The London Stock Exchange Group (LSEG) is reportedly considering whether it should introduce 24-hour trading as proposed by several small investors, as per various reports.
The operator of the LSE is in talks over the possibility of extending its trading hours — potentially even moving to a 24-hour schedule, the Financial Times reported, citing sources close to the development.
‘Discussing practicalities of 24-hour trading’
These FT sources added that the exchange is discussing the “practicalities” of such a move, including the technology required and regulatory requirements, impact on dual listings, and liquidity, which is at present consentrated during open and close times of trade at present. However, there was no official comment from the LSEG, the report added.
LSEG is “absolutely looking at it, whether it means 24-hour trading or extended trading”, one source told FT, newspaper, adding that the exchange group was “having important commercial, policy and regulatory discussions” about the “ongoing topic”.
Further, Bloomberg reported that a spokesperson for the LSEG had declined to repond to queries; while Reuters said the response was “no comment”.
Extending trading hours a trend…
A number of stock exchanges across the world are already weighing whether to extend the trading hours as more individual investors trade on their smartphones, the BB report said.
It further noted that the New York Stock Exchange (NYSE), Nasdaq and Cboe Global Markets have applied in recent months to extend their trading hours.
LSEG quarterly results
The LSEG provides data and analytics to banks and other institutions. In the May quarter, it reported stronger than expected first-quarter income, driven by robust growth in its markets division, and a strong performance across its other businesses, according to the Reuters report.
In terms of IPOs, London has “struggled” to attract new listings, which led to reforms in 2024, seeking to make it competitive against the NYSE and European stock exchanges, especially after Brexit. This comes after some companies opted to list in New York or the EU.
For example, conglomerate Unilever chose Amsterdam to list its Ben & Jerry’s ice cream brand, while fast fashion label Shein has moved to listing in Hong Kong after its London IPO stalled.
(With inputs from Bloomberg and Reuters)