Home »

Gxg markets

The meaning of «gxg markets»

GXG Markets was a European Regulated Market[1] which operated a securities market focusing on SME companies by operating a three-tier market structure[2] with an OTC (Over-the-counter) segment called GXG First Quote (an information and trading platform for professional investors), a multilateral trading facility (MTF) called GXG Main Quote and a Regulated market called GXG Official List.

GXG Markets utilised its parent company's, GXG Global Exchange Group's proprietary electronic trading platform, GXG Tellus. The GXG Markets had two kinds of members: Corporate Advisors and Broker Dealers. A Corporate Advisor was responsible for listing firms on the Market, while an official (regulated) Broker Dealer could set up trading accounts, trade and clear shares or debt of the exchange on the MTF and Regulated Markets.

GXGR (GXG Official List - "Regulated Market"), GXGM (GXG Main Quote - "MTF"), GXGF (GXG Fist Quote - "OTC").

According to ISO10383 and ESMA (European Securities and Markets Authority).

GXG Markets was originally established in 1998 as Dansk Autoriseret Markedsplads.

The company was the first to be approved by the Danish Financial Supervisory Authority to operate an authorized marketplace.

In August 2010, the company was acquired by Swedish GXG Global Exchange Group. By 2011, Swedish GXG Global Exchange Group was running short of funds, and the regulatory working capital of GXG Markets was removed by owner Michael Rosenberg and used to buy out the initial shareholders. At the end of 2011, Rosenberg sold the group to a new group of investors – Per and Olle Setterberg, and Carl-Henrik Sellman. They retained Group Chairman Carl-Johan Hogbom and CEO Peter Almberg, who continued to the date of closure but had no executive control.

They pushed for new listings to be made and GXG listings grew from 12 (Sept. 2012) to 100+ by mid 2014. Initial growth came from companies moving from other markets where regulations were being tightened. Many companies listed were from outside the EU. In 2013, the UK's HMRC added both the GXG Official List and GXG Main Quote markets to the list of designated recognised stock exchanges.[3]

Its business model was based on providing a listing venue which had a very low cost when considering the total fee stack (ie, the total of exchange fees and adviser fees). As the market was designed for professional investors, it could achieve this by reducing the reporting burden on companies planning to list on the market when compared to similar EU markets. As only professional investors were allowed to trade on the market, they would be able to make their own decisions on the companies without needing additional reporting like, for example, expensive independent reports on working capital to justify the Directors' assertions of having sufficient working capital.[4][5][6][7][8]

It is this last group that were most problematic for the GXG.

© 2015-2021, Wikiwordbook.info
Copying information without reference to the source is prohibited!
contact us mobile version