Commentary

Elaine Wah

Modern Markets, Modern Metrics - A Blog By IEX

In this blog by IEX's Elaine Wah, the newest public exchange looks to refute public claims that the metrics it uses are designed to inflate its own volume numbers and mislead people.

Traders Poll

Do you think it's a good idea to conduct an access fee pilot to assess the pricing models used by many trading venues?

Yes

67%

No

0%

Should have had a pilot program a long time ago.

33%

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June 30, 1998

Draft Text of Proposed Rule Change

By Jeffrey L. Winograd

The following is a draft of the proposed changes in National Association of Securities Dealers trade-reporting rules for over-the-counter stocks, including stocks traded on Nasdaq, the OTC Bulletin Board and the pink sheets, as amended by the NASD. The changes would reduce 31(a) transaction fees on riskless principal trades, pending Securities and Exchange Commission approval. Deletions are in brackets, and new language is underlined.

A "riskless principal transaction" in which a member [that is, not a market maker in the security], after having received from a member or customer an order to buy a security, purchases the security as principal from another member or customer to satisfy the order to buy, or, after having received from a member or customer an order to sell, sells the security as principal to another member or customer to satisfy the order to sell, shall be reported as one transaction in the same manner as an agency transaction, excluding the mark-up or mark-down, commission-equivalent or other fee.

ART-