Competition for order flow has been widely documented for US markets, but it seems to be a relatively new phenomenon in … analyzes the potentially positive liquidity implications of a new trading venue. To this end, we examine the impact of the Chi …-X market entry in French blue chip equities on the liquidity of their home market. Our findings suggest that in consequence of …

buyers through partial retention of assets if and only if their liquidity holdings are large. However, when sellers … their liquidity holdings are small. The model is extended to study the implications for discount window lending and …

crashes. They actually consume liquidity when it is most needed, even if they are rewarded by the exchange to provide … crash. In their place, slow traders provide liquidity, taking advantage of the discounted price. We thus uncover a trade …-off between the greater liquidity and efficiency provided by designated market makers in normal times, and the disruptive …

We study the introduction of single-market liquidity provider incentives in fragmented securities markets. Specifically …, we investigate whether fee rebates for liquidity providers enhance liquidity on the introducing market and thereby … increase its competitiveness and market share. Further, we analyze whether single-market liquidity provider incentives increase …

solved analytically. We find that informed traders tend to “make” liquidity in illiquid markets and “take” liquidity from …

market manipulation, the highest volatility and probability of market crashes, yet the highest liquidity. The so … detect spoofing market manipulation, lower volatility and probability of market crashes, but lower liquidity levels. Finally …

on liquidity in an attempt to explain the coexistence of evidence regarding both the positive and the negative impacts of … shocks, through which HFT trading patterns may sharply change. Latter regards the certain characteristics of HFT liquidity …

In Strong Managers, Weak Owners, Professor Mark J. Roe articulates an expansive theory to explain the evolution of the … Article examines Professor Roe's theory. It will use the political influences that Roe credits with fragmentation to …

Do competition and incentives offered to designated market makers (DMMs) improve market liquidity? Using data from NYSE … Euronext Paris, we show that an exogenous increase in competition among DMMs leads to a significant decrease in quoted and … changes in rebates and requirements for DMMs, do not have any tangible effect on market liquidity. Our results are of …