The New York Stock Exchange (NYSE) and Singapore Exchange (SGX) announced Thursday the signing of a new agreement to collaborate on the dual listing of companies on both exchanges and work together in a number of other key areas focused on the capital markets.
The duo said in a statement that this collaboration represents an important initiative for both markets. The agreement underscores SGX and NYSE’s joint interest in driving greater collaboration between the two exchanges.
In a virtual ceremony on Thursday, NYSE President Lynn Martin and SGX Chief Executive Officer Loh Boon Chye signed a memorandum of understanding outlining the terms of the agreement.
The collaboration between the two exchanges focuses on the following areas: dual listing of companies on SGX Group and NYSE; identifying and developing new environmental, social, and governance (ESG) products and services; supporting index product development at SGX Group and NYSE affiliate ICE Data Indices; exploring new exchange-traded fund (ETF) products.
“This collaboration between NYSE and SGX creates an important new connection between two of the world’s most exciting regions and two of its most innovative stock exchanges. Our agreement will bring issuers access to greater opportunity as well as drive the development of new products in high-demand areas such as ESG. We look forward to working together with SGX Group to further advance our global capital markets,” said Lynn Martin, NYSE President.
According to the statement, dual listings between the NYSE and SGX benefit issuers by allowing them to tap into pools of capital in key markets outside of their home regions. The agreement also allows the two exchanges to develop new products and services in support of their listed companies and investor communities, and coordinate compliance efforts for dual-listed companies.
“This agreement underscores SGX Group and NYSE’s joint interest in driving greater collaboration between the two exchanges. It aims to create a more connected ecosystem to facilitate access to capital and the development of new investment solutions to address growing complex needs of market participants and investors,” said Loh Boon Chye, Chief Executive Officer of SGX.
NYSE is a subsidiary of Intercontinental Exchange, a leading global provider of data, technology and market infrastructure. NYSE equity exchanges — the New York Stock Exchange, NYSE American, NYSE Arca, NYSE Chicago and NYSE National — trade more U.S. equity volume than any other exchange group.
The NYSE, an ICE exchange, is the premier global venue for capital raising. NYSE Arca Options and NYSE Amex Options are leading equity options exchanges.
SGX is Asia’s leading and trusted securities and derivatives market infrastructure, operating equity, fixed income, currency and commodity markets to the highest regulatory standards. It also operates a multi-asset sustainability platform, SGX FIRST or Future in Reshaping Sustainability Together.
It is committed to facilitating economic growth in a sustainable manner leveraging its roles as a key player in the ecosystem, a business, regulator and listed company.
SGX provides listing, trading, clearing, settlement, depository and data services, with about 40 percent of listed companies and over 80 percent of listed bonds originating outside of Singapore. It is the world’s most liquid international market for the benchmark equity indices of China, India, Japan and ASEAN.