Keeping up with the stock exchanges of the United States is not an easy feat, and European countries were well aware. To remain competitive, the separate exchange entities decided the way to make their case, was through several mergers. And merge they did. Starting in 22nd of September by combining Amsterdam Stock Exchange, Brussels Stock Exchange, and the Paris Bourse, under the name of Euronext. This continental merger took full advantage of what the EU had to offer and joined forces to carve out their place in the world of finance.
In this short review we will go over how Euronext came to be and where they are now. This article will give you the basics of Euronext and why you should feel comfortable trading with this exchange.
Use History Make History
Europe has always played a vital part in the world, whether through their expansion through Asia, North and South America and Africa, or through changing the world through such groundbreaking eras like Renaissance. So, when Euronext combined centuries of experience under one roof, they only continued growing by acquiring, London International Financial Futures and Options Exchange (LIFFE) in December, 2001. Shortly after, in 2002, Euronext Amsterdam, Euronext Brussels, Euronext Paris and Euronext.LIFFE was joined by Euronext Lisbon through the merger with the Portuguese stock exchange Bolsa de Valores de Lisboa e Porto (BVLP). To further spread across the UK, Euronext London was formed. Already having joined more forces and exchanges then ever been done before, Euronext was far from done.
In 2007, Euronext merged with NYSE Group, forming NYSE Euro. Continuing with the pattern of change, NYSE Euro was purchased by International Exchange or ICE in November, 2013. No other exchange in the world has seen this many mergers or acquisitions in merely 13 years. ICE separated NYSE and Euronext with a public offering in 2014, then the final move for Euronext came when a group of 11 investors became reference shareholders of Euronext and purchased 33.6% of Euronext and took control of 3 board seats, and kept Euronext running smoothly.
Power in numbers
Euronext, the pan-European securities exchange is going strong as ever as the 5th largest stock exchange in the world with a market capitalization of $4.349 Trillion, and monthly trading value of $168 Billion. As of today, Euronext manages 4 national European equity indices. These 4 are AEX-index (Dutch Stocks Benchmark), CAC 40 (French Stocks Benchmark), BEL 20 (Belgian Stocks Benchmarks) and PSI 20 (Portuguese Stocks Benchmark).
When Euronext introduced their new trading platform named Universal Trading Platform in early 2010, they were able to expand their offerings to include, stocks of companies across all exchanges, bonds, EFTs, foreign exchange derivatives, commodities, indices, equity derivatives, structured notes, warrants and certificates.
A true symbol of strength in numbers, Euronext has done a lot with 18 years, not only building a united front to compete with the NASDAQs and NYSEs of the world, but to build a coalition across Europe. As the go to place for traders and companies in this continent, Euronext does not take its position for granted, and continues to strive for excellence for its customers, and companies. Being listed under one of Euronext’s exchanges, makes companies stand out and erases any doubts in investors’ minds.