The SGX and Clearbridge Partner to Create Crowdfunding Platform, CapBridge

Earlier in the year, it was announced that the Singapore Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term (SGX) and Clearbridge Accelerator (CBA) had signed a memorandum of understanding (MoU) to partner to create a crowdfunding platform for small and medium sized businesses (SME) to raise capital through the sale of equity. At the time, Finance Magnates had written that the initiative made strategic sense for the SGX, as the venue was already being used as a conduit for firms to raise money by taking their company public or selling bonds. As such, the addition of a Crowdfunding Crowdfunding Crowdfunding is defined as funding of a project via raising smaller denominations of money across a large body of number of people.New businesses that need access to more capital may also conduct crowdfunding. Generally, crowdfunding is performed through an online community, social media, or crowdfunding websites such as Kickstarter, GoFundMe, and RocketHub. Depending upon which jurisdiction an investor resides within will dictate the sort of restrictions that are applied to the crowdfunding pro Crowdfunding is defined as funding of a project via raising smaller denominations of money across a large body of number of people.New businesses that need access to more capital may also conduct crowdfunding. Generally, crowdfunding is performed through an online community, social media, or crowdfunding websites such as Kickstarter, GoFundMe, and RocketHub. Depending upon which jurisdiction an investor resides within will dictate the sort of restrictions that are applied to the crowdfunding pro Read this Term platform would position the SGX as a full stack destination for small to larger companies to raise capital.

Following the previous MoU, the SGX and CBA announced plans today for the development of the crowdfunding platform for SMEs. Named CapBridge, the funding platform is expected to launch in the second half of 2015. The platform will be developed and supported through a $1.5 million grant that will be provided over three years. As part of the project, the SGX and CMA are also in discussions with financial institutions and collaborators to create demand among investors and companies to use CapBridge.

Commenting on the news, Mohamed Nasser Ismail, Head of SME Development & Listing, SGX stated, “There is a vibrant and sizeable start-up community in Singapore but challenges remain for them to secure financing especially in their early stages of development. SGX is well placed to support initiatives to improve access to equity for such enterprises as part of our efforts to provide efficient, cost-effective and sustainable access to capital for SMEs at every stage of their growth."