TSX Group CEO Says We Should Look Before Leaping - Richard Nesbitt Believes Recent Signals On Future U.S. Regulatory Direction Should Send A Message To Our Regulators –Be Patient And Do What’s Right For Canada

TSX Group CEO Richard Nesbitt told a luncheon of the Canadian Club of Winnipeg today that he commends the regulators in Canada for providing the forum for comment on our future investor confidence rules. But Mr. Nesbitt cautioned that the sand is shifting in the U.S. and patience might be the best virtue for our regulators at this time. “The SEC is split. A new chairman is widely perceived to represent a different approach from his predecessor on regulation.” He added, “When the majority seems to be opposed to what’s been happening, it seems clear to me that changes are likely in the works. If that is the case, we should be very careful that we make sure what we’re harmonizing with. In other words, we should try to make sure we know where they’re going before we follow.”

He went on to say “we need to make sure that, as we adapt our rules and practices to global competition, we keep very clearly in mind the unique needs of our market.” Mr. Nesbitt believes that efficient and effective regulation will allow Canada’s markets to compete for the best of the world’s small and medium sized issuers looking for listing on a marketplace that meets the issuer’s needs.

He cited the example that regulators are now considering the freer trade of securities and he is in support of that. “There is free trade of oil and gas in North America, but no free trade in the shares of oil and gas companies.”

He added, “Efforts to focus on efficiency by TSX Group have helped lower costs and contributed to our success story in recent years.”

This was Richard Nesbitt’s first public speech in Manitoba since he became CEO of Canada's two leading stock exchanges in December. There are 23 Manitoba companies listed on Toronto Stock Exchange with a market cap of $45 billion. There are another 20 companies on TSX Venture Exchange with $172 million in market cap.

Remarks by Richard Nesbitt CEO, TSX Group