Bermuda Stock Exchange (BSX)
The stock exchange of Bermuda was set up in 1971 to initially cater to domestic equity trading. But with the boom in the international offshore business in Bermuda primarily due to tax free operations, the exchange was later restructured to accommodate both domestic and international stock trading.
Today Bermuda Stock Exchange has become world's largest offshore electronic securities market. It offers a complete range of listings and trading for international and domestic securities covering equity, debt, depository receipts, mutual funds (including hedge funds), insurance security and derivative warrants.
BSX trades daily from Monday through Friday. There are off hour operations for institutional large block trades. Other than domestic trades and listings for offshore funds, the exchange provides opportunities for niche market and alternative investments.
One of the unique offerings from BSX is Mezzanine Market, where startup companies with high growth potentials are allowed to list their stocks without having to commit to a full IPO.
Bermuda Stock Exchange uses the BEST system (Bermuda Electronic Securities Trading) which is fully automated and secured. The system allows to trade equity and fixed income securities on an online real time basis. In 2001, Bermuda Stock Exchange introduced another automated systems called the Bermuda Securities Depository (BSD), which is Bermuda’s national securities depository.
Updates 2012 (for the financial year 2011/12)
There are 25 ILS (Insurance Linked Securities) listings in BSX whose total market capitalization has exceeded $3 Billion.
Bermuda has been accorded the Designated status under the Canada's Income Tax act. This has come through after signing of the International Tax Treaty between the two countries. This status is expected to further strengthen the economic, cultural and capital market ties between the two countries.
Bermuda hosted the America’s Central Securities Depository Association (ACSDA) general assembly in March 2011. There were over 100 delegates from North America, UK, South Africa etc. ACSDA is body constituting 25 central security depository and clearing houses from the USA, South Africa, Caribbean etc.
The Toronto Stock Exchange Group bought 16% stakes in BSX thus becoming one of the largest share holders of BSX.
BSX is now the leader in fully electronic offshore securities market in the world. It is recognized as the Designated Offshore Securities Market by US SEC and also enjoys Approved Stock Exchange status in Australia's Foreign Investment Funds. While in 2011 the BSX index closed 9.2% below the 2010 level which was in line with the world market scenario, as on December 31st 2011, the total market capitalization of BSX was over $340 Billion (excluding funds) out of which the domestic market capitalization was about $1.4 Billion.
Address and Contacts of BSX
Washington Mall, Phase I, 3rd Floor, 22 Church Street, Hamilton HM 11
P.O. Box HM 1369, Hamilton HM FX
Phone: 441/292-7212 Fax: 441/296-1875