Exchange Market Size

From ACT Wiki
Jump to navigationJump to search

Stock exchange - brokers - firm quotes.


Exchange Market Size relates to the quotations provided by brokers on an exchange.

It is a maximum deal size at which the broker is obliged to transact, at the price the broker is quoting.

For equities, the EMS is determined as a rounded number of equity shares - for example 50,000 shares.

If the client wants to trade a larger number of shares, the broker may decline to transact, or change their quote.

The larger the market capitalisation of a stock, the larger the EMS.

The EMS was formerly known as the Normal Market Size (NMS).

See also