FILE PHOTO - British and EU flags are seen prior to the arrival of British Prime Minister Theresa May and European Commission President Jean-Claude Juncker, ahead of the European Union leaders summit in Brussels, Belgium October 17, 2018. REUTERS/Francois Lenoir

AMSTERDAM (Reuters) - The Dutch financial markets authority (AFM) said on Monday it was preparing for a 20-fold increase in financial trading taking place on its infrastructure in the event that Britain leaves the European Union in March with no deal in place.

The AFM said that while banks are shifting operations to Frankfurt and Paris, and asset managers to Luxembourg and Dublin, trading houses are converging on the Netherlands as an alternative to London after Britain leaves the bloc.

“While border and customs negotiations are attracting attention, there is a fairly invisible shift taking place in European capital markets,” it said in a statement.

“The AFM is conducting conversations with more than 150 parties that are interested in a (Dutch trading) license.”

AFM Chairwoman Merel van Vroonhoven said she expected 30-40 percent of European trading in financial instruments will wind up being housed in the Netherlands, making it the center of EU financial trading.</s>AMSTERDAM (Reuters) - The Dutch financial markets authority (AFM) said on Monday it was preparing for a 20-fold increase in financial trading taking place on its infrastructure in the event that Britain leaves the European Union in March with no deal in place.

The AFM said that while banks are shifting operations to Frankfurt and Paris, and asset managers to Luxembourg and Dublin, trading houses are converging on the Netherlands as an alternative to London after Britain leaves the bloc.

“While border and customs negotiations are attracting attention, there is a fairly invisible shift taking place in European capital markets,” it said in a statement.

“The AFM is conducting conversations with more than 150 parties that are interested in a (Dutch trading) license.”

AFM Chairwoman Merel van Vroonhoven said she expected 30-40 percent of European trading in financial instruments will wind up being housed in the Netherlands, making it the center of EU financial trading.</s>"The arrival of these companies will attract other service providers and strengthen the access of Dutch pension funds and other asset managers to the financial markets," AFM Chairwoman Merel van Vroonhoven said on Tuesday said, as quoted by the Dutchnews.nl portal.

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Van Vroonhoven expects that the Netherlands may host up to 30-40 percent of European financial instruments trading after Brexit.

In June 2016, the United Kingdom voted to leave the European Union. Although Brexit is scheduled for late March 2019, London and Brussels still cannot agree on a number of key issues, including the Irish border and customs arrangements, making a no-deal scenario a possibility.

In July, Catherine McGuinness, the chairperson of the policy and resources committee of the City of London, said that the UK financial sector could lose up to 12,000 jobs due to Brexit because many financial companies were relocating their businesses to the European Union. According to the Bank of England estimates, the City may lose as many as 5,000 jobs by late March 2019, when the United Kingdom is set to withdraw from the European Union.</s>Second Ware on C event to take place in Lawton
AFM, the financial markets authority in the Netherlands, says it will prepare for financial trading taking place on its infrastructure in the event the United Kingdom leaves the European Union.