The Stock Exchange

Q:
When was the Trinidad and Tobago Stock Exchange (TTSE) started?
A:
The TTSE was formally opened on October 26th 1981 with 37 listed  securities, becoming the second Exchange in the CARICOM region after  Jamaica.


Q:
The establishment of the TTSE was made possible by the passage of what legislation?
A:
The TTSE was established under the provisions of the Securities  Industry Act 1981 which was later repealed and replaced by the  Securities Industry Act 1995


Q:
What is the Stock Exchange?
A:
The  Stock Exchange is the nation's centralized market place for the buying  and selling of shares or stocks and other securities. In addition to  increasing the investment options available to individuals, it also  provides a mechanism through which companies can raise capital for  expansion purposes by issuing stocks and bonds.


Q:
What is the ownership structure of the TTSE?
A:

The  TTSE is owned equally by the listed companies of the Exchange and the  member firms of the Exchange. This is reflected in the composition of  the Board of Directors with four members representing the listed  companies, four representing the member firms and three independent  directors. 

 


Q:
How does the TTSE benefit companies?
A:

A company listed on the TTSE can raise capital via an Initial Public Offering (IPO)

 

A listed company can raise additional capital via Rights Issues
Shares can be used to fund acquisitions of other companies
Shares can be used as a performance incentive for employees

 


Q:
How does the TTSE benefit investors?
A:

Investors have the opportunity to own a part of the some of the largest  and most   profitable companies in the country and in the region.

 

Investors can earn extra income from dividends
Increasing share prices increase investors’ wealth
Shares offer investors some protection against inflation
Shares can be used as collateral to obtain loans from financial institutions
 



Q:
How does the TTSE benefit the Economy?
A:

The TTSE fosters economic development by providing companies with access to capital
The TTSE encourages entrepreneurial spirit
The TTSE facilitates transparency and efficiency in the allocation of resources