Catalist will be New Zealand’s only licensed* and regulated stock exchange, designed for investing in small and medium-sized businesses – which until now, could only be accessed privately.
Our secure online platform not only makes it possible for you to access these investment opportunities, but easier to keep track of and sell your investments.
The Catalist Public Market acts like a traditional stock market, allowing you to buy and sell shares, debt securities and other financial products. This means as an investor, you have access to quality information on any listed businesses, as well as protection from market manipulation and insider trading.
However, different to a traditional stock exchange, Catalist uses regular auctions, rather than continuous trading. You can compare this to auctions for other products you might buy online, except in a Catalist auction, there can be multiple sellers as well as multiple buyers.
Auctions have been shown to be the fairest method for pricing financial products that don’t trade very often, which is usually the case for small and medium-sized businesses. Buyers and sellers all pay and receive the same fair price based on supply and demand.
The small and medium-sized businesses listed on our public market can provide new investment opportunities through business growth. Although, before investing in a business, you should make sure you read all the information available about that business and the risks involved.
You can read below for more information on our public market.
The Catalist Private Markets are a service we provide to some businesses on our platform, to help them manage trading amongst their private group of investors. A private market will only be visible if you have been given access by the business who runs it.
If you are granted access to a private market, make sure you read all the available information and fully understand how that market works. While we require businesses to provide clear and transparent information, it may not be to the same level that you would get for a business listed on the Catalist Public Market. This is because private markets are governed by different rules and regulations.
We also have an online investment management platform to simplify the tracking and management of your investment portfolio. The platform allows you to view your investments online, complete transfers electronically and acts as an information portal, so you can stay updated with your investments.
As an investor, you’ll have access to our registry service if you’re invested in a business that uses it. You’ll be able to access this service, and information about that business, through your Catalist account.
On the Catalist Public Market, it’s free to open an account and place orders in auctions – and you only pay a small fee if your order is successful.
Read more about fees here.
When you trade on our public market*, you will have the protections provided by the Financial Markets Conduct Act 2013, which relate to matters involving insider trading, market manipulation, substantial product disclosure and relevant interest disclosure. We are also required by the Financial Markets Authority (FMA) to monitor all trading to maintain a fair, orderly and transparent marketplace.
You have total control on our platform. This means you can buy, sell and view your investments on our marketplace through your secure online account. You can also see what your portfolio might be worth by looking at the most recent auction prices and volumes sold.
Your secure online account means you can find all the information you need to research investments in one place. Businesses on the Catalist Public Market are legally required to provide comprehensive information before each auction, so that you have everything you need to make good investment decisions.
Buyers and sellers all get the same fair price of financial products, determined by the total supply and demand at each auction. This means the price you pay or receive may even be better than your order price.
Read more on how auctions work here.
Businesses commit to an agreed auction schedule, so you have regular opportunities to buy and sell financial products. This makes it easy to convert your investment back into cash by selling at an auction if you need to.
Small and medium-sized businesses are crucial to the growth of New Zealand’s economy and the creation of new jobs. By investing in these “mid-cap” businesses, you can help them grow into the large businesses of tomorrow.
We’ve designed the market to enable social impact projects to connect with investors, in order to deliver social benefits, as well as financial returns. You’ll be able to see which listings are social impact projects in the information on our market.
Read more about social impact investments here.
Unlike a traditional stock exchange that trades continuously, on Catalist, all trading is conducted through simple periodic auctions. This is because auctions have been shown to be the fairest mechanism for pricing financial products that do not continuously trade.
At each auction, the expected price of products is determined in real time, based on the total supply and demand from buyers and sellers. This means when the auction closes, all buyers and sellers pay or receive the same fair price for the financial products.
Bids and offers are given priority based on their competitiveness and the time they were submitted.
If you’d like to know more about the auction process, have a read of our page on how auctions work.
*License pending. Trading is subject to terms and conditions. More information coming soon.