Executive Vice President & Global President, Cboe Global Markets
Search every verified David Howson interview, podcast appearance, and on-the-record quote — each transcript cross-checked by AI and human review to confirm speaker identity. In February 2021, David Howson, then President of Cboe Europe, discussed the post-Brexit shift of share trading in EU-listed names from the UK to the Netherlands. He described the move as "unprecedented in its size" and occurring overnight on January 4, but stated it "wasn't unpredicted" and had been signaled during Brexit negotiations. Howson noted that Cboe had launched a Dutch venue in October 2019 to prepare for the transition, and he described the shift as "pretty much permanent," adding that it would take "a major catalyst" for the industry to move European share trading elsewhere. Howson also addressed the lack of equivalence granted to the UK for share trading, saying he saw "no likelihood of an equivalence deal" and that "nothing really changed from the UK being equivalent on paper." He stated there was "no incentive" for the European Commission and ESMA to provide equivalence given the trading had moved to Europe. Responding to comments from former LSE boss Xavier Rolet, who characterized the loss of share trading as a "sideshow" compared to derivatives clearing, Howson argued that equity capital markets are "fundamental for democratizing wealth creation" and "at the heart of any financial services ecosystem," and should not be dismissed as a non-event.
“It is indeed what we've seen — the shift in share trading from the UK in the EU listed names from the UK to the Netherlands was certainly unprecedented in its size and in the fact that it all happened overnight on the 4th of January, but it wasn't unpredicted; it was signaled through the Brexit negotiations.”
“We launched in October 2019 with our Dutch venue and that was really to put ourselves in a great position, ready for the end of the Brexit transition whenever that would occur.”
“The key thing for our customers — given the largest pan‑European stock exchange servicing securities from many countries — was that financial stability and continuation of service was really provided.”
“We see that that shift is now pretty much permanent and it would really take a major catalyst to induce the industry to look elsewhere to trade European shares.”
“The governor of the Bank of England has been running his hands through his hair asking what is materially different from the rules that apply in Europe to the rules that apply in London, and he doesn't seem to understand why equivalence has not been granted.”
“We assume then that this is basically just about market share and equivalence won't come as long as there is a desire in continental Europe to take business from London.”
“On the share trading side of financial services I see no likelihood of an equivalence deal — overnight nothing really changed from the UK being equivalent on paper, so you could ask theoretically why equivalence was not granted.”
“There is certainly no incentive for the European Commission and ESMA to look towards providing equivalence given that share trading has now moved, as we said, pretty much permanently to Europe.”
“Equity capital markets are fundamental for democratizing wealth creation and raising capital — they're at the heart of any financial services ecosystem and shouldn't be waved away as a non‑event.”
David Howson discusses the shift in U.K. trading to EU exchanges following Brexit.
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