Chapter 12 Video 7 5:18

Dark pools are a type of electronic trading system that allows institutions to trade large blocks of stocks without displaying the orders and prices. This helps them reduce transaction costs and avoid affecting market prices with their large orders. Chapter 12, Video 7, 5 minutes 18 seconds. Dark pools allow institutional trading through specific ECNs designed for large block trades without displaying the orders and prices. This allows institutions to have lower transaction costs and avoids the problem that occurs from large orders affecting the trading market prices.