TORONTO, March 3 /CNW/ - TSX Group Inc. Interim Co-CEO Rik Parkhill says
it is clear that the issue of mutual recognition is gaining acceptance in the
U.S. but he told an audience at PDAC today in Toronto that even further work
is required to make Canada more competitive on a global scale.
"The broader policy environment needs work. As a destination for foreign
capital, we are not as attractive as we could be and should be to global
markets," said Mr. Parkhill. He pointed out examples of how the 2006 income
trust decision hurt issuers plus that there was still some confusion over
interest-deduction taxation. "The fuzziness that surrounded the question of
interest-deduction taxation as it related to takeovers by Canadian companies
of foreign firms certainly spooked some key players in our market at a
critical time. But the bigger problem is a policy approach that views the
Canadian market and especially Canadian capital markets as an island unto
He said that globalization should be embraced because Canada is in a
great position to compete. "We are not an island because we can't be an
island. Our own industries - the exploration and development industry in
mining and the exchange industry - support a whole range of professions and
services. Geologists and investment bankers, lawyers and broker dealers,
traders and investor relations experts, engineers and accountants, fund
managers and stock analysts. All these people have come to depend on our
shared success in faraway lands."
He cited examples of TSX's success in winning exchange listings in the
competition with other exchanges and the overall success in raising capital,
whether by IPO, secondary financing or private placement which positions TSX
exchanges currently as 7th largest in the world.
He concluded by saying, "It is not a matter of protecting Canadian
champions that is involved here. It is a matter of supporting global champions
- like our mining industry, and, in our chosen niches, our exchange industry.
That means we need public policies that welcome foreign investors in our
economy and welcome Canadians going abroad to build this country's wealth."
Mr. Parkhill's remarks are available on tsx.com.
About TSX Group Inc. (TSX-X)
TSX Group operates Canada's two national stock exchanges, Toronto Stock
Exchange serving the senior equity market and TSX Venture Exchange serving the
public venture equity market, Natural Gas Exchange (NGX), a leading North
American exchange for the trading and clearing of natural gas and electricity
contracts and Shorcan Brokers Limited, the country's first fixed income
inter-dealer broker. TSX Group also owns The Equicom Group Inc., a leading
provider of investor relations and related corporate communication services in
Canada. TSX Group is headquartered in Toronto and maintains offices in
Montreal, Calgary and Vancouver.
For further information:
For further information: Steve Kee, Director, Corporate Communications,
TSX Group Inc., Toronto Office, (416) 947-4682, Toll Free 1-888-873-8392,
Cellular (416) 358-3714, Vancouver Office (604) 602-6902, Calgary Office (403)