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Non-Tech : Knight/Trimark Group, Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Patherzen who wrote (1787)	6/23/1999 12:45:00 AM
From: osman koyuncu	Respond to of 10027

Here is my understanding from a report that I have read from BancBoston Robertson Stephens Many market makers use traditional spread trading to cover their cost of capital and generate income. Traders simply trade off a spread and profit from the difference between bid and asked prices. Most could be profitable depending on general market volatility. Knight/ Trimark recognized spread trading was not going anywhere. In 1997, spreads fell by over 40% and they continue to decline. This meant that pricing fell by 40% for most market makers. Knight/ Trimark developed a proprietary trading methodology that was predicated on immediacy, price improvement (trading more shares at an equivalent or even better price) and automation. In this way, it manages its inventory in such a way that creates opportunity and information flow. These methods are continually researched, tested and then embedded in the trading process through training and changes in technology. Hope this info helps you to understand what NITE does Osman