Wholesaling Best Execution: How Entangled Are Off-Exchange Market Makers?

Dolgopolov, Stanislav

doi:10.2139/ssrn.2744904

Wholesaling Best Execution: How Entangled Are Off-Exchange Market Makers?

Virginia Law & Business Review, Vol. 11, pp. 149-199, 2016

51 Pages Posted: 10 Mar 2016 Last revised: 13 Nov 2016

See all articles by Stanislav Dolgopolov

Stanislav Dolgopolov

Decimus Capital Markets, LLC

Date Written: November 7, 2016

Abstract

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

Dolgopolov, Stanislav, Wholesaling Best Execution: How Entangled Are Off-Exchange Market Makers? (November 7, 2016). Virginia Law & Business Review, Vol. 11, pp. 149-199, 2016. Available at SSRN: https://ssrn.com/abstract=2744904 or http://dx.doi.org/10.2139/ssrn.2744904