Australian Stocks Exchange - ASX


The Australian Stocks Exchange that is headquartered in Sydney Australia was created after a merger between Australian Stocks Exchange and Sydney Futures Exchange. The exchange acts as a market operator engaging in stocks loans, payment facilitation, clearing house and providing educational material for retail investors. The original Australian Stocks Exchange was created in 1987 after several stocks exchanges in Australia merged. Currently, the exchange offers: futures, equities, warrants, options, REITs, ETFs among other securities. Currently, the exchange has an estimated market cap of $1.27 trillion. The stocks index used at the Australian Stocks Exchange is the All-Ordinaries Index that is the most quoted benchmark at the exchange. The index is the market weighted from over 300 companies listed at the exchange. For a company to be included at the exchange and the index, they must meet the requirements established by the Australian Stocks Exchange. Originally, securities lending began in Australia in the early 70s and grew slightly into the 80s though remaining marginal business. It was not until the enactment of Capital Gains Tax Legislation in September 1985 did security loans become effective disposals for the legislation’s purposes. The Australian Stocks Exchange introduced the T + 5 settlement which was part of the regulations by the G30. The securities lending operations have grown tremendously at the Australia Stocks Exchange and as staff continue to enhance their knowledge in this area, security lending and exchange staff have to been moved to larger trading areas and later the exchange has departments specializing in securities lending.