A prestigious seat on the New York Stock Exchange is plummeting in value. Three seats sold on August 3 fetched 11% less than a seat sold for just four weeks ago, said industry sources. Industry experts blame the decline on slower volume on the exchange which shrinks fees, as well as thinner spreads between bid- and-ask prices for stocks traded.
Some investors believe a proposed phase-out of historical floor trading in favor of an all-electronic trading system could limit the potential for some seat owners to find trading profit growth. The new electronic system, however, would equip seat owners with full capabilities to do trades electronically for customers.
Read the New York Post article here.