Distinctive Features of Stock Exchanges

Very Hard Equity Markets And Instruments Stock Exchanges

In today's globalized economy, stock exchanges play a pivotal role in capital markets. Different stock exchanges around the world have their own unique attributes and functions.

One significant characteristic that varies among major stock exchanges is the method they use to facilitate trading. For example, while some exchanges use an open outcry system, others have transitioned to electronic trading platforms. Additionally, the concept of market makers plays an integral role in providing liquidity.

Given this context, which of the following statements accurately describes a distinctive feature of stock exchanges?

The New York Stock Exchange (NYSE) operates under a fully electronic trading model, eliminating the need for physical trading floors.

The Tokyo Stock Exchange (TSE) utilizes a hybrid model combining both electronic and traditional open outcry trading to enhance liquidity.

The London Stock Exchange (LSE) requires all listed companies to adhere to a strict market maker system for trading, which limits investor access to certain securities.

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