%0 Journal Article %A Richard Johnson %T Managing Risks and Avoiding Pitfalls when Interacting with Non-Displayed Liquidity %D 2008 %R 10.3905/jot.2008.708834 %J The Journal of Trading %P 34-38 %V 3 %N 3 %X The proliferation of Alternative Trading Systems in the U.S. has had a profound impact on equity trading. With estimates of the total volume executing in crossing networks around 15%, any trading strategy that does not interact with non-displayed liquidity pools will miss out on liquidity opportunities. This article focuses on some practical considerations in implementing a trading strategy that interacts with non-displayed liquidity. It will outline some potential pitfalls—particularly those that can affect the portfolio-driven investor—and provide a framework for avoiding them.TOPICS: Equity portfolio management, exchanges/markets/clearinghouses %U https://jot.pm-research.com/content/iijtrade/3/3/34.full.pdf