Ginzy Trading

Dictionary Says

Definition of 'Ginzy Trading'

In floor trading, the practice of selling part of an order at the offer price and the remainder to the same broker at the lower bid price. Ginzy trading was originally performed primarily to achieve an average price for the customer which is within the predefined increments, or "ticks," in which the market is traded.
Investopedia Says

Investopedia explains 'Ginzy Trading'

Ginzy trading is generally considered unethical and the practice is unlawful if such a trade is caused by collusion among brokers. Exchange rules typically require that brokers seek to get the best price possible for their customers and that they make all trades on the open market. The need for a Ginzy trade has declined as exchanges have decreased tick sizes from the 1/8th of a dollar ticks seen in the past down to the one cent ticks that many instruments trade in today. Increased use of electronic and over the counter order matching systems also help to prevent illegal trades.

Articles Of Interest

  1. Understanding Order Execution

    Find out the various ways in which a broker can fill an order, which can affect costs.
  2. 4 Dishonest Broker Tactics And How To Avoid Them

    Protecting yourself from unscrupulous practices means knowing how to spot them.
  3. Brokers and Online Trading

    How do you find the right broker for your investment needs? Start by reading our broker tutorial.
  4. How Interest Rates Affect The Housing Market

    Understand how rate changes can affect home prices, and learn how you can keep up.
  5. Basic Investment Objectives

    You might know about different asset types, but do you know how each type contributes to a particular goal?
  6. Exploring The Current Account In The Balance Of Payments

    Learn how a country's current account balance reflects the country's economic health.
  7. Understanding And Playing The Dow Jones Industrial Average

    Learn strategies for investing in this price-weighted index and how to interpret its movements.
  8. Writing A Covered Call

    Writing an option is the process of selling to another investor the right, but not the obligation, to buy or sell a stock at a given price in the near future. It can also be referred to as shorting ...
  9. Arbitrage Squeezes Profit From Market Inefficiency

    This influential strategy capitalizes on the relationship between price and liquidity.
  10. Making It Big On Wall Street

    Read about some of the most glamorous Wall Street jobs and what it takes to land one.
comments powered by Disqus
Marketplace
Hot Definitions
  1. Yield Elbow

    The point on the yield curve indicating the year in which the economy's highest interest rates occur. The yield elbow is the peak of the yield curve, signifying where the highest interest rates occurred.
  2. Xenocurrency

    A currency that trades in markets outside of its domestic borders.
  3. Wanton Disregard

    A standard of severe negligence. Wanton disregard is a very serious accusation that indicates that a person behaved extremely recklessly.
  4. Ultra ETF

    A class of exchange-traded funds (ETF) that employs leverage in an effort to achieve double the return of a set benchmark.
  5. Toehold Purchase

    A purchase of less than 5% of a target company's outstanding stockmade by an acquiring company. A toehold purchase of just under 5%, while not a significant stake in a firm, allows the shareholders a "toe-holds" grip on the company and its decision making.
  6. Samurai Bond

    A yen-denominated bond issued in Tokyo by a non-Japanese company and subject to Japanese regulations.
Trading Center
http://sp.fastclick.net/ad/tr/10858-64082-15546-0?mpt=680c8a97aa9ca2df897b564fd2bcbfb2