Aim, London's "junior market" was first established in 1995 by the London Stock Exchange. Originally called the Alternative Investment Market, it was a way for newer firms to gain access to public funds. It has less demanding entry criteria than those applied to companies wanting to join the LSE Official List.
An Aim 'quotation' is often used as a stepping-stone for firms planning a full listing in the future. The main benefits of joining Aim for new firms are the ability to raise finance and make acquisitions more easily. Aim is becoming increasingly popular with non-UK firms seeking an international listing, as a result of its low regulatory requirements compared with equivalent markets in the US.
See Tim Bennett's video tutorial: What is a stock exchange?
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
-
When is the “Bed & ISA” deadline? Cut-off dates for major investment platformsThe “Bed & ISA” deadline varies from provider to provider. We share a round-up of the key dates across major investment platforms
-
Spring Statement: what could Rachel Reeves say about pensions?The chancellor will deliver her Spring Statement on 26 March. We look at whether there will be any announcements on pensions that could affect savers or retirees
-
Index providerGlossary Stockmarket indices such as the FTSE 100 play a huge role in investment. But where do they come from and who maintains them?
-
What are exchange traded funds (ETFs)?Glossary Exchange-traded funds (ETF) are increasingly popular with investors, but what are ETFs and how do they work?
-
FTSE 100
Glossary The FTSE 100 is Britain's 'blue-chip' stock index.But its makeup means it is more of a global index than a snapshot of UK plc.
-
Global depository receipt (GDR)
Glossary Global depositary receipts (or GDRs) offer a solution for investors wanting to buy shares listed in countries where there are government restrictions on who can own and trade them.
-
Market makers
Glossary Market makers are typically banks and brokers who commit to trade shares and bonds, often in larger quantities than most other investors.
-
Off Exchange (OFEX)Glossary The Off Exchange (OFEX) was started as a way for shareholders to deal in the shares of small companies that do not meet the requirements of Aim and the LSE’s official list.
