What Is the Santiago Stock Exchange (SSE)?

The term Santiago Stock Exchange (SSE) refers to the premier stock exchange of Chile. Located in Santiago, the SSE trades stocks, bonds, investment funds, derivatives, along with gold and silver Chilean coins. Founded in 1893, it is one of the largest stock exchanges in Latin America. The exchange is part of the World Federation of Stock Exchanges.

Key Takeaways

  • The Santiago Stock Exchange is the premier stock exchange of Chile.
  • The SSE trades stocks, bonds, investment funds, derivatives, along with gold and silver Chilean coins.
  • There are three published indexes that attempt to mirror the SSE's performance—the General Stock Price Index, the Selective Stock Price Index, and the Inter-10 Index.

Understanding the Santiago Stock Exchange (SSE)

The Santiago Stock Exchange was founded in 1893. It is among the three exchanges that trade in the country along with the Chilean Electronic Stock Exchange (Bolsa Electronica de Chile) and the Valparaiso Stock Exchange (Bolsa de Valores de Valparaiso), which was shut down in 2018. Its stated mission is to provide exemplary service for the growth of Chile’s securities market. The exchange holds itself to the following pillars:

The Santiago Stock Exchange aims to provide its customers with trust, efficiency, and security.

The SSE—which is also called Bolsa de Comercio de Santiago—runs between 9:30 a.m. to 4:00 p.m. local time in the winter. The exchange stays open until 5:00 p.m.local time in the summer. The Santiago Stock Exchange has several markets that trade in equities, money market instruments, fixed income securities, exchange traded funds (ETFs), derivatives, and foreign securities. Some of the companies that trade on the SSE include Chilectra, Sintex, and Axxion. The exchange also has an electronic trading platform called Telepregon.

The Santiago Stock Exchange became a member of both the Iberoamerican Federation of Exchanges as of 1973 and the World Federation of Stock Exchanges in 1991. The exchange has received a number of acknowledgments and awards, such as the Infrastructure and Technology CETIUC award from the Pontifical Catholic University of Chile in 2009, the Best Business Initiatives 2010 award from the financial newspaper Diario Financiero. The SSE was also voted the Best Stock Exchange in Latin America by the financial magazine Euromoney in 2014.

As part of the U.N. Sustainable Stock Exchanges Initiative, the Santiago Stock Exchange is among the international exchanges that promote sustainable development.

There are three indexes published that attempt to mirror the SSE's performance. The first one is called the General Stock Price Index, or Indice General de Precios de Acciones (IGPA). This is a market capitalization-weighted index. The Selective Stock Price Index—also called Indice de Precios Selectivo de Acciones (IPSA)—is made up of the exchange's 40 most-traded stocks. The final index is the Inter-10 Index consists of 10 major national stocks listed through American Depository Receipts (ADRs) on foreign markets.

Special Considerations

As noted above, the exchange was founded in 1893. Construction on the building where the exchange is located—and still is today—began in 1913. Here are a few other milestones for the exchange:

  • 1973: The Santiago Stock Exchange becomes a founding member of the Latin American Federation of Exchanges (FIAB).
  • 1977: The Selective Stock Price Index (IPSA) is created.
  • 1988 to 1989: The Telepregon system launches electronic trading of stocks and debt instruments.
  • 1990: Chilean companies start trading in international markets.
  • 2000: The exchange initiates the foreign market for the listing and trading of foreign securities.
  • 2012: The exchange concludes the bidding process for the IPSA, IGPA, and INTER-10 indices, which creates ETFs in Chile.