SEC urges FINEX to bring more Philippine firms to capital market early

SEC Chairperson Francisco Ed. Lim urged financial executives to introduce companies to the capital market earlier, as the Philippines lags regional peers with 279 listed firms and no IPOs in 2026. He called on FINEX members to help entrepreneurs view the capital market as a growth platform.

The Securities and Exchange Commission (SEC) has urged financial executives to introduce more Philippine companies to the capital market earlier in their growth, as the country continues to lag regional peers in the number of listed firms and has yet to record an initial public offering (IPO) this year.

SEC Chairperson Francisco Ed. Lim said members of the Financial Executives Institute of the Philippines (FINEX), who advise companies on financing decisions, could help businesses consider the capital market before they become large enough to pursue an IPO. “So bring the capital market into those rooms. Start the conversation early,” Mr. Lim said in a speech before FINEX on Wednesday. “Help our entrepreneurs see the capital market not as a distant destination, but as a platform they can grow into,” he added.

The Philippine Stock Exchange (PSE) had 279 listed companies as of Aug. 31, compared with 405 in Vietnam, 604 in Singapore, 867 in Thailand, and 962 in Indonesia, according to figures presented by Mr. Lim. The Philippines had also recorded no IPOs as of September, while the four other Southeast Asian markets had between three and 43 new listings.

Mr. Lim said the lack of new entrants, rather than delistings alone, was the more fundamental issue facing the Philippine stock market. “Since 2023, delistings have also outpaced new listings. But let us put that in perspective. Delisting is not uniquely a Philippine problem,” he said. “In 2025, the percentage of PSE-listed companies that delisted was actually lower than at the other four ASEAN exchanges we reviewed. So the deeper problem is not simply that companies are leaving. It is that too few new companies are coming in,” he added.

Mr. Lim said the Philippines has a large base of companies that could eventually tap the capital market, including more than 200,000 microenterprises, 100,000 small corporations, 42,000 medium-sized companies, and nearly 8,000 large corporations, based on authorized capital stock. He said FINEX members are in a position to introduce businesses to capital-market financing because they advise company executives on funding decisions.

“I am not here simply to report what the SEC has done. I am here to challenge FINEX to help lead what needs to be done,” Mr. Lim said. “The PSE and Philippine Dealing & Exchange Corp. (PDEx) will do their part in strengthening the market. But the government and the exchanges cannot do this alone.”

Meanwhile, the SEC has approved Arthaland Corp.’s rental pool program under its Securing and Expanding Capital in Real Estate Non-Traditional Securities (SEC RENT) framework and a direct public offering by Allied Care Experts (ACE) Medical Center-Pateros, Inc. The corporate regulator said its commission en banc approved both registration statements at its Sept. 15 meeting, subject to compliance with remaining requirements.