LSE eyes derivative platform this year

THE London Stock Exchange has reported growth in its core equities business, underlining its plan to move into derivatives trading and clearing more aggressively.

New listings for the 11 months to the end of February were up 90 per cent on the previous year to 167, while UK daily trading activity was up two per cent to £4.7bn. Its domestic market share remained steady at 63.4 per cent for the period.

But the LSE provided no fresh updates on the planned acquisition of Canada’s TMX Group, saying that work to achieve shareholder and regulatory approvals was under way.

It reported growth in its fledgling post-trade business, which includes clearing, with derivatives up 12 per cent and outperforming equities, which grew by one per cent. It also cited its plan to launch a pan-European derivatives trading platform this year. The LSE is keen to move into derivatives to diversify its business and re-position ahead of regulatory changes set to shake-up over-the-counter derivatives markets.