WATCH: Serious intervention needed to fix capital markets

SA’s capital markets are in a state of existential crisis. There is a global trend towards fewer listed companies with the rise of private markets, but in SA the delisting deluge is acute: 25 companies delisted from the JSE in 2021, with just seven new listings in the same period.

In 2022, we are heading towards that number again and we are midway into the second quarter. The flotation of Coca-Cola Beverages Africa (CCBA) has been pushed out to the third quarter and would be the biggest on the JSE since at least 2016 and a major boost for the flagging index.

It’s a complex issue that requires us to correctly identify the root causes of the problems to address them swiftly and incentivise the role players to act accordingly if we are to turn things around for local investors, savers and pensioners. And it was a key issue during the JSE’s AGM, held on Tuesday.

Business Day TV spoke to Dr Leila Fourie, CEO of the JSE; Chris Logan of Opportune Investments; and David Holland of Fractal Value Advisors.