We are pleased to announce the China Securities Market Quality Report and the China Market Quality Cooperative Research Centre were launched April 21 in China. It follows the successful award of the China Scholarship Council to support higher degree research collaboration between CMCRC, Macquarie University and Nankai University. The 475 page report was well received by
This paper analyzes how a maker-taker fee reduction affects market competition, liquidity, and high frequency trading. The purposes are threefold: 1) whether reducing the exchange maker-taker fee attracts liquidity from off-exchange venues; 2) holding the net exchange fee relatively constant, whether the components of the maker-taker fee change matter; and 3) how HFT responds to
In the US, shareholders can form a class action to sue a company under S10b-5 of the Securities Exchange Act for allegedly releasing misleading information, or for failing to disclose material information. The substantial cost of litigation, and its associated impact on shareholder value, has prompted debate over whether to reform access to the shareholder
The recent high profile court cases in the U.S., UK and China on high frequency trading (HFT) have further elevated the concerns about HFT. In particular, a core issue in the ongoing debate is the impact of HFT on market liquidity. Market participants have long argued that the liquidity provided by HFT traders is illusory