Subject: Re: Order Competition Rule, File No. S7-31-22, Release No.34-96495
From: Dylan Stage
Affiliation:

Mar. 12, 2023

 


I fully support the rule, please implement it as soon as possible.  Retail orders should be routed to a public auction to guarantee true price discovery.   



A broker routing orders first to a wholesaler, who then passes them to the auction, which might route it back to the wholesaler, seems unnecessarily complex and also grants the wholesaler a profound information advantage against other market participants: they get to see orders well before anyone else. The Commission should address this unfair information advantage by having brokers first route to the auction and specify where the order should go if the auction is unsuccessful. That way the entire market has equal knowledge. 



The rule allows for orders to go to Citadel FIRST and then to the auction for fair competition. This still gives them a major information advantage which should be removed. So there is a point to be made about brokers first routing to the auction and only then, if someone doesn't take your order, routing to Citadel.