Jul 7, 2026
Trading has officially begun on the Texas Stock Exchange (TXSE). Test securities were rolled out Monday, with plans to add a select few securities starting Friday and more through to the end of the month.
According to TXSE, more than 50 firms from banks and brokerages to trading companies have joined the exchange. Since it was announced in 2024, the TXSE has received $270 million in capital investment from Ken Griffin’s Citadel Securities, Goldman Sachs, JPMorgan, Bank of America and BlackRock.
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In late May, Gov. Greg Abbott issued an official proclamation declaring Texas as “The Financial Capital of America.”
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“Texas’s leadership in financial services has made our state home to the Texas Stock Exchange, Nasdaq’s new regional headquarters, and NYSE Texas. With the launch of Y’all Street, we will expand our financial might in the United States and cement our great state as an economic powerhouse on the global stage.”
Why Texas is so appealing for investors
A number of financial heavyweights have moved to the Dallas-Forth Worth region in the past few years, drawn by business- and tax-friendly regulations (notably, there are no state income taxes in Texas).
Now, with the launch of the Texas Stock Exchange, Texas is ready to capitalize.
Meanwhile, the New York Stock Exchange has also set up a satellite exchange — NYSE Texas — in Dallas.
A ready supply of capital is also appealing. By GDP, Texas is one of the world’s top 10 economies, second only to California in the US and ahead of New York. It’s also a convenient hub for business with Latin America, given its geography.
According to The Guardian, there are now 386,000 financial-sector employees in Texas. JPMorgan employs more people in Texas (31,000) than New York (24,000), including 12,000 workers at a corporate hub in Plano, Texas.
Charles Schwab relocated its headquarters from California to Dallas-Fort Worth in 2021. Meanwhile, Goldman Sachs is building a $500-million financial center in Dallas to house 5,000 employees — the firm’s largest site outside of its New York, where 7,800 work at corporate headquarters.
But not all financiers are convinced that the financial map has to be redrawn just yet. Drew McKnight, co-CEO Fortress Investment Group, sees Texas as an up-and-comer but not a replacement at this point. After all, every big financial firm that’s set up in Texas still has a presence in New York, including JPMorgan, which opened up its $3-billion headquarters last fall.
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“New York is still the financial capital of the U.S. and one of the financial capitals of the world,” he told the New York Post last fall. “But Texas can compete.”
That’s just what the governor plans to do. But he faces some economic headwinds.
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But the state faces economic challenges
The Texas governor is promoting the financial sector as part of the state’s economic growth, including employment, but economic growth doesn’t always translate into job growth.
According to the Dallas Federal Reserve Bank’s 2026 Texas Financial Outlook, the state grew in 2025 without adding jobs, something that “hasn’t happened since the jobless recovery of 2002-2003.” Employment in the state is expected to grow just 1.1% this year.
Most of the job growth in Texas is not in finance, but in commercial construction amid an AI data center boom. And while there are no income taxes in Texas, there are high property taxes — the very thing that’s putting off New York billionaires — and housing and insurance costs are rising.
The Dallas Fed notes this may be why Texans are struggling with mortgage delinquencies, only behind New York and Atlanta. It may also reflect the growing number of wealthy executives who’ve moved to the area, driving up property values.
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Sigrid is a deputy editor on the Moneywise team, where she has also worked in a number of editing and reporting roles. She has 5 years experience writing about personal finance and takes great pride in demystifying complex financial issues and finding the personal in personal finance topics.
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