From early explorers to prospectors, the quest for riches began in Canada hundreds of years ago by individuals who possessed the courage to tackle new ventures. Many determined explorers, who were able to raise funds, voyaged to this country in hopes of finding economic wealth through resource discoveries.

Their early findings spawned the base industries that fuelled settlements, growth and development across the country. In the early 1900s, many traders hung up their furs to prospect for gold. The Klondike gold rush along with the Turner Valley oil boom brought prospectors west to settle in British Columbia and Alberta. With each new discovery, the requirement for equity financing increased. Out of that need came the Vancouver Stock Exchange, founded in 1907, and the Alberta Stock Exchange, established six years later in 1913.

Created as places where hard working prospectors could raise risk capital, the VSE and ASE remain closely linked to their early values. With nearly a century of experience in financing mining and oil and gas ventures, the ASE and VSE have leveraged that expertise into other innovative industries including telecommunications, technology and biotechnology.

The upcoming merger of the ASE and VSE preserves the core strengths of the exchanges and will offer this expertise across Canada.

Canadian Venture Exchange

CDNX is part of the overall Canadian capital market restructuring first announced on March 15, 1999, by the Alberta, Montreal, Toronto and Vancouver stock exchanges. The four exchanges agreed to restructure the markets along the lines of market specialization. The Canadian Venture Exchange will also include consolidation of the Canadian Dealing Network, junior companies currently listed on the ME, and potentially the WSE.

CDNX, as part of the Canadian capital market restructuring, will provide significant benefits.

• Venture companies will have improved access to capital through regional representation provided by all exchanges and harmonization of regulation, undertaken in coordination with the Canadian Securities Administrators (CSA). Listed companies will also benefit from improved service levels, broader investor following and elimination of overlapping fees.

• Investors will benefit from a well-regulated, fair and accessible market with enhanced protection through uniform regulatory standards, consistent enforcement and improved market information.

• Member firms will benefit from common technology platforms between the exchanges, which will enable greater efficiencies and reduced costs within their own operations. There will also be opportunities for collaborative marketing programs to expand business in fields of niche expertise such as junior mining, oil & gas, telecommunications and technology within Canada and worldwide.

The same spirit that brought explorers and traders to Canada centuries ago is embodied in today’s entrepreneurs and innovators. In fact, venture companies represent the strongest job creation sector of the Canadian economy. Through its members, the Canadian Venture Exchange will develop opportunities for today’s entrepreneurs to build their businesses to become the leading senior companies of tomorrow.