Does Risk Sharing Motivate Interdealer Trading?
利用伦敦证券交易所的独特数据，研究交易商之间的交易是否有助于分担库存风险，通过分析极端库存周期中的交易模式验证理论预测。
We use unique data from the London Stock Exchange to test whether interdealer trade facilitates inventory risk sharing among dealers. We develop a methodology that focuses on periods of “extreme” inventories—inventory cycles. We further distinguish between inventory cycles that are unanticipated and those that are anticipated because of “worked” orders. The pattern of interdealer trade during inventory cycles matches theoretical predictions for the direction of trade and the inventories of trade counterparts. We also show that London dealers receive higher trading revenues for taking larger positions.