Mar. 31, 2023
March 31, 2023 PFOF and exchange rebates should be banned. While payment for order flow is not necessarily illegal now, it can create a conflict of interest for the broker-dealer and can be incompatible with the duty of best execution. I'm quite sure that the comments submitted in favor of PFOF are all given by parties that profit from it, but the reasons given are that PFOF is beneficial to the retail investors or the common people. Let me say that I don't believe the abolition of PFOF will negatively affect me in any meaningful way, and will more likely benefit me - as most of the money that is currently going to those who profit from PFOF will go to the investor instead. PFOF is essentially hidden fee that the investor pays, because the investor is NOT getting the best execution possible.