Instinet

AAA

DEFINITION of 'Instinet'

A global financial securities company that operates an electronic securities order matching (trading) and information system that allows members (primarily professional traders and investors) to display bids and offer quotes for stocks and to transact between themselves. As a global securities broker, Instinet enables institutional customers to trade securities in global markets.

INVESTOPEDIA EXPLAINS 'Instinet'

Instinet was founded in 1967 as Institutional Networks. It is Wall Street's oldest electronic communications network (ECN), and after it was acquired by Reuters Group in 1987, it and other ECNs evolved into major threats to the established stock exchanges. The company split its ECN and its brokerage business into Inet ECN and Instinet, respectively, in 2003. NASDAQ then acquired Inet ECN in 2005 and Instinet was sold to a private equity firm. In addition to sales trading, Instinet provides front-end technology, algorithmic trading, liquidity sourcing, independent research, commission management and transaction analysis.

RELATED TERMS
  1. Electronic Communication Network ...

    An electronic system that attempts to eliminate the role of a ...
  2. Broker

    1. An individual or firm that charges a fee or commission for ...
  3. Online Trading

    The act of placing buy/sell orders for financial securities and/or ...
  4. Reuters

    A global information provider headquartered in London, England, ...
  5. Extended Trading

    Trading conducted on electronic exchanges either after regular ...
  6. Hybrid Market

    A securities exchange that facilitates trading through a blend ...
Related Articles
  1. Professionals

    Wall Street Writers: A Behind-The-Scenes ...

  2. Investing Basics

    Why You Should Understand The Stock ...

  3. Trading Systems & Software

    The Global Electronic Stock Market

  4. Options & Futures

    The Kingpin Of Wall Street: J.P. Morgan ...

Hot Definitions
  1. Capitulation

    When investors give up any previous gains in stock price by selling equities in an effort to get out of the market and into ...
  2. Turkey

    Slang for an investment that yields disappointing results or turns out worse than expected. Failed business deals, securities ...
  3. Conduit Issuer

    An organization, usually a government agency, that issues municipal securities to raise capital for revenue-generating projects ...
  4. Financing Entity

    The party in a financing arrangement that provides money, property, or another asset to an intermediate entity or financed ...
  5. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  6. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
Trading Center