Sentences with phrase «less trading liquidity»

With less trading liquidity, small cap stocks can significantly outperform or underperform large cap stocks in different market environments.

Not exact matches

The low liquidity levels are caused by a combination of regulations, which make it less attractive for big banks to hold inventories of bonds for dealing, and new forms of quick, computerised trading, which have the potential to move markets in times of stress.

HFT firms say their trading adds needed liquidity and that such a tax would end up making the markets less efficient and more expensive for all investors.

One very stylized fact is that corporate bid / ask spreads aren't that high, though they are higher than pre-crisis levels; instead the increased cost of liquidity seems to be passed along in just less trading rather than more expensive trading:

One possibility, he said, is that frequent traders laboring under the «illusion of control» believe that they can respond easily to information and events during the day but can't do so as easily after hours, when there are far fewer market participants and less money, or «liquidity,» involved in trading.

The average investment - grade (high - yield) bond trades on less than 32 % (36 %) of days over the prior six months — liquidity in corporate bonds was considerably lower than in traditional listed equity markets.

This pair has the most liquidity during the Asian time zone along with less volatility making it the suitable candidate for the trading.

During American timings, these pairs will have the highest liquidity and less volatility which makes them the perfect candidate for the trading, and it also helps the Option Robot to generate consistent results in those pairs during the American hours.

But the standard now guarantees uniformity, enhanced liquidity and less complexity in trading.

Maybe it'll just increase trading costs, as liquidity providers have to charge more to make up for the less transparent risks they face.

Much of the debate over the past years about the benefits and the costs global specialization, primarily the rapid advance of China as a major manufacturing center has been less about the financial costs — the $ 12 trillion dollars of additional liquidity that the US consumers offered to the world (the cumulative US trade deficit from 1990 through 2015 compared to the over $ 3 trillion dollars in trade surplus run - up by China over this same period — and more in terms of the jobs lost and the impact of foreign products on American wages in manufacturing.

Investments in small - capitalization companies are subject to greater price volatility, lower trading volume, and less liquidity than investing in larger, more established companies.

The key is patience and diligence with CEFs and knowing that less than 2 % of the US population owns a CEF (vs. 40 % for an open - end fund), 85 % of the shareholders for CEFs are not institutional investors and only 7 of the 598 US listed CEFs trade more that $ 10M a day in liquidity as of last Friday's close.

My view is that with high frequency trading, managers must adopt tactics, particularly on less liquid stocks, that we become invisible liquidity providers.

If you take advantage of this liquidity to trade in and out of ETFs — or to sell them short — you can wind up losing money, or making less than you would by simply holding on to the top ETFs.

The BMO fund's fee is slightly less than XIU, but that difference may be outweighed by higher trading costs due to the lack of liquidity.

Liquidity providers in option markets prefer to hedge mostly with other options, hedging residual greeks with other assets such as the underlying, volatility, time, interest rates, etc because trading costs are lower since the two offsetting options hedge most of each other out, requiring less trading in the other assets.

Mostly used by investment professionals, extended trading hours often have low liquidity rates and wider spreads between bid and ask prices, resulting in risks of having orders executed at a less favorable price than during regular trading hours.

For private market investments, the change in mindset involves embracing a trade off — expected steady, predictable higher yields in exchange for less liquidity.

As a trade - off for investing in less well - traveled markets, international investors should recognize that liquidity is often lower in international markets, particularly emerging markets.

The risk of trade restrictions against the backdrop of less central bank liquidity is contributing to higher volatility this year.

The trade off for Berkshire shareholders is higher return for less liquidity by having to hold on to the stock for many years.

Thanks to its flexibility and the liquidity of the currency market, those who trade through the best Forex brokers can enjoy a simpler and less complex way of playing the markets.

Thus in my trading I looked at income replacement, adjusted for quality, maturity, liquidity, optionality, premium / discount, and a wide number of lesser variables.

As they are non-traded, they generally have less liquidity than REITs that are publicly traded.

Within a day or so, the trades expected to be less profitable of Salomon were liquidated, and Salomon had more than enough liquidity to meet demands.

5 Foreign securities carry special risks, such as exposure to currency fluctuations, less developed or less efficient trading markets, political instability, a lack of company information, differing auditing and legal standards, volatility and, potentially, less liquidity.

Funds advised by Mr. Fasciano cover a wide variety of strategies and asset classes, with varying liquidity characteristics, including more typical asset classes such as publicly traded equities, as well as less typical asset classes such as loans, consumer receivables and renewable energy credits.