AI Tool Fears Spark Selloff, Elliot Builds Stake in LSEG | The Opening Trade 2/11/2026

Global markets reacted sharply to an AI-driven tax tool from Altruist, triggering selloffs in wealth management and software stocks, including SAP and Dassault Systèmes, mirroring prior Wall Street declines. The disruption spread from U.S. trading hours, where financial services firms faced pressure as AI automation threatened traditional advisory roles, accelerating sector-wide volatility. Activist investor Elliott Management acquired a stake in London Stock Exchange Group (LSEG), betting on its potential amid AI disruption and a prolonged slump in new listings. LSEG shares surged 8.4%—its largest intraday gain in three months—after Elliott’s move, signaling confidence despite broader market turbulence and declining IPO activity. The selloff underscores growing investor anxiety over AI’s rapid encroachment into financial services, reshaping valuation models and operational strategies across global exchanges.