SEC Set to Rein in Dark Liquidity

"Each recommendation focuses on strengthening the regulation of dark pools in a particular respect, and on increasing market transparency," says SEC chairperson Mary Schapiro.

The first proposal would require actionable indications of interest (IoIs), which the SEC sees as similar to a buy or sell quote, to be treated like other quotes and subject to the same disclosure rules.

Such a change would require a change to the definition of quotes to include IoIs, says Jamie Brigagliano, co-acting

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