President's Message
The CBSA journey under his stewardship

Transformational Phase for Colombo Stock Market

As a frontier market gearing for growth and transformation, the Sri Lankan equity market is passing a vibrant phase amidst widespread uncertainty prevailing in global financial markets particularly due to the Euro debt crisis, US economic slowdown and political unrest in the Middle East. The growth expectations of the Sri Lankan economy as it embraced post war development is highly encouraging, having recorded a more than 8% growth for 2010 and 2011, while expecting an approximately 6.5% growth for 2012. The continuous improvement in the macro-economic climate of the country will further intensify the country’s growth trajectory with an ambitious economic growth of more than 7% for the next few years, leading the country’s equity market into a new era. In this backdrop, my anticipation on the local stock market’s performance is quite optimistic, partly backed by prudent policy measures which are being implemented by the regulators.

Stock Brokers Key Players in Equity Market

In developing a vibrant equity market for the country, the role of Stockbrokers is paramount in the areas of transparency and in enhancing efficacy across the market. Facilitating a customer centric solution in securities trading in Sri Lanka would be a primary objective of this community, while maximizing financial returns for the broader investor community through prudent information on timely basis. Therefore, in my view effective operations of the stockbroking community would be an integral part of the continuous development of the overall capital market of the country.

The Crucial Role of Colombo Stock Brokers Association

A responsible securities industry is a vital ingredient of our national well-being which stands on professional integrity, uniform functioning and the creation of a transparent marketplace. The efforts of our Association centers on improving standards in the securities industry through effective negotiations with regulatory bodies, aggressively developing market depth and enhancing mutual understanding among stockbrokers, which will in turn will increase investor confidence, prompting the industry to enjoy the benefits of a vibrant marketplace.

CSBA's Future Plans

Introducing a code of conduct for all stockbrokers is a major focus area, cascading to a promotion of professional ethics and integrity among our membership. Investor education too will play a crucial role in developing an efficient market place, while avoiding irrational investment decisions which erode investor confidence. This points us towards yet another priority - education, which has already been initiated through the publication of a series of investor educational articles in the print media. Penetrating the Colombo Stock Market into the rural economy is also an imperative as this will enhance the depth of the market, while increasing liquidity.

Acknowledgements
I wish to thank the spearheads of all our member companies for their constructive and invaluable contribution envisaged in this transformational journey of the CSBA. My appreciation is also extended to the Board of Management of the Colombo Stock Exchange (CSE) and the Securities & Exchange Commission of Sri Lanka for the support, guidance and advice we continue to receive.