SEC 11Ac1-6 - ChoiceTrade, Inc. 1st Qtr, 2013
(Percentages of Total Non-Directed Orders Routed to Individual Route Venues)
ChoiceTrade has prepared this report pursuant to a U.S. Securities and Exchange Commission rule requiring all brokerage firms to make publicly available quarterly reports on their order routing practices. The report provides information on routing of "non-directed orders" - any order that the customer has not specifically instructed to be routed to a particular venue on behalf of its customers.
The report is divided into four sections: one for securities listed on the New York Stock Exchange and reported as a Network A eligible security; one for securities listed on the Nasdaq Stock Market; one for securities listed on the American Stock Exchange or regional exchanges and reported as a Network B eligible security; and one for exchange-listed options. For each section, this report identifies the venues most often selected by ChoiceTrade, sets forth the percentage of various types of orders routed to the venues, and discusses the material aspects of ChoiceTrade's relationship with the venues.
Securities Listed on New York Stock Exchange
| Route Venues |
Total (%) |
Market (%) |
Limit (%) |
Other (%) |
| Total (%) |
35 |
21 |
72 |
7 |
| CITADEL |
73 |
100 |
63 |
100 |
| ARCA |
27 |
0 |
37 |
0 |
Securities Listed on The Nasdaq Stock Market
| Route Venues |
Total (%) |
Market (%) |
Limit (%) |
Other (%) |
| Total (%) |
46 |
6 |
90 |
4 |
| CITADEL |
62 |
99 |
58 |
99 |
| ARCA |
32 |
0 |
36 |
0 |
| PFSI |
6 |
1 |
6 |
1 |
Securities Listed on American Stock Exchange or Regional Exchanges
| Route Venues |
Total (%) |
Market (%) |
Limit (%) |
Other (%) |
| Total (%) |
77 |
3 |
95 |
2 |
| CITADEL |
69 |
100 |
68 |
95 |
| ARCA |
29 |
0 |
30 |
0 |
| PFSI |
2 |
0 |
2 |
5 |
Exchange-Listed Options
| Route Venues |
Total (%) |
Market (%) |
Limit (%) |
Other (%) |
| Total (%) |
100 |
2 |
95 |
3 |
| BATS |
41 |
5 |
43 |
0 |
| AMEX |
32 |
27 |
30 |
83 |
| PHLX |
12 |
27 |
12 |
11 |
| CBOE |
7 |
17 |
7 |
2 |
| NSDQ |
2 |
1 |
3 |
0 |
| ISE |
2 |
7 |
2 |
2 |
| ARCA |
1 |
9 |
2 |
2 |
| BOX |
1 |
4 |
1 |
0 |
| NOBO |
1 |
2 |
0 |
0 |
| CBOE2 |
1 |
1 |
0 |
0 |
Material Aspects of Relationship with Route Venues
I. Securities listed on the New York Stock Exchange:
CITADEL
ChoiceTrade does not receive payment for directing orders to CITADEL.
ARCA
ARCA pays subscribers a rebate of up to .0021 per executed share for NYSE orders that add liquidity to the ARCA book. According to the SEC rule, this rebate may be considered payment for order flow. ARCA also charges subscribers up to .003 for trades that remove liquidity from the ARCA book; up to .0035 for shares routed out; and odd-lot executions may be charged up to .03 per share.
Penson Financial Services, Inc.
ChoiceTrade does not receive payment for directing orders to Penson Financial Services, Inc.
II. NASDAQ securities:
CITADEL
ChoiceTrade does not receive payment for directing orders to CITADEL.
ARCA
ARCA pays subscribers a rebate of up to .0021 per executed share for NYSE orders that add liquidity to the ARCA book. According to the SEC rule, this rebate may be considered payment for order flow. ARCA also charges subscribers up to .003 for trades that remove liquidity from the ARCA book; up to .0035 for shares routed out; and odd-lot executions may be charged up to .03 per share.
Penson Financial Services, Inc.
ChoiceTrade does not receive payment for directing orders to Penson Financial Services, Inc.
III. Securities Listed on the American Stock Exchange or Regional Exchanges:
CITADEL
ChoiceTrade does not receive payment for directing orders to CITADEL
ARCA
ARCA pays subscribers a rebate of up to .0022 per executed share for NYSE orders that add liquidity to the ARCA book. According to the SEC rule, this rebate may be considered payment for order flow. ARCA also charges subscribers up to .003 for trades that remove liquidity from the ARCA book; up to .0035 for shares routed out; and odd-lot executions may be charged up to .03 per share.
Penson Financial Services, Inc.
ChoiceTrade does not receive payment for directing orders to Penson Financial Services, Inc.
IV. Exchange-Listed Options:
ChoiceTrade is charged a fee for directing certain orders and receives payment of zero to .85 per contract for certain other orders. |
