The London Stock Exchange is the most important exchange in Europe and one of the largest in the world. It lists over 3,000 companies and with 350 of the companies coming from 50 different countries, the LSE is the most international of all exchanges. The London Stock Exchange is comprised of two different stock markets: the Main Market and the Alternative Investment Market (AIM). The Main Market is solely for established companies with high performance, and the listing requirements are strict. Approximately 1,800 of the LSE's company listings trade on the Main Market, and the total market capitalization is over 3,500 billion. The Alternative Investment Market on the other hand trades small-caps, or new enterprises with high growth potential. Over 1,060 companies list on this market, with a total capitalization of 37 billion. The LSE is completely electronic, but different shares are traded on different systems. Highly liquid shares are traded using the SETS automated system on an order driven basis. This means that when a buy and sell price match, an order is automatically executed. For securities that trade less regularly, the London Stock Exchange implements the SEAQ system, where market makers keep the shares liquid. These market makers are required to hold shares of a specific company and set the bid and ask prices, ensuring that there is always a market for the stock. The LSE also has a new and growing exchange for equity derivatives called EDX London, created in 2003. In 2004, EDX traded an average of 382,599 contracts per day. Its aim is to become the leading derivatives market in the world.
History of London Stock Exchange:
Tracing its history to the late 1600's, the London Stock Exchange is one of the oldest in the world. It began in 1698, when a man named John Castaing began publishing lists of stock prices called 'The Course of the Exchange and Other Things'. London's stock dealers were at this time making trades in the streets and in coffee houses. In 1761, 150 of these stockbrokers started a club for buying and selling shares in a dealing room on Sweeting's Alley, which eventually became known as The Stock Exchange. It became an official, regulated exchange in 1801 and a year later moved into a building in Chapel Court. Like many other stock exchanges, the London Stock Exchange closed for five months during World War I, and again for six days during World War II. Then in 1972 a new office with a 23,000 square foot trading floor was opened for the exchange by Queen Elizabeth II on Threadneedle Street. A year later, all the regional exchanges in England and Ireland merged with the London Stock Exchange. In 1986 there was a deregulation of the exchange, called the 'Big Bang'. Among other things, this deregulation allowed outside corporations to own member firms, eliminated voting rights for individual members, and transformed the face-to-face trading system into one largely operated over computers and telephones.
Friday. bonds. In 2004. As of December 2010. London.In 1995. the London Stock Exchange made the decision to go public. Spring Bank Holiday. the Exchange had a market capitalization of US$3. Easter.Londonstockexchange. The trading in the stocks of the second company began in 1688. Stocks. giving them a right to a portion of any profits eventually made. the London Stock Exchange opened the Alternative Investment Market(AIM) . and Christmas. The Exchange was founded in 1801 and its current premises are situated in Paternoster Square close to St Paul's Cathedral in the City of London. May Bank Holiday. Paul's Cathedral. the exchange left their building on Threadneedle Street to move to their current location on Paternoster Square near St. The Exchange is part of the London Stock Exchange Group.
London Stock Exchange Profile :
Address Telephone Web Site Trading Hours Holidays Securities 10 Paternoster Square.com Monday . Unable to finance these expensive journeys privately.
Origin of Share Trading:
The trade in shares in London began with the need to finance two voyages: The Muscovy Company's attempt to reach China via the White Sea north of Russia. Chief Executive . London.4:30 pm GMT New Year's Day. In 2000. creating the division between the trading of large cap and small cap companies. Summer Bank Holiday. and the East India Company voyage to India and the east. derivatives
Trading System Electronic (SETS and SEAQ) Key Staff Chairman . and began listing their shares on their own exchange in 2001. EC4M 7LS +44 (0) 20 7797 1000 www.Chris Gibson-Smith. 8:00 am . making it the fourth-largest stock exchange in the world by this measurement (and the largest in Europe).Clara Furse
Formation & Location of LSE:
The London Stock Exchange is a stock exchange located in the City of London. the companies raised the money by selling shares to merchants.
.6 trillion. United Kingdom.
The trade in shares was centred around the City's Change Alley in two coffee shops: Garraway's and Jonathan's. there were 140 joint-stock companies. Its motto is dictum meum pactum.
Licensing of brokers:
In 1697. It required all brokers to be licensed and to take an oath promising to act lawfully. The broker.
Coat of Arms:
The Exchange received its own Coat of Arms in 1923. The long term trend towards electronic trading had been reducing the Exchange's status as a visitor attraction and.
. This allowed foreigners to become members of the London Stock Exchange. although the gallery reopened. published the prices of stocks and commodities called The Course of the Exchange and other things in these coffee shops. "My word is my bond". all members of the London Stock Exchange had to be British as per Rule 21. it was closed permanently in 1992.
Membership of foreigners:
Previously. The area had already been evacuated and nobody was injured.
On 20 July 1990 a bomb planted by the IRA exploded in the men's toilets behind the visitors' gallery. a law was passed to "restrain the number and ill-practice of brokers and stockjobbers" following a number of insider trading and market-rigging incidents. John Castaing. the first approved membership being that of Egyptian prince Abbas Hilmi. It is estimated that by 1695. The nationality requirement was lifted in 1970.Exchange of Shares:
The idea soon caught on (one of the earliest was the Earl of Bedford's scheme to drain The Fens).
rather than the 90% it had been seeking. resulting in a total stake of 15%. In the end. This too it rejected. The LSE immediately rejected this bid. collaborative and strategic opportunities. The move was seen as an effort to force LSE to the negotiating table. NASDAQ announced that it was abandoning its plan to take over the LSE and subsequently look for options to divest its 31% (61. within a month or two of the expiration of this period. it occurred simultaneously with a sale by Scottish Widows of 2. and many managers of those funds. leaving the United Arab Emirates-based exchange with 28% of the LSE. Responding to the news.75% and launched a hostile offer at the minimum permitted bid of £12. the London Stock Exchange rejected a £1. the LSE's chairman.43 per share. a sentiment echoed by shareholders in the Exchange. NASDAQ's bid was made more difficult because it had described its offer as "final". In September 2007. to acquire all of that firm's stake. stating that it "substantially undervalues" the company. and less than two weeks later on 11 April 2006.41% of rest of the register by the deadline on 10 February 2007. Many hedge funds had accumulated large positions within the LSE. Having received acceptances of only 0. NASDAQ also purchased 2. raise its bid. United Kingdom financial rules required that NASDAQ wait for a period of time before renewing its effort. Subsequent purchases increased NASDAQ's stake to 25. at £11. Ameriprise Financial's Threadneedle Asset Management unit. the LSE received an unsolicited approach from NASDAQ valuing the company at £2. indicating that it would be able to complete the deal with 50% (plus one share) of LSE's stock. On 20 November 2006. exchange did not. The London Stock Exchange described the offer as "derisory". Shortly after Macquarie withdrew its offer.1%. rather than a "hostile takeover attempt") on 12 December 2006." On 20 August 2007. While the seller of those shares was undisclosed. struck a deal with LSE's largest shareholder. NASDAQ revised its offer (characterized as an "unsolicited" bid. however. Nasdaq's offer duly lapsed.3 million shares) shareholding in the company in light of its failed takeover attempt. restricted their ability to raise its offer except under certain circumstances. consisting of 35.4 billion.S. NASDAQ agreed to sell the majority of its shares to Borse Dubai. which. as well as to limit the Exchange's strategic flexibility.665565498
. NASDAQ increased its stake to 28. thereby reinforcing its uniquely powerful position in a fast evolving global sector. holding off competing bids for several months.69 million shares. Chris Gibson-Smith. as well as Furse. NASDAQ's offer was roundly rejected by LSE shareholders. indicated that the bid was still not satisfactory.69 million additional shares. The Exchange intends to build on its exceptionally valuable brand by progressing various competitive. which was the highest NASDAQ had paid on the open market for its existing shares. said: "The Exchange’s strategy has produced outstanding results for shareholders by facilitating a structural shift in volume growth in an increasingly international market at the centre of the world’s equity flows.Merger attempt by NASDAQ:
In December 2005.4 million shares.6 billion takeover offer from Macquarie Bank. under British bidding rules.75 per share. NASDAQ later pulled its bid. The U.
plus dissatisfaction with the overcrowding in the Alley. however. indicating the day's market performance. Paternoster Square: In July 2004. made the brokers build a New Jonathan's on Threadneedle Street. the London Stock Exchange moved from Threadneedle Street to Paternoster Square (EC4) close to St Paul's Cathedral. based in Threadneedle Street/Old Broad Street was opened by Queen Elizabeth II in 1972 and housed the Trading Floor where traders would traditionally meet to conduct business. It was officially opened by Queen Elizabeth II once again. problems with stags and dividend payments). Bonds (or gilt-edged securities) also began to be traded. with new membership regulations. It also enabled an increased use of computerised systems that allowed dealing rooms to take precedence over face to face trading. It eliminated fixed commissions on security trades and allowed securities firms to act as brokers and dealers. only to be renamed again as the Stock Subscription Room in 1801. as well as charging an entrance fee. this too proved unsatisfactory. and the Exchange moved to the newly built Capel Court in the same year. accompanied by The Duke of Edinburgh. and this. still within the "Square Mile" (the City of London). The London Stock Exchange Tower: The former Stock Exchange Tower.
. The building was soon renamed the Stock Exchange. bolstered by the growth of the railways. The iconic sculpture "The Source" resides in the building's foyer. on 27 July 2004. However.Location:
Threadneedle Street and Capel Court Jonathan's burnt down in 1748. mining and insurance industries (there were. This became largely redundant with the advent of the Big Bang on 27 October 1986. which deregulated many of the Stock Exchange's activities. Regional stock exchanges were formed across the UK. The Exchange had recovered by the 1820s. canals.
fixed interest. After suffering extended downtime and unreliability the LSE announced in 2009 that it was planning to switch to Linux in 2010. including UK and international equities. LSE was a good combination of a highly visible exchange and yet a relatively modest IT problem. Microsoft used the LSE software as an example of the supposed superiority of Windows over Linux in the "Get the Facts" campaign. was developed by Microsoft and Accenture. o The Specialist Fund Market. were taken out of service following a 2-hour outage of the
. professional and highly knowledgeable investors. for raising capital through debt securities or depositary receipts. It owns the Regulatory News Service Derivatives: the Exchange manages EDX London. reits.NET Framework.Products and services:
The London Stock Exchange has four core areas:
Equity markets: enables companies from around the world to raise capital. Information Services: the London Stock Exchange provides real-time prices. debt. a contributor to derivatives business created in 2003 with an aim of bringing the cash equity and derivatives markets closer together. established in 1995 for smaller companies.
The LSE's current trading platform is Linux-based own edition named "Millenium Exchange". contracts for difference (CFDs) and depositary receipts. For Microsoft. Exchange Traded Commodities (ETCs). news and other financial information. claiming that the LSE system provided "five nines" reliability. "designed purely for the needs of highly specialised investment entities seeking institutional. o The Professional Securities Market. The old trading platform was based on Microsoft's . a Sri Lankan IT company bought by the LSE in 2009. There are four primary markets: o The Main Market. In October 2010. The system which was developed by MillenniumIT. exchange traded funds (ETFs). covered warrants. with 126 microsecond trading times being recorded on the Turquoise dark pool trading venue and would go live on November 1. had smashed the world record for trade speed. o AIM. Trading services: market for trading in a range of securities. the London Stock Exchange announced that the new Linux based trading system named Millennium Exchange.
Turquoise venue on November 2." Plans were to introduce Millennium Exchange also on the main share trading platform in December. The incident was according to LSE officials caused by human error that "may have occurred in suspicious circumstances. would deliver record speed and stable trading in order to fight back against the fast erosion of its dominant marketshare by specialist electronic rivals.
. In February 2011. LSE chief executive Xavier Rolet insisted that the exchange. once a monopoly. The LSE stated it was hoping the software would be ready for use again early in 2011. the London Stock Exchange finished the switch to Linux.
Professional Securities Market (PSM):
The Professional Securities Market enables companies to raise capital through the listing of specialist securities. Find out more about the Professional Securities Market. A wide range of businesses including early stage.Main Market:
The Main Market is London’s flagship market for larger. AIM is the London Stock Exchange’s international market for smaller growing companies. and an aspiration for many companies worldwide.000 companies from across the globe have chosen to join AIM. professional and highly knowledgeable investors. A listing on the Main Market represents a badge of quality for every company listed and traded on it. The Specialist Fund Market is the Exchange's regulated market for specialist investment funds. targeting institutional. including debt and depositary receipts. and the benefits of joining here. to professional investors. Powering the companies of tomorrow. AIM continues to help smaller and growing companies raise the capital they need for expansion. AIM is supported by a wide community of experienced advisers. over 3. venture capital backed as well as more established companies join AIM seeking access to growth capital.
. more established companies. lawyers and public relations and investor relations firms. and is home to some of the world’s largest and most well-known companies. ranging from Nomads and brokers to accountants.
Alternative Investment Market (AIM):
AIM is the most successful growth market in the world. Since its launch in 1995.
Flexibility of an EU-regulated market
As an EU-regulated market. Additionally. the Specialist Fund Market is a regulated market for the purposes of the UCITS Directive.
Key attributes of the market include:
Regulated by the UK’s Financial Services Authority: Applicants to the Specialist Fund Market will be required to comply with European harmonised standards both at admission.
. as detailed in the various FSAP Directives.Benefits of the market
The Specialist Fund Market provides investment managers and their advisers with a global market capable of accepting a variety of corporate structures within a flexible regulatory environment. applicants and their advisers are able to provide additional tailored disclosures in their prospectuses. securities will normally be acceptable to institutional mandates. and on an ongoing basis in terms of standards of disclosure and transparency. the Financial Services Authority is responsible for approving prospectuses and monitoring issuers’ compliance with ongoing obligations arising from the FSAP Directives. Where this is the case. Global profile
The Specialist Fund Market is open to UK and non-UK domiciled investment funds wishing to use London as a centre from which to access permanent global capital. In the UK. Acceptance of sophisticated legal structures
The Specialist Fund Market can accept a variety of sophisticated legal structures including limited partnership interests and non-voting share structures allowing the flexibility to create structures that can comply with home country tax or securities laws whilst also allowing access to permanent capital. Some institutional investors seeking to satisfy their mandates may require issuers to apply additional elements of governance and regulation.
from Equities. IOB.initial testing session fees waived . and quote driven order books.
Liquidity Gain direct access to Europe's deepest pool of liquidity with trading in UK equities. We also offer real time market data services.Efficient secondary market
Liquidity in Specialist Fund Market securities will be facilitated by our world class trading platform. agile.
London Stock Exchange Group membership promotions
The LSE Group is pleased to announce the latest incentives for new members joining the market. Bonds and Fixed Income to Structured Products and Derivatives by contacting our Membership Team in Milan. our electronic order book for trading depositary receipts. Exchange Traded Funds and Commodities.UnaVista Data Solutions: three month no obligation free trial* . most reliable and technologically advanced markets in the world. It allows our customers to trade on one of the fastest. sub millisecond trading platform with multi-asset class functionality.year one non displayed market data fee capped at £7. TradElect. Technology The Millennium Exchange trading architecture delivers a highly scalable.UnaVista Post-Trade Solutions and UnaVista Reconciliations: three months free upon signing annual contract
.000 . International Depositary Receipts. nSpecialist Fund Market securities will be traded on dedicated segments of either the SETS or SETSqx services depending on their anticipated trading pattern and size. our premier equities electronic trading service. Our trading services in London include SETS. You can also gain access to Borsa Italiana and the range of products traded. giving you the opportunity to grow your business and company profile in parallel. Community Establish valuable new relationships in our global community of brokers and listed companies. Products and Services We offer a wide range of products and services to our members.annual membership fee waived for the first 12 months . Covered Warrants and Investment Trusts. trade reporting. London Stock Exchange: .
Stock Exchange Notices disseminate amendments to market rules and guidance. These range from full host-to-host solutions to Vendor Access Network connections.BIt annual membership fee waived .
Eligibility Membership is available to investment firms and credit institutions authorised in the European Economic Area. Connectivity Firms can connect directly to the Exchange’s markets.MTA/AIM Italia/MAC/SeDeX/ETFplus/MOT subscription fee waived . The Exchange currently offers several types of connectivity options with varying levels of management and performance. Members may be eligible for Stamp Duty Reserve Tax exemption and may apply for this as part of their application. As a Recognised Investment Exchange (RIE). You may also be eligible if you are not EEA regulated and should speak with the membership team for further details. Orderly markets are maintained via rules. the Exchange also has to satisfy the requirements detailed in the Financial Services Authority's RIE and RCH Sourcebook.CC&G membership fee: 50% discount The initiative applies to: · New members for the membership fee waiver / discount · New members and existing members extending their subscription to new markets for the subscription / volume category fee waiver Group Membership Member firms of both LSE and Borsa Italiana qualify for a savings of 20% on the standard annual membership fee. guidance and through the monitoring of trading and market activity.IDEM Equity volume category fee waived .The initiative applies to new member firms with a direct connection to London Stock Exchange order book(s) as per section 5d and 5f of the Membership Application Form.IDEX volume category fee waived . *excludes SEDOL licenses Borsa Italiana For the first 12 months: .
. Each firm will have different requirements and we can help you choose the right form of access for your firm
Rules and Regulations:
The attractiveness of the Exchange's markets is maintained by providing an efficient and well regulated market place.
Making a complaint This section explains what to do if you have a complaint and how to make it.The Exchange's primary aim is to provide issuers. warrant additional information to be made available to member firms and market participants. Associated guidance and parameters are available from the downloads below. from time to time. The revised Rulebook also aligned the rules more closely with the structure of the trading system and simplified them where possible to make them more user-friendly. intermediaries and investors with attractive. A copy of the latest version of the Rulebook is available on the downloads below and is divided into the following sections: Definitions Core rules Order book trading rules Off order book trading rules Market maker rules Settlement.
. Rulebook All London Stock Exchange member firms are bound by the Rules of the London Stock Exchange (“the rules”) and must ensure compliance with these rules. Forms and agreements Forms and agreements currently used by Member Firms for regulatory purposes. This page provides a link to such live issues. together with information on Stock Exchange Notices and Compliance Updates. efficient and well-regulated markets in which to raise capital and fulfil investment and trading requirements. Buying in Provides detailed guidance of the procedures. costs and timescales associated with buying-in. This is most likely to be useful to private investors. Default information The Exchange may encounter live regulatory and operational issues that. clearing and benefits rules Compliance Default Stock Exchange Notices and guidance Contains information about updates to the Rules of the London Stock Exchange. The rules were fully updated in 2007 in readiness for the introduction of the Markets in Financial Instruments Directive (“MiFID”or “the Directive”). The Rules are therefore closely linked to the operation of the trading system and should be read in conjunction with the Guide to the trading system and the parameters.
When issued dealing The Exchange will permit when issued dealing in a security provided that the Exchange is satisfied that there can be a fair and orderly market for the trading of that security. most successful and dynamic companies in the world. London Stock Exchange Group. For the application for admission of securities to trading Form 1 go to Regulatory Forms & Agreements.000 companies from over 70 countries admitted to trading on its markets. expertise and market knowledge to become the world's most international stock exchange. Did you know:
The Exchange is the most international of all the world’s stock exchanges. creating Europe's leading diversified exchange business. In addition an issuer must apply to the London Stock Exchange to be admitted to trading on the main market. Over 400 firms. mainly investment banks and stockbrokers. Live financial broadcasts are transmitted throughout the day from the Exchange's own TV studios.
.Dividend procedure timetable The dividend procedure timetable is available from the downloads below. with around 3. The Exchange has built on a long history of integrity. Admission to trading To be able to list on the main market.
Exchange Delivery Settlement Price ("EDSP") Intraday Auction
The Exchange Delivery Settlement Price for FTSE 100 and 250 Index Futures and Options Contracts is based on the Index value created by the intra-day auction in each of the constituent securities which is run specifically for that purpose by the London Stock Exchange. are members of the London Stock Exchange. In October 2007 the Exchange merged with Borsa Italiana. About the LSE The London Stock Exchange is at the heart of the global financial market and is home to some of the largest. an issuer must comply with the UKLA’s requirements for granting officially listed status. From conducting its business in the coffee houses of 17th century London. the Exchange is one of the world’s oldest stock exchanges and can trace its history back more than 300 years. The Exchange has a set of straight-forward admission and disclosure standards that will help you to gain admission to the main market.
Information services Every second of the trading day we generate information ranging from data on individual trades and share price movements to company announcements. From our premium fully electronic order-driven trading platforms for liquid UK and international securities. Corporate Governance: The Group is committed to delivering the highest standards in boardroom practice and financial transparency through:
Clear and open communications with investors. We are committed to developing our market in covered warrants and work closely with issuers to meet the needs of the market and to enhance the services we offer. Trading Our trading services are designed to maximise liquidity in the stocks traded on them.
Welcome to the Professional Securities Market
The Professional Securities Market enables companies to raise capital through the listing of specialist securities. and the benefits of joining here. we offer the most efficient post trade services in the eurozone. broadening the scope of equity derivatives trading while cutting down risk and cost. to professional investors. Through MTS we provide Europe’s largest electronic government bond market and through Monte Titoli and CC&G. including debt and depositary receipts.What we do:
Capital markets We have a choice of markets that put UK and international companies in touch with one of the world’s deepest pools of investment capital. Find out more about the Professional Securities Market. For more information go to Companies and advisers.
. Situated at the heart of the world’s financial markets we attract more companies from all over the world than any other major exchange. For more detail go to Information providers. through to our quote driven market maker platforms for less liquid securities. Derivatives EDX London was created to bring the cash equity and derivatives markets closer together. Investor relations: London Stock Exchange Group plc is Europe’s leading exchange group in cash equities with about 50% of the FTSEurofirst 100 by market capitalisation and the most liquid order book by value and volume traded.
Corporate Responsibility: London Stock Exchange Group is committed to corporate responsibility. Our systems provide fast and efficient trading at very low cost allowing investors and institutions access to equity. Fostering an open. shareholders and employees as valued partners in our business. brokerages and regulatory bodies in the United States. and a custodian of securities
. In addition we provide technology solutions to exchanges.
What we do: The London Stock Exchange Group
Companies from around the world come to our markets to raise money for growth. The Annual General Meeting is held in central London and is the principal opportunity for private shareholders to meet directors and management of the company and put questions to the Board. We intend to act openly and honestly in all our business dealings and treat all stakeholders including our customers. We actively strive to manage and understand the concerns and expectations of our stakeholders. depositories. Over 500 members worldwide trade on the London Stock Exchange and Borsa Italiana. Europe. co-operative relationship with our regulators.
Maintaining accurate financial records which transparently and honestly reflect the financial position of our business.
A comprehensive programme of investor relations activity ensures appropriate contact with institutional and private shareholders. In post trade services we act as: a central counterparty guaranteeing payments are made and securities delivered. making the actual payments and delivering securities. gaining access to one of the world’s deepest and most liquid pools of low cost capital. We supply high quality real time prices and trading data creating the transparency and liquidity that are the hallmarks of our markets. Endeavouring to maximise shareholder returns. fixed income and derivatives markets. Regular updates on trading and financial results enable various stakeholders to understand performance and prospects for the Group. Our approach reflects our brand values and our reputation for integrity. Africa and the AsiaPacific region. a Central Securities Depository and operate a securities settlement system creating netted settlement instructions.
As one of the world's longest established and most reputable stock exchanges.Capital Markets
Our issuer services help companies to raise capital through a choice of markets. Quick and easy listing process Our professional team works hard to ensure a quick and easy listing process and we are in daily contact with the UK Listing Authority (UKLA). significantly reducing the cost of capital raised via our markets. Competitive listing fees Our listing fees are competitive and we do not charge an annual fee for listing debt. Post Trade Services Provide a wide range of efficient post trade services including clearing. settlement and custody. We work closely with all market participants to facilitate the process of admission to trading of debt securities and to best address issuers’ needs. with debt issuers raising total of £1. Europe. Debt securities admitting to trading on our markets range from simple Eurobonds and bonds to complex asset-backed issues. and we work closely with all parties involved to ensure a swift and cost effective debt issuance process. depositaries. Swift and cost effective issuance The Exchange is aware of the challenges facing issuers and their advisers in competitive capital markets. while our trading services providing active and efficient trading in a wide range of securities Information and Technology Services We provide the global financial community with high quality real-time and historical prices as well as technology solutions that currently power exchanges. brokerages and regulatory bodies in the United States. the competent authority for listing in the UK. We remain determined to stay at the frontier of developments in the debt markets. the London Stock Exchange provides an excellent opportunity for debt issuers to access one of the largest pools of capital and to increase the profile of their issue. routing. netting. Deep pool of capital The Exchange offers prospective issuers access to the deepest pool of global capital. Africa and Asia-Pacific region. Issuers can choose to admit securities to trading on the Main Market or the Professional Securities Market. high yield bonds and convertible or exchangeable bonds.
. giving our issuers the widest financial exposure. with total assets listed amounting to more than £6 trillion.65 trillion on our markets as at the end of October 2007. Our markets provide access to the world's deepest capital pools.
Retail Bonds From February 2010. which can help your plans and ease the issuance process in the future.
. Exchange Traded Commodities Simple and efficient securities that provide exposure to a range of commodities and commodity indices Covered Warrants More on the opportunities presented by the fast-growing market in covered warrants. low-cost and flexible investments that track indices and sectors in the UK. Ordinary Shares The most common security type traded on the London Stock Exchange.Adviser expertise Listing in London provides unique proximity to key debt managers and advisers and a wide audience of financial and legal experts. Structured Products From plain trackers to products with more sophisticated expiry profiles. the London Stock Exchange will introduce a new electronic order book for retail bonds.
Types of Securities:
This section details the security types traded on our markets. Exchange Traded Funds Simple. discover the opportunties presented by listed structured products Bonds More on the issuing and listing of bonds on our market. US and European markets.
Less liquid Main Market securities are traded on SETSqx. whether as issuers or brokers. This new order-driven trading service offers access to a select number of gilts. profitable line of business.Global Depositary Receipts (GDRs)
Enabling overseas companies to gain access to London's pool of liquidity whilst giving investors greater exposure to emerging markets. Exchange Traded Funds (ETFs) give investors the chance to buy whole indices as easily as buying a share on the London Stock Exchange. Global Depositary Receipts (GDRs) are negotiable certificates issued by depositary banks which represent ownership of a given number of a company’s shares which can be listed and traded
. Eligible for inclusion in ISAs but attracting no stamp duty. ETFs have the lowest annual charges of all collective investment schemes. Ordinary shares of UK companies can be listed on the Main Market or admitted to AIM. supranational and UK corporate bonds and has been developed in response to strong demand from retail investors for access to an on-screen secondary market in fixed income securities.
On 1 February 2010. As well as SETS and SETSqx some AIM admitted securities can also be found on SEAQ. It is no wonder that more and more investors seeking commodity and currency exposure are turning to ETCs and that this increasingly mainstream alternative asset class has experienced exponential growth since its inception Covered warrants offer member firms. More details of the Exchange’s Trading Services can be found here. Ordinary shares are the most common form of share in the UK. A Standard Listing allows issuers to access the Main Market by meeting EU harmonised standards only. An ordinary share gives the right to its owner to share in the profits of the company (dividends) and to vote at general meetings of the company. the London Stock Exchange launched an electronic order book for bonds. ETCs are simple and transparent open-ended securities which trade on regulated exchanges. Companies with a Premium Listing are required to meet the full suite of UK rules which are more extensive than minimum requirements set out in EU directives. an exciting new product and the opportunity to develop a new. ETCs enable investors to gain exposure to both commodities and currencies without trading futures or taking physical delivery. Companies seeking to join the Main Market may choose from a Premium Listing or a Standard Listing. The more liquid Main Market securities (including all the constituents of the FTSE All Share index are found on the Exchange’s SETS Trading Service.
American Depositary Receipts (ADRs) can also be listed and traded in London.independently from the underlying shares. depending on whether the issuer aims to tap the private placement or public US markets. Since then the system has (as ever) undergone significant change. These securities are quoted and traded in US dollars on the International Order Book and the associated dividends are paid to investors in US dollars. The arrival of PEPs and ISAs (both tax advantaged investment plans which effectively hold shares in a nominee type account) meant that many private investors might own a portfolio of shares but never receive annual company accounts. It was designed to cater for FTSE 100 firms and the largest of the FTSE 250 companies. SETS makes it easier to purchase small holdings (many investors now own a number of shares in their tax wrapper and just one share in their own name to ensure that corporate documentation arrives). The brokers enter buy and sell orders through an electronic order book. A GDR will be used to access two or more markets. GDRs can be listed on either the Main Market or the Professional Securities Market. is full of these weird and wonderful phrases.
. The Stock Exchange Electronic Trading System operates on a T+3 bases which means that the financial aspects must be completed on the third working day after the trade. They are often launched for capital raising purposes.
SETS(Stock Exchange Electronic Trading System):
I'm happy to say that the LSE's use of bizarre terms is alive and well. The London Stock Exchange SETS (Electronic Trading Service). GDRs are settled in either DTC or Euroclear Bank enhancing their cross border liquidity. The basis of SETS was launched by the London Stock Exchange in 1997. These instruments are typically used by companies from emerging markets. usually London and the US. Market makers have no role in the transaction .thus removing an added layer of costs. I'm pleased to tell you. Here are some of the main points of the SETS system: London Stock Exchange SETS deals go through brokers. There is no minimum order size. so the US element is generally either a Rule 144(a) ADR or a Level III ADR. Orders may be matched against more than one opposite trade in the order book. This is very useful to the private investor.