https://www.bloomberg.com/news/arti...ading-practice-helping-power-meme-stock-mania
Speculation that PFOD days are numbered in the EU..
Speculation that PFOD days are numbered in the EU..
EU Set to Ban Trading Practice Helping Power Meme-Stock Mania
- Thread starter ajacobson
- Start date
They are fearing the power of the masses, ie. fearing a revolution
There is something to be said about the unsavory nature of PFOF. Having a couple big market players paying for the right to see what is being traded prior to execution is clearly wrong, but their genius move was to tie it to free retail trading.
Would we go back to $10-$15 round trip trades to cut powerful entities from making more money? It's doubtful because greed beats all. Retail trading has exploded and already made thousands upon thousands of middle class incomes in the process. We know how that's worked out for Robinhood but I'd be interested to know how much Citadel has made since making that deal, it must be ginormous.
Would we go back to $10-$15 round trip trades to cut powerful entities from making more money? It's doubtful because greed beats all. Retail trading has exploded and already made thousands upon thousands of middle class incomes in the process. We know how that's worked out for Robinhood but I'd be interested to know how much Citadel has made since making that deal, it must be ginormous.
If payment for order flow is banned in the US, I hope that means US brokers open up for the EU market again. Almost all the major players (except IB, Lightspeed, Schwab in select markets) are inaccessible for EU residents.
Why Schwab is open for clients in Germany, Spain, UK, Switzerland, but not in the rest of the EU (have not checked every country) is somewhat of a mystery to me, since MIFID applies to all EU countries.
Why Schwab is open for clients in Germany, Spain, UK, Switzerland, but not in the rest of the EU (have not checked every country) is somewhat of a mystery to me, since MIFID applies to all EU countries.
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NO wonder they are a slow gro or no grow;
the arrogance\stupidity of pretending they know it all+ know much more than the markets.
Like one leveraged ETF warned/disclosed =
''frequent trading may drive the price up''