Mar. 18, 2023
March 18, 2023 As an individual investor who does not live in the United States, but who has purchased and sold stock on American stock exchanges, I've completely and utterly lost faith in the American stock market. I've chosen to no longer participate in the American stock market until I see greater transparency and enforcement. Regarding Payment for Order Flow (PFOF), wholesalers, like Citadel Securities, should not have a monopoly to the point where they have an advantage and get to see orders ahead of everyone else. Orders should be open to auction, and then, if unsuccessful, routed to an agreed-upon destination where the entire market can see. Currently, with middlemen like Citadel, the market is not fair as they simply also internalize orders through dark pools that never make it to the lit exchanges. Monopolistic behaviour surrounding payment for order flow from wholesalers, like Citadel Securities, stamps out competition and restricts the growth of American technology, American companies, and, ultimately, the American market. The current system is simply unfair as it's dominated by the few. It's also been quite clear that wholesalers are skimming billions of dollars from individuals and institutions while falsely advertising it as \"superior performance\". I do support the rule so that wholesalers, like Citadel Securities, should not be able to receive orders first before orders go to auction. This continues to give them an informational advantage ahead of all others, so this part of the rule NEEDS to be removed. I believe brokers should route to auction, and if an order is unsuccessful, only then should a wholesaler, like Citadel Securities, receive the order. Efforts by the SEC to pass rules need to also come with backed enforcement. Those who decide to break the rules, in any reformation, should also pay an actual stiff fine and receive multiple restrictions. Currently, the penalties that exist amount to a slap-on-the-wrist and simply a cost of doing business that come years too late. Higher fines for rule-breakers need to come more swiftly.