Correlation is not causation but the plunge began just as The SEC voted in favor of high-speed trading firms being registered with FINRA...
- *SEC UNANIMOUSLY APPROVES PLAN REQUIRING HFT FIRMS JOIN FINRA
Regulate Us? We'll show you what happens when you do that...
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The Securities and Exchange Commission on Wednesday voted to propose a rule that would force high-speed trading firms to register.
Such high-speed trading firms, when they conduct business only for their own accounts, are currently exempt from registration with the Financial Industry Regulatory Authority.
The rule that allows this exemption hasn't been substantively amended since 1983, the SEC says. The Michael Lewis book "Flash Boys" has brought more scrutiny on high-frequency trading.
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The proposal will
“ensure that all broker-dealers active in the off-exchange market, not just some as it is today, are subject to the same comprehensive set of SRO regulations and compete on a level playing field,”
SEC Chairman Mary Jo White said.
