Understand the market-maker spread as the price gap between buying and selling offers by market makers, and how it compensates for market-making risks.

A market maker is a firm or individual that helps facilitate the buying and selling of securities by providing liquidity. They do this by being ready to buy and sell at publicly quoted prices, which ...

We recently discussed how fragmentation undoubtedly adds to competition for venues. Of course, it also adds fixed and opportunity costs for traders. However, some of our recent studies suggest it may ...