What is the Mexican Stock Exchange (MEX) .MX
The Mexican Stock Exchange (MEX) .MX (Bolsa Mexicana de Valores, or BMV), headquartered in Mexico City, is the full service securities exchange of the country, dealing in cash equities, derivatives and fixed income products. Established in 1886 as the Mexican Mercantile Exchange, it adopted its current name in 1975 and is presently the second-largest stock exchange in Latin America in terms of market capitalization of listed companies (after Brazil). Its trading system became fully electronic in 1999. Other milestones were the first listing of a foreign company (Citigroup) in 2001 and an initial public offering of the shares of the stock exchange in 2008.
BREAKING DOWN Mexican Stock Exchange (MEX) .MX
The types of securities exchanged through the Mexican Stock Exchange (MEX) .MX include stocks, debentures, government and corporate bonds, warrants and other derivatives. Shares of initial public offerings are made available through the BMV. The Mexican Stock Exchange's roles include facilitating securities trading, clearing, settlement and custody; making securities information available to the general public; promoting fair market practices; and ensuring transparency.
Some of the main requirements for listing on the exchange are 200 shareholder minimum, three previous consecutive years of profits, and at least 15% of the shares held by the public. The National Banking and Securities Commission is the main regulator of the Mexican Stock Exchange.
Top Listings on the Exchange
The S&P/BMV IPC Index represents the largest and most liquid stocks on the stock exchange. The consumer staples, materials, financials, telecommunication services, industrial, consumer discretionary and utilities sectors comprise the index, which is reflective of the broader economy. Grupo Mexico SAB, America Movil SAB, Grupo Bimbo SAB, Fomento Economico Mexicano SAB, Grupo Televisa SAB, Wal-Mart de Mexico SAB and Cemex SA are some of the prominent companies listed on the exchange. There were approximately 150 companies in total on the exchange at the end of 2017 with an aggregate market capitalization of over US$500 billion.