Why London’s Once-Vibrant Stock Market Is in a Rut

The London Stock Exchange has lost its mojo. The more than 300-year-old bourse is shrinking as companies opt to go public elsewhere, shift their existing listings to the US, and accept deals to be taken private.

London has been suffering from a multiyear drought in initial public offerings. The UK used to be among the top five venues for IPOs by fundraising volume, but this year fell out of the top 20, sitting behind unlikely rivals such as Mexico and Oman.