There is a possibility you have thought about some of the top stock exchanges in the world and you probably have also wondered where the largest stock exchanges in the world are based. You are not alone, as almost everyone with an interest in the stock market has asked that question at least once in their lifetime. Irrespective of why you need this information, it is important that you familiarize yourself with these exchanges as they help you thoroughly understand how this industry works.
While there are a number of these stock exchanges, you will agree that not all are fit to be on this list. To compile this list, extensive research was conducted based on the market capitalization of the stocks that trade on these exchanges. We have visited the website of every stock exchange listed here to determine the total market capitalization of all stocks that trade on that exchange. Over the years, one of the best ways to search for the largest stock exchanges is through the aggregate market capitalization and this is because it gives you a better and clearer insight of how the exchanges operate. You will agree that only the biggest stock exchanges will have a higher market capitalization and the reason for that is not far fetched – they offer better service to clients, list some of the biggest companies and are modern and fully functional.
Image Source: Shutterstock
Market capitalization mentioned earlier as a criteria for compiling this list simply refers to the market value of a public company’s outstanding shares. The market capitalization of all stocks that trade on these exchanges is derived by multiplying the share price by the number of shares. To make this list more credible, we only take into consideration the current market capitalization of each of these exchanges and not that of previous years wherever that’s possible. With this in mind, you could decide to go through the list of largest stock exchanges of 2017 to see which of these exchanges still retain their spots in 2020.
Video: Top 5 Stocks Among Hedge Funds
At Insider Monkey we scour multiple sources to uncover the next great investment idea. We go through lists like the 10 most profitable companies in America to pick the best large-cap stocks to buy. Even though we recommend positions in only a tiny fraction of the companies we analyze, we check out as many stocks as we can. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. If you want to find out the best healthcare stock to buy right now, you can watch our latest hedge fund manager interview here. You can subscribe to our free enewsletter below to receive our stories in your inbox:
With the New York Stock Exchange (NYSE), Tokyo Stock Exchange, and the London Stock Exchange being some of the largest exchanges of 2020, this list will include some of the new exchanges that are currently making grounds in the stock market.
20. Bolsas Mercados Exchange
Market Cap: $764 billion
This is simply a financial technology company that currently operates financial markets and stock exchanges in Valencia, Barcelona, Madrid, and Bilbao. To ensure that investors make the most, this company offers them the opportunity to trade in bonds, stocks, and other derivative products.
In the last couple of years, the number of companies listed on this exchange has grown at an unprecedented rate and this had led to an increase in its market capitalization.
Copyright: mozakim / 123RF Stock Photo
19. Johannesburg Stock Exchange (JSE) Limited Exchange
Market Cap; $894 billion
Currently the oldest and the largest stock exchange in Africa, the Johannesburg Stock Exchange (JSE) was established about 132 years ago. With a trading volume of over $29 billion monthly, JSE has over 400 stocks listed on its exchange.
Located in Maude Street, Johannesburg, this African exchange has managed to make its way to be one of the very best exchanges in the world at the moment. Its current market capitalization will definitely attest to the growth of this exchange.
18. Brasil Bolsa Balcão Exchange
Market Cap; $938 billion
Formerly known globally as BF & M Bovespa, Brasil Bolsa Balcão is an exchange located in Sao Paulo. Established in 1890, Brasil Bolsa Balcão is the second oldest stock exchange in the country. While being the second oldest exchange, this exchange has become not only the top stock exchange in Brazil but also one of the largest in the world.
With more than 400 companies listed on this exchange, an average trading volume of about $62 billion is reported monthly.
Pixabay/ Public Domain
17. The Taiwan Stock Exchange
Market Cap; $966 billion
With its operation beginning back in 1962, Taiwan Stock Exchange is located right in Taipei, Taiwan. Since its inception, this stock exchange has been committed to ensuring that it becomes the most efficient as well as the most liquid market in Asia. It is currently one of the largest Asian stock exchanges in the world in 2020 based on market capitalization.
Unlike some of the stock exchanges, the aim of the Taiwan Stock Exchange has and would always be to improve its efficiency level, in the process ensuring competitiveness and pushing the exchange to greater heights.
Pixabay/ Public Domain
16. The NASDAQ Nordic Exchange
Market Cap; $1.37 trillion
This is the common name for the group that makes up Nasdaq Inc. These subsidiaries operate as financial markets and stock exchanges in the Baltic and Nordic regions of Armenia, Iceland, Europe, Denmark, Sweden, Finland, etc. Established in 2008, this stock exchange has made a name for itself by offering investors an efficient and trustworthy service.
With over 1,000 companies listed on this exchange and an average monthly trading volume of $76 billion, this exchange is definitely on the path of greatness.
Pixabay/ Public Domain
15. The Korea Exchange
Market Cap; 1.46 trillion
Established in 2005, this is the only operating exchange in South Korea. Being an integration of the KOSDAQ Exchange Market, Korea Stock Exchange, and Futures Market, this exchange is headquartered in Busan, South Korea.
With normal trading hours like every other exchange listed here, the Korea Exchange currently has over 2,000 companies listed on it.
14. The Swiss Exchange
Market Cap; $1.5 trillion
Formerly addressed as SWX Swiss Exchange, the SIX Swiss Exchange is headquartered in Zurich, Switzerland and is the largest stock exchange in that country. Established in 1850, this exchange is currently offering trade in bonds, stocks, government, as well as a number of derivative products. SMI (Swiss Market Index) which is the main stock index of this exchange comprises over 20 of the most liquid and significant companies in the country.
13. The Deutsch Börse Exchange
Market Cap; $1.56 trillion
Otherwise referred to as the Deutsch Börse AG, this is a German company with its headquarters in Frankfurt, Germany. It is currently one of the best exchanges in Germany for the trading of stocks and other securities. Established in 1993, this exchange has over 800 companies listed on it. Surprisingly, Deutsch Börse owns about three different exchanges in Germany.
With an increasing monthly trading volume, this company is definitely one to watch out for.
12. The ASX (Australian Securities Exchange)
Market Cap; $1.6 trillion
Established in 2006 after the integration of the Sydney Futures Exchange and the Australian Stock Exchange, the ASX has its headquarters in Sydney and is owned by a public company in Australia.
Currently, there are over 2,300 companies listed on this exchange. With an increasing monthly volume of over $76 billion, this exchange like the others mentioned here has a fixed opening and closing time.
11. The NSE (National Stock Exchange of India)
Market Cap; $2.1 trillion
Headquartered in one of the busiest cities of the country, the NSE is one of the leading stock exchanges in not only India but globally. Established in 1992, this exchange was created to provide an electronic trading system to investors in the country and it is the pioneer electronic exchange in the country. Currently, there are over 2,000 listed companies on this exchange.
10. The Bombay Stock Exchange
Market Cap: $2.19 trillion
Established in 1875, this exchange happens to be the very first exchange in the whole of Asia. Statistically, this exchange has the highest number of listed companies when compared to the other exchanges listed here. However, it has a lower market cap which forms the basis on which this list is compiled.
While there are more companies listed on this exchange, most of them are small companies.
9. The TSX ( Toronto Stock Exchange)
Market Cap; $3 trillion
Founded in 1852, TSX has gone on to become one of the most popular exchanges in the world. Owned and controlled by TMX Group, this exchange was in talks with the London Stock Exchange to merge TSX into it but unfortunately for both parties, that negotiation did not go through.
With 2,207 companies listed and an increasing market cap, this exchange is not only one of the most popular, but also one of the largest in the world.
8. The Shenzhen Stock Exchange
Market Cap: $3.28 trillion
Located in what is fondly called the Silicon Valley of China, the Shenzhen Stock Exchange is one of the top exchanges based on market capitalization in the country. Founded in 1990, this exchange currently has over 2,000 companies listed and not surprisingly, more than half of these companies are all based in China.
This exchange trades in the Chinese Yuan currency.
7. The Hong Kong Stock Exchange
Market Cap: $4.23 trillion
Founded in 1891, the Hong Kong Stock Exchange currently has over 2,315 companies listed on it. According to data from the country’s financial magazines, more than 50% of the companies listed are all operating in Mainland China. In addition to having most of its listed companies based in China, this exchange also lists some of the very top companies like AIA, HSBC Holdings, PetroChina, etc.
6. The LSE (London Stock Exchange)
Market Cap: $4.59 trillion
Often referred to as one of the top cosmopolitan centers of the world, the London Stock Exchange was founded in 1698 and is currently controlled by the London Stock Exchange Group. With over 3,000 listed companies, the LSE was the largest stock exchange in the world until World War I.
With some notable companies listed on this exchange, it has stamped its foot as one of the largest exchanges in Europe and the world as a whole.
5. The Euronext Stock Exchange
Market Cap; $4.82 trillion
Originated from the Amsterdam Stock Exchange which is the first exchange of the world, Euronext Stock Exchange is a multiple state stock exchange. Also known as the European Stock Exchange, Euronext is located in Amsterdam, the Netherlands and is operating in Portugal, Belgium, France, and Ireland. Currently, this exchange has over 1,300 companies listed.
4. The Shanghai Stock Exchange
Market Cap; $4.9 trillion
Currently the largest stock exchange in Asia as well as in China, the Shanghai Stock Exchange has made its way to the global scene. While it was established in 1866, it was not until mid-1990 that its modern foundation was laid. With over 1,100 companies listed on this exchange, it has two different shares types – A and B. According to their official website, Shares “A” trades in the Chinese Yuan currency while Shares “B” trades in United States Dollars.
Songquan Deng / Shutterstock.com
3. The Tokyo Exchange
Market Cap: $5.1 trillion
Just like the London Stock Exchange, this stock exchange is also one of the top cosmopolitan centers of the world. Established in 1878, this exchange has continued to be one of the top exchanges in the world. With over 2,400 companies listed on the exchange, it is home to some of the biggest companies and brands in the world. Companies such as Sony, Toyota and Honda are all listed on this exchange.
stock_shot / Shutterstock.com
2. The NASDAQ Stock Exchange
Market Cap; $10 trillion
Although founded in 1971, this New York-based stock exchange in less around five decades has made it to the top as one of the largest stock exchanges in the world. The presence of some of the biggest tech companies in the world as part of its listing has made it the center for tech companies. With thousands of companies listed on this exchange, some of the notable ones include Facebook, Microsoft and the biggest company in the world, Apple.
1. The NYSE (New York Stock Exchange)
Market Cap: $28.5 trillion
Topping the list of largest stock exchanges in the world is the New York Stock Exchange, which is the largest stock exchange based on market capitalization. The NYSE was the first exchange to be established in all of North America. Established in 1792, this stock exchange after World War I has continued to be the largest stock exchange in the world. It snatched this position from the London Stock Exchange immediately after the First World War and since then has held on to it.
Currently, this exchange alone accounts for a little over 40% of the total market capitalization of the stock market.