Mar. 26, 2023
As a household investor, I support this rule. Alternative Trading Systems (ATS) should submit detailed disclosures about their operations, including how they manage conflicts of interest, how they operate their order routing practices, and how they handle customer orders. This would make it easier for investors to understand how ATS operate and how their orders are executed. The proposed changes to ATS rules promote better alignment with regulatory frameworks for exchanges would be beneficial for individual household investors. To help benefit individual investors, ATS should operate in a manner that is consistent with the broader regulatory structure of the securities markets. This would promote fair and transparent trading practices. Sending orders to a wholesaler for internalisation should not be the only option available to investors. I support any initiatives aimed at identifying and preventing fraudulent practices that undermine the credibility, integrity, and functionality of American markets. Brokers may charge high commission fees in lieu of PFOF and so I believe a cap should be implemented. Competition in the marketplace is essential to regulate markets better and barriers to competition, such as the conflicted nature of PFOF, should be removed. Thank you for reading.