Canadian stock exchange is one of the country’s economical state indicators. It plays great role in economy of Canada and predicts its state up to 6-9 months ahead. Canadian stock exchange reflects the influence of scientific technical progress on our life, helps financing of revolutionary discoveries. Investment in Canadian stocks helps to protect your money from inflation.

Canadian stock market is represented with three big stock exchanges in Toronto, Montreal and Vancouver. The main country’s financial center is Toronto; Montreal stock exchange, being once very influential during 1980 and 1990, little by little was falling into decay because of the investor’s fear connected with separative mood strengthening in Quebec province. Together with this, securities of many Canadian companies are quoted on American stock exchanges. Large and very speculative stock exchange in Vancouver is the centre of stock trade of mining and geological prospecting companies.

Toronto Stock Exchange There are two main stock exchanges in Canada – Toronto Stock Exchange (TSE) and Vancouver Stock Exchange (VSE). The largest is Toronto Stock Exchange. In 1991 the volume of deals at TSE made up 5 837 580 170 stocks or 67 749 538 374 Canadian dollars. TSE in Canada is like New York Stock Exchange in America. In 1991 the Vancouver Stock Exchange purchase and sales volume made 3.68 billion stocks or 3.47 billion Canadian dollars.

TSE was officially established in 1861. Sine then it serves as a mediator between people who wish to invest their savings somewhere, and companies that require capital for their scope of activity widening. However, not all stocks can be the matter of a deal at TSE.

To register securities on a stock exchange, companies have to meet the strictest requirements in the sphere of their finances state, management and stocks distribution. Thanks to these strict selection criteria the investors using TSE services have possibility to choose among the best Canadian companies. Stock activity participants are more than 12 000 companies whose sphere of interests stretches from extractive industries to real estate commerce and new technologies development. Four million of Canadians have their share in companies managed by the state or in mutual stock funds.

More than 70 stock member companies own TSE providing its activity. Stock Member Company is another name of a broker company. These companies’ activity includes securities purchase and sale; brokers offer customers consultations or conduction of investing researches. Membership in TSE gives broker companies the right to use technical equipment and operational stock hall (about 2 800 square meters) for making deals with securities.

To let the company become a stock member its leaders must have significant experience of working with securities as well as pass qualification examination. Besides future stock member company has to pay for the right to make deals. After the broker company becomes the stock full member, it still has to stick to hard rules of stock activity behavior and making operations with securities. Here are the most famous broker companies beginning their activity at TSE: Price Waterhouse, Pitt Maverick Thorn, Burns Fry Limited, Scotia McLeod, Wood Handy, and Merrill Lynch.

Another tool of TSE’s effective activity is composite index made up on the basis of income data of 300 biggest deals made on this stock. Changes of a composite index reflect tendencies of Toronto market development as well as stock activity in Canada in total.

If this index increases, as a rule Toronto stock exchange increases prices too. Besides, TSE composes index “Toronto-35” reflecting state of 35 well known Canadian stocks. Index “Toronto-35” allows getting income at the expense of the entire Toronto market movement and is the most popular option in Canada. One more available service is “Toronto-35” purchase and sale. Thus holders at once acquire diversified portfolio of Canadian securities.

All Canadian stocks’ activity is regulated by provinces’ governments. Besides, there is an Inspecting Service of TSE that controls all deals on the stock because it’s exactly in their interests.