London Stock Exchange planning to relax

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Is this a sensible relaxation of cherished City values or another case of selling out to the might of technology companies? The London Stock Exchange is preparing to slash the “free float” requirement for stocks to be eligible for inclusion in the FTSE indices. Free float refers to the proportion of shares that are not owned by committed long-term holders, such as company founders. The current requirement is for the free float to be at least 25% for a stock to be included as an index constituent; it is understood that the requirement is set to be cut to 10%. For overseas companies, the requirement is set to drop from 50% to 10%. FTSE Russell, the London Stock Exchange subsidiary responsible for producing index data, is also preparing to soften its stance on dual-class share structures, where, typically, one class of share has voting rights and another has no voting rights or proportionally far fewer. The dual-class share structure has long been popular among Britain’
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