Marius Strydom on the key drivers behind the JSE delisting trend

Marius Strydom outlines the two key driving factors behind the mass exodus of businesses leaving the local bourse. Although the delisting trend is not completely unique to South Africa, the pace of delistings are. Marius puts this down to a decreasing number of foreign shareholders in local businesses, indicative of the negative sentiment towards JSE-listed business. The second is a slide in analyst coverage, which has decreased significantly, especially in the small to mid cap space. Lack of coverage leads to thin volumes and lack of interest, which takes away many of the primary benefits of being listed. Lastly, Marius focused on solutions in order to change the direction of the trend. Learn more about your ad choices. Visit megaphone.fm/adchoices