The London Stock Exchange Group is exploring the possibility of introducing 24-hour trading in a bid to boost its appeal to global investors.
The London Stock Exchange Group (LSEG) is considering the possibility of extending its hours of operation by launching 24-hour trading. It forms part of wider plans to increase London’s appeal to both global investors and smaller online traders going forward.
London-listed stocks currently trade from 08:00 to 16:30 UK time, which limits access for global investors operating in different time zones. By expanding the trading hours, LSEG hopes to attract more participation from both retail and institutional investors worldwide.
Discussions are reportedly taking place between senior LSEG officials about shifting to full-day trading or extended trading at the exchange. The commercial and regulatory implications involved are being seriously considered.
Should a change be officially approved, it would require significant planning, including upgrades to systems and approval from financial regulators. LSEG is reviewing the technology, legal requirements, and effects on liquidity across its listed companies.
The exchange is also assessing the impact on firms with dual listings, which could be affected by overlapping global market hours. Concerns include reduced trading volumes during quieter periods, increasing the risk of price volatility.
London Stock Exchange follows the 24-hour trend
Several leading global exchanges are turning to 24-hour trading in response to changing investor behaviour and increased demand for flexible market access. With cryptocurrency markets already trading 24/7, it has set new expectations from traders regarding market accessibility and speed.
Recently, the New York Stock Exchange (NYSE) formally requested permission to extend its trading hours to 22 hours per day, from 01:30 to 23:30. Meanwhile, Nasdaq and Cboe Global Markets also filed plans with American regulators for longer trading windows.
Back in November 2024, American exchange 24X received early approval to launch a round-the-clock stock trading platform. Its full launch depends on whether it meets all the regulatory conditions set by the US Securities and Exchange Commission.
London Stock Exchange seeks recovery from setbacks
The London Stock Exchange Group has recently experienced a number of high-profile setbacks, with several top firms leaving the exchange. Last month, money transfer service Wise announced it was considering moving its primary listing to the US.
Formerly known as TransferWise, the company is one of the UK’s largest financial technology businesses and has been listed in London since 2021. Shareholders are due to vote on the plan next week.
Another firm to announce its intention to leave the UK was construction rental company Ashtead Group. Despite being listed in London since 1986, Ashtead obtained shareholder approval in June for its plan to be newly listed on the New York Stock Exchange (NYSE).
A lack of new listings in recent years has damaged London’s reputation compared with New York and European rivals. Leading corporations including Unilever and Shein have chosen other cities for their IPOs.
New reforms introduced in 2024 were designed to increase London’s competitiveness after Brexit and reverse the trend of listing overseas. The trading hours review forms an important part of the exchange’s ongoing modernisation plan.
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