... British companies attracted far more outside finance in 1990s, though both countries had similar average growth, German companies experiencing steeper downfalls and higher increases6. Some countries, particularly Netherlands, are becoming more financial market-orientated as foreign investment increases, augmenting capital market's relevance, facilitating convergence with Anglo-American outsider system. Other countries still lag behind - Germany and Belgium7, where companies' enduring corporate or individual long-term profit management with internal production factors prevents sharetrader attitude, making shares unattractive, the market subsequently lacking liquidity to attract outside investors. This creates divergence from UK, where disclosure and insider dealing prohibition maintain market liquidity8. New stock exchanges' creation in 1990s, consolidation of Amsterdam, Paris, Brussels, Lisbon and one London exchange into Euronext9 and introduction of internet exchanges (Tradepoint)10 enhances (inter)national equity trade and is expected to increase transparency and financial information disclosure to secure investor finance. European countries with weaker markets shall become more exposed to ...

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