Free-Crowd System

DEFINITION of 'Free-Crowd System'

A system of commodity trading in which floor members can make bids and offers simultaneously for personal or customer accounts, which is common in the U.S.

BREAKING DOWN 'Free-Crowd System'

The free crowd system allows for the possibility of transactions occurring at different locations simultaneously within the trading ring.

RELATED TERMS
  1. Bidding Ring

    A group of individuals or businesses that conspire to affect ...
  2. Intermarket Spread

    The simultaneous purchase of a given delivery month of a futures ...
  3. Floor Trader - FT

    An exchange member who executes transactions from the floor of ...
  4. Uniform Simultaneous Death Act ...

    A law used to determine the inheritance when more than one death ...
  5. Intermarket Trading System - ITS

    An electronic computer system that joins the trading floors of ...
  6. Cross-Currency Transaction

    A cross-currency transaction is one which involves the simultaneous ...
Related Articles
  1. Investing

    Trading Systems: Run With The Herd Or Be A Lone Wolf?

    Find out if taking the path less traveled will work in your favor - or against it.
  2. Investing

    Inside National Payment Systems

    Investopedia explains: The global interconnection of U.S. payment systems makes commerical and financial transfers possible.
  3. Financial Advisor

    A Day In The Life Of A System Trader

    Systems traders divide their time between trading, developing, backtesting, optimizing and forward testing, to create viable and high-probability trading systems.
  4. Investing

    Basics Of The Mechanics Behind Electronic Trading

    What was once associated with shouting traders and wild hand gestures has now become more closely associated with statisticians and computer programmers.
  5. Trading

    Trading Systems Coding

    Automate your trades by translating your strategy into a language your computer can implement in this hands-free approach to investing.
  6. Personal Finance

    7 Mistakes to Avoid When Buying an Engagement Ring

    Understand why the purchase of an engagement ring is so important. Learn about seven key mistakes to avoid when purchasing an engagement ring.
  7. Trading

    The Pros And Cons Of Automated Trading Systems

    Automated trading systems minimize emotions, allow for faster order entry, lead to greater consistency and resolve pilot-error problems.
  8. ETFs & Mutual Funds

    Trade Forex With A Directional Strategy

    Opening long or short positions to cash in on a trend is one of the simplest ways to trade forex.
  9. Investing

    Negotiating the Bid

    A bid is an offer investors make to buy a security.
  10. Markets

    When Will it Be Safe to Buy Commodities?

    When will it be safe to buy commodities (and which ones)? A closer look at the commodities markets and how they move.
RELATED FAQS
  1. What is the difference between a capitalist system and a free market system?

    Learn about capitalist and free market systems, how these economic systems function and the main difference between capitalism ... Read Answer >>
  2. What does membership in the New York Stock Exchange entail, and why is it known as ...

    Owning a seat on the New York Stock Exchange (NYSE) enables a person to trade on the floor of the exchange, either as an ... Read Answer >>
  3. Why are traders on the floor of the exchange?

    Before the advent of electronic trading platforms, the floor of the stock exchange was the location for market transactions ... Read Answer >>
  4. How do I pick the best method for forex system trading?

    Discover how to identify the best type of forex system trading style for you based on your available time, your trading preferences ... Read Answer >>
  5. What is the difference between arbitrage and speculation?

    Arbitrage and speculation are very different strategies. Arbitrage involves the simultaneous buying and selling of an asset ... Read Answer >>
  6. Can commodities also be investments?

    Learn about the commodities trade and several different ways investors may participate. Find out about some of the advantages ... Read Answer >>
Hot Definitions
  1. Cyclical Stock

    An equity security whose price is affected by ups and downs in the overall economy. Cyclical stocks typically relate to companies ...
  2. Front Running

    The unethical practice of a broker trading an equity based on information from the analyst department before his or her clients ...
  3. After-Hours Trading - AHT

    Trading after regular trading hours on the major exchanges. The increasing popularity of electronic communication networks ...
  4. Omnibus Account

    An account between two futures merchants (brokers). It involves the transaction of individual accounts which are combined ...
  5. Weighted Average Life - WAL

    The average number of years for which each dollar of unpaid principal on a loan or mortgage remains outstanding. Once calculated, ...
  6. Real Rate Of Return

    The annual percentage return realized on an investment, which is adjusted for changes in prices due to inflation or other ...
Trading Center