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The NYSE Specialist System: How Floor Trading Used to Work

Wall Street Mechanics — The Insider Curriculum • Beginner Investing • 7 min

For nearly 200 years, if you wanted to trade a specific stock on the New York Stock Exchange, you had to go through a specialist. This person was stationed at a designated post on the trading floor. Their job? To keep what regulators called a "fair and orderly market" for one or more assigned stocks. This wasn’t just sitting back. Specialists actively smoothed out temporary imbalances between buyers and sellers.…

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