Categories: Investor Definitions

LISTING STANDARDS

Before a company’s stock can begin trading on an exchange, the company must meet certain minimum financial and non-financial requirements, or “initial listing standards.” Initial listing standards generally include a company’s total market value and stock price, and the number of publicly traded shares and shareholders of the company. Once listed on an exchange, a company must continue to meet a various financial and non-financial requirements, or “continued listing standards.” Continued listing standards are similar to initial listing standards, but may include additional requirements. If a company fails to meet these continued listing standards, the exchange may remove or “delist” the company’s stock from the exchange.

Listing standards vary between each exchange and are available to review on each exchange’s website. You can find links to each exchange’s website here.

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