Norway - Stocks traded, turnover ratio of domestic shares (%)

The value for Stocks traded, turnover ratio of domestic shares (%) in Norway was 34.41 as of 2019. As the graph below shows, over the past 38 years this indicator reached a maximum value of 186.23 in 2008 and a minimum value of 2.98 in 1981.

Definition: Turnover ratio is the value of domestic shares traded divided by their market capitalization. The value is annualized by multiplying the monthly average by 12.

Source: World Federation of Exchanges database.

See also:

Year Value
1981 2.98
1982 3.65
1983 19.77
1984 3.79
1985 21.14
1986 16.82
1987 81.14
1988 30.56
1989 51.53
1990 56.75
1991 57.32
1992 51.12
1993 60.75
1994 49.86
1995 54.92
1996 62.23
1997 68.85
1998 85.78
1999 78.32
2000 91.76
2001 76.07
2002 56.87
2003 50.97
2004 64.71
2005 74.17
2006 100.71
2007 114.91
2008 186.23
2009 91.40
2010 71.80
2011 83.64
2012 49.27
2013 36.38
2014 46.65
2015 49.51
2016 45.18
2017 35.05
2018 44.57
2019 34.41

Development Relevance: Stock market size can be measured in various ways, and each may produce a different ranking of countries. The development of an economy's financial markets is closely related to its overall development. Well-functioning financial systems provide good and easily accessible information which can lower transaction costs and subsequently improve resource allocation and boosts economic growth. Both banking systems and stock markets enhance growth, the main factor in poverty reduction. At low levels of economic development commercial banks tend to dominate the financial system, while at higher levels domestic stock markets tend to become more active and efficient relative to domestic banks. Open economies with sound macroeconomic policies, good legal systems, and shareholder protection attract capital and therefore have larger financial markets. Recent research on stock market development shows that modern communications technology and increased financial integration have resulted in more cross-border capital flows, a stronger presence of financial firms around the world, and the migration of stock exchange activities to international exchanges. Many firms in emerging markets now cross-list on international exchanges, which provides them with lower cost capital and more liquidity-traded shares. However, this also means that exchanges in emerging markets may not have enough financial activity to sustain them, putting pressure on them to rethink their operations.

Limitations and Exceptions: Data cover measures of size (market capitalization, number of listed domestic companies) and liquidity (value of shares traded as a percentage of gross domestic product, value of shares traded as a percentage of market capitalization). The comparability of such data across countries may be limited by conceptual and statistical weaknesses, such as inaccurate reporting and differences in accounting standards. Only domestic shares are used in order to be consistent with domestic market capitalization.

Statistical Concept and Methodology: Turnover ratio is the value of electronic order book (EOB) domestic shares traded divided by their market capitalization. The value is annualized by multiplying the monthly average by 12, according to the following formula: (Monthly EOB domestic shares traded / Month-end domestic market capitalization) x 12.

Aggregation method: Weighted average

Periodicity: Annual

General Comments: Stock market data were previously sourced from Standard & Poor's until they discontinued their "Global Stock Markets Factbook" and database in April 2013. Time series have been replaced in December 2015 with data from the World Federation of Exchanges and

Classification

Topic: Financial Sector Indicators

Sub-Topic: Capital markets