Advanced English Dialogue for Business – Registered competitive market maker

Listen to a Business English Dialogue about Registered competitive market maker

Justin: Hi Kinsley, have you ever heard of a registered competitive market maker?

Kinsley: No, Justin. What exactly does a registered competitive market maker do?

Justin: A registered competitive market maker is a trader or firm that participates in a securities exchange by providing liquidity and facilitating trading in specific securities.

Kinsley: I see. So, they play a crucial role in maintaining an orderly and efficient market by ensuring there are buyers and sellers for securities.

Justin: Exactly. Market makers help enhance market liquidity and promote price discovery by quoting bid and ask prices for securities they specialize in.

Kinsley: Are there any regulations or requirements for becoming a registered competitive market maker?

Justin: Yes, there are. Market makers must meet certain criteria set by the exchange, such as maintaining minimum capital requirements and fulfilling obligations to provide continuous quotes and liquidity.

Kinsley: I see. So, being a registered competitive market maker requires compliance with regulatory standards and active participation in the market.

Justin: That’s correct. Market makers play a vital role in facilitating trading and contributing to the overall efficiency of the financial markets.

Kinsley: Thanks for explaining, Justin.

Justin: You’re welcome, Kinsley. If you have any more questions, feel free to ask!