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Euronext is a European stock exchange seated in Amsterdam, Brussels, London, Lisbon, Dublin and Paris. In addition to cash and derivatives markets, the Euronext group provides listing market data, market solutions, custody and settlement services. Its total product offering includes equities, exchange-traded funds, warrants and certificates, bonds, derivatives, commodities and indices as well as FX platform. In 2018, Euronext is the largest in continental Europe with 1,300 issuers representing a €3.8 trillion market capitalization. Euronext merged with NYSE Group, Inc. on April 4, 2007 to form NYSE Euronext (NYX). On November 13, 2013 Intercontinental Exchange (NYSE: ICE), completed acquisition of NYSE Euronext. In June 2014 Euronext completed an initial public offering making it a standalone company again.
Euronext Amsterdam/Amsterdam Stock Exchange. https://handwiki.org/wiki/index.php?curid=1579816
Euronext Brussels/Brussels Stock Exchange. https://handwiki.org/wiki/index.php?curid=1316753
Euronext Dublin/Irish Stock Exchange. https://handwiki.org/wiki/index.php?curid=1378894
Euronext Paris/Paris Bourse. https://handwiki.org/wiki/index.php?curid=1967639
Euronext Lisbon. https://handwiki.org/wiki/index.php?curid=1376686
Euronext was formed on 22 September 2000 following a merger of the Amsterdam Stock Exchange,[1] Brussels Stock Exchange, and Paris Bourse, in order to take advantage of the harmonization of the financial markets of the European Union.[2][3][4][5] In December 2001, Euronext acquired the shares of the London International Financial Futures and Options Exchange (LIFFE), forming Euronext.LIFFE. In 2002 the group merged with the Portuguese stock exchange Bolsa de Valores de Lisboa e Porto (BVLP), renamed Euronext Lisbon.[4] In 2001, Euronext became a listed company itself after completing its Initial Public Offering.[6][7]
Due to apparent moves by NASDAQ to acquire the London Stock Exchange,[8] NYSE Group, owner of the New York Stock Exchange, offered €8 billion (US$10.2b) in cash and shares for Euronext on 22 May 2006, outbidding a rival offer for the European Stock exchange operator from Deutsche Börse, the German stock market.[9] Contrary to statements that it would not raise its bid, on 23 May 2006, Deutsche Börse unveiled a merger bid for Euronext, valuing the pan-European exchange at €8.6 billion (US$11b), €600 million over NYSE Group's initial bid.[10] Despite this, NYSE Group and Euronext penned a merger agreement, subject to shareholder vote and regulatory approval. The initial regulatory response by SEC chief Christopher Cox (who was coordinating heavily with European counterparts) was positive, with an expected approval by the end of 2007.[11] The new firm, tentatively dubbed NYSE Euronext, would be headquartered in New York City, with European operations and its trading platform run out of Paris. Then-NYSE CEO John Thain, who was to head NYSE Euronext, intended to use the combination to form the world's first global stock market, with continuous trading of stocks and derivatives over a 21-hour time span. In addition, the two exchanges hoped to add Borsa Italiana (the Milan stock exchange) into the grouping.
Deutsche Börse dropped out of the bidding for Euronext on 15 November 2006, removing the last major hurdle for the NYSE Euronext transaction. A run-up of NYSE Group's stock price in late 2006 made the offering far more attractive to Euronext's shareholders.[12] On 19 December 2006, Euronext shareholders approved the transaction with 98.2% of the vote. Only 1.8% voted in favour of the Deutsche Börse offer. Jean-François Théodore, the chief executive officer of Euronext, stated that they expected the transaction to close within three or four months.[13] Some of the regulatory agencies with jurisdiction over the merger had already given approval. NYSE Group shareholders gave their approval on 20 December 2006.[14] The merger was completed on 4 April 2007, forming NYSE Euronext.
In 2008 and 2009 Deutsche Börse made two unsuccessful attempts to merge with NYSE Euronext. Both attempts did not enter into advanced steps of merger.[15][16]
In 2011, Deutsche Börse and NYSE Euronext confirmed that they were in advanced merger talks. Such a merger would create the largest exchange in history.[17] The deal was approved by shareholders of NYSE Euronext on July 7, 2011,[11] and Deutsche Börse on July 15, 2011[18] and won the antitrust approved by the US regulators on December 22, 2011.[19] On February 1, 2012, the deal was blocked by European Commission on the grounds that the new company would have resulted in a quasi-monopoly in the area of European financial derivatives traded globally on exchanges.[20][21] Deutsche Börse unsuccessfully appealed this decision.[22][23]
In 2012, Euronext announced the creation of Euronext London to offer listing facilities in the UK. As such, Euronext received in June, 2014 Recognized Investment Exchange (RIE) status from Britain's Financial Conduct Authority.[24]
In December 2012 Intercontinental Exchange announced plans to acquire NYSE Euronext, owner of Euronext, in an $8.2 billion takeover. [25] The deal was approved by the shareholders of NYSE Euronext and Intercontinental Exchange on June 3, 2013.[26][27][28] The European Commission approved the acquisition on 24 June 2013 [29] and on Aug. 15, 2013 the US regulator, SEC, granted approval of the acquisition. [30][31][32] European regulators and ministries of Finance of the participating countries approved the deal and on November 13, 2013 the acquisition was completed.[33][34] The fact that ICE intends to pursue an initial public offering of Euronext in 2014[33] was always part of the deal and a positive elements for European stakeholders. After a complex series of operation within a very limited frame, Euronext became public in June 2014.
On June 20, 2014 Euronext was split from ICE through an initial public offering.[35] In order to stabilize Euronext, a consortium of eleven investors decided to invest in the company. These investors referred to as "reference shareholders" own 33.36% of Euronext’s capital and have a 3 years lockup period: Euroclear, BNP Paribas, BNP Paribas Fortis, Société Générale, Caisse des Dépôts, BPI France, ABN Amro, ASR, Banco Espirito Santo, Banco BPI and Belgian holding public company SFPI (Société Fédérale de Participations et d'Investissement).[36] They have 3 board seats.
Alternext is a market segment formed in 2005 by Euronext to help small and mid-class companies in the Eurozone seek financing. This initiative was later followed by the creation of EnterNext, a subsidiary of Euronext dedicated to promoting and growing the market for SMEs.[37]
Enternext was created in 2013 in order to help SMEs outline and apply a strategy that is most suited to support their growth. Enternext is a pan-European program and comprises over 750 SMEs, which are listed on Euronext markets in Europe.[38] Thus, EnterNext plays a key role in Euronext’s strategy of becoming a leading capital raising center in Europe.
In June 2014, EnterNext launched two initiatives to boost SME equity research and support the technology sector. EnterNext partnered with Morningstar to increase equity research focusing on mid-size companies, especially in the telecommunications, media and technology (TMT) sector.
Euronext combines four national markets in Europe, trading stocks of major companies of each country participant, and manages the main national indices representing these stocks: AEX-index, BEL 20, CAC 40 and PSI 20. Blue chip traded on Euronext represent 20+ issuers included in the EURO STOXX 50® benchmark.[39] In 2012, Euronext announced it was opening a listings venue in London under Euronext London, which strengthened the competitive position of Euronext in Europe and increased its visibility.[40][41]
Table of major instrument types traded on Euronext Cash Markets:
Market / Segment Name | Equities[42] | Bonds[43] | ETFs[44] | Funds[45] | ETVs / ETNs[46] | Warrants, Certificates & Structured Notes[47] |
---|---|---|---|---|---|---|
Alternext Amsterdam | Yes | - | - | - | - | - |
Alternext Brussels | Yes | Yes | - | - | - | - |
Alternext Lisbon | Yes | - | - | - | - | - |
Alternext Paris | Yes | Yes | - | - | - | - |
Easynext Lisbon | Yes | - | - | - | - | Yes |
Euronext Amsterdam | Yes | Yes | Yes | Yes | Yes | Yes |
Euronext Brussels | Yes | Yes | Yes | Yes | Yes | Yes |
Euronext Dublin | - | - | - | - | - | - |
Euronext Lisbon | Yes | Yes | Yes | Yes | - | - |
Euronext London | Yes | - | - | - | - | - |
Euronext Paris | Yes | Yes | Yes | - | Yes | Yes |
Marche Libre Brussels | Yes | Yes | - | - | - | - |
Marche Libre Paris | Yes | Yes | - | - | - | Yes |
NYSE Bondmatch | - | Yes | - | - | - | - |
Traded But Not Listed Amsterdam | Yes | - | - | - | - | - |
Trading Facility Brussels | Yes | - | - | - | - | - |
Euronext has a leading milling wheat contract which is a benchmark for wheat prices in Europe. In June 2014, Euronext signed a Memorandum of Understanding (MOU) with the Dalian Commodity Exchange (DCE).[48] This agreement aims at researching the demand for commodity products in new geographic areas and developing strategies for the distribution and trading of these products in safe and orderly markets.
Table of major instrument types traded on Euronext Derivative Markets:[49]
Futures/Options | Amsterdam, Netherlands | Brussels, Belgium | Lisbon, Portugal | Paris, France | |
---|---|---|---|---|---|
Commodity | Futures | Yes | - | - | Yes |
Commodity | Options | - | - | - | Yes |
Index | Futures | Yes | Yes | Yes | Yes |
Index | Options | Yes | Yes | - | Yes |
Stock | Futures | Yes | Yes | Yes | Yes |
Stock | Options | Yes | Yes | - | Yes |
ETF | Options | Yes | - | - | - |
Currency | Futures | Yes | - | - | - |
Currency | Options | Yes | - | - | - |
Dividend | Futures | Yes | Yes | Yes | Yes |
Euronext comprises cash and derivatives markets, which, as of December 2013, cover the following operational markets and segments.[50]
Market / Segment Name | Cash / Derivatives | Country | City | MIC Code | Comments |
---|---|---|---|---|---|
Euronext Amsterdam | Cash | Netherlands | Amsterdam | XAMS | |
Alternext Amsterdam | Cash | Netherlands | Amsterdam | ALXA | |
Traded But Not Listed Amsterdam | Cash | Netherlands | Amsterdam | TNLA | |
Euronext EQF, Equities And Indices Derivatives | Derivatives | Netherlands | Amsterdam | XEUE | |
Euronext IRF, Interest Rate Future And Options | Derivatives | Netherlands | Amsterdam | XEUI | |
Euronext Brussels | Cash | Belgium | Brussels | XBRU | |
Alternext Brussels | Cash | Belgium | Brussels | ALXB | |
Easy Next | Cash | Belgium | Brussels | ENXB | MTF for Warrants and Certificates |
Marche Libre Brussels | Cash | Belgium | Brussels | MLXB | |
Trading Facility Brussels | Cash | Belgium | Brussels | TNLB | |
Ventes Publiques Brussels | Cash | Belgium | Brussels | VPXB | |
Euronext Brussels - Derivatives | Derivatives | Belgium | Brussels | XBRD | |
Euronext Lisbon | Cash | Portugal | Lisbon | XLIS | |
Alternext Lisbon | Cash | Portugal | Lisbon | ALXL | Alternext is the name of a market (MTF) organised in Portugal by Euronext Lisbon, Sociedade Gestora De Mercados Regulamentados, S.A. |
Easynext Lisbon | Cash | Portugal | Lisbon | ENXL | |
Mercado De Futuros E Opções | Derivatives | Portugal | Lisbon | MFOX | |
Market Without Quotations Lisbon | Derivatives | Portugal | Lisbon | WQXL | |
Euronext London | Cash | United Kingdom | London | XLDN | A UK regulated market aimed at international issuers complementary to the existing euronext Cash markets |
Liffe | Derivatives | United Kingdom | London | XLIF | |
Euronext Paris | Cash | France | Paris | XPAR | |
Alternext Paris | Cash | France | Paris | ALXP | |
NYSE Bondmatch | Cash | France | Paris | MTCH | Financial, corporate and covered bonds trading platform for professional investors. |
Euronext Paris Matif | Derivatives | France | Paris | XMAT | |
Marche Libre Paris | Cash | France | Paris | XMLI | |
Euronext Paris Monep | Derivatives | France | Paris | XMON |
Euronext manages various country (national), as well as pan-European regional and sector and strategy indices.[51]
Main indices managed by Euronext[51]
Name | Symbol | Trading Currency |
---|---|---|
AEX All-share | AAX | EUR |
AEX | AEX | EUR |
Alternext All-share | ALASI | EUR |
AMX | AMX | EUR |
AScX | ASCX | EUR |
BEL 20 | BEL20 | EUR |
BEL All-share | BELAS | EUR |
BEL CONTIN STCK NR | BELCU | EUR |
BEL Mid | BELM | EUR |
BEL Small | BELS | EUR |
CAC 40 | PX1 | EUR |
CAC All-share | PAX | EUR |
CAC All-tradable | CACT | EUR |
CAC Mid & small | CACMS | EUR |
CAC Mid 60 | CACMD | EUR |
CAC Next 20 | CN20 | EUR |
CAC Small | CACS | EUR |
Euronext 100 | N100 | EUR |
EURONEXT FAS IAS | FIAS | EUR |
NYSE Euronext Iberian | NEIBI | EUR |
IEIF SIIC FRANCE | SIIC | EUR |
Low Carbon 100 Europe | LC100 | EUR |
Next 150 | N150 | EUR |
Next Biotech | BIOTK | EUR |
OSEO INNOVATION | NAOII | EUR |
Private Equity Nxt | PENXT | EUR |
PSI 20 | PSI20 | EUR |
PSI All-share | BVLGR | EUR |
REIT EUROPE | REITE | EUR |
SBF - 120 | FCI | EUR |
Since the acquisition of Euronext by Intercontinental Exchange, information about the status and validity of agreements and cooperations is not available. Euronext provides technology and managed services to third parties. In March 2014, the group signed agreements with four new exchanges, the Beirut Stock Exchange, the Amman Stock Exchange, Bourse de Tunis and the Muscat Securities Market, for the implementation of its UTP.[52]
On September 22, 2014, Euronext announced its new partnership with DEGIRO[53] regarding the distribution of retail services of Euronext. Upon publishing the third quarter results for 2014, the partnership was seen as a plan for Euronext to compete more effectively on the Dutch retail segment.[54] They are still partners as of April 1, 2016.
Euronext's market data offerings cover markets in Paris, Amsterdam, Lisbon, London and Brussels and include Cash Markets Real-Time Data, Derivatives Real-Time Data, Index and End of Day Data, Reference Data and Historical Data.[55] Euronext also provides an Equity and Index Volatility Data Service that covers indices worldwide.[56] Investors, traders and professionals can also acquire market data from the Eurex Exchange through data providers like Quandl.[57]
Euronext has on March 30, 2016 259 members. 208 of these members are trading members and the rest trading clearance members. These members are also divided in brokers, dealers and fund agents. Not every member is authorized in every of the five countries available by Euronext.[58]