Question
NASDAQ has which of these features?
Multiple select question.
Physical trading floor
Multiple market maker system
Computer network of securities dealers
Single DMM system
Multiple select question.
Physical trading floor
Multiple market maker system
Computer network of securities dealers
Single DMM system
Answers
GPT-4o mini
The NASDAQ has the following features:
1. **Multiple market maker system** - NASDAQ operates with multiple market makers, allowing for competition and better pricing among them.
2. **Computer network of securities dealers** - NASDAQ is an electronic exchange and operates as a computer network of securities dealers rather than relying on a physical trading floor.
The NASDAQ does **not** feature:
- **Physical trading floor** - NASDAQ does not have a traditional physical trading floor like other exchanges (e.g., the NYSE).
- **Single DMM system** - NASDAQ does not use a Designated Market Maker (DMM) system; instead, it uses market makers who can provide liquidity for the securities they trade.
So, the correct features of NASDAQ are **Multiple market maker system** and **Computer network of securities dealers**.
1. **Multiple market maker system** - NASDAQ operates with multiple market makers, allowing for competition and better pricing among them.
2. **Computer network of securities dealers** - NASDAQ is an electronic exchange and operates as a computer network of securities dealers rather than relying on a physical trading floor.
The NASDAQ does **not** feature:
- **Physical trading floor** - NASDAQ does not have a traditional physical trading floor like other exchanges (e.g., the NYSE).
- **Single DMM system** - NASDAQ does not use a Designated Market Maker (DMM) system; instead, it uses market makers who can provide liquidity for the securities they trade.
So, the correct features of NASDAQ are **Multiple market maker system** and **Computer network of securities dealers**.