What Is an Invisible Trade?
The intangible market is a space that does not require a fixed place and place. The supply and demand parties negotiate face-to-face or negotiate through telecommunications to complete financial transactions. In the West, in addition to stock exchanges, the intangible market is actually a telephone trading market. As another example, interbank borrowing in the money market is based on the reserve requirements of deposits with the central bank. For temporary short-term loans between financial institutions, the party with the funds can find the borrower, the party with the shortfall of funds can find the lender, and the borrower can also be found through a broker. As for the transactions of Treasury bills and large-term deposit certificates, they are mostly handled through telecommunications networks. In the future with the development and improvement of computer technology, financial market transactions will be conducted mainly through telecommunications. [1]
Invisible market
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- Chinese name
- Invisible market
- Form of transaction
- No trading venue or lobby
- Features
- No fixed trading venue
- On behalf of
- Modern financial market
- The intangible market is a space that does not require a fixed place and place. The supply and demand parties negotiate face-to-face or negotiate through telecommunications to complete financial transactions. In the West, in addition to stock exchanges, the intangible market is actually a telephone trading market. As another example, interbank borrowing in the money market is based on the reserve requirements of deposits with the central bank. For temporary short-term loans between financial institutions, the party with the funds can find the borrower, the party with the shortfall of funds can find the lender, and the borrower can also be found through a broker. As for the transactions of Treasury bills and large-term deposit certificates, they are mostly handled through telecommunications networks. In the future with the development and improvement of computer technology, financial market transactions will be conducted mainly through telecommunications. [1]
- The characteristic is that there is no fixed trading place, there are many relatively unfixed people engaged in transactions, and transactions can even be performed using virtual networks.
- Most modern financial markets are invisible.