nbbo vs. arca

Discussion in 'Order Execution' started by zdreg, Oct 23, 2017.

  1. zdreg

    zdreg

    what factors should be considered in deciding where to route your orders?
     
  2. Robert Morse

    Robert Morse Sponsor

    • Speed Required (Dark Pools can have a delay)
    • Cost
    • Time of day(Open/Close should only go to primary-Post and premarket-no smart or dark)
    • If you balance your cost of trading, will that extra action cause you to miss trades? If yes, might be work a default for all trades even if there is a higher cost.
     
    ET180 and ajacobson like this.
  3. zdreg

    zdreg

    at any given a moment there is a quote for nbbo and arca. assume the quote is the same for both arca and nbbo but with different size showing. why do orders end up in one place vs. another? retail forms who get paid for order flow will automatically send it to NBBO.
     
    Last edited: Oct 23, 2017