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Single-Price Auction System for the Istanbul Stock Exchange

Author

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  • Güray Kucukkocaoglu

Abstract

In the single-price auction system, for a predetermined period of time, all the buy orders are collected to form a negatively sloped demand curve and all the sell orders are collected to form a positively sloped supply curve in order to get an equilibrium price and maximum amount of quantity transaction, as a result of the interaction of these two curves again in a predetermined time instant. The aim in this work is to enlighten the reader about the different applications of this system in different stock exchange markets all around the world, to comment on the advantages and disadvantages and to investigate its suitability to the Istanbul Stock Exchange (ISE).

Suggested Citation

  • Güray Kucukkocaoglu, 2005. "Single-Price Auction System for the Istanbul Stock Exchange," Istanbul Stock Exchange Review, Research and Business Development Department, Borsa Istanbul, vol. 8(29), pages 65-79.
    • Handle: RePEc:bor:iserev:v:8:y:2005:i:29:p:65-79
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    File URL: http://www.borsaistanbul.com/datum/imkbdergi/EN/ISE_Review_29.pdf
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    References listed on IDEAS

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