Is Market Fairness an Illusion or Reality?
Are there equal opportunities between individual and institutional investors?
Financial markets are often described as having tools to achieve equality, and anyone, regardless of their background or capital size, can participate and have fair opportunities for success.
Despite financial platforms raising slogans of "equal opportunities," questions are increasing about the realism of this hypothesis, especially in light of the technological and structural transformations occurring in modern markets.
Theoretically, market fairness means that all investors have equal access to information, and transactions are executed in a fair and neutral environment, allowing for the fair distribution of opportunities and risks.
When looking at the disparity in the size of institutions versus individuals, we find that institutional investors such as hedge funds, pension funds, and investment funds control most of the global capital, and the large acquisition ratios granted to these institutions give them the ability to negotiate for lower execution costs and access to pre-IPO private placements and large block trades.
In contrast, the individual investor faces several challenges, including higher trading fees, access to delayed data, and often a lack of access to financial products.
Do you feel fairness on the Binance platform? Let us know your opinion in the comments.
