Wholesaling Best Execution: How Entangled Are Off-Exchange Market Makers?
51 Pages Posted: 10 Mar 2016 Last revised: 13 Nov 2016
Date Written: November 7, 2016
This Article examines the reach of the duty of best execution to and potential breaches of this duty by off-exchange market makers in the context of the evolving business model of these market participants and the current market structure crisis. Several key areas, such as routing practices, order handling functionalities, and the usage of private data feeds, are analyzed.
Keywords: off-exchange market makers, best execution, order handling, order routing, conflicts of interest
JEL Classification: G18, K22
Suggested Citation: Suggested Citation