Market makers : minimum requirements Every stock on the TSX has a list of approved market makers that have responsibilities in exchange of some benefits. Given those minimum requirements I am inclined to think that the daily trading volume (hovering around $3 million or less on most days) is mostly done between market makers and that no one is selling other than a few manipulative short sellers.
Responsibilities of TSX Registered Traders include:
- Ensure a 2-sided market within a specified range (the "Spread Goal") exists at all times. The Market Maker must enter orders to maintain this range when natural market liquidity is not present at or within the Spread Goal.
- Contribute to market liquidity and depth.
- Maintain activity in the market.
- Fulfill the needs of retail-sized order flow through the MGF facility (see below). The MGF facilityprovides a guaranteed fill at the best posted market for MGF eligible orders.
- Assist TSX and its regulators with inquiries and anomalies, report suspicious activity to IIROC.
- Service odd lots.