One of the main stage panels at this year's TradeTech addressed the increasingly complex dynamics shaping liquidity formation in European equity markets, examining the challenges and opportunities arising from shifting execution models and market fragmentation. 

Titled “Examining liquidity dynamics: What does the growth of bilateral streaming models, SIs and trading at the close mean for price formation and lit-continuous trading?”, the session examined how shifts in execution models and market structure are redefining the role of exchanges and challenging long-standing assumptions about transparency and price discovery.

Moderated by Annabel Smith from The TRADE, the discussion brought forward diverse perspectives on how trading venues, systematic internalisers and alternative liquidity models are reshaping equity in Europe.

Euronext’s Vincent Boquillon, Head of Equity Trading, took part in the panel alongside other experts and offered valuable perspectives on how exchanges can navigate these changes. Read on for highlights of the panel and further insights from Vincent Boquillon to learn how Euronext is balancing innovation with the need for transparency, ensuring market quality amid growing fragmentation and safeguarding fair and efficient price formation.

Balancing transparency and flexibility in a fragmented market

In the panel, Vincent Boquillon emphasised the crucial role of preserving a strong lit and primary market infrastructure amid growing fragmentation. “Price discovery depends on a shared, transparent foundation,” he explained. “When bilateral trading grows in a space that lacks harmonised rules, transparency or even consistent data, it becomes very difficult for the wider investment community to navigate and evaluate liquidity.”

He pointed out that while bilateral trading models offer flexibility, they can sometimes operate in a ‘black box’ that limits clarity for broader market participants. This lack of visibility, especially compared to regulated and transparent lit markets, complicates how investors assess trading costs, execution quality and market depth.

Adapting to fragmentation

The panel also addressed the challenges lit markets are facing, accelerated by technological advancements and the rise of alternative trading models. Vincent Boquillon made it clear that Euronext is not standing still in the face of these changes. “We need to preserve the integrity of public markets,” he said. “Bilateral models, when implemented in equities without safeguards, risk undermining the public reference price, which is critical for the entire economy.”

He also stressed that the key to navigating these shifts lies in fostering competition among liquidity providers and ensuring technological access is equitable across models. “It’s not just about exchanges versus bilateral platforms. The market needs healthy competition within each model to thrive,” he explained.

AVD and auction innovation

As liquidity continues to concentrate around the market close, Vincent Boquillon introduced Euronext’s forthcoming Auction Volume Discovery (AVD) order type. “It’s been over a decade since we’ve seen true innovation in the auction space,” Vincent Boquillon remarked. “AVD is a fully integrated, non-disclosed order type that enables interaction with the auction imbalance, without impacting price formation or leaking information.”

Designed in close consultation with buy-side institutions, the AVD order type aims to enhance liquidity at the open and close while maintaining the integrity of these crucial market events. “Our goal is to protect the integrity of the closing price as a benchmark, while allowing for greater interaction and block execution opportunities,” he noted. 

A shared responsibility for market health

Vincent Boquillon’s contributions stressed the importance of protecting transparent, multilateral marketplaces. He highlighted that the integrity of public markets is a collective responsibility, extending beyond exchanges to all industry participants.

Through continued innovation and a commitment to maintaining fair and orderly markets, Euronext is playing a key role in shaping the future of equity liquidity in Europe.

For more insights on Euronext’s upcoming Auction Volume Discovery order type and its role in enhancing closing auction liquidity, watch Vincent Boquillon’s recent interview with The TRADE.

At TradeTech 2025, one of the key panels explored the critical question: What are the latest market structure and product developments that will help drive interoperability and improve ease of equity derivatives trading? 

Moderated by Matt Howell, Global Head of Derivatives and Multi-Asset Trading at T. Rowe Price, the session marked the first time the event hosted a dedicated derivatives discussion, underscoring the asset class’s growing importance within Europe’s capital markets.

Euronext’s Charlotte Alliot, Head of Financial Derivatives – EQD & FI, was a leading contributor to the conversation, offering perspectives on how innovation, culture and regulatory clarity can shape a more efficient trading environment. Most notably, she explored how Euronext is responding to fragmentation and investor diversity through tailored product development, while advocating for greater transparency and alignment across venues and jurisdictions. Her insights point to a more unified and resilient future for financial  derivatives in Europe.

Market structure complexity and the role of culture in equity derivatives

As market fragmentation and retail participation were a topic of discussion, the panel highlighted the increasing complexity of market structures. Charlotte Alliot opened the conversation by emphasising that while fragmentation is often cited as a core challenge, culture may be the more influential factor limiting retail growth in derivatives across Europe.

“It’s often said that fragmentation is the reason for lower retail participation in Europe,” she explained, “but that’s not the real issue. In reality, it’s a question of culture. In the US, for example, many retail investors rely on the markets to build their financial future. They don’t have the same pension systems we have in Europe, so there’s more incentive to be hands-on.”

She highlighted that Europe’s culture around financial education and local investor preferences plays a significant role in shaping retail participation in derivatives. For example, Dutch investors tend to prefer options thanks to early exposure in the national curriculum, while German investors often favour structured products like warrants and certificates. In Italy, there is a strong preference for fixed income and futures. 

Recognising these nuances, Euronext has tailored its product strategy by launching mini and micro-sized contracts designed to match the needs and behaviours of each local market. Euronext’s continued product development, such as the introduction of mini futures on government bonds, which are set to launch in September, is one example of how the exchange is actively working to address these market challenges.

Driving product innovation

The panel also discussed how innovation plays a pivotal role in enhancing interoperability across diverse trading venues and market participants. Charlotte Alliot spoke to the increasing demand for more flexible and accessible derivatives products, which led to the development of mini options and other contract sizes that cater to both retail and institutional needs.

“We’re seeing strong demand for products that bridge the gap between institutional and retail traders,” she noted. “Mini options on indices like the AEX^® have already been well received by the market, and we are now expanding into other asset classes, such as government bonds.”

The introduction of mini futures, which will have a contract size of €25,000, a fraction of the standard institutional size, is part of Euronext’s broader strategy to foster greater liquidity and enhance market access. The move, which also includes streamlining cash settlement and making the products easier for retail brokers to integrate, reflects a broader trend in the industry towards offering more flexible, easily tradable products that appeal to a wide range of market participants.

Ensuring a level playing field for retail participation

The discussion also centred on the growing influence of retail traders and how exchanges and market participants can better support this segment. The panel underscored the importance of education and transparency in promoting retail engagement. Charlotte Alliot shared insights into Euronext's educational initiatives, which include webinars, podcasts and tailored content in multiple languages, aimed at making equity derivatives more accessible to retail investors. The retail educational programme launched last year by Euronext is unique in Europe, as no other exchange has the links to the local trading communities. 

“Education is key to fostering confidence among retail investors,” she stated. “By providing accessible resources, we can help individuals understand the value of trading equity derivatives and empower them to participate in the market with greater knowledge.”

Charlotte Alliot also highlighted the popularity of products like the CAC 40 daily options, which, since their launch, have seen growth in volume, further demonstrating the potential for retail engagement in derivatives markets. These educational efforts align with Euronext's broader mission to make the markets more inclusive and accessible for a diverse range of participants.

The future of European equity derivatives markets

The panel at TradeTech 2025 provided a compelling glimpse into the future of equity derivatives markets in Europe. Through innovative product offerings, increased retail participation and a focus on transparency, Euronext is positioning itself as a leader in driving the next phase of market evolution. With contributions from industry leaders like Charlotte Alliot, the conversation underscored the collaborative efforts necessary to navigate the complexities of the market structure as a basis to drive interoperability in equity derivatives trading. As the industry moves forward, it is clear that continued innovation, regulatory alignment and investor education will be crucial in shaping the future of European equity derivatives markets.

For further insights on how Euronext is driving broader retail participation in derivatives trading and launching new fixed income products, watch Charlotte Alliot’s interview with The TRADE.

This week, Euronext proudly participated along with other exchanges in the inaugural ‘Ring the Bell for LGBTIQ+ Equality’ ceremony organised by the Sustainable Stock Exchanges initiative, in collaboration with the UN Global Compact, UN Human Rights (OHCHR), Koppa, the LGBTI+ Economic Power Lab and the Partnership for Global LGBTIQ+ Equality. 

This global event marked the International Day Against Homophobia, Biphobia and Transphobia (IDAHOBIT), and our participation reinforces our commitment to building inclusive markets where all individuals, regardless of sexual orientation, gender identity or expression are valued and empowered. 

As the leading European capital market infrastructure, Euronext recognises the importance of diversity and inclusivity in driving innovation, resilience and progress.

Building inclusive markets together

Our offices throughout Europe joined other exchanges to take part in a range of meaningful activities to celebrate the first edition of the ‘Ring the Bell for LGBTIQ+ Equality’. Across our locations, we hosted events including opening bell ceremonies and discussed key topics such as fostering inclusive workplaces, advancing equity in capital markets and driving positive change.

This space provided a platform for impactful conversations, underlining the importance of inclusion, awareness of bias and non-tolerance for any form of discrimination. Through our participation to this event, Euronext is proud to reaffirm our commitment to inclusivity in the workplace. 

Read more about our commitment to diversity and inclusion on our ESG page.   

This year’s Blue Challenge once again highlighted the creativity, passion and entrepreneurial spirit of students in tackling the most urgent environmental challenges of today. 

The global final on 13 May brought together ten exceptional student teams from Belgium, Denmark, France, India, Ireland, Italy, Norway, Portugal, the Netherlands and the United Kingdom. Now in its fifth year, the Blue Challenge is a flagship initiative of Euronext’s ESG strategy and runs in partnership with JA Worldwide.

The programme empowers students aged 16 to 18 to explore sustainable finance and develop real business solutions addressing the Blue Economy, an increasingly vital space in the fight against climate change. The programme’s focus on the ocean’s health highlights the urgency of preserving marine ecosystems and supporting sustainable solutions for the future. 

With over 250 students participating throughout the academic year, mentored by more than 50 Euronext volunteers, the competition culminated in a virtual final where each country’s top team pitched their business idea to an expert jury. The judging panel included Simon Gallagher, CEO of Euronext London, Sheila Heymans, Executive Director of the European Marine Board, Kestutis Sadauskas, Deputy Director-General of DG MARE at the European Commission, Clio Cordaville, HR Director and Head of Diversity and Inclusion at Euronext, and Prof Dr Uwe Waller, Marine Biologist and Mentor at SEAWATER Cubes, who evaluated entries based on innovation, feasibility, sustainability, business acumen and climate impact.

Celebrating every team’s innovation

The event opened with remarks from JA Europe’s Sophie Norman and Salvatore Nigro, celebrating the five-year Euronext–JA Europe partnership. Sylvia Andriessen, General Counsel at Euronext, praised the students for their dedication and forward-thinking solutions.

Each finalist presented a practical and environmentally-grounded solution to pressing ecological problems. Their work reflects the real-world potential of youth-led impact and entrepreneurship.

• Flourish (UK) created Ecoscribe, a line of pencils made from recycled newspaper, aiming to reduce plastic and promote sustainability. The company encourages eco-literacy through stationery that supports everyday sustainable choices.
• REU (Ireland) proposed long-lasting, repairable clothing and education on clothing repair. Tackling the carbon footprint of fast fashion, REU restores and resells second-hand clothing with a circular model that promotes reuse over mass production.
• BioCatch (Portugal) designed biodegradable fishing nets with sonar sensors that repel unintended species like dolphins, helping reduce bycatch and protect marine biodiversity.
• FLOW (France) won second place by developing a natural depollutant made from the prickly pear cactus, a common plant in Corsica. Their low-cost, biodegradable solution purifies water without chemicals and supports local agriculture.
• EcoWaveTech (Italy) proposed marine monitoring buoys to gather data on ocean conditions for improved sustainability policies. Using floating buoy technology, EcoWaveTech’s system collects real-time marine data and uses AI for predictive analysis to inform environmental policy and support scientific research.
• SkiMurai (India) won first place with an innovative oil spill clean-up tool made from natural, low-cost materials like coconut husks. Their product provides a sustainable, reusable and efficient oil spill solution that minimises environmental impact and supports long-term sustainability without relying on harmful chemicals.
• Terra Lumière (Netherlands) developed sustainable candles with refillable elements to reduce single-use waste. Targeted at both businesses and conscious consumers, their smoke-free candles use non-toxic, locally sourced materials.
• ReBounce (Denmark) designed a scheme to repurpose used footballs by upcycling them into new ones. Their business model also includes a take-back and reward system to encourage consumer engagement and material reuse.
• Aquaguard (Norway) took third place for their biodegradable ice technology, revolutionising fish transport with a cleaner, safer method. Their biodegradable cooling system, made from algae, provides a safer and more sustainable alternative to conventional ice in seafood transport, reducing bacterial contamination and water waste.
• CoCoSchool (Belgium) created a GPS-enabled school carpooling app that promotes shared travel while reducing traffic and emissions. By targeting schools and parents directly, the app addresses both environmental and social sustainability.

A shared vision for a sustainable future

Judges were deeply impressed by the quality and relevance of the ideas presented. Aquaguard from Norway earned third place for their biodegradable ice technology that revolutionises fish transport and has the high potential to expand into other industries. FLOW from France earned second place for their innovative use of natural resources in a local circular economy model. India’s SkiMurai took home the Blue Innovation Award, not only for their technical solution but also for the emotive storytelling and prototype development that set their pitch apart.

The Blue Challenge 2025 was a true celebration of youth innovation, global collaboration and the promise of a sustainable future. Euronext is proud to support this next generation of entrepreneurs as they take bold steps toward meaningful environmental change.

Behind the scenes

Euronext’s commitment to advancing the Blue Economy is a core element of its broader ESG strategy. On 2 June 2020, Euronext became the first exchange to endorse the Nine Principles for Sustainable Ocean Practices, a framework developed by the United Nations Global Compact to guide responsible business conduct in relation to the ocean. This milestone underscored Euronext’s ambition to lead by example in protecting ocean health and promoting sustainable marine practices.

In 2021, building on this commitment, Euronext launched the Blue Challenge in partnership with JA Europe. Now in its fifth edition, the programme aims to inspire and empower secondary school students to develop innovative, sustainable business solutions that address critical challenges within the Blue Economy. By bridging sustainability, entrepreneurship and education, the initiative gives young people a platform to shape real-world impact.

The Blue Challenge is proudly supported by the Euronext Foundation, which drives Euronext’s engagement with local communities across Europe. The Foundation focuses on three key pillars: financial literacy, diversity and inclusion in finance, and the preservation of marine resources. It acts as a unifying platform for philanthropic and educational initiatives, providing both funding and volunteering opportunities to help employees contribute meaningfully to positive change.

This programme forms part of Euronext’s wider sustainability journey, as outlined in its Empowering Sustainable Growth strategy and SBTi-validated climate commitments. As an Official Supporter of the United Nations Sustainable Stock Exchanges initiative since 2015, Euronext has aligned its ESG roadmap with the UN’s 2030 Agenda for Sustainable Development, with a clear focus on SDG 14: Life Below Water.

Through strategic partnerships and long-term investment in youth and education, Euronext continues to play an active role in shaping a more sustainable and inclusive future.

Learn more about the Blue Challenge and Euronext’s ESG commitment here.

The Blue Innovation Award 2025 winner

Discover the winning solution from SkiMurai, India's innovative oil spill clean-up tool, and the incredible student teams tackling marine sustainability in the video below.

This analysis focuses on the market quality of the French stock options market, highlighting Euronext’s superior market quality with tighter spreads and larger Best Bid and Offer sizes.

Market quality analysis on the French stock options market

Executive summary

• Euronext demonstrates superior market quality with tighter spreads and larger average Best Bid and Offer (BBO) sizes compared to its competitors. This consistency is observed on first maturities and across different option types - in the money, at the money, and out of the money - with Euronext maintaining better spreads and higher BBO quantities.
• For the top 10 traded underlyings, the observation remains the same: Euronext offers the best market quality for the most liquid French equity options underlying.
• Overall, Euronext's outstanding market quality on French equity options provides enhanced liquidity, demonstrating stability and resilience during market volatility.

To find out more about the performance, download the market quality analysis on the French stock options market.

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May 2025