December 13, 2015
I hope that the SEC will allow IEX to become a full fledged exchange. As I understand it, they are the only "exchange" that provides for a fair and equal market. Ordinary investors like myself are continually discouraged by HFT that appear to provide liquidity and then quickly disappear in any market turbulence. I have mentioned this to my financial advisor who relates that it is a "hard problem to fix" all the while admitting that the small 401kers and individual investors pay a tax to HFT firms every time they enter the market.
The only people powerful enough to change these rules and level the playing field for all the individuals and 401kers is the SEC. The market was meant to be a way for investors to provide funding to companies they believe will grow, but it has become quite convoluted. Doing away with unfairness in the bid/offer process is one way the SEC can fix some of these problems.
IEX has created a simple solution. Please allow them to become a full exchange, and let the marketplace decide where it would like to trade.