The Unintended Consequences
Traders Magazine, November 2003
Decimalization seems to be working for the odd lot investor, but not for the rest of the market. So says Joan Stack, the new trading manager at OPERS, the Ohio Public Employees Retirement System. Stack frequently thinks about market structure issues. "Decimalization may be good for the person who wants to buy 100 shares," she acknowledged. "But if you represent 750,000 retail investors and it's now taking longer and costing you more to complete trades on their behalf, that hurts the ultimate retail investor." What's missing is the recognition that institutional investors are often "aggregated retail customers," she said.
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