If you target how market-makers are compensated, the pilot, as envisioned, will likely drive order flow to non-transparent, unregulated, opaque dark trading venues
Hope Jarkowski, co-head of government affairs, Intercontinental Exchange
SEC’s transaction-fee pilot sparks lively debate
Jul 06, 2018
Trial would place pricing restrictions on existing maker-taker rebate and fee model – critics say issuers will be negatively affected
Issuers, investors and national stock exchanges are divided over the need for – and process behind the creation of – an SEC pilot scheme that would restrict the rebates on transaction fees that are paid to brokers and market-makers by stock exchanges.