Major news from ArcaEx on www.traderbulletin.com. If someone would fine these fricken specialists for trade-throughs then ArcaEx might really make a dent in the NYSE's market share.
ArcaEx Eliminates Listed Fees!!
- Thread starter LuvDaMkts
- Start date
Never happen...NYSE spec. can do anything because they are protected by the SEC
what is a trade-through?
ITS ALREADY HAPPENED MY FRIEND!!!!!!! .......... ARCA can do what they want.... They are a stand alone exchange.
The Archipelago Exchange (ArcaEx) has dropped a bomb on the NYSE by becoming the first major electronic market to eliminate fees for trading NYSE-listed stocks. ArcaEx said it is eliminating its tape sharing credits to offset the fee-reduction and will continue charging $0.004 per share when listed trades are routed to other destinations. The news comes one day ahead of Instinetâs new listed pricing scheme. Instinet had announced that it would be moving to a $0.001 (for taking liquidity) / free (for adding liquidity) model on August 1. ArcaExâs model one-ups Instinet by not charging traders a fee for hitting bids or taking offers on the ArcaEx book. The news may pose a serious new challenge for the NYSE because ArcaEx will now offer cheaper executions than most NYSE DOT providers. ArcaEx also offers auto-execution, immediate cancels, and ITS âtrade-through protection.â Trade-throughs, however, continue to occur on ArcaEx to a degree where some traders believe the SEC should step in. ArcaExâs new pricing, which begins tomorrow, does not apply to odd lot orders or NASDAQ trading.
Transaction Fees / Rebates
Round lot orders that take liquidity from the ArcaExsm Book in OTC, AMEX and other Tape B listed securities $0.003 per share
Round lot orders that take liquidity from the ArcaExsm Book in NYSE listed securities No Fee
Round lot orders residing in the ArcaExsm Book that execute against inbound marketable orders in OTC, AMEX and other Tape B listed securities $0.002 per share credit
Round lot orders residing in the ArcaExsm Book that execute against inbound marketable orders in NYSE listed securities No Fee
Round lot outside the ArcaExsm Book in NYSE, AMEX and other Tape B listed and securities and OTC securities and are executed by another market center or participant $0.004 per share
Directed Orders (unless they are routed away), orders executed in the opening and market order auction, and Cross Orders No Fee
Market data revenue sharing credit applicable to limit orders residing in the ArcaEx Book that execute against inbound marketable orders in Tape B* securities 50% tape credit
Market data revenue sharing credit applicable to any cross orders where the ETP Holder or Sponsored Participant represents all or one side of the transaction and all or a portion of the other side in a Tape B* security 50% tape credit
Listed executed orders that are initially entered as odd-lot orders and executed against the book or by another market center $0.03 per share
OTC executed orders that are initially entered as odd-lot orders and executed against the book or by another market center $0.004 per share
Does this mean that Arca is no longer offering liquidity rebates for NYSE stocks???
Yes.... read the above article to explain how they make money (tape credits).
Banker
- I have had no problems with ARCA. They have been very reliable for me.
- Nitro, just cause IB didn't change your rates, doesn't mean that the prices havent changed. I clipped and pasted the ECN pricing grid from the ARCA website. Call ARCA and ask them what the pricing is if you don't believe it.
Many BD's are hesitant to pass thru a 0.00 charge on an ECN cause it depletes a revenue stream. Another reason that you might not be getting the charge is that it was announced on July 30th.
And if you are consistently having problems or downtime with ARCA, find another BD.
Banker
The problems with ARCA that I've been having were confirmed problems on ARCA's side and not specific to my bd.