Quote Driven Market

An electronic stock exchange system in which prices are determined from quotations made by market makers or dealers.

Also known as a "price driven market".

This is the opposite of an order driven market.


Investment dictionary. . 2012.

Look at other dictionaries:

  • quote-driven — A service that does not allow automatic execution. Trading of quote driven securities is conducted via telephone dealing. London Stock Exchange Glossary * * * quote driven ˈquote ˌdriven adjective FINANCE a quote driven financial market is one in …   Financial and business terms

  • Quote Driven —    A market is described as being quote driven when registered market makers are required to display bid and offer prices, and in some cases the maximum bargain size to which these prices relate. The London SEAQ system and NASDAQ are examples of… …   Financial and business terms

  • quote driven — Denoting a financial market in which prices are determined by the quotations made by market makers or dealers. The London Stock Exchange Automated Quotations System and the US National Association of Securities Dealers Automated Quotations System …   Big dictionary of business and management

  • quote driven — Fin used to describe a share dealing system where prices are initially generated by dealers’ and market makers’ quotes before market forces come into play and prices are determined by the interaction of supply and demand. The London Stock… …   The ultimate business dictionary

  • quote-driven system — / kwəυt ˌdrɪv(ə)n ˌsɪstəm/ noun a system of working a stock market, where marketmakers quote a price for a stock (as opposed to an order driven system) …   Dictionary of banking and finance

  • quote driven system — A system whereby market makers provide quotes at which people can trade in stocks. Also known as a price driven system. Contrast with an order driven system. Dresdner Kleinwort Wasserstein financial glossary …   Financial and business terms

  • quote-driven — adjective Describing any market system in which prices are established by quotations given by market makers …   Wiktionary

  • Order Driven Market — A financial market where all buyers and sellers display the prices at which they wish to buy or sell a particular security, as well as the amounts of the security desired to be bought or sold. This is the opposite of a quote driven market, which… …   Investment dictionary

  • quote — An indication of current bids and offers in the market on a particular contract or spread. Chicago Mercantile Exchange Glossary The highest bid price and the lowest offer price for a security at any particular time. An offer to buy or sell a… …   Financial and business terms

  • order-driven — Trading services that are based on the order book. London Stock Exchange Glossary * * * order driven ˈorder ˌdriven adjective FINANCE an order driven financial market is one where prices change in relation to orders from brokers and dealers in… …   Financial and business terms

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