The duties of a specialist include which of the following?
I.maintain an orderly market
II.offer a higher bid price than the floor brokers
III.provide liquidity to the market
IV.purchase all shares offered as limit sells

Question

Quizplus · Accepted Answer

Specialists are responsible for maintaining an orderly market by providing liquidity to the market, which means buying and selling securities to maintain a fair and orderly trading in the market. They offer a bid-ask spread for each security and fill orders, which provides necessary liquidity or immediate execution for the traders. They do not offer a higher bid price than the floor brokers, nor they purchase all shares offered as limit sells.

The Duties of a Specialist Include Which of the Following