Support our online development, and advance our onground research initiatives in free market economics, as we seek to showcase the brightest Next-Gen minds.
THE ME-P DISCLAIMER: Posts, comments and opinions do not necessarily represent iMBA, Inc., but become our property after submission. Copyright © 2006 to-date. iMBA, Inc allows colleges, universities, medical and financial professionals and related clinics, hospitals and non-profit healthcare organizations to distribute our proprietary essays, photos, videos, audios and other documents; etc. However, please review copyright and usage information for each individual asset before submission to us, and/or placement on your publication or web site. Attestation references, citations and/or back-links are required. All other assets are property of the individual copyright holder.
DEFINITIONS
By Staff Reporters
SPONSOR: http://www.CertifiedMedicalPlanner.org
***
***
The Fourth Market?
The fourth market is defined as private transactions made directly between large medical investors, institutions such as banks, mutual funds, and insurance companies, without the use of a securities firm. In other words, fourth market trading is usually one institution swapping securities in its portfolio with another large institution.
From the stock broker’s viewpoint, there is one problem with the fourth market. Since no broker/dealer is involved, no registered representative is involved and there is no commission to be earned. These trades are reported on a system called Instinet.
This is advantageous to larger medical foundations or institutional investors.
What Is Instinet?
Instinet is a global financial securities service that operates an electronic securities order matching, trading, and information system which allows members, primarily institutional traders, and investors, to display bids and offer quotes for stocks, and conduct transactions with each other.
Instinet is an example of a dark pool of liquidity, a private exchange for trading securities that is not accessible by the investing public. The name implies a lack of transparency. and it facilitates block trading by institutional investors who do not wish to impact the markets with their large orders.
According to the SEC, there were 74 registered Alternative Trading Systems, or dark pools, as of February 2024.
COMMENTS APPRECIATED
Like and Refer
***
***
Share this:
Filed under: "Ask-an-Advisor", Alternative Investments, CMP Program, Funding Basics, Investing, Portfolio Management | Tagged: alternate trading systems, CMP, dark pools, fourth market, instinet, portfolio, Portfolio Management, private transactions, securities, stock transactions | Leave a comment »
The Leading Business Education Network for Doctors, Financial Advisors and Health Industry Consultants 