The Weekly Rant with Larry Tabb: Speed Bumps, IEX’s D-Limit, and the Order Protection Rule

IEX has a history of innovative order types, and its latest proposal, for the D-Limit order type, has the potential to help clients avoid being picked off in the lit market by faster traders, acknowledges TABB Group founder and research chairman Larry Tabb. But D-Limit orders circumvent the IEX speed bump, which could be problematic, he adds. In this week’s video editorial, Tabb discusses the potential unfair advantage created by the D-Limit order type when combined with IEX’s speed bump as well as the challenges created by the Order Protection Rule and price-time priority.

Related article: “The IEX D-Limit Proposal: It’s Good … But What If It’s TOO Good?

Source: TABB TV

Categories: Equities, Fintech / Crypto, Regulatory

Topics: Equity trading, IT governance/infrastructure, Market structure: Exchanges, ATSs, ECNs, Market Surveillance/Technology, Trade Process Analysis, Trading technology infrastructure

TabbFORUM is an open community that provides a platform for capital markets professionals to share their ideas and thought leadership with their peers. The views and opinions expressed are solely those of the author(s). They do not necessarily reflect the opinions of TABB Group, its analysts, TabbFORUM and its editors, or their employees, affiliates and partners.


Add a Comment

Your email address will not be published. Required fields are marked *