The Toronto Stock Exchange is the largest stock exchange in the world, the largest in Canada and the third largest in the world.
Evolution of the Toronto Stock Exchange
The Toronto Stock Exchange was formed out of the “ Association of Brokers ” in 1861. Initially it was started by 24 men who gathered at the Masonic Hall . It assumed a formal look with the incorporation of the Legislative Assembly of Ontario in 1878. Since then the Toronto Stock Exchange has shown continuous expansion except for the years that were the victims of the First World War. The Toronto Stock Exchange merged with the Standard Stock and Mining Exchange in 1934 although the name Toronto Stock Exchange was retained. In 1977, the Toronto Stock Exchange started the Computer Assisted Trading System that was used for the quotation of the less liquid entities. Soon the Toronto Stock Exchange became the sole trading ground for senior equities. In 2001 the Toronto Stock Exchange acquired the Canada Venture Exchange and it was renamed the TSX Venture Exchange in 2002.
Products and Services Offered by the Toronto Stock Exchange
Attribution Choices
The market participant has the choice either to reveal or to conceal his identity while trading. He can reveal his identity by advertising on an order-by-order basis.
Compliance Alerts Reporting System
The Toronto Stock Exchange produces daily reports which functions as an alert on a post trade basis.
Cross facilities
The Toronto Stock Exchange produces reports on the internally matched trades and integrates them in the overall share market reports. With the help of such printing materials the market participants can satisfy the varying needs of the clients.
Iceberg Orders
The Iceberg Orders serve as a protection against the large limit orders. It slices off the reserves in the market that are unexposed. The order is also shielded against the trade troughs. In this way the Iceberg Orders impart additional to the Toronto Stock Exchange.
Market Maker System
The following are the different functions of the Market maker of the Toronto Stock Exchange
- Calling a two sided market and providing market continuity within a pre-specified range.
- Enhancing the market liquidity and depth.
- Maintaining the activity in the market.
- Assisting in opening and helping in inquiries and anomalies.
Market on Close
This facility enhances the liquidity, elective anonymity and confidentiality at the closing price. This creates an ideal situation for both the index players who are seeking closing prices.