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 …

Competition for order flow is widely documented for U.S. markets, but is a relatively new phenomenon in European … 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 the new competitor …

We study empirically how competition among high-frequency traders (HFTs) affects their trading behavior and market …-frequency competition, and contains an exogenous event - a tick size reform - which we use to disentangle the effects of the rising share of … high-frequency trading in the market from the effects of high-frequency competition. We find that when HFTs compete, their …

competition among market makers. I show that higher competition is beneficial for the market. Liquidity provision increases and … the role of designated liquidity providers played by high-frequency traders (HFTs) as introduced by the forthcoming MiFID … II regulation. I find that HFTs do provide liquidity to the market, but strategically so, to avoid being adversely …

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

Do competition and incentives offered to designated market makers (DMMs) improve market liquidity? We employ data from … spreads. In particular, market liquidity increases the most for stocks with the largest increase in competition among DMMs …. Our analysis shows that competition among DMMs is an important aspect of contract design, along with elements such as …

important aspect of the market microstructure – liquidity. Potentially, herding could simultaneously affect the liquidity of … 'commonality in liquidity' – a term which expresses the idea that the liquidity of individual stocks may have common determinants …. We find strong evidence of commonality in liquidity in what is the first study of this phenomenon since the ASX adopted …

, demand, and withdrawal of liquidity between the two markets. The paper also finds that cross-asset market order flow is a key … component of liquidity and price discovery, particularly during periods of market volatility …

how the pecking order theory of trading actually functions. …