Mar. 22, 2023
Dear Securities and Exchange Commission, I am writing to express my opposition to off-exchange trading and the internalization of market orders. As an investor, I believe that all trading should be conducted on public exchanges, where transparency and fairness are maximized. Off-exchange trading and internalizing market orders reduce transparency and can lead to conflicts of interest between brokers and their clients. Off-exchange trading can also harm price discovery, as trades conducted in the dark pools do not contribute to the overall market price. This can result in prices that do not reflect the true supply and demand dynamics of a security. Similarly, the internalization of market orders can lead to inferior execution prices for investors. When market orders are internalized, brokers may execute the trade at a price that is not the best available price in the market. This can result in investors receiving a worse price than they would have received on a public exchange. Furthermore, the lack of transparency and potential conflicts of interest in off-exchange trading and internalizing market orders can erode investor confidence in the market. This can ultimately lead to reduced liquidity and harm the overall functioning of the market. Therefore, I urge the Securities and Exchange Commission to consider the potential negative consequences of off-exchange trading and the internalization of market orders, and take steps to ensure that all trading is conducted on public exchanges, where transparency and fairness are maximized. Thank you for considering my views on this important matter. Sincerely, Slade, Household Investor