Execution Compliance and Surveillance Service

REGULATORY REPORTING

Order Handling and Routing (SEC Rules 605 and 606) reporting

The solution is part of Broadridge’s strategic solutions for mandatory trade and transaction reporting, trade position and activity verification – providing you with access to a full range of solutions and services to help you reduce exposure to new and evolving global reporting mandates such as Dodd-Frank, EMIR, MiFID II, G20 OTC, CAT and SFTR.

FRAUD-BASED MANIPULATIVE ACTIVITY

Identify fraudulent or manipulative behaviors, enabling you to address them before appearing on FINRA’s radar. The following types of behavior are monitored daily:

Spoofing/Layering

Scans for this behavior with both general and specific criteria and includes criteria to identify any activity prohibited under FINRA Rule 5210.

Marking the Close

Takes into account varying liquidity levels and other market activity to highlight potential exceptions.

Manipulating the Open

Highlights potential instances based upon a specific pattern of behavior occurring pre-open.

Wash Sales

Detects potential exceptions based upon the account identifying information provided by the firm.

BEST EXECUTION AND TRADE SURVEILLANCE

NBBO (FINRA Rule 5310)

Evaluates your daily executions, comparing them to the NBBO in force at the time, and determines each transaction as Inside, At, Outside (Improved), or Outside (Inferior) to the identified NBB or NBO.

Order Protection Rule/Trade-Throughs (SEC Rule 611)

Evaluates your daily executions by comparing them to the day’s Network Data to determine whether or not each transaction is compliant.

ISO Order Routing and Quote Analysis (SEC Rule 611)

Evaluates your daily ISOs against your snapped quote data, optionally compares your quotes with the relevant Network Data to determine compliance with Rule 611, and provides a detailed report identifying the compliance status of each ISO.

Short Sales/Amendments to Reg SHO (SEC Rule 201)

Provides an in-depth look at each short sale and reviews the state of the circuit breaker at the time for the stock in question, flags short sales, and subjects them to the price test based on breaker engagement parameters.

Limit Up-Limit Down (SEC Rule 608)

Analyzes what percentage of your firm’s transactions occurred inside, at, and outside the upper and lower price-bands in effect at the time of the execution, and shows a security’s upper and lower price-bands (if any) at a given time in the trading day.