BIS Review 119/2006  3  While this is attractive in principle, there are practical issues. For example, if there are no limits on local equity purchases in a small stock market like Trinidad and Tobago, the imbalance between demand and supply of equities could push prices beyond levels justified by the fundamentals (as has happened hare over the last few years).
And since securities designed for the exempt market are usually required to carry a rating from a credit-rating agency, one way to ensure that appropriate information is available could be to require issuers to publicly disclose the same information that they make available to credit-rating agencies. In this way, investors would have access to the information they need in order to make informed decisions.