TSX Group CEO Barbara Stymiest told a financial audience in Frankfurt today that “there are opportunities for both Canadian issuers in the German market, and German investors in the Canadian market.”
Stymiest delivered her remarks during the TSX European Showcase of Canadian Public Companies.
The event follows the success of June’s showcase of Canadian issuers in New York City. It featured presentations from senior executives of 10 Canadian issuers allowing analysts and investors to better understand investment opportunities that are currently available on Canada’s senior equity market.
In a statement, the TSX Group noted that Germans are already active investors in Canada’s capital markets. According to data from research from Bigdough, more than 30 institutions in Germany hold TSX stocks and these firms currently hold over three-quarters of a billion dollars in TSX stocks. In the recent reporting period, German investors increased their portfolio allocation to TSX companies by an average of over 35%.
In her remarks, Stymiest drew attention to the strong performance of the German and Canadian stock markets over the past year. “In American dollar terms, in fact, we’ve bettered all the U.S. indices,” she said.
She also echoed her wishes for progress on mutual recognition for exchanges in Canada and Europe. Citing the discussions around the upcoming Canada-EU trade talks, she said securities markets can bridge markets on both sides of the Atlantic Ocean. “We happen to believe that an agreement can become an important example of how to create freer trade in securities and in other industries as well, by establishing the validity of mutual recognition of different regulatory approaches in our two markets.”
Stymiest went on to say that , “mutual recognition provides a basis for regulators agreeing on principles, even while they maintain the inevitable differences that different traditions, practices and expectations create in different national or regional markets.”