ZAR X debuted on Monday this week, settling its first trade, a buy order for 100 shares in agricultural group Senwes at R10.50 a share, in just under ten seconds. This included it being matched, settled and cleared, said company CEO, Etienne Nel (pictured).
In 2016, the JSE implemented a four-day settlement cycle (T+3), making ZAR X's real-time settlement the fasted in the domestic capital markets, and consistent with global best practice.
ZAR X began its licence application process over two years ago. The company was awarded its licence on 31 August 2016, albeit to much industry upset. A recent appeal against the awarding of the licence was brought by the JSE and 4 Africa Exchange (4AX) against the registrar and ZAR X, though this was dismissed with costs by the FSB's appeal board. The JSE has contested ZAR X's licence since 2015, and has launched four appeals since then. The matter was concluded on 10 February when Judge LTC Harms, deputy chair of the FSB appeal board, concluded that there was no evidence the JSE would suffer harm or prejudice amid the launch of ZAR X.
This is the first time in half a century that a company has listed on an exchange in South Africa other than the JSE.
