MERJ Exchange Becomes World’s Fastest Growing Stock Market
London, 7th April 2020 — MERJ Exchange has officially been named the fastest growing stock market in the world, according to the latest data released by the World Federation of Exchanges. It is a sign of the times that an exchange best know for its innovative digital listings has recorded the most growth globally.
MERJ Exchange expanded by 325% in the past year to US$1.2 billion. The pace surpasses even the 318% for Tadawul, which listed Saudi Aramco as the world’s most valuable company last year. Most of the world’s 83 stock exchanges have seen capitalisation decline, on average by 7%, according to the data compiled by the WFE for the 12 months to the end of February.
Created in 2012 as TropX, the exchange operating group set out to build a borderless capital market that leverages technology to reduce unnecessary cost and red tape, whilst maintaining the highest governance standards. In February of this year MERJ was named Exchange of the Year at an industry awards ceremony in London, beating stiff competition which included the highly respected Swiss national exchange, SIX.
During the past decade, the Seychelles has successfully created a financial services sector with a regulatory framework that is recognised by the International Organization of Securities Commission (IOSCO), the Organisation for Economic Co-operation and Development (OECD) and Financial Action Task Force (FATF). The alignment of regulatory standards with major markets around the world has positioned MERJ Exchange to become a full member of ANNA, meaning it can issue ISIN identifiers, the standard codes found on stocks and bonds.
Co-founder Bobby Brantley commented: “When we began there was no securities market in the Seychelles. We have had to build all the rules and infrastructure, and then convince issuers and partners around the world that Seychelles is a robust environment for a securities market. We know it is, but we have worked very hard to get that message out internationally. We are now seeing the fruits of our labours, and also the great strides that have been made at government level and by the FSA and Central Bank in establishing the Seychelles’ high standards. We now have a framework that is succeeding and we are set for a period of tremendous growth, despite the upheaval of the coronavirus. We look forward to bringing high quality business to the exchange and driving greater international engagement with our financial services sector.”
Listings on MERJ Exchange in the past year have ranged from US consumer finance group Investment Evolution Corporation to Chinese agricultural company Burdock Industry Limited and African venture fund Minervest. Along with equity listings from America, Africa and Asia, MERJ also became the first stock market globally to list digital versions of shares, or tokenised equity. The exchange uses distributed ledger technology in select ways as a tool to simplify a number of the complexities of operating a cross-border multi-currency platform. In addition, investors can either access the exchange directly via web or mobile app or through more traditional broker and member channels. The efficiencies created mean that companies from the world’s fastest growing economies can list securities at a much earlier stage than would be economic on traditional markets, taking advantage of the benefits of a full exchange listing and a diverse global investor pool.
“This tremendous growth we’re seeing is a reflection of the rapid pace at which financial markets are shifting towards more efficient structures,” said Edmond Tuohy, CEO of MERJ Exchange. “MERJ is disrupting the traditional stock exchange model, breaking down cross-border barriers and streamlining processes, ultimately reducing costs for both investors and listed companies”
While coronavirus is inevitably disrupting many IPOs worldwide, companies listing on MERJ Exchange are often motivated by a recognised framework for liquidity rather than raising fresh capital. If anything, that need is greater during an economic downturn, said Bobby Brantley: “Our job during these uncertain times is to enable the market liquidity that keeps the wheels of the global economy turning.”
To find out more please visit merj.exchange
For the World Federation of Exchanges’ Market Statistics March 2020, see: https://focus.world-exchanges.org/issue/march-2020/market-statistics
MERJ Exchange is a multi-market global financial exchange, clearing house and securities depository. Our group is regulated to the highest global standards and operates the entire exchange and post-trade infrastructure from end to end. We are pioneering a shift in the global capital markets by combining the best of blockchain technology with regulated infrastructure.
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Member of the Association of National Numbering Agencies (ANNA)
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