Euronext signs data deal to tap Chinese investors

First major agreement since signing cooperation pact with Shanghai Stock Exchange will see Euronext data made available via Chinese vendors.

Euronext is to begin distributing its market data to China, after signing agreements with a number of major vendors in the country.

The European exchange operator said the deal will facilitate access to its pan-European markets for Chinese investors.

Euronext data will be distributed in mainland China by East Money, Shanghai DZH Limited and Shanghai Wind Information, meaning 100 million retail and institutional investors in China will be able to follow Euronext’s markets in the Chinese language.

The deal stems from a 2015 strategic partnership agreed between Euronext and Shanghai Stock Exchange, aimed at promoting and market Euronext products across equities, derivatives, commodities and data to the Chinese market.

“We are very pleased to be signing agreements with these three leading Chinese vendors, as they will further enhance the visibility and accessibility of our markets, listed companies and products,” said Lee Hodgkinson, head of markets and global sales at Euronext. “We are looking forward to reinforcing our partnership with the Shanghai Stock Exchange to explore the generation of further commercial benefits and grow our footprint in China.”

Today’s deal is the first major milestone of the cooperation agreement, which Shanghai Stock Exchange’s executive vice president, Bo Que, said will  give Chinese investors “the chance to access Euronext’s market data more efficiently.”

A number of market operators in both the US and Europe have been attempting to strengthen their ties to partners in Asia to tap the potentially lucrative Chinese domestic markets. However, a number of global investment banks have recently pulled back from the region following volatility in January due to concerns the Chinese economy was beginning to falter.