6.22.2005

Q&A: List at least 2 difficulties that specialists have with block trades

the "three Cs" with block trading (block transactions of over 10,000 shares)

  • Capital: no enough capital needed to acquire blocks of 10,000 shares
  • Commitment: unwilling to commit the capital because of large risks involved
  • Contacts: prohibited from soliciting interest in shares from other institutional traders due to Rule 113

Category: C++ Quant > Financial Markets

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