Canada Adds BSX To Designated Exchanges
Canada’s Finance Minister has approved the addition of the Bermuda Stock Exchange to that country’s list of designated exchanges.
In making the announcement today [Nov.14], Greg Wojciechowski, the BSX’s president and CEO said: “The BSX is delighted to have achieved and been granted this very important designation by Canada’s Minister of Finance.
“Following the implementation of a Tax Information Exchange Agreement between Bermuda and Canada this summer, designation of the BSX by the Minister is very welcome news.
“I am confident that these important developments will deepen the longstanding cultural, commercial and capital market ties between our countries.
“We are grateful to Canada’s Department of Finance for the guidance that has been provided to us during the designation process.”
In 2005, the Canadian government removed the foreign content limit on tax-deferred retirement plans prompting an increasing number of Canadian investors to look to foreign securities listed on foreign exchanges to enhance their returns and diversify the investments held in their Canadian Registered Retirement Savings Plans [RRSPs] and Deferred Profit Sharing Plans [DPSPs].
The addition of the BSX to the Designated Stock Exchange list now opens up the opportunity for Canadian investors to include BSX listed securities in the investment portfolios of their RRSPs and DPSPs.
While the Designation status is not an endorsement or recommendation of individual securities listed and traded on the BSX, it is an acknowledgement by the Minister of Finance for Canada that, these securities trade on a well-governed, regulated and transparent market which allow them to be qualified investments for tax-deferred retirement plans in Canada.
The BSX and Business Bermuda recently joined together to present the 3rd Annual Bermuda Briefing and afternoon seminar in Toronto on Thursday [Nov. 17].
Established in 1971 the Bermuda Stock Exchange (BSX) is now the leading fully electronic offshore securities market.
The BSX specialises in listing and trading of capital market instruments such as equities, debt issues, funds, hedge funds, derivative warrants and Insurance Linked Securities.
The BSX, recognised by the US Securities & Exchange Commission as a Designated Offshore Securities Market, is a member of the World Federation of Exchanges.
The BSX has Approved Stock Exchange status under Australia’s Foreign Investment Fund (FIF) taxation rules; Designated Investment Exchange status by the UK’s Financial Services Authority; Recognised Stock Exchange by the UK Revenue and Customs; and is a member of America’s Central Securities Depository Association.
“Following the implementation of a Tax Information Exchange Agreement between Bermuda and Canada this summer, designation of the BSX by the Minister is very welcome news.”
At a minimum, why didn’t the PLP Government include the BSX designation to all the other TIEA negotiations so Bermuda would at least have equivalency and opportunity instead of the one way street of information we’re forced to live with now?