March 25, 1998

Jonathan G. Katz, Secretary

Securities and Exchange Commission

450 Fifth Street, N.W.

Washington, DC 20549

Re: SR-NASD-98-21

Dear Mr. Katz:

North American Institutional Brokers welcomes the opportunity to express our view in support of NASDAQ’s recommendation to expand the pilot program allowing market makers to quote their actual size whether order driven or proprietary interest.

The effect of the SEC’s Order Handling Rules has removed the motive for establishing and mandating minimum quote sizes enabling customers to have their orders reflected in the quote. In addition these minimum sizes have no longer substance, since the rule provides for improved price discovery for all investors.

As a regional market making firm, doing business with and for institutional and other professional customers, we believe that the removal of artificial size requirements will benefit the market. By allowing true supply and demand forces together with true competition among market makers and removing artificial volatility will warrant more capital commitment and thus become more favorable to investors.

We emphatically urge the Commission to increase the pilot program regarding actual size to 150 stocks and eventually to all NASDAQ securities.

Sincerely yours

Marcos Konig

President and CEO