The news just before Christmas that Euronext was engaged in a mating dance with the Olso Stock Exchange makes a deal of sense.
Unlike many EU stock exchanges, the Norwegian market boasts a number of attractions to Euronext. Other than incremental volume and listings, the chief of these include a very large debt market, a competent CSD with the Nordic preference for full beneficial holder disclosure. With its non-EU credentials, this could serve to fill a number of increasingly apparent gaps in Euronext’s structure.
Properly integrated, the resulting exchange group could become a very potent competitor in the Big Game – the competition between vertically integrated exchange silos.