Download or read book Liquidity Trading Rules and Electronic Trading Systems written by Lawrence E. Harris and published by . This book was released on 1991 with total page 76 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book LIQUIDITY TRADING RULES AND ELECTRONIC TRADING SYSTEM written by Lawrence E. HARRIS and published by . This book was released on 1991 with total page 62 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Liquidity Trading Rules and Electronic Systems written by Lawrence E. Harris and published by . This book was released on 1990 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Trading and Electronic Markets What Investment Professionals Need to Know written by Larry Harris and published by CFA Institute Research Foundation. This book was released on 2015-10-19 with total page 94 pages. Available in PDF, EPUB and Kindle. Book excerpt: The true meaning of investment discipline is to trade only when you rationally expect that you will achieve your desired objective. Accordingly, managers must thoroughly understand why they trade. Because trading is a zero-sum game, good investment discipline also requires that managers understand why their counterparties trade. This book surveys the many reasons why people trade and identifies the implications of the zero-sum game for investment discipline. It also identifies the origins of liquidity and thus of transaction costs, as well as when active investment strategies are profitable. The book then explains how managers must measure and control transaction costs to perform well. Electronic trading systems and electronic trading strategies now dominate trading in exchange markets throughout the world. The book identifies why speed is of such great importance to electronic traders, how they obtain it, and the trading strategies they use to exploit it. Finally, the book analyzes many issues associated with electronic trading that currently concern practitioners and regulators.
Download or read book Electronic Trading Systems written by Hugues Levecq and published by . This book was released on 2015 with total page 30 pages. Available in PDF, EPUB and Kindle. Book excerpt: Modern financial markets compete aggressively for trading activity and investor interest.Information technology, once a crucial element in streamlining paper flows andoperations, is now a strategic resource used in attracting or retaining market liquidity.Established exchanges introduce technology to enhance their markets. New marketvenues challenge the status quo and rely on technology to offer diverse services toincreasingly sophisticated investors. In this paper, we examine the strategic designdecisions embedded in these new electronic trading systems. Design decisions arecritical, as they determine the market microstructure which influences investingstrategies, patterns of trade, liquidity and volatility. We propose a taxonomy of designalternatives based on six major dimensions: market structure, type of orders, orderexecution priority rules, price discovery rules, time stamping, and transparency. Usingexamples of existing systems, we discuss the potential impact of the various alternativeson the eventual attractiveness of the market to the investors.
Download or read book Liquidity Markets and Trading in Action written by Deniz Ozenbas and published by Springer Nature. This book was released on 2022 with total page 111 pages. Available in PDF, EPUB and Kindle. Book excerpt: This open access book addresses four standard business school subjects: microeconomics, macroeconomics, finance and information systems as they relate to trading, liquidity, and market structure. It provides a detailed examination of the impact of trading costs and other impediments of trading that the authors call rictions It also presents an interactive simulation model of equity market trading, TraderEx, that enables students to implement trading decisions in different market scenarios and structures. Addressing these topics shines a bright light on how a real-world financial market operates, and the simulation provides students with an experiential learning opportunity that is informative and fun. Each of the chapters is designed so that it can be used as a stand-alone module in an existing economics, finance, or information science course. Instructor resources such as discussion questions, Powerpoint slides and TraderEx exercises are available online.
Download or read book The Handbook of Electronic Trading written by Joseph Rosen and published by . This book was released on 2009-06-18 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book provides a comprehensive look at the challenges of keeping up with liquidity needs and technology advancements. It is also a sourcebook for understandable, practical solutions on trading and technology.
Download or read book The Effect of Maker Taker Pricing on Market Liquidity in Electronic Trading Systems Empirical Evidence from European Equity Trading written by Marco Lutat and published by . This book was released on 2014 with total page 14 pages. Available in PDF, EPUB and Kindle. Book excerpt: European equity trading mainly takes place in electronic order-driven systems. In those systems two groups of traders post their orders. One group makes liquidity by submitting limit orders while the other takes liquidity by submitting market orders. A high degree of liquidity is widely seen as the most important criterion for a market's quality and efficiency. The introduction of the Markets in Financial Instruments Directive led to the emergence of new trading venues across Europe. Those venues prefer traders making liquidity by the fees they charge in order to improve liquidity and attract market share from established exchanges. This is referred to as maker-taker pricing. Although controversial and not proven if it is advisable for an established exchange to do the same, some exchanges also introduced maker-taker pricing against the background of that new competition. In this paper we will empirically investigate the introduction of maker-taker pricing by the SWX Europe Exchange and its impact on market liquidity by means of an event study methodology. Our findings suggest that maker-taker pricing does not affect spreads, but leads to an increase in the number of shares quoted at the top of the order book.
Download or read book Regulation of Trading Systems on Financial Markets written by Jean-Baptiste Zufferey and published by Springer. This book was released on 1997-07-23 with total page 360 pages. Available in PDF, EPUB and Kindle. Book excerpt: Profound changes in the financial markets have caused many lawmakers to modernise their legislation. This work provides a fundamental analysis of the questions raised by the laws ruling trading systems. In doing so, it defines such terms as: stock exchange analogous system protection of investors protection of the market function It also offers answers to questions such as: What trading rules do the financial intermediaries (banks) have to observe? What objectives should be pursued by lawmakers? What role is to be left to competition? What should be left to self-regulation? This work takes both a critical and comparative approach, looking in particular at Anglo-Saxon, Continental, and European legislation. it provides a comparative analysis of each subject covered, including the advantages and disadvantages that exist in the diverse legal solutions envisaged, As well as the current state of the various controversies in the existing doctrine.
Download or read book The Impact of Electronic Trading on Liquidity written by Alex Frino and published by . This book was released on 2015 with total page 32 pages. Available in PDF, EPUB and Kindle. Book excerpt: During 1999 and 2000, three major futures exchanges transferred trading in stock index futures from open outcry to electronic markets: the London International Financial Futures and Options Exchange (LIFFE); Sydney Futures Exchange (SFE); and Hong Kong Futures Exchange (HKFE). These changes in trading systems provide unique natural experiments to assess the relative liquidity of open outcry and electronic markets. After controlling for price volatility and trading volume, bid-ask spreads are found to be lower under the electronic trading regimes implemented by all three exchanges, with significantly lower bid-ask spreads recorded for the electronic trading systems of the SFE and HKFE. This provides some evidence that electronic trading can facilitate higher levels of liquidity relative to floor traded markets. Evidence is found, however, that bid-ask spreads become wider in response to higher price volatility under electronic trading, relative to floor trading. This indicates that the performance of electronic trading systems deteriorates during periods of higher price volatility.
Download or read book Equity Markets in Action written by Robert A. Schwartz and published by John Wiley & Sons. This book was released on 2004-10-06 with total page 482 pages. Available in PDF, EPUB and Kindle. Book excerpt: An in-depth look at the nature of market making and exchanges From theory to practicalities, this is a comprehensive, up-to-date handbook and reference on how markets work and the nuances of trading. It includes a CD with an interactive trading simulation. Robert A. Schwartz, PhD (New York, NY), is Marvin M. Speiser Professor of Finance and University Distinguished Professor in the Zicklin School of Business, Baruch College, CUNY. Reto Francioni, PhD (Zurich, Switzerland), is President and Chairman of the Board of SWX, the Swiss Stock Exchange, and former co-CEO of Consors Discount Broker AG, Nuremberg.
Download or read book Trading Systems and Liquidity on Securities Markets written by Henk Berkman and published by . This book was released on 2000 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: All securities markets share the goal of providing a cost effective and liquid market. Despite this common goal, it is observed that there are substantial differences in trading systems across markets. Furthermore, under pressure of increased competition, dramatic changes in the trading systems of some exchanges have taken place during the last decade. Examples are the quot;Big Bangquot; on the London Stock Exchange in 1986 and the changes on the Paris Bourse since 1986. The purpose of this dissertation is to contribute to the understanding of the effect of a market's design on the liquidity it provides. Central in the study is the dealer/auction trading system that is used on the European Options Exchange (EOE). This trading system is used on several other securities markets (for example the New York Stock Exchange, The Chicago Board Options Exchange and the Deutsche Termin Borse) and is expected to become even more important in the near future. In a dealer/auction trading system, liquidity is supplied by market makers and public investors submitting limit orders. Both groups of traders are willing to take the opposite side of a trade that is initiated by someone else (the demander of liquidity).
Download or read book Trading and Exchanges written by Larry Harris and published by OUP USA. This book was released on 2003 with total page 664 pages. Available in PDF, EPUB and Kindle. Book excerpt: Focusing on market microstructure, Harris (chief economist, U.S. Securities and Exchange Commission) introduces the practices and regulations governing stock trading markets. Writing to be understandable to the lay reader, he examines the structure of trading, puts forward an economic theory of trading, discusses speculative trading strategies, explores liquidity and volatility, and considers the evaluation of trader performance. Annotation (c)2003 Book News, Inc., Portland, OR (booknews.com).
Download or read book Electronic and Algorithmic Trading Technology written by Kendall Kim and published by Academic Press. This book was released on 2010-07-27 with total page 224 pages. Available in PDF, EPUB and Kindle. Book excerpt: Electronic and algorithmic trading has become part of a mainstream response to buy-side traders’ need to move large blocks of shares with minimum market impact in today’s complex institutional trading environment. This book illustrates an overview of key providers in the marketplace. With electronic trading platforms becoming increasingly sophisticated, more cost effective measures handling larger order flow is becoming a reality. The higher reliance on electronic trading has had profound implications for vendors and users of information and trading products. Broker dealers providing solutions through their products are facing changes in their business models such as: relationships with sellside customers, relationships with buyside customers, the importance of broker neutrality, the role of direct market access, and the relationship with prime brokers. Electronic and Algorithmic Trading Technology: The Complete Guide is the ultimate guide to managers, institutional investors, broker dealers, and software vendors to better understand innovative technologies that can cut transaction costs, eliminate human error, boost trading efficiency and supplement productivity. As economic and regulatory pressures are driving financial institutions to seek efficiency gains by improving the quality of software systems, firms are devoting increasing amounts of financial and human capital to maintaining their competitive edge. This book is written to aid the management and development of IT systems for financial institutions. Although the book focuses on the securities industry, its solution framework can be applied to satisfy complex automation requirements within very different sectors of financial services – from payments and cash management, to insurance and securities. Electronic and Algorithmic Trading: The Complete Guide is geared toward all levels of technology, investment management and the financial service professionals responsible for developing and implementing cutting-edge technology. It outlines a complete framework for successfully building a software system that provides the functionalities required by the business model. It is revolutionary as the first guide to cover everything from the technologies to how to evaluate tools to best practices for IT management. First book to address the hot topic of how systems can be designed to maximize the benefits of program and algorithmic trading Outlines a complete framework for developing a software system that meets the needs of the firm's business model Provides a robust system for making the build vs. buy decision based on business requirements
Download or read book The Evolution of Trading written by Mark Fadiman and published by Technology & Marketing Ventures Inc. This book was released on 2004 with total page 130 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Transparency and Fragmentation written by J. Board and published by Springer. This book was released on 2002-07-16 with total page 320 pages. Available in PDF, EPUB and Kindle. Book excerpt: This is the first major treatment of the effects of increased transparency on financial markets: an important and highly controversial issue for both traders and regulators. Focussing on three main themes - market transparency, the consolidation-fragmentation of trading systems, and the scope of regulation (i.e. which markets, and which traders within those markets, should be subject to regulation), the book highlights the importance of these issues to all markets throughout the world. The book draws on research from eight UK based investment exchanges, Deutsche Borse in Frankfurt and documentary evidence from the US markets and their regulators enabling the identification and documentation of the current situation and consideration of what fresh regulatory approaches are required for this new and fast evolving situation.
Download or read book Dark Pools written by E. Banks and published by Springer. This book was released on 2014-08-21 with total page 487 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book deals with the topic of dark trading, or non-displayed, off-exchange trading execution. It discusses the development, importance and practice of dark equity trading in an environment dominated by high frequency, program, block and algorithmic trading, and considers its future prospects in a world of mobile capital and changing regulation.
