The performance of new shares issued via European flotations last quarter were the worst in more than three years with some stocks losing almost two-thirds of their value as equity markets slumped.

New listings in the second quarter performed the worst for more than three years, with shares losing an average of 0.47% in the first month of trading, compared with an average gain of 12.59% in the first quarter of 2005, when so-called aftermarket performance hit a three-year high.