Preface ix
CHAPTER 1 The Role of an Equity Market 1
CHAPTER 2 From Information to Prices 33
CHAPTER 3 Liquidity 59
CHAPTER 4 What We Want from Our Markets 81
CHAPTER 5 Institutional Order Flow 114
CHAPTER 6 Order-Driven Markets 156
CHAPTER 7 Intermediated Markets 191
CHAPTER 8 The Evolving Scene in the United States 213
CHAPTER 9 The Evolving Scene in Europe 243
CHAPTER 10 Clearing and Settlement 264
CHAPTER 11 Regulation 291
CHAPTER 12 Simulated Trading 342
APPENDIX A Prices and Returns 361
APPENDIX B From Portfolio Decisions to Trading
in a Frictionless Environment 370