Financial Data & Stock Exchanges
This dual-purpose sector provides the physical or digital venues for trading securities and aggregates the real-time pricing data and analytics investors use to make decisions.
Why it exists
This industry exists to facilitate price discovery, trading, clearing, and the distribution of financial information.
Why it’s necessary
Markets cannot function without trust in pricing, liquidity, and settlement infrastructure.
Key components
Stock, futures, and options exchanges
Market data platforms
Clearinghouses & settlement systems
Index providers and benchmarking
How to evaluate businesses
Transaction volumes, data subscription revenue, operating margins, and regulatory position define success. This industry benefits from massive operating leverage and network effects.
How the industry could be improved
Shorter or real-time settlement cycles, broader data access, reduced market fragmentation, and more transparent market structure for retail and institutional participants alike.