hard · Market Microstructure
Which scenario constitutes a violation of Reg NMS Rule 611 (The Order Protection Rule)?
- A broker routes a retail order to a wholesaler for 20.045 when the NBBO is 20.04 - $20.05.
- A trader place a limit order at 20.015 for a stock priced at 20.00.
- Exchange A executes a trade at 20.05 while Exchange B is displaying a protected quote at 20.04.
- An exchange charges $0.0035 per share to access its best-quoted offer.
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