The “electronification” of securities trading in the U.S. has been underway for more than two decades as global securities markets have moved away from open outcry and phone/voice trading and towards faster and more efficient electronic alternatives. Nasdaq launched its earliest version of an electronic bulletin board in 1971 and CME group launched its electronic platform in 1992. Old news. What is interesting is that – despite the misgivings of some the electronification of trading is continuing its upward march. In fact in some markets it has reached 90% and more of trading volume, as evidenced in the chart below from the Bank for International Settlements (BIS). Furthermore, it’s coming to markets that have traditionally resisted it.
Jun 14, 2016
Electronification of Trading – for lack of a better word – is good, it clarifies and cuts through.
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