Ebook: Call Auction Trading: New Answers to Old Questions
- Tags: Finance /Banking
- Series: Zicklin School of Business Financial Markets Conference Series Baruch College
- Year: 2002
- Publisher: Springer US
- Edition: 1
- Language: English
- pdf
This book is based on the proceedings of The Electronic Call Auction: New Answers to Old Questions, a conference hosted by the Zicklin School of Business on May 16, 2000. The text includes the edited transcripts of the panel discussions and separate addresses by three major industry executives Douglas M. Atkin, formerly President and CEO, Instinet Corporation; Kenneth D. Pasternak, formerly President and CEO, Knight/Trimark Group, Inc., and William J. Brodsky, Chairman and CEO, Chicago Board Options Exchange. The electronic call auction is an important trading vehicle in many market centers around the world, but is not well understood in the US. What are call auctions? How should they be designed and integrated with continuous trading in a hybrid market structure? As call auctions play a more central role in the US markets, how will they affect market quality in terms of transparency, order flow consolidation, and price discovery? These and other critical questions were asked at the conference while the efficiency of the US markets was broadly assessed.
The electronic call auction is an important trading vehicle in many market centers around the world, and it should play a far more central role in the U.S. equity markets. Yet call auctions are not known or understood by many market participants in the U.S. The purpose of Call Auction Trading: New Answers to Old Questions is to consider how a call auction facility operates and its broader role in the marketplace. A spectrum of questions are raised and debated. What is a call auction? How should call auctions be designed? How should call auction and continuous trading be integrated in a hybrid market structure? What is the price discovery function of a call auction, especially at market openings?
When the dust settles on the answers, it may be recognized that the introduction of electronic call auction trading in our markets is one of the most profound changes in U.S. equity market structure that could be made.
The electronic call auction is an important trading vehicle in many market centers around the world, and it should play a far more central role in the U.S. equity markets. Yet call auctions are not known or understood by many market participants in the U.S. The purpose of Call Auction Trading: New Answers to Old Questions is to consider how a call auction facility operates and its broader role in the marketplace. A spectrum of questions are raised and debated. What is a call auction? How should call auctions be designed? How should call auction and continuous trading be integrated in a hybrid market structure? What is the price discovery function of a call auction, especially at market openings?
When the dust settles on the answers, it may be recognized that the introduction of electronic call auction trading in our markets is one of the most profound changes in U.S. equity market structure that could be made.
Content:
Front Matter....Pages i-xx
The Call Auction Alternative....Pages 1-14
The Broad Perspective....Pages 15-38
View From a Market Maker....Pages 39-47
Alternative Call Auction Designs....Pages 49-67
Darwinism vs. Protectionism In the US Equity Markets; the Case for Real Competition....Pages 69-75
View from a Derivatives Exchange....Pages 77-86
Integrating Call and Continuous Trading....Pages 87-106
A Call Auction’s Role in the Marketplace....Pages 107-128
Back Matter....Pages 129-157
The electronic call auction is an important trading vehicle in many market centers around the world, and it should play a far more central role in the U.S. equity markets. Yet call auctions are not known or understood by many market participants in the U.S. The purpose of Call Auction Trading: New Answers to Old Questions is to consider how a call auction facility operates and its broader role in the marketplace. A spectrum of questions are raised and debated. What is a call auction? How should call auctions be designed? How should call auction and continuous trading be integrated in a hybrid market structure? What is the price discovery function of a call auction, especially at market openings?
When the dust settles on the answers, it may be recognized that the introduction of electronic call auction trading in our markets is one of the most profound changes in U.S. equity market structure that could be made.
Content:
Front Matter....Pages i-xx
The Call Auction Alternative....Pages 1-14
The Broad Perspective....Pages 15-38
View From a Market Maker....Pages 39-47
Alternative Call Auction Designs....Pages 49-67
Darwinism vs. Protectionism In the US Equity Markets; the Case for Real Competition....Pages 69-75
View from a Derivatives Exchange....Pages 77-86
Integrating Call and Continuous Trading....Pages 87-106
A Call Auction’s Role in the Marketplace....Pages 107-128
Back Matter....Pages 129-157
....