The TSX Venture Exchange will try to solve some of the problems that threaten its existence later this week at a town hall event in Vancouver.
The current down market for commodities has been particularly punishing for the venture exchange: it has lost 76% of its value since 2011, representing an erosion of $50 billion in market capitalization.
Read: The small short: big problems brewing on Bay Street
In a white paper, the TSX-V proposes several solutions to save the exchange: reducing the cost of staying listed; making investors more aware of the TSX Venture Exchange; and increase the diversity of companies listing on the currently resource-dominated exchange.
On that last point, the TSX Venture’s white paper notes that the exchange is largely seen as an exchange for resource companies, such as junior mining companies. Many of those companies are headquartered in Vancouver.
Graeme O'Neill, CEO of Bayhorse Silver, says the white paper doesn't go far enough in addressing the TSX-Venture's problems. He would like to see short selling on the venture exchange banned.
The TSX Venture’s Vancouver town hall takes place at 2:00 pm on Thursday, January 28 at the Pan Pacific.
- with files from Nelson Bennett
@jenstden
