COMPETITIVENESS MEASURES

Equity Raised in Public Markets

We provide three measures relating to the U.S. share of equity raised in global public markets—a reflection of the perceived attractiveness of U.S. public market.

U.S. Share of Equity Raised in Public Markets

U.S. exchanges’ share of equity raised in global public markets, through IPOs and secondary offerings, reflects the relative attractiveness of the U.S. public market for both domestic and foreign issuers.

The data compares equity raised in U.S. public markets (as allocated to Thomson’s “U.S.” database) with equity raised in public markets outside the U.S. (as allocated to Thomson’s non-U.S. regional databases, including the catch-all “International” database).

Equity Raised in U.S. and Non-U.S. Public Markets (Charts & Table) PDF

Global IPOs by Foreign Companies

“Global IPOs” are IPOs by foreign companies outside their home countries.  The U.S. share of Global IPOs by foreign companies reflects the relative attractiveness of U.S. public markets to foreign companies.  The measure is especially telling because foreign companies—more so than U.S. companies—must choose to come to the U.S.

We define Global IPOs, which include initial—but not secondary—offerings, both narrowly and broadly. The source is Dealogic.

Global IPOs—Narrowly Defined

A narrowly defined Global IPO is an IPO by a non-U.S. company that is listed on at least one exchange that is not an exchange in the company’s country of domicile.  For example, a German company listing its IPO on Deutsche Börse and the New York Stock Exchange is a Global IPO. 

The data shows Global IPOs “captured” by a U.S. exchange as a percentage of total Global IPOs (by both number and value).  A Global IPO is “captured” by a U.S. exchange when at least one of the foreign exchanges on which the IPO is listed is a U.S. exchange. 

Share of Global IPOs (Narrowly Defined) Captured by U.S. Exchanges (Chart & Table) PDF

Global IPOs—Broadly Defined

A foreign company wishing to tap U.S. capital in its IPO may do so via the private U.S. Rule 144A market rather than the U.S. public market.  Therefore, in addition to narrowly defined Global IPOs, we include foreign companies willing to come to the U.S. Rule 144A market, but not to the U.S. public market.  For example, a broadly defined Global IPO would include a German company listing on the Deutsche Börse and the NYSE or LSE.  In addition, a broadly defined Global IPO would include an IPO by a German company listed only on the Deutsche Börse but also privately offered in the U.S. pursuant to Rule 144A.  The latter case is as much a loss for the U.S. public market as a foreign company going to London.

Share of Global IPOs (Broadly Defined) Captured by U.S. Exchanges (Chart & Table) PDF

Top 20 Global IPOs by Foreign Companies

U.S. Share of Top 20 Global IPOs PDF

Rule 144A IPOs by Foreign Companies

The difference between Global IPOs as narrowly and broadly defined are those IPOs by non-U.S. companies privately offered in the U.S. pursuant to Rule 144A—“Rule 144A IPOs.”

The data shows Rule 144A IPOs as a percentage—both by number and value—of all Global IPOs in the U.S. 

Rule 144A IPOs by Foreign Companies as a Percentage of Total Global IPOs in the U.S. (Chart & Table) PDF  

U.S. Companies Going Abroad to List Their IPOs

The willingness of U.S. companies to do their IPOs abroad is a strong indication of their concern with the burdens of the U.S. public market.  It is highly unusual for a company to do an IPO entirely outside of its home market, where demand for its shares is usually highest.  The data shows the percentage of IPOs by U.S. companies—both by number and value—that listed only on a non-U.S. exchange. 

Share of U.S. IPOs Listed Only on Foreign Exchanges (Chart & Table) PDF