Buy and sell private company shares and fund units in a licensed
market, with liquidity at the forefront of every process
Why it matters:
In funds which contain illiquid assets, mounting redemption requests can cause admin problems which require manual processes, calculations of valuations and fire sales of the underlying portfolio at a discount.
FCX removes this completely by offering a different model – structured, regulated secondary transactions that bring in new capital from wholesale and sophisticated investors, rather than forcing the fund to sell underlying assets.
FCX solves this by providing:
- Offering liquidity events to allow investors to convert their equity into real gains (events must be company-led)
- A regulated, auditable process backed by an ASIC and RBA licensed market
- Visibility into your holdings and transaction history, held in a secure digital environment
- One admission that carries across every event you take part in
Benefits of using FCX:
Capital Raise
- Access high-growth private companies or funds through a fully regulated process
- Documentation and compliance built into the platform
- Funds held in a regulated trust account until shares are issued
Tender Market:
- Access high-quality private companies, and liquid funds through a fully regulated secondary transaction with security in all aspects
- Convert shares in your employee share ownership plan (ESOP) into real monetary gains through company-led events
- Built-in compliance and governance – creating an auditable and defensible record
- Instant settlement – no T+2 delays
Auction Market:
- Access high-growth private companies and liquid funds through a fully regulated secondary transaction with security in all aspects
- Convert shares in your employee share ownership plan (ESOP) into real monetary gains through company-led events
- Built-in compliance and governance – creating an auditable and defensible record
- Instant settlement – no T+2 delays
Why FCX?
FAQs
How is FCX regulated?
FCX holds a first-of-its-kind Australian Market Licence (Tier 2) granted by ASIC, which:
- Authorises the holder to operate a licensed financial market in Australia, for private companies and funds
- Is specifically designed for markets that operate on a non-continuous basis, meaning transactions are discrete, event-driven liquidity events
FCX also holds a Clearing and Settlement Facility Licence granted by the RBA which:
- Authorises the holder to operate a facility that clears and settles financial transactions in Australia
- Marks the first time in Australia that a licensed alternative to the ASX has existed for clearing and settlement, and it has been built specifically for the FCX private market
This makes FCX the first fully regulated alternative for facilitating private market secondary transactions.
See our Licences page for further information.
Who owns FCX?
FCX is 100% owned by FinClear, Australia’s leading independent technology and infrastructure provider for financial markets.
How do I sell my shares?
Selling shares through FCX begins with the Company. Because liquidity events are company-led, individuals looking to sell should speak with their company about using FCX’s platform to run a structured liquidity event. When an event is scheduled, investors will be invited to participate through either a tender market or an auction market.
How do I sell my units in a fund?
Selling units through FCX begins with the Fund. As liquidity events are company-led, individuals looking to sell should speak with the fund manager about using FCX’s platform to run a structured liquidity event. When an event is scheduled, investors will be invited to participate through either a tender market or an auction market.
When can I sell my shares or units?
Liquidity events are company-led, meaning that companies or fund managers can choose when these events occur. Due to this, investors will be invited to sell their shares or units when there is an active liquidity event.
Who can participate in tender events?
Participation in tender events on FCX is open to approved investors. Any new investors wishing to participate as a buyer must be a Wholesale or Sophisticated investor and will need to complete an approval process before they can access an event. Existing shareholders and employees of the issuing company can participate by setting up a wallet on the FCX platform and do not need to be a Wholesale or Sophisticated Investor.
Who can participate in auction events?
Participation in auction events on FCX is open to approved investors. Any new investors wishing to participate as a buyer must be a Wholesale or Sophisticated investor and will need to complete an approval process before they can access an event. Existing shareholders and employees of the issuing company can participate by setting up a wallet on the FCX platform and do not need to be a Wholesale or Sophisticated Investor.
What is a Wholesale or Sophisticated Investor?
This means the investor meets certain legal tests and is considered able to assess higher-risk or more complex investment opportunities without the protections that apply to retail investors. Wholesale investors may include individuals, companies, trusts, SMSFs, family offices, professional investors and other entities that meet the relevant legal tests. A Sophisticated investor is often used to describe someone who qualifies as a Wholesale investor because they meet certain income or asset tests. This usually means they have a certificate from a qualified accountant confirming that they have either:
– Net assets of at least $2.5 million; or
– Gross income of at least $250,000 per year for each of the last two financial years.
What is a Sophisticated or Wholesale investor certificate?
This is a document that verifies an investor meets the definition of a Wholesale or Sophisticated investor under Australian law.
To qualify, an investor must have a certificate from a qualified accountant to confirm they have net assets of at least $2.5 million, or a gross income of $250,000 or more for each of the past two financial years. This certification is required for certain types of investment activity in private markets.
