Effectenmarkt

Effectenmarkt is the Dutch term for the market where securities are issued and traded. It covers both the primary market, where new securities are issued by companies and governments, and the secondary market, where existing securities are bought and sold. In the Netherlands and the European Union, the effectenmarkt includes traditional stock exchanges, such as Euronext Amsterdam, as well as multilateral trading facilities and other regulated venues operating under MiFID II.

Instruments traded on the markt include shares, bonds, funds, and various derivatives. Participants range from issuers (corporations and public entities) to investors (retail and institutional), with intermediaries such as brokers, banks, market makers, and clearinghouses facilitating trading and settlement.

Trading typically takes place on electronic order books, enabling price discovery and liquidity provision. The market serves several core functions: capital formation for issuers, transparent price formation, and liquidity for investors. Regulation is shared by national and European authorities; in the Netherlands, the Authority for the Financial Markets (AFM) and De Nederlandsche Bank (DNB) supervise securities markets, alongside EU frameworks under MiFID II, including prospectus requirements, market abuse rules, and trade reporting.

History and context: the Dutch effectenmarkt traces its origins to the Beurs van Amsterdam, established in the 17th century, which played a pivotal role in global finance. In the modern era, the market is integrated into the larger European system through cross-border listings and trading networks, with Euronext Amsterdam serving as the principal hub for Dutch listings and activities.