This firm offers an indication of how AIM stocks can post rapid increases in value and provides its shareholders with a way to tap into the booming green energy market. The largest company on the AIM is Greencoat Renewables, which might not be as instantly recognisable but has grown to have a market capitalisation of £1.15bn. There are household names such as YouGov and Fevertree Drinks PLC available to trade.
The varied range of stocks in the AIM market is part of its appeal. It now has around 821 companies listed and a total valuation running into tens of billions of pounds. The launch of the AIM saw 10 companies listed with a combined valuation of approximately £82m. AIM-listed stocks are not required to meet these conditions and, as a result, are seen as riskier investments. To achieve a ‘full listing’ on the LSE, a firm must have existed for at least three years, and a minimum of 25% of its share capital must be free-floating. This is because complying with all of the top-tier requirements is a considerable cost burden for smaller firms, so a light-touch compromise has been achieved.
However, regulation and listing procedures are less stringent than they are for stocks such as the blue chips in the FTSE 100.
The AIM enables small and medium-sized companies to raise capital via a listing on a public exchange, which, in turn, helps them to grow at a faster pace. The AIM, or ‘alternative investment market’, is a sub-market of the London Stock Exchange ( LSE) that was launched in June 1995. What to Consider Before Investing in AIM Shares.
0 kommentar(er)
