More on exchange consolidation
Great graph courtesy Morgan Stanley, via the Economist, illustrating relative valuations of major equity and derivatives exchanges around the globe:
A couple key points highlighted in the article:
…And even if the merger doesn’t happen, the mere possibility illustrates convergent and accelerating trends among the world’s exchanges. These include a shift from mutual ownership to listed exchanges, rapid advances in and dissemination of technology, and increasingly sophisticated users who want to trade across borders and asset classes…
…With a transatlantic merger looming, exchange users in London voiced concerns this week that they might be subject to American regulators in future. Britain is generally seen by international investors as a more welcoming regulatory environment than the United States, especially since America passed the Sarbanes-Oxley and USA Patriot acts…
