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During 2005, a number of amex-listed companies transferred to the Nasdaq Global Market (formerly referred to as Nasdaq National Market). As shown by the following five matrices, the market quality for the below securities deteriorated materially after leaving the Amex. Despite the promise and perception of improved "market quality" the reality for these companies has unfortunately been quite the opposite.*
To further demonstrate how market quality deteriorated for companies that have transferred to Nasdaq Global Market, below is performance sampling of market transfers in 2005:
- During February 2005, Centrue Financial Corporation began trading its shares on the Nasdaq Global Market after moving from the American Stock Exchange.
- Volatility and spread measures for Centrue Financial Corporation increased dramatically.
- In addition, Centrue Financial Corporation experienced substantial losses in their liquidity and price.
Source: NasdaqTrader.com. A polynomial (2nd order) trendline was used.
This graph only includes NGM Registered Market Participants with a trade volume greater than 0.
*Other factors may impact the performance of above listed matrices.
- During March 2005, Dynamex Inc. began trading its shares on the Nasdaq Global Market after moving from the American Stock Exchange.
- Volatility and spread measures for Dynamex Inc. increased.
- In addition, Dynamex Inc. experienced substantial losses in their volume and liquidity.
Source: NasdaqTrader.com. A polynomial (2nd order) trendline was used.
This graph only includes NGM Registered Market Participants with a trade volume greater than 0.
*Other factors may impact the performance of above listed matrices.
- During May 2005, United Financial Mortgage Corp. began trading its shares on the Nasdaq Global Market after moving from the American Stock Exchange.
- Volatility and spread measures for United Financial Mortgage Corp. increased.
- In addition, United Financial Mortgage Corp. had experienced substantial losses in their volume, price and liquidity.
Source: NasdaqTrader.com. A polynomial (2nd order) trendline was used.
This graph only includes NGM Registered Market Participants with a trade volume greater than 0.
*Other factors may impact the performance of above listed matrices.
- During June 2005, Answers Corp. began trading its shares on the Nasdaq Global Market after moving from the American Stock Exchange.
- Trade spreads for Answers Corp. increased.
- In addition, Answers Corp. experienced substantial losses in their volume, price, and liquidity.
Source: NasdaqTrader.com. A polynomial (2nd order) trendline was used.
This graph only includes NGM Registered Market Participants with a trade volume greater than 0.
*Other factors may impact the performance of above listed matrices.
- During September 2005, Measurement Specialties Inc. began trading its shares on the Nasdaq Global Market after moving from the American Stock Exchange.
- Volatility and spread measures for Measurement Specialties Inc. increased.
- In addition, Measurement Specialties Inc. experienced substantial losses in their volume and liquidity.
Source: NasdaqTrader.com. A polynomial (2nd order) trendline was used.
This graph only includes NGM Registered Market Participants with a trade volume greater than 0.
*Other factors may impact the performance of above listed matrices.
- During October 2005, Berkshire Hills Bancorp Inc. began trading its shares on the Nasdaq Global Market after moving from the American Stock Exchange.
- Volatility and spread measures for Berkshire Hills Bancorp Inc. increased during the specified period.
- In addition, Berkshire Hills Bancorp Inc. experienced substantial losses in their volume, price. and liquidity.
Source: NasdaqTrader.com. A polynomial (2nd order) trendline was used.
This graph only includes NGM Registered Market Participants with a trade volume greater than 0.
*Other factors may impact the performance of above listed matrices.
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