Chairman Schapiro Statement on Knight Capital Group Trading Issue

Chairman Schapiro noted that although the Knight Capital trading mishap is the type of event that can raise concerns for investors about our nation's equity markets, she believes that several of the measures the SEC instituted following the Flash Crash helped to limit its impact. "Recently-adopted circuit breakers halted trading on individual stocks that experienced significant price fluctuations, and clearly defined rules guided the exchanges in determining which trades could be broken giving the marketplace certainty." [SL Comment: In fact, many of the routine SRO rule "changes" of late, including in today's newsletter, have been of extensions of pilot programs relating to the market crash, such as rules governing the authority of the exchanges to break trades.]

View press release in full here (links externally to SEC website).