Channel Islands exchange added 500-plus listings in 2016

The Channel Islands Securities Exchange signed up 502 new listings last year, almost one-fifth more than it added the previous year.

As reported,  these included what CISE officials say is probably a stock exchange industry first, a regulated Bitcoin fund.

CISE said the 18.7% increase in listings took its total to 2,272 entities on its listing board at the end of December.

During 2016, the market capitalisation of these entities grew 10%, or  by £36bn, to reach £393bn by year-end.

The Bitcoin fund that was admitted to the CISE official list was the Global Advisors Bitcoin Investment Fund plc (GABI), which was admitted to the Official List on 19 December.

REITS, high yield bonds

In a statement, CISE chief executive Fiona Le Poidevin noted that the number of new listings had increased “markedly” during the second half of the year, “not least due to a number of REITs and high yield bonds choosing to list”.

She added: “The resurgence of REITs reflects the growing interest seen in real estate in the months since the Brexit vote, as international investors, including sovereign wealth funds, seek to take advantage of the ‘cheaper’ UK property market.

“Our regime has proved particularly attractive for REITs where there are a small number of significant institutional investors, although there has been a more recent trend towards the CISE also proving attractive to more widely held REITs wishing to trade on the exchange, and today, more than a quarter of all UK REITs are listed on the CISE.”

As for high-yield bond listings, Le Poidevin said a steady stream of these in the last few months had come in the wake of the introduction, on 3 July, of the EU’s Market Abuse Regulation (MAR). This new legislation, according to Le Poidevin, is thought to have created “significant interest in the CISE” among would-be high-yield bond listers, since although the Channel Island exchange isn’t covered by MAR  it nevertheless is governed by its own “robust market abuse rules”.

Other notable listings during 2016, CISE said, included “a number of ‘migrations’ from both Luxembourg and Ireland during the second half of the year”, as well as the listing of the exchange’s own parent company, The Channel Islands Securities Exchange Ltd, which was admitted to the official List in June.

The Channel Islands Securities Exchange is located in Guernsey, and has an office in Jersey, the other Channel Island. In November, it agreed a memorandum of understanding to explore a linking up with the Bermuda Stock Exchange.

ABOUT THE AUTHOR
Helen Burggraf
Helen Burggraf is the editor of International Investment. A US-trained journalist, she has worked in Rome, New York City and London, covering everything from the fashion and retailing industries to the global drinking water and water-treatment sector, private equity, and most recently, the international cross-border financial services/advice industry.

Read more from Helen Burggraf

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