South African stock exchange startup, A2X Markets has secured an undisclosed investment from Absa bank to offer a strong validation model that can lower the cost of investing.
The startup is a licensed stock exchange that gives a secondary listing venue for companies.
Commenting on the startup, Chief Executive Officer of A2X, Kevin Brady said “Effective competition in the industry drives market efficiency and this benefits all users, including individual investors and pensioners. By offering lower costs, we are able to create a better market to grow the overall industry.”
South African stock exchange startup, A2X leverages technology to provide a trading venue at a lower cost, and already lists many of South Africa’s top companies such as eight Top40 constituents, Three Absa precious metal ETFs, and two Investec ETNs.
Thus, A2X exchange has a variety of listings from key sectors, including mining, media, banking, retail, FMCG, financial services, insurance, healthcare, and telecommunications.
Absa is now the first major South African bank to invest in the startup stock exchange. The bank’s investment reveals that it fully endorses what A2X is building.
The Head of Equities at Absa, Quintus Kilbourn in a statement said, “The team at Absa CIB is always looking for innovative ways to save money for our clients and support the industry in which we operate. As a broker, we believe in an efficient and progressive marketplace and our investment in A2X shows our support for this”.
Absa Bank Limited is one of the largest banks in South Africa and a subsidiary of Absa Group Limited. Also, Absa Group Limited is listed on JSE limited.
A2X Markets is a stock exchange that plays a vital role in the progression of the South African market-place by using an experienced team, cutting- edge technology and an active environment to provide an efficient and cost-effective trading venue to secondary list and trade shares. The Stock exchange startup was founded in 2014 but started operations in 2017