Different Types of Trading Platforms
Summary :
Table of Contents
- Introduction
- Electronic Communication Networks as trading platforms
- Benefits of ECN
- Disadvantages of ECN
- The NASDAQ
- Disadvantages of the trading on the NASDAQ
- Conclusion
- Bibliography
Abstract
There are several different types of financial exchanges in which the trading of securities takes place. On one end of the spectrum, there is the National Association of Securities Dealers Automated Quotations system, known as the NASDAQ, which is the largest screen based security trading system in the united systems. At the complete opposite end of the spectrum are Electronic Communication Networks. ECN's are small often independent trading screen based platforms that allow for exchange. These two different exchange types are completely different; there are many benefits and also drawbacks to each individual system.
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