NYSE Specialists going away next year?

[Triple X]

One of the traders on CNBC Fast Money (Tim Strazzini) just said all of the Specialists will be gone from the NYSE next year. Will the NYSE trade like Nasdaq?

 

[Surdo]

Actually, one of the Muppets on Bloomberg TV confirmed 11 WALL Street , NYSE, will be turned into a Financial Museum in a year's time.

The Specialists will run tours and help out in the gift shop.

 

[Newatthis]

Doubtful. The Specialists serve a vital function in a lot of stocks.

 

[volatilitypimp]

Quote from Surdo:

will be turned into a Financial Museum in a year's time.

The Specialists will run tours and help out in the gift shop.

At least that'll liven the place up. That place is like a library during trading hours. :eek:

 

[Hydroblunt]

Quote from Newatthis:

Doubtful. The Specialists serve a vital function in a lot of stocks.

HAHAHAHAHAHA,

Yeah, you definitely are "new at this".


But seriously, do not even try that "liquidity" and "fair & orderly" market argument. Only time they provide liquidity is when front run someone for a guaranteed profit.

 

[cashonly]

Quote from Newatthis:

Doubtful. The Specialists serve a vital function in a lot of stocks.

Yeah, making significant $$$ for the firms that hire them!

 

[cashonly]

Quote from Newatthis:

Doubtful. The Specialists serve a vital function in a lot of stocks.

Yeah, making significant $$$ for the firms that employee them!

 

[Math_Wiz]

What percentage of the trading profits does the specialist get to keep, and what percentage goes to the firm?

+-*/ Math_Wiz

 

[88888accountant]

Quote from Hydroblunt:

HAHAHAHAHAHA,

Yeah, you definitely are "new at this".


But seriously, do not even try that "liquidity" and "fair & orderly" market argument. Only time they provide liquidity is when front run someone for a guaranteed profit.

No kidding, check out PEG for friday. the stock traded 9 million shares that day and the specialist let the stock drop $1.50 on a 100 000 share order!

Some specialists do help though. I remember goldman dumped over a billion dollars on Exxon in one print, and the specialist held the stock up. (he held it down over the next 2 weeks while he liquidated, but he did his job, even if it meant he might actually lose some money, which I doubt he did)

bottom line, the market is inconsistent enough, without having to determine if the specialist does his job with decorum like Exxon, or deceitfulness like, AMD.

 

[Szeven]

Quote from 88888accountant:



Some specialists do help though. I remember goldman dumped over a billion dollars on Exxon in one print, and the specialist held the stock up. (he held it down over the next 2 weeks while he liquidated, but he did his job, even if it meant he might actually lose some money, which I doubt he did)

I thought goldman stepped in and bought that stock, the seller was 'unknown' selling 24 millions shares in one print.