Market makers pay billions for Payment for Order Flow, but don't want to pay for the CAT, which would make our financial markets fairer and more transparent
(Look below to see how many errors it finds)
"...According to the SEC, the changes announced Tuesday and earlier cost cuts mean certain system operating expenses for 2025 will be $25 million to $27 million lower than the $196 million forecast....
...In 2012, the SEC mandated the creation of the CAT -- which is overseen by Wall Street's self-funded trading regulator known as the Financial Industry Regulatory Authority -- as a response to the 2010 "flash crash"ย when major Wall Street indexes temporarily erased nearly $1 trillion in market value in a matter of minutes.
Officials say it can allow regulators to spot market manipulation and have cited its data in enforcement actions.
Two years ago, the SEC split the operating costs among buyers, sellers, and exchanges, despite objections from the SEC's Republican members and the investment industry, which said it could be burdened with unfair costs..."