How Can a Large Trader Legitimately Execute a Block Trade without Triggering Manipulation Flags?

A large trader can execute a block trade legitimately by using methods designed to minimize market impact and avoid manipulative appearance. This often involves executing the trade through an Over-The-Counter (OTC) desk or a dark pool, or by using a sophisticated execution algorithm (like VWAP or TWAP) to slice the order into small pieces over a long period.

These methods ensure the trade is executed transparently and without creating artificial price movement.

How Can a Smart Order Router Enhance a Basic TWAP Implementation?
Why Is TWAP Often Preferred over VWAP for Settlement Purposes?
Can a Reference Rate Calculation Use a Combination of TWAP and VWAP?
Explain the Difference between “Real-Time VWAP” and “End-of-Day VWAP”
Can High-Frequency Trading Algorithms Exploit VWAP-based Execution Strategies?
How Can an Exchange’s Own Trading Desk Create Information Asymmetry?
What Is the Primary Difference between TWAP and VWAP Algorithms?
In What Trading Scenarios Is VWAP Preferred over TWAP for Execution Algorithms?

Glossar