We identify retail brokers that seemingly route orders to maximize order flow payments: selling market orders and sending limit orders to venues paying large liquidity rebates. Angel, Harris, and Spatt (2011) argue that this type of routing may not always be in customers' best interests. For...

Equity options exchanges in the United States use one of two models to execute marketable orders: the maker-taker model or the payment for order flow (PFOF) model. Exchanges utilizing the maker-taker model charge liquidity demanders a taker fee to access their liquidity. Exchanges utilizing the...

Fees charged by U.S. equity exchanges for services such as non-core market data, connectivity, and co-location have become controversial. Recently, the Securities and Exchange Commission required the exchanges justify hundreds of past fee increases. In their defense, exchanges argue that the...