𝗦𝘁𝗮𝘁𝗲 𝗼𝗳 𝗙𝗶𝗻𝗮𝗻𝗰𝗶𝗻𝗴 𝗶𝗻 𝗖𝗮𝗻𝗮𝗱𝗮 - 𝗠𝗮𝘆 𝟮𝟬𝟮𝟰: 𝗣𝗿𝗼𝗴𝗿𝗲𝘀𝘀 𝗮𝗻𝗱 𝗖𝗵𝗮𝗹𝗹𝗲𝗻𝗴𝗲𝘀
The latest statistics from TMX Group sheds light on the financing activities on the Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV) in May 2024, revealing both progress and areas needing improvement.
While the Canadian market has made strides in May, especially with ETFs gaining traction and increased financing activities in certain sectors, there is a clear need for more sustained growth.
The drop in IPO financings and the fluctuating number of financings highlight areas where more work is required to stabilize and strengthen the market.
𝗧𝗼𝗿𝗼𝗻𝘁𝗼 𝗦𝘁𝗼𝗰𝗸 𝗘𝘅𝗰𝗵𝗮𝗻𝗴𝗲 (𝗧𝗦𝗫):
In May 2024, 16 new issuers, mainly exchange-traded funds (ETFs), were added, reflecting a healthy interest in diverse investment options.
While total financings raised increased by 5% from April 2024 and by 120% year over year, the number of financings dropped to 37 from 58 the previous month.
Year-to-date, there's been a 12.3% rise in new issuers and a 103% increase in total financings raised. However, IPO financings raised have dropped by 41.7%, indicating potential challenges in new public offerings.
𝗧𝗦𝗫 𝗩𝗲𝗻𝘁𝘂𝗿𝗲 𝗘𝘅𝗰𝗵𝗮𝗻𝗴𝗲 (𝗧𝗦𝗫𝗩):
TSXV's total financings raised in May 2024 grew by 22% compared to April 2024, but fell by 16% year-over-year, pointing to inconsistencies in capital raising activities.
The number of financings rose to 105 in May 2024, up from 92 the previous month, yet down from 118 in May 2023. This fluctuation underscores the ongoing volatility and challenges faced by emerging companies.
𝗬𝗲𝗮𝗿-𝘁𝗼-𝗱𝗮𝘁𝗲 𝗳𝗶𝗴𝘂𝗿𝗲𝘀 𝘀𝗵𝗼𝘄 𝗮 𝟮𝟮.𝟴% 𝗱𝗲𝗰𝗹𝗶𝗻𝗲 𝗶𝗻 𝘁𝗼𝘁𝗮𝗹 𝗳𝗶𝗻𝗮𝗻𝗰𝗶𝗻𝗴𝘀 𝗿𝗮𝗶𝘀𝗲𝗱, with IPO financings plummeting by 65.9%. This signals a need for stronger support and more robust strategies to bolster market confidence.
Stakeholders must address these challenges, fostering an environment that supports consistent growth and investor confidence.
For more detailed statistics, visit: https://lnkd.in/gp3szHw9
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