December 14, 2015
I would like to voice my full support for the IEX Exchange application. I believe that its approval is sorely needed to bring execution quality and fairness back to our markets - especially to those traders and investors residing far away from current exchange centers.
Being in California, it is alarming to learn that a very large percentage of quotes are being cancelled (expire) before they can even be acted upon here.
How on earth is that even legal? Reg NMS clearly states that only quotes which stay actionable for 1 second are considered accessible.
Why am I and others losing our protections under this regulation?
The ability to route through IEX (something my broker will not allow until they receive exchange status) would allow me to trade in closer accordance with these regulations.
It would also allow me the ability to have a protected quote in an environment where I'm not constantly victimized by high speed traders as they seek latency arbitrage opportunities.
When did we move away from having our regulations govern market activity and allow a small group of middlemen ditcate policy abuse/ignore the rules at will?
I think it's fair to say that the only group supporting the denial of the IEX application are the same speed traders and the lobbyist they hire to try and legitimize what is basically illegal activity.
SEC, in the name of fairness and on behalf of every non HFT investor in our markets, please approve this application.
Thanks for listening.
KC