Electronic Communication Network (ECN)
An electronic system that attempts to eliminate the role of a third party in the execution of orders entered by an exchange market maker or an over-the-counter market maker, and permits such orders to be entirely or partly executed. Investopedia Says:
An ECN connects major brokerages and individual traders so that they can trade directly between themselves without having to go through a middleman. Related Terms:
Hybrid Market
Market Maker
Nasdaq
Order Audit Trail System - OATS
Over the Counter - OTC
Prop Shop
SelectNet
Small Order Execution System - SOES
Trading Session
Xetra |