Industry lobbyists are very good at spinning words and data in a way that makes it easy for policy makers to digest. They usually know exactly which buttons to push to either defend the status quo or to lobby for a rule change that would benefit their clients. The latest report from the HFT lobby, known as the Modern Markets Initiative, is a perfect example of how to convince policymakers to do what you want them to do. Here’s an anatomy of this latest conflicted HFT study. Step 1 – Have an attention-grabbing title with lots of buzzwords. MMI named (more…)

Big win for the SEC yesterday and a big loss for the major stock exchanges.  We’re talking about the US Court of Appeals ruling to reject the major exchanges challenge of the SEC’s Market Data Infrastructure Rule which the SEC approved in December 2020.  The rule has two main parts: (1) update and expand the content of NMS market data (2) establish a decentralized consolidation model in which competing consolidators, rather than the exclusive SIPs, will be responsible for collecting, consolidating, and disseminating consolidated market data to the public. The major stock exchanges (NYSE, Nasdaq and Cboe) didn’t seem to like the (more…)


Mar, 2022