"The goal of the new equity market segmentation was to create optimal framework conditions for investors and issuers through high transparency standards and secure legal framework conditions. As a result, we have two attractive listing segments to offer issuers," said Rainer Riess, Head of Stock Market Business Development at Deutsche Börse. International transparency standards had first been introduced in Germany through Neuer Markt and SMAX, Riess said. "These international transparency standards live on in the new Prime Standard segment," he added. General Standard offers attractive and low-cost access to the exchange for companies with a primarily national focus.
Deutsche Börse had officially given notice that it would close the Neuer Markt and SMAX segments by December 31, 2003. In the meantime, all issuers have decided in favor of changing into one of the two new segments well in advance of the deadline. Roughly two-thirds of the former Neuer Markt companies decided in favor of Prime Standard, while about one-third switched into General Standard. About half of the SMAX companies moved into Prime Standard and General Standard, respectively.
The admission to Prime Standard is a prerequisite for inclusion in one of Deutsche Börse's selection indices. With the new index model, companies from technology sectors as well as firms from classical sectors are in an attractive peer group. Technology companies have the TecDAX and Technology All-Share Index as a showcase for their investors, companies from classical sectors are tracked in the MDAX, SDAX or Classic All-Share indices.