Hg Exchange (HGX), a private exchange formed by an alliance of PhillipCapital, PrimePartners and Fundnel, has commenced trading private company shares.

HGX describes itself as Southeast Asia’s first member-driven private exchange, and aims to give investors and issuers global liquidity and access opportunities in funds, high-growth companies and other alternative private assets. 

It rides on the growing trend of private capital markets seen at other major financial hubs.

“Private capital markets have been steadily gathering momentum in deal volume and the vibrancy in activities surpasses its public counterparts,” says Richard Teng, chairman of HGX.

“We are harnessing our strength to further transform the ecosystem by offering the market with greater liquidity options,” he adds.

HGX has also won approval from the Monetary Authority of Singapore to pioneer the listing and trading of both digital and non-digital Capital Market Products, giving investors and issuers more choices.

HGX will be using advanced blockchain technology to digitise assets, so as to improve efficiency even for trading at small lots.