What Are the Alternatives to Midpoint Matching in Dark Pools?

Alternatives to midpoint matching include pegging orders to the bid or offer price, or using a "VWAP" (Volume-Weighted Average Price) order type. Some dark pools use internal crossing networks that execute at a price determined by a pre-negotiated or pre-agreed formula, often related to a time-weighted average price.

Others may use a mechanism that executes at a price that is a small increment inside the NBBO.