Alternative Investment Market

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The Alternative Investment Market (AIM) is a sub-market of the London Stock Exchange. It's a global market for smaller growing companies.

Since its launch in 1995, over 2,900 companies have joined AIM through initial public offerings (IPOs) and the further raising of capital. Many companies have made the transition to the exchange's main market following activity on AIM.[1]

History

When the London Stock Exchange created AIM, the objective was to offer smaller companies − from any country and any industry sector − the chance to raise capital on a market with a pragmatic and appropriate approach to regulation. With this in mind, AIM was designed to be a highly flexible public market offering many unique attributes both for companies and investors.

Requirements

To join AIM, companies do not need a particular financial track record or trading history. There is also no minimum requirement in terms of size or number of shareholders. This more flexible approach reflects the fact that AIM was designed specifically for smaller growing companies and to provide a balanced regulatory regime for companies and investors.

AIM has a large, diverse and committed community of stakeholders, made up of various market participants. Specialist advisers are crucial to the market’s success, and range from dedicated Nominated Advisers (Nomads) who play a central role in the life of an AIM company, through to lawyers, accountants and brokers. Other important participants and stakeholders include investors, public relations and investor relations agencies who help companies join the market, and market committees and publishers focused on AIM and its companies.

AIM trades small-caps, or new enterprises with high growth potential.[2]

References

  1. Welcome To AIM. London Stock Exchange.
  2. About The London Stock Exchange. ADVFN.