We are applying to be a broker of the NSX. This means Corporate Authorised Representatives of this site will be able to act as a stock broker for the 100 stocks on that exchange.
We are also applying to be a Nominated Advisor too (NOMAD), which means you can help float companies on the NSX.
Benefits of the NSX vs ASX
While considerably smaller than the ASX, the NSX is a tier one stock exchange and its plans centre around competing with ASX for capital raisings, both domestically and internationally. It aims to make capital raisings faster, simpler, cheaper and importantly, more accessible to both corporates and investors.
It’s the small size and lower barriers to entry that make the NSX attractive to smaller companies. The NSX requires just 50 investors and a market cap of $500,000 for an IPO; the ASX requires 300 non-affiliated investors and companies must meet a profit or assets test, one measure of which is a market cap of $15 million. Quite a significant difference to a small company.
CEO Ann Bowering recently told emerging companies news-site Stockhead that the ‘sweet spot’ for NSX listings are those valued between $10 million and $50 million. According to the NSX website, the average capital raising currently sits at $8.3 million.