American Stock Exchange

What is the American Stock Exchange?

The American Stock Exchange, or AMEX, is the third largest stock exchange in the United States.  As of the end of 2007, 592 US equities with a total market cap of $258 billion traded on the AMEX, with most of them being stocks from the small cap sector.  In addition, the AMEX trades many of the popular ETFs, options, and derivatives.  In January of 2008, the AMEX was purchased by NYSE Euronext and merged with the Alternext European exchange.  The conglomerate is now referred to as the NYSE Alternext U.S.

The AMEX is an auction market with transactions taking place on the floor of the exchange through a group of floor brokers and specialists.  Essentially, the specialists are responsible for maintaining a liquid market for each stock that they control the books for.  Floor brokers will place transactions with each of the specialists on behalf of their clients. 

Listing Standards for the AMEX

To be listed on the NYSE Alternext U.S., companies must meet one of the following four requirements:



In addition, the exchange will evaluate other factors such as:  nature of business, management reputation, growth history, earnings ability, market for the companies products, financial integrity, and the companies future outlook.