Changes to the Stock Exchange – Trading Dark and Visible
While the activity of the stock market (trade) slows trading platforms is felt by companies such as Deutsche Börse and NYSE Euronext, new to the market go scene in silence.
Chi-X is a relatively new company that offers stock trading and, based on a lower price and longer life .. But the last I wonder if this is related to the size of the platform, multiple users, the power of acceptancePlatform. I think. At that time, their share of trade as shares on the AEX is less than 20%.
Turquoise is another trading platform, which was initiated by a group of investment banks. And that is where we expect to be a problem; trade dark. This is (block) trade, where the name already suggests that small investors are not aware off.
A book that shows a normal limit order on both sides of the market and these investors some idea of what is happening. But ifThere is another (dark) book in which large contracts are managed as small investors, valuable information is lost.
Market competition for trade is fair and reasonable. But what happens when investment banks – the few who are still alive – moving the installation of infrastructure and the exchange of large amounts of trade in these places?
In particular, individuals, small investors affected because they are less informed about market movements. The largestRetailers will have a competitive advantage over smaller retailers.
We come from a situation where research and information was available to the private traders, but it seems that we are in a situation of load and level of services, where those who have to pay extra would be informed better.
For what it's worth. The question is, and this showed in the last month is valid, professional investors are not professionals, after all.
What is clear is thatSituation of the stock market is in transition and a first impression is that the transparency of the game is on.
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