The Stock Exchange… Where to Start?

  • Make sure to obtain from your broker a trade confirmation proving the payment for the securities purchased or the sale of the securities.
  • Always keep all documents related to your transactions.

Be sure to include:

  • Your full name,
  • The company’s name (security name),
  • Date of the order,
  • Type of order: buy or sell,
  • The number of securities you wish to trade,
  • The price: either set your own price or request the market price,

  • The validity period of your order.

    When setting a price, you indicate the maximum price you are willing to pay to buy, or the minimum price you are willing to accept to sell.

  • Choose the securities of the company in which you want to invest.
  • Choose the Brokerage Firm that will support and execute your investment process. Inform them of your investment plan and your financial capacity.
  • If you plan to entrust the management of your portfolio to the Broker, request a management agreement approved by the Financial Market Council and review it carefully.
  • Get information on all applicable costs: the commission schedule for the various services provided and, in the case of a management agreement, the management fee.
  • If you have made your decision to invest, open an account with the Broker.
  • Place your buy/sell orders with the Broker, indicating the securities you wish to invest in / divest from, the quantities, and the purchase/sale prices.

  • Have a good understanding of how the market operates in order to assess risk factors and the performance drivers of the stock market.
  • Define your investment time horizon: short, medium, or long term.
  • Study the financial data and disclosures published by publicly listed companies that may be of interest to you.
  • If interpreting financial information seems difficult, do not hesitate to consult a specialist.
  • Review the available investment alternatives and opportunities.

What About My Rights as an Investor?

As soon as you become a shareholder in a public limited company making a public offering and listed on the Stock Exchange, the Commercial Companies Code, the laws governing the financial market, and the regulations of the Financial Market Council grant you the following rights:

  • Attending general meetings,
  • Pre-emptive rights in the event of new share issuances,
  • Dividend entitlement,
  • A share of the company’s assets in the event of liquidation,
  • The right to petition the courts to annul decisions taken by General Meetings that violate the law or the company’s bylaws.

What Information Do I Need to Invest?

These may include:

  • The size of the company,
  • The company’s annual performance,
  • The company’s performance compared with its sector,
  • The company’s productivity level and its competitive advantages,
  • The company’s management style and the reputation of its leadership,
  • The share price,
  • The price-to-earnings (P/E) ratio,
  • The dividend payout ratio,
  • The share turnover ratio.

Once again, if you are unable to correctly analyze and interpret such data, consult specialists and make sure you fully understand.

Learn more

Useful links

Quickly access a selection of sites related to the Tunisian Financial Market.

Glossary

Consult the definitions of key financial terms and concepts to better understand how the stock market works