SEC set to vote on big overhaul of U.S. stock trading rules

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The Securities and Exchange Commission on Wednesday was set to vote on a package of rule changes, including measures that could affect, but not block, the controversial practice known as payment for order flow.

Brokers send many small orders from retail investors to computerized, off-exchange market makers, who compensate the brokers for the order flow. The brokerage industry argues that the practice, which is banned in several countries, offers a net saving to investors, allowing for zero-commission trades and otherwise…

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Image and article originally from www.marketwatch.com. Read the original article here.

By admin