Over trading and Price transparency: Difference between pages

Revision as of 14:47, 11 May 2016

Price transparency is the amount of information available to market participants about prices.

Price transparency takes two forms:

'Pre-trade price transparency', i.e. the prices at which counterparties advertise they are willing to buy or sell specific financial instruments.
'Post-trade price transparency', i.e. the prices at which counterparties recently bought or sold specific financial instruments.

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-Over trading is a description applied to a business which has a deficit of working capital.
+Price transparency is the amount of information available to market participants about prices.
-It often results from a rapid expansion in sales to the detriment of liquidity.
+Price transparency takes two forms:
-Sometimes written as 'overtrading'.
+#'Pre-trade price transparency', i.e. the prices at which counterparties advertise they are willing to buy or sell specific financial instruments.
+#'Post-trade price transparency', i.e. the prices at which counterparties recently bought or sold specific financial instruments.
 == See also ==
-* [[Cash flow insolvent]]
+*[[Circuit breaker]]
-* [[Liquidity]]
+*[[Electronic communication network]]
-* [[Working capital]]
+*[[Price discovery]]
+*[[Price formation]]
-[[Category:Cash_management]]
-[[Category:Financial_products_and_markets]]
-[[Category:Liquidity_management]]