Yes -- but sometimes they collect even more from various payment for order flow guys.... then where do those guys route (shrug).
There are a lot of changes happening to NYSE/ARCA routing rebates and fees taking place on October 1st. We are having a Company wide meeting on Monday to go through the details (after I get them sorted out with NYSE and GS). I will post the results. This may be of interest. http://www.nyse.com/press/1189593038278.html And, for now, we "park" on ARCA (collect $$), and take on NYSE (pay small). This is going to be a variable for partial fills and re-routing. Don
Yes, very interesting Don. ARCA has now become WAY more competitive (and attractive). Thanks for posting that!
I disagree. I haven't been using arca for ages, because of their incompetitive model (unless the liquidity is there, i normally avoid it). IMHO they really just changed it the wrong way: if they had made nasdaq 2.5-3 and nyse 2-2.5, I'd really had considered to start actively use them again. But with this 2-2.5 on Nasdaq, I'll still use BATS to fok (which is 2.4) and use bats/edgx/nasd for credit (unless the fills really do get a lot better because of this new model, but I really doubt that). On NYSE I'll still use the specialist to fok/route and if I want the credit, either INET/EDGX/BATS. So, these changes really don't motivate me to start using them actively again, while they'll sure miss a lot of income now, making only 0.0005 instead of 0.001 ... To me it seems ARCA/NYSE really is run by some bunch of clueless idiots (same goes for NASD by the way, I hope they're still banging their heads against the wall for making that incredibly stupid mistake of merging inet/brut and therefore giving away all the brut liquidity to bats, anybody could see that coming). Long live EDGX/EDGA/BATS, who really DO understand what we (prop) traders want !!
90% of stock market volume is robots are automated trading. another computer trading with another computer man they fired so many people at the NYSE exchange it's all robots...now.
rearden the image of the world's smallest violin is very clever. I wonder how many viewers understood what you were saying.
We had to re-schedule the meeting, but what I have so far is that starting October 1st: NYSE from 2.75 cents per 100 shares for everything, it will be 8 cents for taking, free for providing liquidity. 4 cents for OPG and MOC orders, which is neither taking nor providing. ARCA will pay 25 cents per hundred (listed), and charge 30 cents per hundred for taking liquidity. The ETF's and OTC pricing is a bit different. If you go to buy 2000, and only get 500 on NYSE, the remainder, if not shipped to an ECN would be free for providing if the price came back down to you. More later, Don
------------- Agreed but its about time as well To quote Marty Schwartz in Jack Schwager's Market Wizards, "... Also, I hate the specialist system; they are always trying to con you to death. I'll give you my view on specialists: Never in my life have I met a less talented group of people who make a disproportionately large amount of money relative to their skills. Having the specialist book is the most extraordinary advantage one could ever ask for. In normal markets, the specialists can always define their risk. If they have a bid for 20,000 down \ they can buy the stock, knowing they can always get out lower. So, they are protected. I always tell my friends to have their daughters marry the son of a specialist."