Daniel Hawke, head of the market-abuse unit, said at an event yesterday that the SEC is looking into techniques such as co-location, in which exchanges let traders place computers close to the marketâs systems to shave time off executions. He said other practices under examination include the rebates that venues pay to spur transactions, direct market access where brokers let investors send orders to venues themselves, and whether the types of orders exchanges offer are being misused.
http://www.businessweek.com/news/20...ding-practices-after-shift-to-automation.html
http://www.businessweek.com/news/20...ding-practices-after-shift-to-automation.html