(Barrons) The Securities and Exchange Commission chief Gary Gensler has said the regulator is considering a full ban on controversial “payment for order flow.”
Gensler says the SEC staff are reviewing practice, with the aim of coming up with proposals in the coming months.
The comments come amid SEC’s criticism of the controversial practice, where brokers send trade orders to market makers who then execute the trades for a return.
Gensler says PFOF raises conflict-of-interest questions.
HOOD: NASDAQ is down -1.97% on premarket.
