Andrew McStravick, Director of Operations at the London Stock Exchange, said the Exchange was committed to the continuous improvement of its Regulatory News Service (RNS) for both issuers and investors. The introduction of competition would fit well with commercialisation of services at the Exchange over recent years.
He said: "The introduction of a competitive environment for the release of company news, makes sense as long as the high standards set by the Exchange's news service are rigorously enforced among all suppliers. We believe RNS is well-positioned to develop cost effective services, to the benefit of the market as a whole."
In the past year, the Exchange has invested heavily in developing RNS internet services. These include a new internet input mechanism which is secure, easy to use and is now being used for the majority of all announcements submitted by listed and AIM companies.
The Exchange has built up strong links with companies using RNS. Richard Malthouse, Company Secretary of Cookson Group PLC, commented: "The Exchange's investment in internet technology has significantly improved the way in which companies publish information through the RNS. This investment has resulted in faster and more reliable dissemination of information to the market which, together with greatly enhanced customer focus, has resulted in tangible benefits to customers using the RNS internet service."
RNS releases 170,000 announcements each year, which are distributed to over 250,000 professional terminals worldwide. Investors can also access RNS information through a wide range of financial services websites, including the Exchange's own website and WAP services which have been developed to incorporate the full range of company announcements on a real-time basis. Both services are available at: www.londonstockexchange.com
The Exchange has been actively involved in the FSA review, and will be responding formally to this consultation paper.
