How Does ‘Price Improvement’ Benefit Institutional Traders?
Price improvement benefits institutional traders by reducing their overall transaction costs and improving their portfolio performance. Even a small improvement per share or coin, when scaled across a massive block trade, translates into significant cost savings.
This ability to execute large trades with minimal market impact and better pricing is the core value proposition of dark pools for institutions.
Glossar
Price Improvement
Benefit ⎊ Price Improvement is the execution of an order at a price superior to the best available public quote at the time of order submission, often achieved by interacting with internalizers or through specialized order routing logic.
Institutional Traders
Capital ⎊ Institutional traders, within cryptocurrency derivatives and options markets, represent a significant source of liquidity and price discovery, often deploying substantial capital across diverse strategies.