| A large amount of securities being traded, normally only undertaken by institutional investors. Block trades can affect the market price of the security, depending on the liquidity of the market. The term can also refer to a privately negotiated futures transaction executed apart from the public auction market, either on or off the exchange trading floor. On the London Stock Exchange, the term denotes that a transaction was reported which is at least 75 times the normal market size (NMS) for a security with an NMS of 2,000 shares or above 50 times the NMS for a security with an NMS of 1,000 shares.
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