Response to FSA’s Discussion Paper on the Structure of the Listing Regime

The Exchange has responded to the FSA’s Discussion Paper 08/1 “A Review of the Structure of the Listing Regime”.

In summary:

• We are supportive of clearer and more accurate labelling;
  
• We are concerned that the impact of FSA’s proposals upon the PSM have not been given sufficient consideration;
  
• When it comes to listing shares, we do not believe that an MTFs operated by an investment firm would offer the same investor protections as those offered by an RIE;
  
• We believe that Option 1 is a disproportionate response that may adversely affect existing and prospective issuers and investors and damage the UK’s competitive position. Under Option 2, the tiered structure of the Main Market would be retained and unintended adverse consequences for issuers and investors would thus be avoided;
  
• The introduction of a sponsor regime for a transaction involving the issuance of GDRs would be excessive, costly and unnecessary for the GDR market;
  
• We do not believe that requiring issuers to ensure that information service providers (ISP) insert a ticker next to the issuer's name reflecting its listing status is a practical proposal.