Second tier of stock markets will have to specialise

Smaller stock markets will have to target a region, sector or product to survive

It was not so long ago that the main stock exchanges of Europe were regarded as cornerstones of each nation’s economy and identity. But over the past three years, structural and cyclical changes have blurred that view.

Revenues from capital market operations, once the lifeblood of an exchange, have reduced as a slew of rival venues have established themselves and market volumes have remained sluggish in the wake of the financial crisis.

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