The London Stock Exchange has failed to remain immune from the sluggish capital market activity that has racked European markets this year, reporting a 15% fall in revenues from primary issuance and share trading during its first quarter. However, the UK exchange's overall revenues were buoyed by additional revenues from index provider, the FTSE Group, in a sign that the LSE’s diversification strategy continues to bear fruit.

The LSE said this morning that revenues from its capital markets business, which includes listings and secondary trading activities, fell by 15% to £67.5m in the three months ended June 30, 2012, compared with the prior year. The division accounted for 32% of revenues during the period, down 10 percentage points from the same quarter last year.