program trading
- noun
- /ˈproʊɡræm ˈtreɪdɪŋ/
- Specialized
- Using program trading, investors can quickly buy and sell large quantities of stocks through automated systems.
- computer-based program trading
- limits on program trading
- program trading of stock
Examples
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Many hedge funds utilize program trading to optimize their stock transactions and adapt to market fluctuations.
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I'm starting to seriously believe in program trading and the human nature behind programming those "trade-bots."
Blog text (23) -
And the Brady Commission did a report on that stock market drop and concluded that program trading, computer trading, had played a big role in the drop.
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As an aside, a couple of the wrap program trading desks were my clients while I was an institutional salesman, and, to be frank, I was never that impressed with what I saw being done for clients.
Blog text (17) -
If we want computerized program trading for enhanced liquidity, it is OK to do it one step back from actual ownership (for instance, in mutual funds).
Blog text (2) -
As we move to harmonize financial regulations globally, regulators must themselves use models to understand how program trading drives volatility and how to test alternative regulatory mechanisms.
Academic text (2009) -
Against this background, consider the introduction of computer-based program trading, arguably the most important change in global investing since the founding of the first mutual fund—the Massachusetts Investors Trust—in 1924.
Academic text (2009) -
The introduction of program trading has revolutionized the way large-scale stock trades are executed in the financial industry.
How Automated
- Specialized
- Specialized
Surface Forms
Morphology
The meaning 'trading executed by computer programs' is directly and transparently derived from combining 'program' (computer instructions) with 'trading' (buying and selling). This noun-noun composition follows a straightforward compositional pattern familiar across languages, so a B1 learner who knows both constituents would readily infer the core meaning (even if they may not grasp technical details like large block orders).
Etymology
Program trading comes from the image of a program, a set of computer instructions, doing the trading for you like a fast robot that follows rules and buys or sells many stocks. That's why it means 'buying and selling stocks automatically by computer programs'.