Regulator Publishes Guidance on Extended Trading as It Comes to Canada

The Canadian Investment Regulatory Organization says extended trading hours can offer more flexibility by allowing investors to react to new developments outside of regular hours, but it also comes with risks. CIRO made the comments in new guidance on the risks and benefits of extended trading as a new alternative trading platform brings after-hours access to investors.

Regulator Publishes Guidance on Extended Trading as It Comes to Canada

TL;DR

  • Extended trading hours offer investors more flexibility to react to developments outside regular market times.
  • CIRO has released new guidance on the risks and benefits of extended trading.
  • After-hours trading allows investors to buy and sell securities outside the typical 9:30 a.m. to 4 p.m. ET window.
  • Potential risks include lower trading volumes, greater stock price volatility, and increased market reactions to news.