Profile of Major Stock Exchanges in North America (IV)

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Profile of Major Stock Exchanges in North America (IV)

Center of resource shares—TSX and TSXV)

TSX and TSXV are under the control of TSX Group—the former is the third top stock exchange in North America, also the seventh top one in the world. For Canada enjoys a longer history of mineral industry, the mining companies in Canada have created the complete and advanced financing system. In accordance with the relevant statistics, the two stock exchanges under TSX have 1,089 listed mining companies, and most of their financing amount is invested in the development of mining companies—this tops other of the same kind of top stock exchanges in the world. Besides these said mining companies, these two stock exchanges account for a certain ratio of petroleum/natural gas and other resource-type companies. TSX and TSXV also feature the financing for hi-tech enterprises. In accordance with the data in the year 2003, there are 135 biotechnology companies listed in these two stock exchanges--the market value reaches USD17.96 billion and the financing amount reaches USD838 million, which represent the second top capital market for biotechnology companies in the world. Since these two stock exchanges are controlled by a same group, the listed companies here can be uplifted from TSXV at a lower level to TSX at a higher level after a period of successful practice, so as to obtain more opportunities of financing. Share market in Canada also features the relative distinctive disparity—10 or so large financial institutions and companies take the lion’s share of market value of the entire stock market, and many small companies take the remained part.

The capital market in Canada is slightly strange to Chinese companies, and the mining companies and hi-tech companies should consider the possibility gaining the financing in Canada because of its striking features. Besides the essential listing requirements, TSX and TSXV divide the listed companies into three categories: common trades, mineral industry and petroleum/natural gas industry. The requirements of the two stock exchanges are listed in brief in the following table.