Question

You are an investment advisor and you are asked to guide a new investor to trade shares on the Ghana Stock Exchange (GSE). Explain any six (6) of the listing requirement of GSE that are to be met before the company can start trading on the market.

Answer 1

Listing Requirement to Shares -

1) Minimum Stated capital of at least GHc 1 millon in case of application for first official list and GHc 0.25 mllion for GAX

2) Share issued to public should be atleast 25% of number of shares of company

3) Only fully paid shares will be listed on stock exchange, partly paid share will not be listed

4) Spread of shareholders will be as per GSE opinion but at least 100 shareholders for main board and 20 for GAX are required

5) A copy of prospectus should be submitted to SEC

6) Profit and loss record for three years or one year as the case may be should be submitted