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Strategies & Market Trends : The Final Frontier - Online Remote Trading

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To: TFF who wrote (8019)3/7/2000 3:30:00 PM
From: LPS5  Read Replies (1) of 12617
 
TFF,

I was saying that ECN's will not put Market Makers out of business so long as they do not - as is clearly not within the ECN or ATS business models - inject their own capital into the mix. You essentially said the same thing that I did in stating that institutions (and, yes of course, individuals) do that right now.

I am certain, however, that individuals (OE) and institutions (half MM and half OE) would not, could not, replace market makers. Volatility isn't the word. It'd look like ITG or AZX on a mega-scale (which both work fine and serve a great purpose in auction call price discovery) BUT while on a real-time basis. Ugly and dangerous. And, clearly not meeting the NASD or NYSE's requirement that their respective dealers or specialists, to the extent possible, maintain a fair and orderly market.

ISLD/INCA merger? I'm 100% behind it.

LPS5
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