Iceberg Order

Iceberg Order

An order to buy or sell a large amount of a security in smaller quantities. Iceberg orders are often executed using a computer program that executes each tranche in succession at certain time. Institutional investors may use iceberg orders so observers do not see the sudden increase in interest in a security, which would likely cause a fluctuation in price. The term comes from the observation of a tip of an iceberg above the water, which only reveals a small part of the full iceberg.
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An iceberg order is generated by an algorithm, which slices the order into smaller orders and only submits one slice to the trading platform at a time.
Singapore, Jan 3, 2012 - (ACN Newswire) - Singapore Exchange (SGX) is consulting the public on its proposal to remove the engine-level iceberg order functionality in the securities and derivatives markets.
The iceberg order functionality is utilised primarily by investors who trade largequantities.
An iceberg order refers to a type of order where only a small part of the order book volume is visible, in order to avoid major price movements.
TOKYO -- Instinet, a global leader in electronic trading and agency-only brokerage, today announced that its Instinet Japan Limited subsidiary has added hidden and iceberg order types to CBX ASIA([TM]) in Japan, previously a fully displayed trading venue.
Agency-only brokerage adds additional VWAP cross to JapanCrossing and Iceberg order type to CBX ASIA
Non-displayed orders will execute only after all TSX/TSXV visible and iceberg orders at the same price have been executed, ensuring that the quality of the visible market is maintained.
Synthetic iceberg orders on CQG rely on server-side technology to place iceberg-style orders while monitoring the order book to recognize and react to favorable market conditions that last only a millisecond.
CBX ASIA members now have access to hidden and iceberg orders for trading Japanese stocks on the platform.
In addition to standard order types such as Market, Limit, Stops, Hidden and Iceberg Orders, Currenex's Conditional Orders have been added to allow traders to define separate orders that are linked to each other and set to react based on predefined parameters.