“It would help immensely to kick-start the process were they to include in their joint communiqué a recommendation to the appropriate authorities on both sides of the border to explore the idea,” said Mr. Nesbitt. “My view is that establishing a Canada-U.S. free trade area for securities based on mutual recognition is something best done by those who must make it work. That is, instead of a treaty our two countries should put this task to U.S. federal and Canadian provincial regulators, to self-regulatory organizations on both sides of the border and to exchanges.”
Mr. Nesbitt has been calling for freer trade in securities throughout the year. He believes that opening up North American markets to full competition would be a “win-win” for both countries. There are currently some 200 Canadian issuers inter-listed on U.S. exchanges as well as on Toronto Stock Exchange, and 100 U.S. companies are listed on TSX and TSX Venture Exchange.
TSX Group exchanges are global leaders for the listing and trading of resource and energy issues. TSX Group exchanges have also become leading exchanges for facilitating financing. According to the World Federation of Exchanges, TSX Group exchanges were third in the world in terms of raising capital financing – behind only NYSE and London at the end of the first quarter 2006.
A copy of Mr. Nesbitt’s remarks is available on tsx.com and can be viewed by clicking here.
