OREANDA-NEWS. June 25, 2015.

BME Report on the share ownership structure in Spain  

  • The participation of non-resident investors in the Spanish stock market reaches a record high, at 43% of the market value
  • Households own 26.2% of Spanish listed shares, the highest percentage in the last twelve years
  • Listed shares in the hands of non-residents reach €276 billion and those owned by retail investors are worth over €167 billion

At the end of 2014 the participation of non-residents in the Spanish stock exchange reached a record high, at 43% of the market value, almost 3% higher than in the previous year and 7.2% above the figure for 2007. Non-resident investors remain the main owners of Spanish listed shares and their participation is 5% higher than the EU average.

Over a fourth (26.2%) of the shares listed on the Spanish stock exchange were owned by Spanish households, with data for end-2014, according to the latest Report on share ownership structure in Spain, which BME publishes every year. This percentage of the ownership of listed shares in Spain represents over €167 billion.

Households are again the second most relevant share owners, at 26.2%, exceeding by 6 points the figure for 2007, at the start of the crisis. It is also the highest percentage in the last 12 years and more than double the percentage across the European Union. The data show the appeal among households of listed shares as savings instruments.

The rise seen in 2012 and 2014, of 5%, highlights the upward trend in share ownership by households, initiated in 2008. These figures reflect the gradually increasing confidence of households in decisions on savings.

The participation of Public Administrations decreased to 1.9% following the 2.3% rise recorded the previous year. As regards the diminished presence of Banks and Savings Banks in which the Government has no presence – it reached a record low, at 4.3%. This is 8 tenths lower than in 2013 and 11% down from 1992, reflecting the significant change in the strategic focus of the main Spanish banks.

Non-financial firms are the third most relevant group, at 17.1% of the market value, the lowest since the year 2000.

The group that comprises Collective Investment Institutions, Insurance companies and other non-bank institutions increased its relative weight in Spanish equities in 2014 to 7.8%, four tenths higher than in the previous year.

With data for the year 2014, it is likely that the participation of retail investors in the Spanish Stock Exchange will continue being much higher than the European average. According to the latest report from the European Commission on share ownership in Europe, based on data for 2012, the participation of European households in listed shares represented 11% of the total market value. Thus, the percentage for Spain (26.2%) is 2.4 times as high as the European.