Amex Is Not Forgotten

Your recent article on the American Stock Exchange’s plan to create a marketplace for emerging growth companies deserves some critical comment.

You say, “as the number of stocks trading on the Amex has declined . . . “

Totally inaccurate.

At the end of 1980, the Amex listed 994 equity issues. At the end of 1990, we listed 1,063. Although the number of companies declined slightly in the decade (892 at year-end 1980, to 864 today), our present list is stronger, more heavily capitalized and attracts wider investor interest, as evidenced by trading volume.

Although our share of the market has slipped, you didn’t mention that Amex trading volume rose 118% during that period.

You label us the “forgotten” stock exchange. Who forgot us? Certainly not the companies that are listed here, including approximately 138 from California alone; certainly not the investors who trade more than 3 billion shares annually here, and certainly not the major newspapers in the United States that carry our stock tables for their readers.

It is to the exchange’s credit that we are aggressive in meeting competition head-on and in establishing a valuable niche in a rapidly changing securities industry. We are constantly seeking ways to provide quality service to our customer--in this case, emerging growth companies.

BOB SHABAZIAN

New York

Shabazian is assistant vice president of the American Stock Exchange.