In a first phase, prior to the implementation of the single trading platform of Euronext, the new agreement will allow to continue the Benelux Agreement signed between Amsterdam, Brussels and Bourse de Luxembourg (BdL), as it was operational before the Euronext merger agreement signed on 22nd September 2000.
In this first phase, BdL members will be able to trade on Euronext Amsterdam and Euronext Brussels while Euronext Amsterdam and Euronext Brussels members will have access to BdL’s trading platform.
In a second phase, as soon as NSC, Euronext’s single trading platform, is in place in Amsterdam, the agreement will be extended to the trading of all Euronext securities, including equities and bonds traded on Euronext Paris. It will allow BdL members to access the Euronext unified trading platform and conversely Euronext members will have access to the BdL trading platform.
At a technical level, BdL members will have access to the trading of all Euronext securities via the unified access architecture of NSC through remote membership links. Already Euronext counts more than 100 remote members.
Access to the securities listed in Luxembourg by Euronext members will be put in place, through the standard BdL solution for its remote members base.
Remy Kremer, Chairman of Bourse de Luxembourg, said, " The Luxembourg Stock Exchange appreciates to have been offered by EURONEXT the appropriate technical solution in order to continue a smooth working of the BENELUX cross membership agreement, beyond the merger of AEX and BXS into EURONEXT, and it is looking forward to increased possibilities of development in this very important market segment."
Jean-François Théodore, Chairman and CEO of Euronext said : "I am very pleased to sign this cross membership and cross access agreement with our friends of BdL This first step towards closer co-operation illustrates the flexibility of the Euronext model."
With over 1,800 listed companies representing a market capitalization of Euros 2,500 billion and domestic equities monthly trading volumes of Euros 100 billion, Euronext is the first European exchange born from the merger of the Amsterdam, Brussels and Paris exchanges in September 2000.
Bourse de Luxembourg is the home market for the domestic companies and provides listing and trading for more than 12,000 international bonds issued by 2,600 issuers worldwide. Furthermore, it lists 4,400 investment funds, or UCITS. It currently has 101 member firms, including 36 remote members established in the Benelux region.
In addition, it performs a number of IT-related services to 100 Luxembourg-based financial institutions, members and non-members, more particularly for the purpose of reporting trade and financial data in respect of securities and investment funds.
