Auction exchange

To reach this minimum amount as soon as possible as well as to reduce the level of their liabilities, smoothen their debt s redemption profile or improve the liquidity of selected issues, many European Debt Agencies carry out bond exchange auctions and/or buybacks. These operations... 

In this regard, it is also important to add to the amounts due to mature the possible buybacks or exchange auctions. These targeted bonds would tend to trade rich as the market would assume that the Treasury buying back these bonds could be keen to pay a premium to retire the largest possible amount of those bonds. 

Finally, pricing mechanisms are an important aspect investigated in micro-economics specifically in auction theory. Three different types of pricing mechanism relations exist bilateral negotiations, single-sided auctions and many-to-many exchanges as shown in fig. 11. 

Bilateral negotiation Single-sided auction Exchange... 

The sales market constellation for these commodities is relatively mature leading to an oligopoly constellation with few customers and few suppliers. Price mechanisms are bilateral negotiations between customers and suppliers no formal exchanges or single-sided auctions are considered from the selling company perspective. The second part of the sales characteristics is shown in table 9. 

This trend is likely to continue (and possibly accelerate) with the emergence of e-commerce and its market-making models such as exchanges and reverse auctions. The only areas that appear safe are those true specialties where suppHers have a unique technology or product. 

E-trading platform Focus on highly standardized commodity chemicals Real-time auctions Financial products for risk management E-exchange Focus on intermediates, fine chemicals and specialties Auctions based on bid and ask system Additional value added services, e.g., online product testing... 

It was difficult to consider other Member States NAPs since they were to be submitted at the same time as the Swedish NAP. There was, however, some exchange of information between Member States in Working Group 3 (WG3) and in other informal fora. This did contribute to the result that Sweden decided to have a new entrants reserve, that Sweden did not auction, and that Sweden did not allow for banking between the first and second trading periods (T. Borgstrom, pers. comm.). 

Auctions may also be classified according to the different institutional rules governing the exchange. These rules are important because they can affect bidding incentives and thus the type of items offered and the efficiency of an exchange. There are four primary types of auctions ... 

Keywords Software agents Auctions Agent-based computational economics ACE Agent-based modelling ABM Automated trading Computational finance ExPo Exchange portal Assignment... 

An auction is a mechanism whereby sellers and buyers come together and agree on a transaction price. Many auction mechanisms exist, each governed by a different set of rules. In this paper, we focus on the Continuous Double Auction (CDA), the most widely used auction mechanism and the one used to control all the world s major financial exchanges. The CDA enables buyers and sellers to freely and independently exchange quotes at any time. Transactions occur when a seller accepts a buyer s bid , or when a buyer accepts a seller s ask . Although it is possible for any seller to accept any buyer s bid, and vice-versa, it is in both of their interests to get the best deal possible at any point in time. Thus, transactions execute with a counter party that offers the most competitive quote. 

Milgrom and Weber (1982) describes a variant of the English Auction where the price is posted electronically. All bidders are active at price zero. The price is raised continuously, and a bidder who wishes to remain active at the current price must depress a button. When she releases the button, she is dropped out of the auction. No bidders who has dropped out can become active again. After any bidder withdraws, all remaining bidders know the price at which she drops out. When there is only one bidder left in the room, the auction ends. McAfee (1992) proposes an oral double auction work in a similar fashion, but with multiple buyers and sellers. In the following, we use the oral double auction model to characterize the basic functions of exchange coordination carried out by a market intermediary (see Figure 3.4). 

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