The role of borrowing securities mechanism, for the purpose of selling, in providing liquidity in the stock exchange : case study of “Egyptian stock exchange”
Author
Source
Issue
Vol. 12, Issue 1 (31 Dec. 2022), pp.454-468, 15 p.
Publisher
Université Blida 2-Lounici Ali Laboratoire RICOI
Publication Date
2022-12-31
Country of Publication
Algeria
No. of Pages
15
Main Subjects
Banking and Financial Sciences
Topics
Abstract EN
This study aims to identify the application of " borrowing securities" mechanism for the purpose of selling and the guidelines of dealing with them in the stock market, as well as knowing how this technique was applied by the Egyptian Stock Exchange in December 2019, and its impacts on liquidity.
The mechanism of borrowing securities for the purpose of selling works on balancing supply and demand in the market, especially in light of the application of "margin buying system".
It can also guarantee to the investor, who owns securities, the ability to invest his securities without being exposed to risks of direct trading.
As a consequence, it facilitates "the hedging process", balances the price differences, rebalances and revives the market, and causes a major rise in trading volumes and liquidity.
American Psychological Association (APA)
Saidi, Fatimah al-Zahra. 2022. The role of borrowing securities mechanism, for the purpose of selling, in providing liquidity in the stock exchange : case study of “Egyptian stock exchange”. innovation creativity،Vol. 12, no. 1, pp.454-468.
https://search.emarefa.net/detail/BIM-1375117
Modern Language Association (MLA)
Saidi, Fatimah al-Zahra. The role of borrowing securities mechanism, for the purpose of selling, in providing liquidity in the stock exchange : case study of “Egyptian stock exchange”. innovation creativity Vol. 12, no. 1 (2022), pp.454-468.
https://search.emarefa.net/detail/BIM-1375117
American Medical Association (AMA)
Saidi, Fatimah al-Zahra. The role of borrowing securities mechanism, for the purpose of selling, in providing liquidity in the stock exchange : case study of “Egyptian stock exchange”. innovation creativity. 2022. Vol. 12, no. 1, pp.454-468.
https://search.emarefa.net/detail/BIM-1375117
Data Type
Journal Articles
Language
English
Notes
Includes bibliographical references : p. 467-468
Record ID
BIM-1375117