10 Jun 2025
📈Cboe EDGX Amendments for Retail Orders in Principal Capacity
Self-Regulatory Organizations; Cboe EDGX Exchange, Inc.; Notice of Filing of a Proposed Rule Change To Amend Rule 11.21 To Allow an RMO To Enter a Retail Order Onto the Exchange in a Principal Capacity
Summary
The Cboe EDGX Exchange proposes to amend its rules to allow Retail Member Organizations to enter retail orders in a principal capacity. This change aims to improve execution prices for retail customers and requires RMOs to adopt new compliance measures, enhancing market efficiency and competition while fostering better trading conditions for individual investors.
Agencies
- Securities and Exchange Commission
Business Impact
$$$ - High
The proposed rule change permits Retail Member Organizations (RMOs) to execute retail orders as principal, enhancing the potential for price improvement for retail customers. This suggests compliance and regulatory requirements for RMOs to adapt policies, which have significant implications for business operations and strategic execution.