Automated Confirmation Transaction Service - ACT

DEFINITION of 'Automated Confirmation Transaction Service - ACT'

An automated system designed to document and report the clearing of trades in the Nasdaq market. Designed to increase transparency, the Automated Confirmation Transaction Service (ACT) is a technology platform that provides faster access to trade information, increase the efficiency of trade reconciliation and back-office transactions and provides online access to the status of all trade entries.

Also called ACT Service.

BREAKING DOWN 'Automated Confirmation Transaction Service - ACT'

Prior to using the ACT, the Nasdaq utilized the Trade Acceptance and Reconciliation Service, or TARS. ACT replaced TARS and assumed its functionality in the third quarter of 1998.