Select Language

Bahasa Indonesia

แบบไทย

Markets: Market Structure

What is a Dutch Auction?A Dutch auction solves a specific market problem: how to find a price quickly when waiting for many rounds of bidding is too slow or too costly

What is a Dutch Auction?A Dutch auction solves a specific market problem: how to find a price quickly when waiting for many rounds of bidding is too slow or too costly. Its simple rule—start high, lower the price until demand appears—makes it powerful, but the details of information, timing, and bidder psychology matter more than the simple rule suggests.Mar 21, 202626 min read

#MARKET STRUCTURE

What Is Bid and Ask?Every quoted market shows two prices, not one

What Is Bid and Ask?Every quoted market shows two prices, not one. The bid and the ask are the basic mechanism that turns scattered buyer and seller intentions into a tradable market price — and the gap between them quietly determines cost, liquidity, and execution quality.Mar 21, 202623 min read

#MARKET STRUCTURE

What is Best Bid and Offer (BBO)?The best bid and offer is the market’s simplest live summary: the highest displayed buy price and the lowest displayed sell price

What is Best Bid and Offer (BBO)?The best bid and offer is the market’s simplest live summary: the highest displayed buy price and the lowest displayed sell price. That sounds straightforward, but in modern fragmented markets, deciding which quotes count, which are protected, and how they are consolidated is where the real structure appears.Mar 21, 202625 min read

#MARKET STRUCTURE

What is OTC Trading?OTC trading matters because many of the world’s biggest trades do not happen on a public order book at all

What is OTC Trading?OTC trading matters because many of the world’s biggest trades do not happen on a public order book at all. Instead, they happen through private negotiation, where the central problem is not just finding a price, but finding a willing counterparty without moving the market against yourself.Mar 21, 202625 min read

#MARKET STRUCTURE

What Is Arbitrage?Arbitrage matters because markets are usually fragmented, while value is not

What Is Arbitrage?Arbitrage matters because markets are usually fragmented, while value is not. When the same asset, cash flow, or economic exposure trades at different prices, arbitrage is the mechanism that pushes those prices back together — and reveals where real-world frictions still matter.Mar 21, 202627 min read

#MARKET STRUCTURE