Invest in the Euronext stock exchange - Finder UK (2024)

FAQs

What is the free float requirement for Euronext? ›

Minimum shares in public hands

Following the IPO, as a general matter, Euronext Amsterdam requires a minimum free float of 25% of the issued shares in the capital of the issuer.

What Is Euronext? Euronext is the largest stock exchange group in Europe, and one of the largest in the world. It was originally created via the mergers of the Amsterdam, Paris, and Brussels stock exchanges in 2000. 1.

Euronext stock did remarkably well over the last years, being up more than 5x as stock exchange stocks became market darlings over the past years. But, we are not here for the market's sentiment, we are here for how much money the company makes for us and what is the long-term outlook.

Free-float refers to those shares which are readily available for trading in the stock market. It generally excludes promoters' holding, government / strategic holding and other locked-in shares, which will not come to the market for trading in the normal course.

The number of companies listed on the Euronext Stock Exchange and its segments (Euronext Growth and Euronext Access) increased overall between 2014 and 2022. At the end of 2022, there were 962 companies listed on the Euronext primary market, 403 on the Euronext Growth segment, and 187 on the Euronext Access segment.

As of March 2024, the largest company by market capitalization listed on the Euronext stock exchange was the French luxury goods company LVMH, which consists of Louis Vuitton, Moët and Hennessy.

On April 4, 2007, NYSE Group, Inc. merged with Euronext N.V. to form the first global equities exchange, with its headquarters in Lower Manhattan. The corporation was then acquired by Intercontinental Exchange, which subsequently spun off Euronext. NYSE Euronext, Inc.

Which is the most profitable stock exchange in the world? ›

New York Stock Exchange (NYSE), USA

NYSE has a market capitalisation of $26.2 trillion (world's biggest stock exchange) and has more than 2400 companies listed. The companies listed include many blue-chip companies and are diversified across all sectors.

Euronext Dividend

Euronext is a dividend paying company with a current yield of 2.81% that is well covered by earnings.

However, to get the full diversification benefits, consider investing about 40% of your stock allocation in international stocks and about 30% of your bond allocation in international bonds. For most people, investing internationally through mutual funds or ETFs is the easiest option.

Investing in international stocks still carries risks, but if you limit your international exposure you may miss out on attractive growth opportunities as well as the increased diversification that can help buffer your portfolio against market downturn.

The new guidelines require that existing companies having less than 25% public holding should increase their public holding to at least 25% by diluting at least 5% of their stakes annually.

The Listing Rule defines free float shares as (i) shares owned by a shareholder that holds less than 5% of the total listed shares; (ii) shares not owned by a controller and an affiliate of the listed company; (iii) shares not owned by any member of board of commissioners or board of directors of the listed company; ...

Reducing the amount of shares an issuer is required to have in public hands (i.e. free float) from 25% to 10%, reducing potential barriers for issuers created by current requirements.

Currently, as per market regulations, all listed companies must maintain an MPS of 25%. Newly listed firms are given three years to meet the requirement of 25% public float. For issuers with a post-issue market cap of over ₹1 trillion Sebi had eased the deadline for 25% MPS to give five years.