Impact assessment

Computer trading: tick size regulation - costs, benefits and risks

Economic impact assessment on a prescribed minimum tick rule.

Documents

Tick size regulation: costs, benefits and risks (EIA7)

Request an accessible format.
If you use assistive technology (such as a screen reader) and need a version of this document in a more accessible format, please email contact@go-science.gov.uk. Please tell us what format you need. It will help us if you say what assistive technology you use.

Details

Tick size is the minimum variation in the price of a security. This economic impact assessment looks at the desirability of a prescribed minimum tick rule. The aim of such a rule would be to prevent a race to the bottom and provide for a more stable and liquid capital market with low trading costs.

This impact assessment was commissioned as part of the Foresight project on the future of computer trading.

Published 31 August 2012