Toronto Stock Exchange

Toronto Stock Exchange (often abbreviated as TSX) is one of the largest stock exchanges in the world. As of February 2015, it has the greatest number of security listings of any exchange in North America and has the second-most listings worldwide. It is also the eighth largest exchange in the world by market capitalization. Based in Toronto, it is owned by and operated as a subsidiary of the TMX Group for the trading of senior equities. A broad range of businesses from Canada and abroad are represented on the exchange. In addition to conventional securities, the exchange lists various exchange-traded funds, split share corporations, income trusts and investment funds. More mining and oil and gas companies are listed on Toronto Stock Exchange than any other stock exchange.

History

The Toronto Stock Exchange likely descended from the Association of Brokers, a group formed by Toronto businessmen on July 26, 1852. No records of the group's transactions have survived. On October 25, 1861, twenty-four men gathered at the Masonic Hall to create the Toronto Stock Exchange. The exchange was incorporated by an act of the Legislative Assembly of Ontario in 1878.

Stock exchange

A stock exchange or bourse is an exchange where stock brokers and traders can buy and/or sell stocks (also called shares), bonds, and other securities. Stock exchanges may also provide facilities for issue and redemption of securities and other financial instruments, and capital events including the payment of income and dividends. Securities traded on a stock exchange include stock issued by listed companies, unit trusts, derivatives, pooled investment products and bonds. Stock exchanges often function as "continuous auction" markets, with buyers and sellers consummating transactions at a central location, such as the floor of the exchange.

To be able to trade a security on a certain stock exchange, it must be listed there. Usually, there is a central location at least for record keeping, but trade is increasingly less linked to such a physical place, as modern markets use electronic networks, which gives them advantages of increased speed and reduced cost of transactions. Trade on an exchange is restricted to brokers who are members of the exchange. In recent years, various other trading venues, such as electronic communication networks, alternative trading systems and "dark pools" have taken much of the trading activity away from traditional stock exchanges.

Toronto

Toronto (ⁱ/təˈrɒntoʊ, -tə/,local /təˈrɒnoʊ, ˈtrɒ-/) is the most populous city in Canada, the provincial capital of Ontario, and the centre of the Greater Toronto Area, the most populous metropolitan area in Canada. In the 2011 census, Toronto had a population of 2,615,060, making it the fourth most populous city in North America, after Mexico City, New York City, and Los Angeles. An alpha global city, Toronto is an international centre of business, finance, arts, and culture, and is widely recognized as one of the most multicultural and cosmopolitan cities in the world.

Aboriginal peoples have inhabited the area now known as Toronto for thousands of years. The urban history of the city dates back to 1787, when British officials negotiated the Toronto Purchase with the Mississaugas of the New Credit. They established the Town of York, and later designated it as the capital of Upper Canada. During the War of 1812, the town was the site of the Battle of York and suffered heavy damage by U.S. troops. York was renamed and incorporated as the City of Toronto in 1834, and became the capital of the province of Ontario in 1867. The original borders of Toronto were expanded through amalgamation with surrounding municipalities at various times in its history, the results of which can been seen in the 140 independently unique and clearly defined official neighbourhoods that make up the city.

Exchange

Exchange may refer to:

Places

Business and economy

Stock

The stock (also capital stock) of a corporation constitutes the equity stake of its owners. It represents the residual assets of the company that would be due to stockholders after discharge of all senior claims such as secured and unsecured debt. Stockholders' equity cannot be withdrawn from the company in a way that is intended to be detrimental to the company's creditors.

Shares

The stock of a corporation is partitioned into shares, the total of which are stated at the time of business formation. Additional shares may subsequently be authorized by the existing shareholders and issued by the company. In some jurisdictions, each share of stock has a certain declared par value, which is a nominal accounting value used to represent the equity on the balance sheet of the corporation. In other jurisdictions, however, shares of stock may be issued without associated par value.

Shares represent a fraction of ownership in a business. A business may declare different types (classes) of shares, each having distinctive ownership rules, privileges, or share values. Ownership of shares may be documented by issuance of a stock certificate. A stock certificate is a legal document that specifies the amount of shares owned by the shareholder, and other specifics of the shares, such as the par value, if any, or the class of the shares.