Today, the worst crisis to strike the Romanian stock exchange in the past ten years has brought about losses worth €15 million for listed companies, and a 50-60 percent drop for main shares. Many investors are opting to “freeze” their portfolios to await a stock exchange comeback in 2009.
Major shares plunged back to 2005 prices, but investor aversion to risk is more pronounced. “There were signs that warned of a possible crisis, but no one could have predicted the magnitude of this drop,” said Liviu Giugiumica, General Manager of Unicredit CA IB Securities Romania, one of the largest brokerage companies on the market.
The stock exchange suffered from the financial crisis that hit international markets, but the lack of Romanian portfolio investors, to make long-term investments, heightened the plunge
