Mar. 26, 2023
I support this rule. The reason Citadel has an advantage is that they can trade at sub-penny intervals on their single-dealer platform, while everyone else is limited to trading in penny increments. This allows them to fill retail orders at slightly higher prices and makes them appear more skilled than other exchanges.The proposed rule would level the playing field by allowing everyone to trade at sub-penny intervals, eliminating this unfair advantage. Additionally, the rule would reduce the rebates that can be paid, making payment for order flow much less useful. Although the rule wouldn't ban payment for order flow altogether, it would significantly minimize its impact.