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(Bloomberg) -- Euronext NV is in discussions with market participants about potentially moving all of the exchange-traded products listed on its bourses to a single trading venue.
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The European exchange operator is considering several options to consolidate the number of ETP listings across its seven bourses, including a solution that would bring them all together in Amsterdam, according to people familiar with the talks who are not authorized to discuss the matter publicly. It’s also possible that Euronext would let each product issuer pick one exchange for all of their listings, one of them said.
Europe’s fragmented capital markets mean ETPs are frequently listed in multiple jurisdictions. Amsterdam-based Euronext — which also runs bourses in Paris, Oslo, Brussels, Dublin, Lisbon and Milan — boasts more than 3,000 product listings from around 50 issuers.
While discussions about the consolidation are still underway, any change could be implemented as soon as the third quarter of 2025, the people said.
A spokesperson for Euronext declined to comment on the plans.
The European ETF industry has grown rapidly in recent years and now commands about €2.3 trillion ($2.4 trillion) in assets, according to data compiled by Bloomberg on Monday. But the region’s fragmented markets divide liquidity and add cost and complexity for issuers, leaving it struggling to compete with the almost $11 trillion US arena.
Euronext’s proposal comes amid an ongoing push by the European Union toward unifying its markets, with leading figures such as European Central Bank President Christine Lagarde criticising the slow pace of progress. The bloc is edging closer to creating a so-called consolidated tape — a centralized data feed for various assets including stocks, ETFs and bonds from a wide range of trading platforms — but the effort has been years in the making.
The proposed consolidation of ETPs listed with Euronext is part of the firm’s three-year strategic plan to accelerate revenue and earnings growth. The bourse operator has pledged to build the most efficient ETF offering in the market, and said it is positioned to “reverse the trend of fragmentation of ETF liquidity” in the region.
It’s not immediately clear how much disruption the change will cause. Should Amsterdam be chosen as a single venue for all listings, Euronext would explore ways to allow access to that bourse for any participants not already connected, one of the people said.