The advantage of electronic communication networks (ECNs)is that they:

Question

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Electronic communication networks (ECNs) can speed up transactions by providing a direct electronic link between buyers and sellers, enabling trading to occur in real-time without the need for intermediaries. This can result in faster execution and settlement times, which can be particularly advantageous for high-frequency traders and investors looking to take advantage of short-term price movements. While ECNs may help to reduce the incidence of fraud, they cannot guarantee the sale of all the securities of listed firms or identify and contact accredited investors, which are separate functions that may be performed by other entities such as stock exchanges or broker-dealers.

The Advantage of Electronic Communication Networks (ECNs)is That They