The chief executive of the Channel Islands Stock Exchange was the guest speaker at Moore’s Hotel for a Chamber of Commerce lunch this month. (Picture by Adrian Miller, 0673469)
THE Channel Islands Stock Exchange is going from strength to strength. The exchange, which is currently celebrating its 10th year, is on course to announce its 3,000th listing before the end of the year.
CISX chief executive Tamara Menteshvili, who was speaking at this month’s Chamber of Commerce lunch, said every year so far had been a challenge for the business.
On its first day in 1998, the CISX had just 23 members along with two listings. Membership has now reached 53 organisations.
‘The challenge was, how were we going to succeed in this marketplace and how was I going to sell it? Back then, scepticism was rife in both islands.’
But after battling away, she said the exchange’s competitive position had never been better. Also, all six members of staff who started out with the CISX are still part of the 26 people employed by the organisation.
‘We have a level playing field and we have created market firsts. Going up against the big boys was tough but we have introduced products that people have copied.’
For example, the CISX was the first to introduce the trading of open-ended investment funds and it is this which Ms Menteshvili said was now the CISX’s unique selling point.
So much so that she hopes to be in a position by the end of the year to announce the introduction of a central settlement system for the trading of such funds.
The system could revolutionise the way they are traded and reduce the time frame involved from as long as a month in some cases to just a few days.
‘It would make it more efficient and would be something that’s not available anywhere else in the world.
‘The legislation is in place but the regulations have to be made and that’s the hold up. But we are nearly there.’
Over half of what the CISX lists is domiciled outside the Channel Islands and this, according to Ms Menteshvili, means the exchange is able to introduce business to Guernsey that otherwise would never have come here.
She added that the CISX now has 27 actively traded securities.
‘That might not sound much but we are punching above our weight.
‘We are recognised by both the UK and US regulatory authorities which is quite a hard thing for a new exchange.’
Article posted on 21st November, 2008 - 2.30pm
One Article Comment
Probably a decade of securitisation vehicle debt issues. The ones that have allowed the wreckless lending of the “originate and distribute model”. Yes lots to congratulate ourselves on there.
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