{"id":528994,"date":"2021-10-13T13:45:57","date_gmt":"2021-10-13T11:45:57","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=528994"},"modified":"2021-10-13T13:45:57","modified_gmt":"2021-10-13T11:45:57","slug":"patrice-motsepe-backed-stock-exchange-expects-2023-breakeven","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/trending\/528994\/patrice-motsepe-backed-stock-exchange-expects-2023-breakeven\/","title":{"rendered":"Patrice Motsepe backed stock exchange expects 2023 breakeven"},"content":{"rendered":"<p>Four-year-old South African stock exchange A2X, backed by billionaire Patrice Motsepe\u2019s African Rainbow Capital Investments, expects to break even by 2023 as trading in the secondary listings it offers takes off.<\/p>\n<p>The value of stocks and funds on the Johannesburg-based platform more than doubled to R5 trillion ($336 billion) in the past 12 months, with Prosus NV and Investec Plc among the latest to complete secondary listings on A2X.<\/p>\n<p>September\u2019s record trading levels were five times the all-time high set in August, chief executive officer Kevin Brady said in an interview.<\/p>\n<p>\u201cWe have two brokers that are already trading seamlessly across markets, impacting activity levels and trading for asset managers,\u201d said Brady. \u201cMost of the asset managers in South Africa are now starting to get executions on A2X, including Ninety One, Allan Gray, the Public Investment Corporation and others.\u201d<\/p>\n<p>Upstart challengers are seeking to chip away at the dominance the Johannesburg Stock Exchange holds over equities trading in Africa\u2019s most industrialized economy, offering fees about 50% lower than those of operator JSE Ltd while touting their use of the latest technology.<\/p>\n<p>The Cape Town Stock Exchange began operations at the start of this month, while A2X now offers 56 securities.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p dir=\"ltr\" lang=\"en\">Four years on, the savings offered through our narrower spreads, added liquidity and lower fees have created enhanced \u201creturns\u201d for all participants to enjoy. A huge thanks goes to our issuers, brokers, vendors and importantly, the dedicated team at A2X for making it possible. <a href=\"https:\/\/t.co\/w6sb5vsgWd\">pic.twitter.com\/w6sb5vsgWd<\/a><\/p>\n<p>\u2014 A2X (@A2X_Markets) <a href=\"https:\/\/twitter.com\/A2X_Markets\/status\/1445637765379473413?ref_src=twsrc%5Etfw\">October 6, 2021<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>The main Johannesburg bourse still has a strong lead over its would-be rivals, with A2X\u2019s market share of trading in Prosus stock reaching 5% last month, for example. And not all new players are flourishing: in August, regulators suspended ZAR X\u2019s exchange license for not meeting liquidity and capital adequacy requirements.<\/p>\n<p>Brady said A2X\u2019s licensing conditions have been broadened to also include secondary listings from other alternative exchanges in South Africa, not just the JSE, plus inward listings from offshore exchanges.<\/p>\n<p>TWK Agri Pty, the first company to trade on the Cape Town bourse, plans a secondary listing on A2X by year-end, he said. It will consider primary listings in future, according to Brady, who described Motsepe\u2019s African Rainbow Capital as \u201ca key shareholder.\u201d<\/p>\n<hr \/>\n<p><strong>Read: <a href=\"https:\/\/businesstech.co.za\/news\/business\/353299\/south-african-stock-exchange-a2x-reveals-future-plans\/\" target=\"_blank\" rel=\"noopener\">South African stock exchange A2X reveals future plans<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Four-year-old South African stock exchange A2X, backed by billionaire Patrice Motsepe\u2019s African Rainbow Capital Investments, expects to break even by 2023 as trading in the secondary listings it offers takes off.<\/p>\n","protected":false},"author":59,"featured_media":529000,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[12410,12284,6756,26,14999,10975],"class_list":["post-528994","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-trending","tag-a2x","tag-african-rainbow-capital-investments","tag-allan-gray","tag-headline","tag-ninety-one","tag-zar-x"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/528994","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/59"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=528994"}],"version-history":[{"count":1,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/528994\/revisions"}],"predecessor-version":[{"id":529002,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/528994\/revisions\/529002"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/529000"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=528994"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=528994"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=528994"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}