New York, NY, USA
June 28, 2007 Execution
Quality in the
Nasdaq Market
Report Published by Celent
An extensive study from Celent compares and
ranks execution venues for Nasdaq stocks.
In a study that analyzes data for over 5
billion orders and over 240 billion shares, Celent compares and ranks the
leading market centers. According to the report, Execution Quality in
the Nasdaq Market, in terms of the overall ranking, Liquidnet achieved
the best prices, followed by Instinet and then Nasdaq MC, which was not
far behind. BATS Trading was found to be the fastest execution venue.
Among major market makers, Knight took the
top position for both price and speed. Knight displaced Citadel, which
held these positions during Celent's last study.
In the overall ranking for major electronic
order books, Nasdaq MC was first for price, and BATS Trading was found to
be the fastest execution venue. Nasdaq MC fared much better in this report
and things are considerably faster when compared to Celent's 2006 study.
It appears that the teething pain associated with integrating Nasdaq's
three separate platforms has been overcome, says Octavio
Marenzi, CEO of Celent and author of the report.
Overall Ranking of Market
Centers
| Price Rank |
Market Center |
|
Speed
Rank |
Market Center |
| 1 |
Liquidnet |
|
1 |
BATS Trading
|
| 2 |
Instinet |
|
2 |
Goldman Sachs |
| 3 |
Nasdaq
MC |
|
3 |
Instinet |
| 4 |
Knight |
|
4 |
Nasdaq MC |
| 5 |
Citadel
Derivatives |
|
4 |
Madoff |
|
Source:
Celent analysis |
Ranking Major Electronic
Order Books
| Price Rank |
Major
Electronic
Order Book |
|
Speed
Rank
|
Major
Electronic
Order Book
|
| 1 |
Nasdaq
MC |
|
1 |
BATS
|
| 2 |
ArcaEx |
|
2 |
Nasdaq MC |
| 3 |
BATS |
|
3 |
ArcaEx |
| 4 |
Track
ECN |
|
4 |
Direct Edge |
| 5 |
Direct
Edge |
|
5 |
Tradebook |
| 6 |
Tradebook |
|
6 |
Track
ECN |
|
Source:
Celent analysis |
Ranking Major Market
Makers
| Price Rank |
Major
Market Maker |
|
Speed
Rank |
Major
Market Maker |
| 1 |
Knight |
|
1 |
Knight
|
| 2 |
Citadel |
|
2 |
ATD |
| 3 |
ATD |
|
3 |
Citadel |
| 4 |
UBS |
|
4 |
E*Trade |
| 5 |
E*Trade |
|
5 |
UBS |
| 6 |
Citigroup |
|
6 |
Citigroup |
|
Source:
Celent analysis |
A table
of contents is available online. The 32-page report contains 21 charts
and eight tables.
This report is the latest Celent report in
a series of studies analyzing market centers’ execution quality. Prior
to this report, the most recent studies in the series were published in
February 2007:
|
