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13.32
Spot on TD. It's a 'Matched' market
Jumpinjack, no, that hasn't muddied the water. I think I get it now. The fact that the sell trade only attracts a fee when the whole is completed clears it up for me, though how prices are decided still eludes me to some extent. I guess if a seller won't sell until he gets 5 cents (in the previous example), then he'll have to wait until enough buyers are queueing up and their brokers are telling them they can only get the shares they want for 5 cents?
thanks JJ, think if we can accept that direct volume comparisons between AIM & ASX+ Chi-X are difficult because of the way the markets work then that that is fine :-)
Personally I am unsure if one market actually leads the other and do not really care, we are all in this pot together.
12.27 TD
So if the broker was Comsec in my example with the 3 orders - 400k, 600k & 1million orders ( they would generally be different brokers, but I don't know what other brokers charge ), the brokerage would be 400k - $29.95, 600k - $29.95, 1million - $31.20. Each broker charges the brokerage only when each order is completely filled. It doesn't matter if, say, the 1mill seller is filled by 10 X 100k buyers. Hope this isn't getting muddier ??? LOL
GLTAH . Go 88e
12.14 & 12.22
Dead right Brom. EG On ASX If the seller is for 1million at .026 ( there may be more sells at .026 behind him) and buyers come along at .026 eg 1st one at 600k & next at 400k , the 600k gets done & seller reduces to 400k. Then the 400k buyer gets done & that seller is gone ( fully dealt ). if the numbers are uneven eg let's say the 400k buyer in our e.g. is for 500k his remaining 100k is bought auto from the next seller at .026.
It's all automatic so I can watch these trades happen instantaneously on Comsec Iress.
The 600k & 400k buyers & the 1m seller all pay their individual brokers commission ( brokerage ). On Comsec we place orders on PC/I-Phone & don't phone or talk to brokers. Brokerage is not payable until the complete orders are filled - 600k, 400k, 1mill.
So you can type in ur order & watch the numbers change on your screen auto.
Oh dear. I've just re-read this & think I should have left it the way Brom explained it. LOL.
PS. TD - You think our system is weird. It took a while for me to get my head around yours LOL. -MM's/different sell/buy prices etc
Off to bed to nurse my hangover !!
Could get expensive for the seller then, if the broker has to find lots of buyers piece meal!
just think of it the shareholder sells to the buyer thro. a broker, that is a trade.
unlike AIM the shareholder has not sold to a middle man(reported as a sell) and then the middleman has sold to a Buyer (reported as a buy).
Weird! But thanks for the chat!
As the matched trades occur they would be reported , brokers must take a commission/fee on each trade.
The seller just offers an amount of shares at a price, whether they can be sold piece meal is probably a matter of choice as each separate sale would I imagine incur a fee.
In the UK MMs provide liquidity to the market, in ASX that is not the case.
So the "trade" would only be reported when all the shares have been bought or sold, and would be reported as, in your example, 2m @ 2.5cents. But then how do the traders/brokers make any profits? They would just make a brokerage fee presumably.
it is just a seller is prepared to sell at 2.5c so a "lucky" buyer is found at 2.5c , do not think that size of trades need to match just the price, the seller will state the price he wants and how many he wants to sell, the broker will find buyers(s).
"These buy and sell orders are matched with each other. Orders are generally matched according to price and in the same sequence they were entered into the platform. "
Because of the way we work in AIM it is not an easy concept to grasp :-)
How do ASX and Chi-X report a trade once? Surely there would be two different prices for the buy and sell. Or do they report a, say, 2m trade and then the sell and buy prices together? That would only work if the trades were identical sizes. What happens if someone sells 1m, and then several people buy 100K? I don't see that can be the case.
bit more on ASX
my understanding is that although you deal via broker the broker does not buy/sell shares as the MMs in AIM will.
https://www.asx.com.au/products/shares/buying-selling-shares.htm
Shaa you need to factor in the wholesale nature of AIM, the MM gets between the buyer and the seller so we see "buys" by the MM reported and then "sells" by the MM reported, so for example 1M trades between two investors will effectively get reported as a sell of 1M and then a buy of 1M thus a total of 2M reported.
ASX & Chi-X simply report the trade once.
That is my understanding.
see mid price has moved now. :-)
Agree more buys then sells and we have done twice as much volume the ASX already, however, I can’t see a scenario where AIMis miles ahead of ASX.
Seems no matter what we do over here, we are constantly being tugged back due to what is happening in ASX.
If we get a good 12% plus on ASX then watch this baby move.