(Vienna) For the fourth time, the Vienna Stock Exchange invited 4,000 industry representatives to vote for the stock market taboo word of the year. This year’s decision was clearly made in favour of "corona-related". Due to the coronavirus a multitude of restrictions on social and economic life were implemented. Discussions on dividend bans and a radical change in daily working life were only some of the consequences. The other contenders are "lockdown" and "dividend ban". The latter caused some very heated discussions, as domestic value companies are highly sought after by investors, also because of their attractive dividends. Many professionals fear that the international investors who are so urgently needed for the recapitalisation of the Austrian economy could be sorely missed.
Stocks are attractive as tangible assets
The pandemic caused high volatility on stock markets worldwide. The Vienna Stock Exchange also recorded strong price fluctuations with high trading volumes. Due to its cyclical composition, the ATX suffered more than other national indices. However, analysts agree that this circumstance changes from a burden to an advantage during economic upturns. The COVID19 vaccine news led to a monthly record rallye in the ATX of 24% in November, marking the strongest monthly performance since the index was launched. The severe setbacks of the 1st quarter could thus be partially made up for."Retail investors have to look beyond the daily news and focus on longer-term developments. Those who discovered shares as an investment in tangible assets due to corona, saw the opportunity in the crisis and hopefully seized it," says Christoph Boschan, CEO of the Vienna Stock Exchange.
Since 2017, the Vienna Stock Exchange has been determining the stock market taboo word inspired by the Austrian word of the year. The term reflects a situation that has burdened the financial community in the current year. Over 4,000 industry representatives were invited to vote by the Vienna Stock Exchange, supported by associations such as C.I.R.A., ÖVFA and VÖIG. In 2019, the Austrian financial community chose "Brexit" as the stock market taboo word, in 2018 it was "punitive tariffs" and in 2017 "negative interest rates".
For further information, please contact:
Julia Resch
Head of Corporate Communications & Marketing, Spokesperson
julia.resch@wienerboerse.at
+43 1 531 65-186
Maria Zorn
Media Relations Manager
maria.zorn@wienerboerse.at
+43 1 531 65-110
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