Two US hedge funds last week emerged as shareholders in the London Stock Exchange, while alternative investors continue to slash short positions in the stock market's shares.

Magnetar Financial and the European arm of Davidson Kempner Partners revealed in regulatory statements that they held 1.5% and 1.1% respectively in the LSE. Heyman Investment Associates, another US fund and the exchange's second-largest shareholder, increased its holding from 9.6% to 9.7%.