Going Public: Everything You Need to Know in 2025

Going public remains a major goal for many companies, marking institutional recognition and opening up to new financial horizons. Listing allows for capital raising, increased visibility, and offers shareholders unparalleled liquidity. In this comprehensive article, we guide you through the entire process of going public, its implications for investors, and the specifics of the main types of listed assets, including companies and ETFs. Discover everything you need to know to understand the stock market's challenges in 2025, whether you are an investor, entrepreneur, or simply curious about financial markets.

Understanding Stock Market Listing in 2025

Being listed on the stock market means that a company’s financial securities—usually shares—are admitted to trading on a regulated market such as Euronext Paris, XETRA Frankfurt, or the NYSE. However, numerous other financial instruments, such as ETFs (Exchange-Traded Funds), are also listed and accessible to all investors via stock exchange platforms. This presents a wide range of opportunities and risks to be well understood.

Definition of an Initial Public Offering

An initial public offering, or IPO, consists of registering a company’s or a financial vehicle’s—such as an ETF—securities on a market, thereby making them available for purchase and sale by all investors. For a company, it is a regulated and demanding process requiring the publication of transparent financial documents, validation by economic authorities, and conducting a broad communication campaign. For ETFs, the rules differ but the principle remains the same: making the asset eligible for public and transparent trading.

Why Do Companies Aim for Listing?

For a company, going public offers multiple strategic advantages:

  • Expanded access to capital: the ability to issue new shares to finance growth, innovation, or international expansion.
  • Enhanced reputation: being listed on a stock market lends credibility to the company and attracts talent, partners, and customers.
  • Liquidity for shareholders: shares become easily tradable on the secondary market.
  • Equity incentive programs: implementation of stock option or free share plans to retain key employees.
  • Innovative financing tools: access to diversified solutions such as convertible bonds, secondary offerings, etc.

What Risks Does a Listed Company Face?

Listing is not without drawbacks and involves various risks:

  • Compliance and Transparency Costs : listed companies have increased regulatory obligations regarding the publication of results, communication, and transparency towards investors.
  • Stock Price Volatility : the market price can fluctuate significantly based on news or analysts' perceptions.
  • Short-term Pressures : governance must balance market expectations, which can sometimes undermine long-term strategy.

Complete Listing Process

Becoming a listed company on a regulated market in 2025 involves several structured steps:

  1. Financial Evaluation and Due Diligence
    The company conducts a comprehensive audit of its situation: analysis of financial statements, internal controls, sector outlook, competitive positioning, governance, legal risk. This step is fundamental to identify strengths and weaknesses, and to anticipate necessary adjustments.
  2. Selecting an Underwriter or Financial Advisor
    One or more specialized intermediaries are chosen to organize the operation: valuation strategy, selection of the most relevant listing venue, organization of financial communication.
  3. Preparation of Legal Documents
    Drafting of the prospectus or universal registration document (URD), board of directors report, list of pending litigation, analysis of strategic contracts. All these documents are scrutinized by securities regulators.
  4. Obtaining Market Authorizations
    The Autorité des Marchés Financiers (AMF) in France, the BaFin in Germany, or the SEC in the United States validate the file and the terms of distribution of the securities.
  5. Determining the Offering Price
    The final price is generally determined during a period of bookbuilding during which the demand from institutional and individual investors is tested through roadshows and presentations.
  6. Market Launch and Initial Quotations
    The securities are put into circulation, buy and sell orders exchange according to the confrontation of supply and demand.

What about ETFs and Non-Company Assets?

It is important to note that listed index funds (ETFs) are also tradable on the stock exchange. Unlike a traditional company, an ETF is not a business: it is a passive investment vehicle replicating the performance of an index (stocks, bonds, commodities, etc.). The listing process for an ETF follows a distinct procedure based on the approval of the prospectus, the structuring of the fund, and the designation of a market maker ensuring liquidity.

Case Study: Understanding ETF Quotations in 2025

To illustrate, let's take the example of the ETF L&G Gold Mining UCITS ETF (ISIN: IE00B3CNHG25). This fund, replicating the DAXglobal Gold Miners index, allows investors to gain exposure to the world's largest gold mining companies through a single listed product on multiple European exchanges.

Actual Price of the ETF According to the Listing Venue

As of November 11, 2025, this ETF is traded with significant price variations according to the platform and currency:

  • On Euronext Amsterdam (code AUCO): 81.96 €
  • On XETRA Frankfurt (code ETLX.DE): 77.08 € (delayed quote by 15 minutes)
  • On Boursorama (code ETLX): 73.50 € (last trade at 17:36)
These differences illustrate the necessity for any investor to carefully verify the currency, the exchange venue, and the nature of the quote consulted (real-time, closing, or delayed). ETFs can indeed present slight discrepancies between venues based on liquidity and time zones.

ETFs and the P/E Ratio: A Common Misunderstanding

Unlike stocks, an ETF does not have its own price-to-earnings ratio (P/E). The P/E ratio applies to a company, relating the stock price to earnings per share. In the case of an ETF, one examines rather the weighted average P/E ratio of the companies comprising the reference index. Thus, the L&G Gold Mining UCITS ETF replicates the performance of gold mining companies whose average P/E ratio in 2025 ranges between 15 and 30 depending on market conditions. A P/E ratio of 0 would be an anomaly, implying that all companies generate no profits, which is not the case in the gold mining sector in 2025.

The Legal and Financial Nature of an ETF

It is crucial to emphasize that an ETF is a structured investment fund registered under European Union legislation UCITS (Undertakings for Collective Investment in Transferable Securities), and not a listed company. The investor buys shares of the fund, not stocks of an operational company. The performance, ratios, returns, or dividends of the ETF directly result from its components, not from its own activity.

Recent Performance of Gold-Specific ETFs

In 2025, ETFs invested in gold mining companies stand out due to their strong performance: some products showed returns exceeding 60% in the first part of the year, benefiting from the gold rally on world markets. The L&G Gold Mining UCITS ETF ranks among the top European sector funds during this period.

Key Considerations Before Investing in Stocks

For Companies: Strategic Challenges

The decision to go public fundamentally alters corporate governance and responsibility. It is essential to anticipate:

  • The management of financial communications and relationships with often numerous and diverse shareholders.
  • The need for increased transparency and regular audits.
  • The potential impact of increased volatility on medium and long-term strategic decisions.
Anticipating these changes helps avoid common pitfalls encountered by newly listed companies: loss of control over decision-making, lack of adaptation to market dynamics, internal conflicts of interest.

For Individual Investors

The stock market attracts an increasing number of individual investors seeking to diversify their assets. Here are the key points to analyze before purchasing a listed security:

  • Understanding the nature of the asset : stock, bond, ETF, certificate, etc.
  • Evaluating the transparency and financial strength of the issuer : for a company, analysis of accounts and business model; for an ETF, analysis of the index followed, replication method, and annual fees.
  • Checking the listing venue and currency : this impacts liquidity, fees, and the applicable tax on capital gains and dividends.
  • Familiarizing oneself with key stock market indicators : P/E ratio for stocks, yield ratio, historical volatility, trading volume, etc.

Stock Exchanges and Their Specifics in 2025

The European stock offering is extremely rich, bringing together major historical exchanges and electronic platforms:

  • Euronext Paris : main stock and ETF market in France, backed by a common European system (Amsterdam, Brussels, Lisbon, Milan, Oslo, Dublin).
  • XETRA Frankfurt : German computerized system, leading for large-cap transactions and sectoral ETFs.
  • Borsa Italiana and BME Madrid : major markets for Southern European companies.
  • London Stock Exchange and Swiss SIX : essential hubs for multinational companies and structured products trading.
  • American stock exchanges (NYSE, Nasdaq) : global reference for technology stocks and record IPOs.
Each market has its hours, its reference currency, and transparency standards to verify for any investor.

Best Practices for Preparing for Listing and Investing

  1. Anticipate local and European regulation
    Companies and funds wishing to be listed must meet strict requirements: certified results publication, regular financial information, prevention of insider trading, proactive risk management.
  2. Communicate effectively with investors
    Organize roadshows, publish educational documentation, establish a clear communication schedule. Pedagogy is key to valuing the listed company/product and reassuring the markets.
  3. Choose the right market timing
    The stock market environment influences valuation. An operation carried out in a favorable context will have all the chances to maximize fundraising — for example, 2025 proves particularly favorable for the gold sector and equity ETFs, driven by the rise in raw materials.
  4. Inform yourself about available tools and platforms
    Online brokers offer direct access to major stock exchanges. Platforms provide advanced analysis tools, real-time tracking, personalized alerts. Familiarize yourself with the interfaces to optimize order management and follow market news.
  5. Prepare for volatility
    Whether you are a manager or an investor, you need to arm yourself against sometimes brutal market fluctuations. Training in technical analysis, risk management (stop-loss, diversification), and avoiding emotionally-driven decisions remain fundamental.

FAQ – Understanding the Nuances of Listing in 2025

Is a listed company and an ETF the same thing?

No, a listed company represents an entity that operates an economic activity. An ETF is merely an investment fund that replicates an index; it has no employees, revenue, or its own profits. Ratios and performance must always be analyzed differently according to the asset considered.

What indicators should I look at when choosing a listed ETF?

  • Annual fee structure (generally between 0.35% and 0.60%)
  • Replicated index (composition, sectoral weights, geography)
  • Variability and historical return
  • Replication method (physical or synthetic)
  • Daily trading volume and actual liquidity on different exchanges

Why do prices vary across stock exchanges?

Because each exchange has its own hours, reference currencies, and levels of liquidity. For example, the same ETF L&G Gold Mining UCITS ETF trades around €81.96 in Amsterdam, €77.08 in Frankfurt, and €73.50 in Paris depending on the time and freshness of quotes. Always refer to the exact details on the intended purchase exchange.

What tax implications are there for listed stocks and ETFs on a European stock exchange?

Taxation depends on the investor's country of residence, the type of account used (Ordinary Stock Account, PEA, life insurance), and tax treaties between states. Generally, capital gains realized on European exchanges, including ETFs, are subject to income tax and social security contributions.

Conclusion

Being listed on the stock exchange, in 2025, remains a strategic step, both for companies seeking growth and for investors wishing to diversify their investments. The example of ETFs — and particularly the L&G Gold Mining UCITS ETF — illustrates how crucial it is to understand the nature of assets, the listing dynamics on each market, the correct reading of financial indicators, and to beware of shortcuts (such as applying the P/E ratio to a product that is not a company). Whether you aim to enter the stock exchange or to invest, education, analysis, and discernment are the pillars of any winning stock market strategy in 2025.