National Market System financial definition of National Market System. National Market System finance term by the Free Online Dictionary.

National Market System (NMS)

Refers to over-the-counter trading. System of trading OTC stocks under the sponsorship of the NASD. Must meet certain criteria for size, profitability and trading activity. More comprehensive information is available for NMS stocks than for non-NMS stocks traded OTC (high, low, and last-sale prices, cumulative volume figures, and bid and ask quotations throughout the day). This is due to the fact that market makers must report the actual price and number of shares in each transaction within 90 seconds verses nonreal-time reporting for non-NMS stocks (thus, last sales prices and minute-to-minute volume updates are not possible).

National Market System

A trading system listing securities that trade in both New York and on regional exchanges. This allows investors to find the best price available for securities. The NMS also facilitates trading of certain over-the-counter stocks. It is sponsored and managed by NASDAQ and FINRA. See also: 19c-3 stock.

national market system (NMS)

1. A centralized system for reporting transactions and quotations from all qualified market makers. A national market system has been encouraged by the SEC as a trading system that would increase competition among exchanges and market makers, thus providing investors with more liquidity and better prices. Essentially, a national market system is envisioned as a single large market in which market makers are linked by telecommunications with information being freely available. Customer orders would be automatically filled at the best available prices.

2. See Nasdaq.

National Market System (NMS). The National Market System (NMS) links all the major stock markets in the United States and was developed to foster competition among them.

Federal rules require these trading centers to ensure that transactions are executed at prices at least as good as protected quotations displayed at another center. A protected quotation is one that's immediately and automatically accessible.

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19c-3 Stock 19c3 Stock Central Limit Order Book Globex Integrated Financial Market Island Margin Stock NASDAQ Small-Cap Companies National List NMS Order Protection Rule Regional Exchange Rule 19c-3 Small Order Execution System			html About CHX CHX is an integral part of the National Market System offering competition to all U. CHX Announces Extended Trading Hours by Business Wire 00, the Exchange's "provide credits" are among the highest paid by the National Market System exchanges. CHX Raises Rebate for Providing Liquidity by Business Wire About CHX CHX is an integral part of the National Market System offering competition to all U. CHX Announces New Fee Structure by Business Wire			National Brand National Bulk Mail System National Bureau of Economic Research National Clearing Corporation National Conference of Commissioners on Uniform State Laws National Credit Union Administration National Debt National Economic Development Council National Environmental Policy Act National Federation of Independent Businesses National Flood Insurance Program National Foundation for Consumer Credit National Futures Association National Health Service National Housing Act National Income National Institute of Standards and Technology National Insurance Contributions National Intelligence Council National Investor Relations Institute National Labor Relations Act National Labor Relations Board National List National Market National Market Advisory Board National Market System National Monetary Council National Newspaper Association National Opinion Research Center National Pharmaceutical Stockpile National Plan National Public Accountant National Quotation Bureau National Registration Database National Research and Education Network National Reserve Bank of Tonga National Salary National Savings National Savings Bank National Savings Certificate National Savings Stock Register National School Lunch Program National Securities Clearing Corporation National Securities Markets Improvement Act of 1996 National Securities Trading System National Security Controls National Security Council National Security Directive #53 National Security Directives National Security Override National Stock Exchange			National Maritime Day National Maritime Development Programme National Maritime Event Database National Maritime Heritage Foundation National Maritime Historical Society National Maritime Information Database National Maritime Institute National Maritime Intelligence Center National Maritime Intelligence Database National Maritime Museum National Maritime Museum Association National Maritime Museum Cornwall National Maritime Museum of Canada, Pacific National Maritime Museum, Greenwich National Maritime Research Institute National Maritime Resource and Education Center National Maritime Security Advisory Council National Maritime System National Maritime Transportation Security Plan National Maritime Union National market National Market Advisory Board National Market News Association National Market Practice Group National Market System National market system plan National Market Traders Federation National Marketing & Sales Company National Marketing Action Team National Marketing Company National Marketing Educators Association National Marketing Manager National Marketing Organization National Markets National Marriage Guidance Council National Marriage Guidance Council National Marriage Project National Marrow Donor Program National Marrow Donor Program National Marshmallow Roasters Institute National Martial Arts College National Martial Arts Day National Martin Luther King Jr. Drum Major for Justice Battle of the National Mass Fatalities Institute National Mass Movement of Nigeria National Massage Therapy Awareness Week National Massage Therapy Institute National Mastectomy and Breast Reconstruction Audit National Master Automobile Transporters Agreement National Master Facility Inventory National Master Field Retriever