FINRA filed a proposed change to FINRA Rule 4554 with the SEC to require alternative trading systems ("ATSs") to include additional order sequence information on reports submitted in the Order Audit Trail System ("OATS").
FINRA Rule 4554 requires ATSs to report order information for each order that an ATS receives in an NMS stock (i.e., listed equities) beyond what is required pursuant to the OATS rules. The stated purposes of Rule 4554 are to enhance FINRA's ability to more fully reconstruct an ATS order book and better perform order-based surveillance, including surveillance for layering, quote spoofing and other forms of stock price manipulation.
The rule change will extend the requirement to report the sequence number beyond just the receipt of an order to include reporting a sequence number on all order events, including reports for the execution of an order or the routing of an order away from the ATS. According to FINRA, requiring ATSs to report a sequence number for all OATS order events, rather than just the receipt of an order, will "further enable FINRA to properly sequence order events within an ATS, which will allow FINRA to more fully reconstruct an ATS's order book and better perform order-based surveillance."
FINRA will announce the implementation date of the proposed rule change no later than 30 days following the SEC notice that it is filing the proposed rule change to be immediately effective.
FINRA provided guidance on the "as soon as practicable" requirements for over-the-counter trades in National Market System stocks.
FINRA proposed delaying the implementation date of a rule change concerning alternative trading systems. The change requires those systems to submit specific order and execution information to FINRA.
FINRA announced that it is publishing monthly information on block-sized trades occurring on alternative trading systems ("ATS").
FINRA reminded member firms of new FINRA Rule 4554, which requires alternative trading systems to submit additional order information to FINRA.
The SEC adopted a proposed rule requiring alternative trading systems to submit additional order and execution information to FINRA.
The SEC extended the 45-day review period of a FINRA proposal to adopt Rule 4554, which requires alternative trading systems to submit additional order information to FINRA.
The SEC requested comment on FINRA proposed rule changes concerning trading information and reporting for alternative trading systems.
FINRA filed a proposed rule change to to require alternative trading systems to submit additional order information to FINRA.
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