The London Stock Exchange is one of the world's largest stock exchange that is located in London that was founded in 1801.
Structure of the London Stock Exchange
The London Stock Exchange is subdivided into the Main Market, Alternative Investments Market and the EDX London . We have discussed in detail the Alternative Investments Market and the EDX London.
Alternative Investments Market
The Alternative Investments Market is a subdivision of the London Stock Exchange. The regulatory system in the main market is very stringent. But unlike the main market the alternative investments market allow the smaller companies to float their shares in a very flexible regime . The Alternative Investments Market catered to almost 2200 companies and its size reached almost 24 billion pounds by 1995. This market is less regulated and there is no need for capitalization or a minimum requirement of the number shares issued. Due to the flexibility offered by this market as opposed to the Main market, more and more companies are shifting from the main market to the Alternative Investments Market.
The FTSE group formed out of a joint venture of the Financial Times and the London Stock Exchange maintains three indices to measure the Alternative Investments Market and they are :
- FTSE AIM US 50 Index
- FTSE AIM US 100 Index
- FTSE AIM All Share Index
EDX London
The EDX London Ltd set up in 2003 is a derivative exchange that is managed by the London Stock Exchange. The participants of this exchange can trade both standardized and flexible futures and options . The three international linked exchanges in which trading takes place are the Stockholm Stock Exchange, Copenhagen Stock Exchange and the Oslo Bors.
Membership and Trading
The London Stock Market is a secondary market where different kinds of securities are traded like the UK and international equities,AIM securities and depository receipts.
Company Services
The London Stock Exchange cater to the needs of the small, medium and large companies by providing them with a spectrum of value added services.
Information Products
To help the different companies participating in the London Stock Exchange, historical and reference data is provided to predict the market more accurately.
IR Solutions
Such tools are offered by the London Stock Exchange to help the companies maximize their financial communications.
The Media Complex
The audiences of the London Stock Exchanges are connected by the market news and the company interviews .
For more information on the London Stock Exchange the relevant websites that may be viewed are londonstockexchange.com, britannica.com, advfn.com etc.