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Visualizing the Global Share of U.S. Stock Markets

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U.S. share of global stock market value

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Visualizing the Global Share of U.S. Stock Markets

One of the most potent symbols of American financial dominance is the combined market capitalization of the country’s two biggest stock exchanges⁠—the New York Stock Exchange (NYSE) and NASDAQ⁠.

These two major listing hubs dwarf all other exchanges around the world. In fact, the NYSE on its own is larger than the Shanghai, Shenzhen, Japan, and Euronext exchanges put together.

RankExchangeMarket Cap (Oct '22)LocationApprox. # of companies
#1NYSE$22.8TUnited States 🇺🇸2,400
#2NASDAQ$16.2TUnited States 🇺🇸3,700
#3Shanghai Stock Exchange$6.7TChina 🇨🇳1,600
#4EuroNext$6.1TEurope 🇪🇺800
#5Japan Exchange Group$5.4TJapan 🇯🇵3,800
#6Shenzhen Stock Exchange$4.7TChina 🇨🇳2,800
#7Hong Kong Stock Exchange$4.6THong Kong SAR 🇭🇰2,600
#8National Stock Exchange of India$3.3TIndia 🇮🇳2,100
#9London Stock Exchange$3.1TUK 🇬🇧1,900
#10Toronto Stock Exchange$2.7TCanada 🇨🇦1,500

One of the key reasons for this dominance is the sheer size of the U.S. economy. With a GDP of over $25 trillion, the U.S. economy is the largest in the world, and American exchanges are home to some of the world’s largest and most valuable companies, including tech giants like Apple, Amazon, and Microsoft.

As of January 2023, the value of stocks listed on U.S. exchanges made up 42% of the global total. How does this total stack up, historically?

The U.S. Share Over Time

For much of the 1970s, the U.S. made up more than half of global stock market value. Over the course of the 1980s, the U.S. share of the global total began to dip, driven in part by the asset price bubble in Japan.

chart showing the U.S. share of global stock market value over time

More recently, the U.S. slice of the equities pie bottomed out temporarily around the time of the Financial Crisis, but has been steadily rising ever since.

Will U.S. Exchanges Ever Be Surpassed?

U.S. stock exchanges have several advantages that make them attractive to investors, including strong regulatory oversight, a stable political and economic environment, and a diverse pool of well-known companies to invest in. The U.S. stock exchanges also have a long history of innovation and technological advancement, which has helped to maintain their position as leading global exchanges.

In 2018, PwC surveyed hundreds of capital market participants on the future of stock exchanges. Respondents felt that, by 2030, many of today’s top exchanges would remain popular choices for companies looking to go public.

Survey of market participants that shows which exchanges could be preferred for an IPO in 2030

Despite obvious advantages, U.S. exchanges do face plenty of competition, especially in emerging markets like China and India. The Shanghai Stock Exchange, for example, has seen significant growth in recent years and is now the world’s third-largest exchange by market capitalization.

Even as other markets continue to grow, U.S. exchanges are likely to remain a preferred destination for investors around the world for years to come.

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Investor Education

The Top 5 Reasons Clients Fire a Financial Advisor

Firing an advisor is often driven by more than cost and performance factors. Here are the top reasons clients ‘break up’ with their advisors.

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The following content is sponsored by Morningstar
This circle graphic shows the top reasons for firing a financial advisor.

The Top 5 Reasons Clients Fire a Financial Advisor

What drives investors to fire a financial advisor?

From saving for a down payment to planning for retirement, clients turn to advisors to guide them through life’s complex financial decisions. However, many of the key reasons for firing a financial advisor stem from emotional factors, and go beyond purely financial motivations.

We partnered with Morningstar to show the top reasons clients fire an advisor to provide insight on what’s driving investor behavior.

What Drives Firing Decisions?

Here are the top reasons clients terminated their advisor, based on a survey of 184 respondents:

Reason for Firing% of Respondents
Citing This Reason
Type of Motivation
Quality of financial advice
and services
32%Emotion-based reason
Quality of relationship21%Emotion-based reason
Cost of services17%Financial-based reason
Return performance11%Financial-based reason
Comfort handling financial
issues on their own
10%Emotion-based reason

Numbers may not total 100 due to rounding. Respondents could select more than one answer.

While firing an advisor is rare, many of the primary drivers behind firing decisions are also emotionally driven.

Often, advisors were fired due to the quality of the relationship. In many cases, this was due to an advisor not dedicating enough time to fully grasp their personal financial goals. Additionally, wealthier, and more financially literate clients are more likely to fire their advisors—highlighting the importance of understanding the client. 

Key Takeaways

Given these driving factors, here are five ways that advisors can build a lasting relationship through recognizing their clients’ emotional needs:

  • Understand your clients’ deeper goals
  • Reach out proactively
  • Act as a financial coach
  • Keep clients updated
  • Conduct goal-setting exercises on a regular basis

By communicating their value and setting expectations early, advisors can help prevent setbacks in their practice by adeptly recognizing the emotional motivators of their clients.

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Curious about what drives investors to hire a financial advisor? Discover the top 5 reasons here.

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