New York, NY, USA June 28, 2007
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, , 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 CenterSpeed RankMarket Center
1 Liquidnet 1BATS Trading
2Instinet2Goldman Sachs
3Nasdaq MC3Instinet
4Knight4Nasdaq MC
5Citadel Derivatives4Madoff
Source: Celent analysis
Ranking Major Electronic Order Books
Price Rank Major Electronic Order BookSpeed Rank
Major Electronic Order Book
1 Nasdaq MC 1BATS
2ArcaEx2Nasdaq MC
3BATS3ArcaEx
4Track ECN4Direct Edge
5Direct Edge5Tradebook
6 Tradebook 6 Track ECNSource: Celent analysis
Ranking Major Market Makers
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:
- Execution Quality in the NYSE Market
| 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 | ||||
