Wall Street professionals have a broadly positive perception of prediction markets, but the nascent sector’s lack of liquidity is a key stumbling block to reaching the mainstream.
Around 43% of market structure experts view prediction markets as an innovative value-add to the overall marketplace, according to a flash survey conducted by Crisil Coalition Greenwich this month. A similar range were neutral on the space’s prospects, while around a fifth said the markets encourage gambling and introduce additional “risk noise” instead of trading signals.
The survey of 53 market specialists in the US provides a snapshot into Wall Street’s perception of ...