Exchanges as an Instrument for Capital Market-based Financing of SMEs in Austria. International Examples and Approaches

Europe has so-called Alternative Investment Markets, which are specific markets for small publicly listed companies ("small caps"). This is an important difference to the USA, where such markets do not exist. SME markets build on over-the-counter trading (Freiverkehr). Capital is usually raised through private placements. In order to function properly, SME markets need a "financial eco-system".