Why it is bad for a stock exchange to be listed on another stock exchange?
Our teacher told us that this is the case of the London Stock Exchange.
Public Comments
1. If Exchange A is listed on Exchange B, then changes in either exchange will effect the other. Say Exchange A takes a dive or there is a scandal at A. The value of B will be effected directly as the price of A goes down.
It also allows people on B to manipulate the price and value of A, through trading on B.
2. It's like having a wife who is someone else's girlfriend:-)