As previously announced, Direct Edge® will introduce the Route Peg Order on both the EDGA Exchange, Inc. (EDGA®) and EDGX Exchange, Inc. (EDGX®). The Route Peg Order has been approved by the Securities and Exchange Commission (SEC) and will launch on Friday, September 7, 2012. Pending filing with the SEC, the rebate for adding liquidity to EDGA using the Route Peg Order is now $0.0015 per share and the charge for adding liquidity to EDGA using the Route Peg Order is $0.0005 per share.
Route Peg Orders are non-displayed pegged limit orders that post to the exchange books and are eligible for execution against routable orders. Route Peg Orders will only interact with contra side orders that have an original quantity equal to or less than the original Route Peg Order quantity and will execute at the National Best Bid (NBB) for buy orders and the National Best Offer (NBO) for sell orders.
How to Enter a Route Peg Order
|
Order Entry Protocol |
Field Instructions |
|
FIX |
Tag 9202 = U |
|
Edge XPRS |
Special Order Type field = U |
New Flag to Support Route Peg Order Transactions
The following flags will be added to the EDGA and EDGX Fee Schedules, pending SEC approval.
|
Exchange |
Flag |
Description |
Rate |
|
EDGA |
RP |
Non-Displayed Orders, adds liquidity (using Route Peg Order) |
$0.0005 fee |
|
EDGX |
RP |
Non-Displayed Orders, adds liquidity (using Route Peg Order) |
$0.0015 rebate |
More Information
- Download the Route Peg Order Fact Sheet, which includes sample execution scenarios.
