The London Stock Exchange’s (LSEs) share of FTSE 100 stocks fell to just over two-thirds yesterday for the first time, as a result of accelerated fragmentation in European share trading since the introduction of MiFID in November 2007.
According to figures from data vendor Fidessa and BATS Europe, a pan-European multilateral trading facility (MTFs), the LSE’s share of the UK’s blue-chip index stood at 68.17% post-auction on Wednesday.
The biggest beneficiaries were fellow MTFs Chi-X Europe, which picked up 20.74% of FTSE 100 trading, Turquoise (7.14%), now close to market share levels last seen prior to the expiration of its marketing making deals on 13 March, and BATS Europe, which gained 3.56%.
By comparison, the two main US exchanges, Nasdaq OMX and NYSE Euronext, now hold market shares of just 25% and 26% respectively. The exchanges began to lose market share following the authorisation of electronic communications networks by the US Securities and Exchange Commission in 1998.