The market maker system of the New Third Board is a securities company and a qualified non-brokerage institution, which uses its own funds to participate in the trading of the New Third Board and obtains benefits through the price difference of proprietary trading. Learn more about the New Third Board through the New Third Board Capital Circle. \x0d\\x0d\ Introduction to the market maker system \x0d\\x0d\ First, let's learn about the market maker system. Market makers are securities companies and qualified non-brokerage institutions. They use their own funds to participate in the trading of the New Third Board, hold shares in listed companies of the New Third Board, and earn profits by buying and selling the price difference themselves. At the same time, securities companies will use their numerous business outlets to promote qualified customers to open investment rights in the New Third Board, thus improving the activity of the overall trading of the New Third Board and making it full of vitality. \ x0d \ x0d \ market maker system, that is, quotation-driven system, the specific process is: market makers establish and adjust the appropriate stock of market-making securities, give the buying and selling prices of stocks, and then accept buying and selling instructions at the quotation position, that is, market makers buy with their own funds when investors give selling instructions, and sell with stock securities when investors give buying instructions. If stocks and securities are insufficient, they will buy from other market makers, and finally, adjust the market making according to market conditions. From a global perspective, there are 10 GEM with pure continuous bidding transactions, while there are 4 single market makers and 8 mixed-mode GEM respectively. It can be seen that, from an international perspective, the GEM market of the market maker system accounts for the majority. \ x0d \ x0d \ Advantages and disadvantages of market maker system \ x0d \ x0d \ 1. Advantages of adopting market maker system \ x0d \ x0d \ 1. Increase stock liquidity and keep trading active. \x0d\\x0d\ Introduce the market maker system. On the one hand, market makers bid continuously in the secondary market, and investors can trade in real time according to market makers' quotations without waiting for trading instructions from counterparties, which is of great significance to the processing of securities with small trading volume and inactive trading and large orders. On the other hand, for less popular trading market makers, they can use their own funds to intervene in stock trading, organize market activities, increase the attractiveness of quotations, create artificial markets for trading, and help invigorate the securities market. \ x0d \ x0d \ 2。 Restrain price fluctuation and maintain market stability. \ x0d \ x0d \ Due to the short-term imbalance between supply and demand, the price of securities may deviate from its true value. Market makers can maintain price stability through the following points. \x0d\\x0d\( 1) The quotation in the market does not fluctuate randomly with the short-term supply-demand relationship, but is constrained by the rules of the securities trading market, so that the fluctuation of the stock price can be limited to a certain range; \x0d\\x0d\(2) Market makers can handle large orders in time to slow down their impact on prices; \x0d\\x0d\(3) When the buying and selling orders are unbalanced, market makers can stabilize the price fluctuation and ease the contradiction between supply and demand. \x0d\\x0d\3。 It is beneficial to restrain the price deviation and make the market price close to the real value. \x0d\\x0d\ Because of the special position of market makers in the market, they have mastered a lot of important information, and formed the buying and selling quotation on the basis of information processing, so that the information mastered by market makers can not only be reflected in the quotation, but also guide the investment decision, thus affecting the quotation. In this process, the securities price gradually converges to its real price. \ x0d \ x0d \ Second, the defects of adopting the market maker system \ x0d \ x0d \ 1, lack of transparency. Under the quotation-driven system, the information of orders is concentrated in the hands of market makers, who have information advantages. The release of transaction information entrusted by unfinished business to the whole market is relatively lagging behind, which reduces the transparency of transactions. Not conducive to the improvement of market efficiency and the protection of investors' interests. \ x0d \ x0d \ 2。 Collusion and monopoly increase the possibility of stock market manipulation. Market makers may arbitrarily expand the bid-ask spread in order to maximize profits, and at the same time increase the difficulty of the regulatory authorities. \ x0d \ x0d \ 3。 Increase the burden on investors. Market makers undertake market-making obligations, and it is risky to invest their own funds. Market makers will demand compensation for the services they provide and the risks they take, and gain profits, and part of the price difference will be obtained by market makers, which will increase operating costs and increase the burden on investors.