Importance of securities market not always visible or understood says Euronext Lisbon boss

Portugal Capital Markets Day, a two-day event that aims to showcase Portugal as an attractive destination for national and overseas investment, returned to Lisbon on November 12 and 13.

The second edition of the Portugal Capital Markets Day conference, held at Culturgest in Lisbon, jointly organised by Euronext Lisbon and the Association of Companies Listed on the Securities Market (AEM), presented a study by the Católica University on investment opportunities in Portugal entitled: “Portugal as a Prime Investment Destination: Infrastructure & Innovation at the Core”

“We want this initiative to be a snapshot of the Portuguese economy, showing the profound transformation of the country, which is not always visible or understood,” said the president of Euronext Lisbon, Isabel Ucha, in the first speech at the conference.

Among those present at the event were the Prime Minister, Luís Montenegro, the CEO of Caixa Geral de Depósitos, Paulo Macedo, the Secretary of State for the Treasury and Finances, João Silva Lopes, and the Head of the Portuguese securities market regulator CMVM, Luís Laginha de Sousa.

Isabel Ucha again highlighted the importance of investment attraction and better liquidity for the valuation of Portuguese companies.

The event organisers organized 250 individual and group meetings between Portuguese companies and 55 institutional investors from Spain, France, Belgium, Great Britain, Italy, Switzerland, Finland, and Singapore over the two days at Lisbon’s Pestana Palace Hotel.

These investors also had the opportunity to learn about the Government’s vision at a dinner with the Minister of Infrastructure and Housing, Miguel Pinto Luz.

“We want to show them how Portugal is progressing in critical and competitive areas, such as innovation, talent and infrastructure, some of which are also recent,” explained Isabel Ucha.

Companies have essential role for sustainable and competitive economic growth 

The President of the AEM, which represents listed companies on the Euronext Lisbon stock exchange, Miguel Athayde Marques (Pictured), highlighted a firm belief in the “essential role that companies had for Portugal’s sustainable and competitive economic growth”.

“These companies give scale to the Portuguese economy”, he argued, because they “invest, innovate, offer qualified jobs and international links”.

Miguel Athayde Marques, who is also Deputy Dean of University Católica said the capital markets had a relevant role in the financial system.

“It is also our strong conviction that any discussion on the future of the Portuguese economy should place an emphasis on the capital markets and long-term investment products.

The capital markets should not be seen as a sector separate from the rest of the real economy. They are essential drivers for growth, value creation, turning savings into investments, and innovation in value and wealth that can be distributed through society”, he said.

It was for that reason that the AEM insists that the development of the capital markets should be seen as a national priority.

“In realty, the capital markets bring diversification in sources of company financing, reinforcing a strategy of independence”, he added.

Miguel Athayde Marques pointed out that the capital markets also built sophisticated ecosystems, created good jobs and attracted talent.

In turn, Isabel Ucha said that the European agenda valued the financial system, demonstrated by the Savings and Investments Union – a way of attracting small capital to companies.

“Europe has realised that playing the innovation game requires the solidity of a toolkit, namely more effective and integrated capital markets.

The success of this initiative also depends on the vision and commitment of the governments of the different countries,” recalled the president of Euronext Lisbon.

The example she gave was Sweden, which went from 200,000 investors in 2012 to the current four million, almost half of the population, strengthened the defence of this culture of risk and entrepreneurship.

“This is lacking in some countries, particularly in Portugal,” warned Isabel Ucha.