SEC Sets Comment Deadline on Proposed Rule to Prohibit Volume-based Trading Discounts

The SEC set a comment deadline of January 5, 2024 for a proposed rule that would prohibit national securities exchanges from offering volume-based transaction pricing. The comment deadline was published in the Federal Register.

As previously covered, the proposal would apply to exchanges offering pricing to broker-dealers executing agency or riskless principal orders in NMS stocks. Under the proposed rule, exchanges could continue to offer volume-based exchange transaction pricing for members trading for their own account but not for filling an order for a customer.