e. Secondary Public Offering (SPO).
Investors can buy and sell shares traded on the PSE through a securities dealer. Investors should first obtain as much information as possible about a particular share and its issuer, and analyse the potential investment opportunity thoroughly. If you do not have sufficient knowledge and experience in the field of investing, it is better to consult experienced professionals in the field of financial and investment advice.
Investors must have an investment account and place their order either online, over the phone or in person at a branch. The investor must check all trading conditions with their trader.
If you are unsure or have any questions about investing and trading in the stock market, contact your stockbroker or financial advisor.
Share purchase fees should be verified with the trader who will broker the orders for you. The fee policy is certainly one of the criteria that should be considered when choosing a trader.
