By the end of 2021, Amsterdam remains Europe's largest stock trading venue, and the UK-based financial hub is still lagging behind Amsterdam despite efforts to make its stock market more attractive after Brexit.
The United Kingdom left the European Union on 31 December 2020, forcing trading in euro-denominated shares by EU investors to cease. Most of the transactions moved to Amsterdam, where Euronext is headquartered. Meanwhile, new post-Brexit deals from Cboe Global Markets and Turquoise from the London Stock Exchange Group (LSEG) have also moved here.
Data from Cboe Global Markets on Thursday showed Amsterdam's average daily trading volume of 8.97 billion euros ($10.15 billion) last month, up from London's 8.32 billion euros.
Amsterdam overtook London as the main stock exchange soon after Brexit, but London managed to take a slight lead at one point in June.
Average daily transaction value (ADVT) across december 2020, in billion euros
A deal with Switzerland allowing Swiss stock trading to resume in London helped it regain lost ground, but it wasn't enough to hold first place for long, as other initiatives failed to gain immediate support.
In August, restrictions on listings of special purpose acquisition companies (S PACs) were eased in the UK, which has been the darling of Wall Street investors but by November, only one SPAC was listed. On the other hand, Euronext said it had 22 newly listed SPAC companies last year, accounting for nearly half of the total number of listed companies in Europe last year.
Average Daily Trading Value (ADVT) for December 2021, in billions of euros
The UK Treasury is facing calls from the financial sector to accelerate its efforts to enhance the competitiveness of the UK capital market. Catherine McGuinness, head of policy at the City of London, said on Tuesday: "People don't necessarily want to come to London. ”
Britain's Financial Conduct Authority last month introduced more flexible rules for the listing of high-end businesses on the London Stock Exchange to attract more tech companies to list. Wall Street has been very successful in attracting tech companies.
The London Stock Exchange said last week that 122 companies listed on its exchanges in 2021 raised more than $22.75 billion, the best year since 2007.
Euronext, a European exchange that includes Amsterdam, said last week that it had 212 new listings this year, raising $29.42 billion, a record high.
This article originated from the financial world