Do Black Swans Swim in Dark Pools?
First Published in Automated Trader Magazine Issue 09 Q2 2008
The continued rise of dark liquidity and the development of more sophisticated execution algorithms could increase regulatory obligations on brokers and/or exchanges, according to Mary Lou Von Kaenel, Managing Director, Management Consulting, Jordan & Jordan, and Greg Malatestinic, Senior Software Engineer, Jordan & Jordan.
In the wake of regulatory changes aimed at price transparency and
best execution, and as market participants wade through their
post-Reg NMS and MiFID implementation issues, many wonder: where
has all the liquidity gone?
Securities regulation in the United States and Europe has placed
a spotlight on trade price reporting and quotes, and has set the
stage for competition among exchanges, multilateral trading
facilities and electronic communication networks. Focused on
ensu...
