Series 24: SEC Rule 606 – Disclosure Of Routing Information

SEC Rule 606 – Disclosure of Routing Information

Because of the Order Protection Rule (Rule 611 discussed below), member firms must route client orders to the market with the best available price. Occasionally, two or more different markets will display the same price. In order to attract routing business, market makers or exchanges will sometimes pay members to route their orders to them. This is called “paymen