ATR Kim Eng mulls online stock trades in 2009

ATR Kim Eng Securities Inc. (ATRKESI), a member of the Singapore-based Kim Eng network, is planning to offer Internet-based stock trading to clients next year when market conditions improve.

Lorenzo Roxas, chairman and president of ATRKESI, said the company plans to offer online trading services simultaneous with the Philippine Stock Exchange’s launch of a new trading system in the middle of next year The plan, however, is subject to favorable market conditions, he said.

Roxas said the plan is intended to boost its trading volumes as the brokerage firm adopts strategies ranging from expanding its network of branches to increasing retail trading accounts. Plans include setting up branches in Bacolod and Tacloban to add to existing branches in Cebu and Davao.

Institutional investors currently account for 90 percent of ATRKESI’s total accounts while the balance of 10 percent comprise retail investors.

In 2007, ATRKESI ranked fourth in trading volume on the local bourse, with total turnover of P 193 billion. It serves foreign institutional investors via Kim Eng Holdings Ltd.’s sales desks in New York, London, Hong Kong and Singapore. 

Parent firm ATR Kim Eng Financial Corp. recently raised P623 million through a stock rights offering to fund the expansion of its insurance and lending businesses as well as for real estate ventures.

Around P400 million of the sales proceeds will go to the improvement of ATR Kim Eng’s retail brokerage and asset management operations and the expansion of the Department of Education Teacher Lending program and real estate business.

About P80 million to P120 million will be used to repay debt to BPI Family Bank (P41.25 million) and Union Bank of the Philippines (P77.67 million).

Another P80 to P120 million has been set aside for working capital and other corporate purposes.

ATRKE Financial is a full service investment bank, focused on corporate finance, corporate debt restructurings, financial advisory, fixed income, and trust services. Its subsidiaries and affiliates are involved in insurance, money brokerage operations and real estate. In 1997, the company acquired its trust license from the Bangko Sentral ng Pilipinas, which authorized it to perform trust and other fiduciary business and investment management activities.