Changes to OTC Market Coming
Traders Magazine, October 2012
Tighter spreads, but less liquidity. That may be the outcome of a rule change by the Financial Industry Regulatory Authority affecting the over-the-counter market. The changes to FINRA's Rule 6433 promote competition between limit-order traders and market makers by loosening the requirements for quoting. As a result, spreads could tighten and quoted size could decline.
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