Chapter 1 (part 5)

Question 1

What is a Dealer Market?

Answer 1

Dealer Markets are a network of dealers that trade with each other directly on a negotiated market with market makers.

Securities traded are unregulated on Dealer Markets.

Dealer Markets are also referred to as Over the counter markets (OTC) or unlisted Markets.

Question 2

What securities are almost always traded on Dealer Markets?

Answer 2

Bonds and Debentures

Question 3

Where are companies required to report trades on the unlisted markets?

Answer 3

In Ontario, The Ontario Securities Commission requires that trades of unlisted securities be reported though the Canadian Unlisted Board Inc.

Question 4

What are the 3 fixed income trading systems?

Answer 4

1. CanDeal
2. CBID
3. CanPX

Question 5

What is a Alternative Trading System (ATS)?

Answer 5

An electronic market place that provides automated trades of listed securities.

Question 6

What is an Auction Market?

Answer 6

Investors buy and sell stocks on a single market and compete against each other.