AIM high as daily share trading on alternative market hits record highs
The value of traded shares on alternative exchange AIM more than tripled in two years, a new report has found.
Spurred by success stories like ASOS, Boohoo and Fever-Tree, the average value of daily trading per company on the market grew to £328m, up from £109m in 2015/16, accountants UHY Hacker Young said.
The growth follows efforts from the London Stock Exchange to rid AIM of its “wild west” reputation.
The most recent reform came as late as Friday when a new corporate governance code was introduced.
The value of daily trading on the platform has increased fourfold from a decade ago, the report also found.
UHY Hacker Young managing partner Laurence Sacker said: “The fact that businesses on AIM are now regularly attracting institutional investors, and not just small cap specialists, is a real game changer for the whole of the market.”
“The market is now fulfilling the potential that it has always had.”
“AIM may well face further challenges in the future, most notably Brexit, and tech sector volatility.
“However, the market has withstood everything that has been thrown at it. That was not a given even a few years ago.”