TSX Ignite U.S. Series Launches in San Diego

Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV) kicked off a five-city U.S. series of TSX Ignite events last week at Torrey Pines near San Diego, California. The free, half-day event highlighted the benefits of listing and raising growth capital on Canada’s premiere equities markets.

The event featured keynote addresses from two recently listed TSXV companies, including David Field, President and CEO of San Diego-based OneRoof Energy Group, Inc. (ON) and Steve Chung, CEO of Silicon Valley startup Frankly Inc. (TLK). The event also included panel sessions featuring representatives from two leading investment banks, two accounting firms and two legal advisors to provide an overall understanding of how Canada’s equities markets can be effective growth platforms for U.S. businesses. The program closed off with one-on-one discussions with Canadian capital markets professionals on cross-border legal, accounting and banking considerations.

TSX Ignite leverages TSX and TSXV’s globally-recognized expertise in supporting the development of small and medium-enterprises (SMEs) by providing well-regulated capital raising venues for companies from the U.S. and elsewhere around the world. In fact, more than 130 U.S.-based companies are listed on the Exchanges – more than any exchange group outside the U.S. – including over 20 companies headquartered in California. More than $7 billion has been raised by U.S. companies on TSX and TSXV since the start of 2012, and American businesses continue to look north to finance their growth.

Launched in April 2014, TSX Ignite provides companies and entrepreneurs – at all stages of growth and from all sectors – with tools and resources to help them reach their full potential. More than 20 law firms, accounting firms and investment banks collaborated to provide free information on all aspects of the program. The online component of TSX Ignite complements the content from the live events with webinars and other resources that offer expertise from high-profile Canadian business leaders.

Click here to see a list of 2015 sponsors and partners.

The next TSX Ignite U.S. series events will be held in Minneapolis in June, followed by events in Seattle, Phoenix and Houston in the fall.



Spotlight on Canada’s Public Equities Markets

Investment opportunities to suit any investor profile.

Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV) have launched a campaign to bring retail investors closer to our public equities markets. TSX and TSXV feature listings from coast to coast and across a wide spectrum of sectors, including oil and gas, mining, technology, life sciences, clean technology, industrials and financial services. And with the two-tier nature of the exchanges, investors can choose between the more established corporations on TSX and the emerging businesses on TSXV.

The campaign’s centerpiece is an eBook titled “Canada’s Public Equities Markets: Your Opportunity” and is available at www.tmx.com/opportunity. The digital publication provides an overview of Canada’s largest public equities markets, including sector and company profiles and market activity in 2014.

Click on the image below to view the eBook:

Celebrating the TMX “Golden Bull” Charity Golf Classic

A few months ago, on September 15, Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV) hosted the 1st annual “Golden Bull” Charity Golf Classic in Calgary, Alberta. Held at the Lynx Ridge Golf Club, the event brought together more than 130 securities industry participants to network, socialize and – just as importantly – help raise funds for charity.

Proceeds from this year’s charity golf classic went to the Alberta Children’s Hospital Foundation to help it purchase state-of-the-art technology for the hospital’s surgical suites HD surgical cameras. We are delighted to announce that the event raised $44,027 to help the foundation in its work.

Since 2012, TSX and TSXV have raised over $200,000 from the Vancouver TMX Charity Golf Classic. Based on the success of that annual event, the Exchanges decided to host a tournament in the Calgary area to support important causes in the region.

The Vancouver TMX Charity Golf Classic has proven to be such a success over the past two years that we decided to bring it to Calgary. It’s important for the Exchanges to give back to our local communities and this event allows friends and clients of TMX Group to participate in a fun day of golf while supporting worthwhile causes.

- John  McCoach, President, TSX Venture Exchange

TSX and TSXV would like to thank all of our sponsors, capital market partners, prize donors and participants for making the tournament an overwhelming success. It was a terrific day of golf and supporting our community, and we look forward to another successful tournament next year.

Click here to see a full list of this year’s sponsors.

An Update from TSX Equities

The year is fast coming to a close and I wanted to take a few minutes to provide an update on two initiatives undertaken by our team that have recently garnered headlines, including new services for exempt market participants and important changes to equities trading.

Earlier this year, we announced plans to extend our experience and expertise into Canada’s exempt market through a new initiative, TSX Private Markets, which will work with the dealer community to serve companies – both public and private – as well as their investors. TSX Private Markets is designed to support capital raises and secondary trading within Canada’s exempt market, and today I am pleased to share an update on the service.

In the days following our initial announcement, we received much interest from companies and dealers, and more recently we have begun the process of onboarding participants interested in the service.

The initial phase of the TSX Private Markets offering encompasses a dealer-to-dealer voice-brokered service complemented by an informational website. Our team now stands ready to enable:

  • Exempt market capital raising for private and public companies
  • Secondary trading of public company “hold period” securities, issued pursuant to a private placement
  • Secondary trading of exempt market securities (including various categories of debt and equity)

Companies interested in posting their securities or a capital raise offering with TSX Private Markets can contact our team to get started. Once approved, the company’s posting will be accessible by Approved Participants through the website.

A comprehensive document of Frequently Asked Questions  has been developed to address specifics of our services, including capital formation, secondary trading, clearing and settlement. In addition, the TSX Private Markets team is eager to discuss the offering in more detail and to answer any additional questions. They can be reached at info@tsxprivatemarkets.com or 1-800-268-9301.

I would also like to share an update regarding another important initiative that we shared with you a few weeks ago. Our team proposed important changes to Canada’s public equities market and published a position paper Reshaping Canada’s Equities Trading Landscape, which details three primary issues facing our markets and bold steps to tackle each one. Specifically, we are proposing new initiatives designed to:

  • Preserve order flow in Canada by providing superior, domestic execution for active natural order flow
  • Leverage the benefits of technological advancements while enabling all to trade with confidence, by empowering natural investors and other non-latency sensitive participants
  • Address rising market complexity by reducing fragmentation, and simplifying and streamlining market features and functionality

We have submitted a number of the proposed changes for regulatory review and they were published for comment last week. We encourage all market participants to carefully consider our submission and to provide their views and feedback. The comment period is open until December 8, 2014 and the related documents can be accessed here.

I am excited by the implications of these initiatives – both the changes we have proposed to Canada’s public equities market and the launch of TSX Private Markets – and I strongly believe that each will make a positive impact on our capital markets. Evolution is relentless and as Canada’s national market operator we work to keep pace and to lead with innovative and thoughtful initiatives that serve all market participants.

TMX Group’s Brenda Hoffman Named ITAC CanadianCIO of the Year

TMX Group is proud to announce that Brenda Hoffman, Chief Information Officer, Group Head of Technology, was named Information Technology Association of Canada (ITAC) CanadianCIO of the Year at the 2014 Ingenious Awards last night in Toronto.

The CanadianCIO of the Year Award is presented to an outstanding CIO who demonstrates business and technological vision, entrepreneurship, a capacity to drive enterprise transformation and a measurable operational strength in delivering shareholder or stakeholder value.

Ms. Hoffman joined TMX Group in 2001. She leads a team of 500 professionals who build and operate the technology for Canada’s leading marketplaces and provide a range of capital markets services. Ms. Hoffman has overseen the design, development and delivery of TMX application products and services, including TMX Quantum XA™, TMX Group’s new proprietary platform, which won a 2014 Ingenious Award for innovative information and communications technology achievement in the large private sector category.

ITAC is the voice of the information and communications technology sector in Canada. The CanadianCIO of the Year Award is sponsored by ITAC, along with its partners CanadianCIO Magazine and the CIO Association of Canada. The Ingenious Awards recognize excellence in the use of technology to improve the performance of Canada’s large and small businesses, government operations and not-for-profit organizations.

 Click the image below to watch a video about TMX Quantum XA

Listed Company Spotlight: “The View from the C-Suite”

Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV) today launched a new video interview series for listed companies who open the market to celebrate a new listing or a corporate milestone. Listing on a public market is one of the most exciting days in a company’s growth story and, to help mark the occasion, we invite new listings to provide information about their business, their ‘go public’ experience and business objectives for the future.

Titled “The View from the C-Suite,” the video interview series highlights the unique perspectives of TSX- and TSXV-listed companies and gives a glimpse into how executives think in the current business environment. The interviews, on the whole, are intended to help raise awareness of companies listed on the exchanges, while also presenting objective information about their business.

Here is a look at four TSX- and TSXV-listed companies that have participated thus far, with more expected in the future:

  • Steven N. Davidson, CEO, Agility Health, Inc. (TSXV:AHI)
  • David Field, President and CEO, OneRoof Energy Group, Inc. (TSXV:ON)
  • Marc Wayne, President and CEO, Bedrocan Cannabis Corp. (TSXV:BED)
  • David Ingram, President and CEO, easyhome Ltd. (TSX:EH)

TSX and TSXV offer a diverse and vibrant stock list to access investment opportunities. The exchanges are home to a wide range of companies that give global investors a unique opportunity to invest in Canada across a broad spectrum of industry sectors, including natural resources markets around the world. In Canadian equities markets, investors can choose from 3,500 companies with a total market capitalization of over $2.5 trillion, ranging from growing businesses on TSXV to established blue chip multinational corporations on TSX.

To view current and forthcoming videos, please visit www.tmx.com/c-suite

Introducing the Buy Side Report

The Market Intelligence Group (MiG) recently launched the first edition of “The Buy Side Report,” a new quarterly information feature about Canada’s leading equities markets, Toronto Stock Exchange (TSX)and TSX Venture Exchange (TSXV).The new publication presents detailed market data about sector index performance, share price and trading information, insight into foreign investment in Canadian equities, as well as an up-to-date, external economics viewpoint provided by a different contributor each quarter.

TSX and TSXV offer a diverse and vibrant stock list to access investment opportunities, and stand firmly among the world’s leading fully-integrated capital markets. The exchanges are home to a wide range of companies that give global investors a unique opportunity to invest in Canada across a broad spectrum of industry sectors, including natural resources markets around the world. In Canadian equities markets, investors can choose from 3,500 companies with a total market capitalization of over $2.5 trillion, ranging from growing businesses on TSXV to established blue chip multinational corporations on TSX.

The MiG’s new quarterly report complements an existing publication called “The MiG Report,” which provides detailed market information every month. Thisreport provides year-to-date data on listings, equity financings and trading activity across TSX and TSXV, broken down by sector and region. With both monthly and full-year data reports going back to 2008, the MiG Report helps listed companies, analysts and other market participants get a full view of activity taking place on Canada’s capital markets.

Click here to read the Q3 2014 edition of The Buy Side Report.

Click here to view the latest MiG Report (September 2014) and other lists.

If you would like to have the MiG Report or The Buy Side Report delivered directly to your inbox, please register here: http://www.tmx.com/en/mig/register.html

Reshaping Canada’s Equities Trading Landscape

Canada’s equities markets fuel industries, innovation and operations in Canada and around the world. Capital is raised, securities are offered and the trading begins. This system has been in place for centuries, but it has evolved over time and, in some aspects, the evolution has been revolutionary. This is especially true in equities trading.

Securities can trade in any number of markets and those buying and selling – literally exchanging company ownership – can now do so in less than one hundred microseconds (1/10,000th of a second). Traditional trading floors have all but disappeared with the proliferation of technology and greater speed. As trading has become more sophisticated, accessible and efficient, investors now have access to an incredibly rich set of investment options at historically low costs.

Dramatic changes in technology, market structure evolution and an increasingly global landscape have brought many benefits, and it is imperative that the industry keep pace. Today, we have reached a point where the challenges facing Canada’s capital markets require decisive action to preserve their efficiency and integrity.

Our team has consulted extensively with a broad group of market participants and has narrowed our focus to three significant issues in equities trading that require our attention and action:

  • Canadian order flow is migrating to the U.S.
  • Technology-driven markets are not optimized to serve all
  • Market complexity is on the rise

We have examined each of these issues at great length and today we announced bold steps to tackle each one. An overview of our proposed changes, which are subject to regulatory approval, is in our position paper: Reshaping Canada’s Equities Trading Landscape.

These initiatives are open for discussion and we encourage all market participants to carefully consider each and to share their views. We have filed the first proposal (amendments to Alpha) with regulators and expect these to be published for comment in early November.

We believe each of the proposed changes will have a beneficial and singularly significant impact on the market. However, to successfully reshape Canada’s equities trading landscape for the benefit of all, the debate, collaboration and support must be open and expansive. We encourage and welcome your input on the issues and in helping to bring forward real, actionable solutions that serve all market participants.

Stanford-Rotman Corporate Governance Day: Major Challenges in Today’s Boardrooms

Good corporate governance plays a critical role in sustaining the value of Canada’s companies – big and small, private and public. As the business landscape continues to shift in Canada, the U.S. and other countries, companies are paying greater attention to the way they conduct business and their social responsibilities as corporate citizens. In today’s economy, boards of public companies, in particular, must look beyond business as usual to be mindful of transparency, accountability and efficiency. Staying up-to-date on best practices and continuing education is critical for any business leader or board member.

On October 25, 2014, the University of Toronto’s Executive Programs, Rotman School of Management and Stanford University’s Rock Center for Corporate Governance will host a full-day program for directors and senior executives of Canadian companies to learn from esteemed faculty members from both schools, as well as experienced board members and corporate governance experts from Canada and the U.S. Titled “Stanford-Rotman Corporate Governance Day:  Major Challenges in Today’s Boardrooms,” the  program will address a broad range of challenges that confront modern companies and boards, including:

  • Shareholder activism;
  • The role of independent directors;
  • M&A litigation; and
  • Challenges of subsidiary governance.

The day will include keynotes from Tiff Macklem (Dean of the Rotman School of Management and former deputy governor of Bank of Canada), a welcome video from Canada’s Governor General David Johnston, four Stanford Law School faculty, as well as a panel line up of board chairs, directors and CEOs from organizations such as Valeant, Suncor, TD Bank, and Manulife.

For the full details of this program, please visit: www.rotmanexecutive.com/stanfordrotman

To register for this exclusive program, please visit: https://epapplication.rotman.utoronto.ca/?programid=286

The views, opinions and advice provided in these materials/presentations reflect those of the individual authors/presenters. The presentations/materials are not reviewed or endorsed by TMX Group or its affiliated companies.

Update on Capital Raising

We are now well past the half-year mark in 2014, buoyed by the continued strong performance of Canadian equity markets. Today, we look at how industry sectors have performed on Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV) during the first eight months of this year, with a particular focus on equity capital raised.

As at August 31, 2014, companies listed on TSX and TSXV have raised more than $40 billion in equity capital, which represents a 44% increase compared to this time last year. TSX-listed companies, on average, raised $83 million, while TSXV-listed companies raised an average of $3.2 million. In terms of new entrants on TSX and TSXV, there have been 159 new listings so far this year, split equally between both exchanges. Companies are also using our two-tier exchange system to full effect, with 15 companies graduating to TSX from TSXV.

Looking at equity capital raised in individual sectors shows impressive year-over-year increases as at the end of August:

  • Clean technology and renewable energy – $1.5 billion in equity capital raised (up 89%) through 71 financings. This marks the sixth consecutive year where capital formation in the sector was above $1 billion.
  • Financial services – $7.9 billion in equity capital raised (up 122%) through 45 financings. This is the largest sector on TSX and TSXV by market capitalization.
  • Mining – $6.6 billion in equity capital raised (up 144%) through 988 financings. In the first half of 2014, TSX and TSXV ranked first in the world for equity capital raised in the mining sector.
  • Oil and gas – $7.9 billion in equity capital raised (up 214%) through 171 financings. The sector has already surpassed the total amount of capital raised in 2013. Half-way through 2014, TSX and TSXV ranked second in the world for equity capital raised in the oil and gas sector.
  • Technology – $2.7 billion in equity capital raised (up 104%) through 75 financings. This marks the third consecutive year where capital formation in the sector was above $1 billion.
  • Utilities and pipelines – $5.5 billion in equity capital raised (up 34%) through 14 financings. This is the fourth largest sector on TSX and TSXV by equity capital raised.

Equity Capital Raised by Sector on TSX and TSXV

(Source: Capital IQ)

As at the end of August, the total market value of TSX and TSXV-listed companies was more than $2.6 trillion, an increase of 22% over last year. In fact, all of the sectors on the exchanges have seen their total market capitalization grow so far this year. A few noteworthy year-over-year market value increases have come in the following sectors: financial services (27%), diversified industries (18%), oil and gas (17%) and mining (11%).

The uplift in Canadian capital market activity in 2104 has also helped Canada’s main market index edge higher. It is encouraging to see the S&P/TSX Composite Index continue to beat out all other major indices globally since the start of the year. Along with the S&P/TSX Venture Composite Index, both indices were in the top three for performance among major world indices during the first eight months of this year, and we hope this momentum continues.

Comparison of Major Index Performance

Data and statistical information is courtesy of TMX’s Market Intelligence Group (MiG), which provides monthly insight into your exchange. Click here to view the latest MiG Report (August 2014) and other lists. If you would like to have the MiG Report delivered directly to your inbox each month, please register here: http://www.tmx.com/en/mig/register.html

S&P is a trade-mark of Standard & Poor’s Financial Services LLC and is used under license by TSX Inc.