Program trading involves

Question

Quizplus · Accepted Answer

Program trading is a computer-driven strategy used by institutional traders to buy or sell a large basket of 15 or more stocks. This strategy allows traders to execute trades quickly and efficiently, often in response to market volatility or changes in market conditions. Online trading services (A) refers to the platform provided by electronic trading securities firms for customers to buy and sell securities. Purchase and sale of assets that are potentially but not necessarily equivalent (C) refers to asset swaps, which are not related to program trading. Buying blocks of securities in anticipation of some information release (D) refers to insider trading, which is illegal.

Program Trading Involves