Vienna Stock Exchange Reviews 2024 with Record-Breaking Developments and Strategic Initiatives
The year 2024 will go down in the history of the Vienna Stock Exchange as a year of upswing and trend-setting developments. After a rather subdued previous year, the Austrian capital market recorded impressive growth figures in several areas. Particularly noteworthy are the significant increase in share turnover, a new record for bond listings, and the implementation of strategic measures to further strengthen the Vienna Stock Exchange as an important financial center in Europe.
After a subdued previous year, share turnover on the Vienna Stock Exchange picked up noticeably in 2024. The leading Austrian index including dividends reached a new all-time high. / Picture: © Wiener Börse AG / VSE Vienna Stock Exchange
The Vienna Stock Exchange experienced a significant upturn in equity trading in 2024. Total turnover rose to EUR 64 billion - an increase of over 17% compared to 2023. The main reason for this increase was an exceptionally strong trading volume in the real estate sector between June and September. With a trading volume of €8.1 billion, September proved to be one of the four strongest months in terms of turnover in the last decade.
Particularly high turnover was achieved on individual trading days, with September 20 being the most active day with a volume of 891.5 million euros, followed by March 15 with 812.8 million euros and June 21 with 802 million euros. Among the most traded shares were Erste Group Bank AG with 11.0 billion euros, OMV AG with 7.6 billion euros, and CA Immobilien Anlagen AG with 6.9 billion euros.
An important step towards improving the trading infrastructure was taken with the introduction of midpoint trading. This new function in the Xetra T7 trading system makes it possible to trade Austrian shares in a separate order book at a midpoint price between the best buy and sell limit. This allows investors to benefit from better execution prices and increased market liquidity.
Bond market: Vienna remains a leading address for listings
The bond market experienced another record year. With over 13,400 newly listed bonds, the Vienna Stock Exchange surpassed the previous record year of 2023 with 8,311 listings by more than 5,000 issues. Vienna's increasing importance as an international listing venue was particularly noteworthy.
One outstanding example was the issue of the first green bond by a European steel company. voestalpine AG launched a green bond with a volume of EUR 500 million on the market, a strong signal for sustainable investments in the industrial and energy sector. But it was not only European companies that used Vienna as a listing platform - the Mongolian capital Ulaanbaatar also issued a government-guaranteed bond for USD 500 million on the Vienna Stock Exchange.
With 1,100 active issuers from 39 countries, Vienna has consolidated its position as one of Europe's leading listing centers. There was also a significant innovation in the trading of Austrian government bonds: since March 2024, these have been tradable in a continuous auction, which offers greater transparency and better prices, especially for private investors.
ATX Total Return: several new all-time highs
Vienna's leading index, the ATX, recorded several new all-time highs in 2024. The ATX Total Return, which includes dividends as well as share price gains, reached a record high of 8,706.77 points on September 2. By the end of the year, the index was still 9.84% above its level at the beginning of the year at 8,365.71 points. The classic ATX excluding dividends rose by 4.50% to 3,589.54 points.
Banking stocks were among the top performers of the year. BAWAG Group AG recorded a price increase of 65.69 percent, Erste Group Bank AG rose by 60.31 percent and Addiko Bank AG posted a gain of 41.57 percent. The total market capitalization of the companies listed in Vienna also increased to 124 billion euros.
Setting the strategic course: More functionality and an appeal to politicians
In addition to the impressive trading figures, 2024 was also a year of important structural changes in the Vienna Stock Exchange. The introduction of midpoint trading and the improvement of market transparency for federal bonds are two examples of targeted measures aimed at making Vienna more attractive as a capital market location. However, Stock Exchange CEO Christoph Boschan still sees a need for political action. In an open letter, which he published together with the Chairman of the Supervisory Board Heimo Scheuch, he calls for better promotion of private pension provision in Austria.
“Austrians are still being penalized when it comes to private pension provision. The reintroduction of the retention period for securities or the introduction of a retirement savings account was already on the agenda of the last government. While Germany is introducing a tax-privileged retirement savings account, Austria urgently needs to follow suit,” says Boschan. He advocates a capital market-oriented reform that should offer investors more incentives for long-term investments. In his opinion, the capital market has many solutions for the economic challenges of the future - now is the time to act boldly.
Outlook for 2025: What trends are emerging?
With 254 trading days, 2024 was an eventful year for the Vienna Stock Exchange. For 2025, 253 trading days are planned. The last trading day of the year will end on December 30 with an early closing auction at 2:15 pm. The major trends for the coming year will be determined by several factors. The interest rate development of the European Central Bank will continue to be decisive for the attractiveness of shares and bonds. In addition, it remains to be seen whether Vienna will continue to be used as a listing venue by international issuers and whether midpoint trading can sustainably increase market liquidity.
Another crucial question will be whether there will be regulatory changes that facilitate private investments. While Germany is creating new incentives for retirement provision, it remains to be seen whether Austria will introduce similar measures. One thing is certain: the Vienna Stock Exchange has not only delivered strong figures in 2024 but has also set the course for future-oriented development. Investors and market participants can look forward to seeing how this momentum will continue in 2025.