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