Front Running Definition Examples How Traders Use It
Front Running Definition How Does it Work? With the motive of gaining an economic advantage, when a broker or trader trades before a large non-published order, such practice is front running. For example, a broker gets an order from a client to buy one million shares of a Syndicate company. Before executing the client’s request, the broker places an order for the same stock for his account. Then places, the client’s order, which makes the stock price rise sharply due to the client’s bulk order, creating a huge instant profit for the broker....