Which of the following is a disadvantage of having a full listing?

A full listing refers to a company's shares being listed on a stock exchange, which can have several benefits, but it also comes with certain disadvantages. One significant disadvantage is the increased accountability and costs associated with being publicly listed.

When a company obtains a full listing, it must comply with comprehensive regulatory requirements, which include regular financial reporting, disclosure of material information, and adherence to corporate governance standards. These obligations demand significant time, resources, and expertise, which can lead to higher operational costs. Additionally, the need to maintain transparency can expose the company to scrutiny from regulators, analysts, and investors, leading to a requirement for diligent compliance measures and management practices.

This level of accountability can also entail significant legal risks, as public companies may face lawsuits or probes if they fail to meet regulatory standards. Consequently, while a full listing can provide benefits like increased liquidity and access to capital markets, the drawbacks of heightened accountability and costs are considerable and often deter some companies from pursuing this path.