What is the function of a Consolidated Tape in trading?

The function of a Consolidated Tape in trading is to report live price and value data. This system consolidates and disseminates transaction data from various exchanges, ensuring that market participants have access to real-time information about securities prices, volume of trades, and more. It plays a crucial role in promoting transparency in the market, allowing traders to make informed decisions based on the most current information available. The real-time reporting helps to streamline trading across different venues, ensuring that all participants have a uniform understanding of market conditions. This is essential for maintaining fair and efficient markets where price discovery can occur effectively.