Toronto Stock Market

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Category: Stocks Market Types

Toronto Stock Exchange (TSX) is the largest stock exchange in Canada, the third largest in North America and the eighth largest in the world by market capitalization. Based in Canada's largest city, Toronto, it is owned by and operated as a subsidiary of the TMX Group for the trading of senior equities. A broad range of businesses from Canada, the United States, Europe, and other countries are represented on the exchange. In addition to conventional securities, the exchange lists various exchange-traded funds, split share corporations, income trusts and investment funds. The Toronto Stock Exchange is the leader in the mining and oil & gas sector; more mining and oil & gas companies are listed on Toronto Stock Exchange than any other exchange in the world.

The TMX Group is the leader in the oil & gas sector - more oil & gas companies are listed on Toronto Stock Exchange (TSX) and TSX Venture Exchange than any other exchange in the world. At the end of June 30, 2007, there were 434 oil & gas companies with a total market capitalization of $544.9 billion listed on Toronto Stock Exchange and TSX Venture Exchange. Oil & gas companies continue to raise equity on these exchanges with $5.56 billion raised in the first half of 2007, and $10.5 billion raised in 2006. Over 10 billion oil & gas shares, valued at $169.2 billion, traded on Toronto Stock Exchange and TSX Venture Exchange in the first half of 2007.

In 2000, the Toronto Stock Exchange became a for-profit company and in 2001 its acronym was changed to TSX. In 2001, the Toronto Stock Exchange acquired the Canadian Venture Exchange, which was renamed the TSX Venture Exchange in 2002. This ended 123 years of the usage of TSE as a Canadian Stock Exchange. On May 11, 2007, the S&P/TSX Composite, the main index of the Toronto Stock Exchange, traded above the 14,000 point level for the first time ever.

On February 9, 2011, the London Stock Exchange announced that they had agreed to merge with the Toronto Stock Exchange, creating a combined entity with a market capitalization of $5.9 trillion (£3.7 trillion). Xavier Rolex, who currently is CEO of the LSE Group, will head the new enlarged company, while TMX Chief Executive Thomas Colet will become the new firm president. Based on data from December 30, 2010 the new stock exchange would be the second largest in the world with a market cap 48% greater than the NASDAQ. 8 of the 15 board members of the combined entity will be appointed by LSE, 7/15 by TMX.