NYSE, Former IEX Foe, Plans a Copycat Speed Bump of Its Own
- New exchange will copy features of IEX’s Investors Exchange
- NYSE had fiercely opposed IEX’s attempt to open an exchange
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NYSE Group Inc. opposed IEX Group Inc.’s proposal to run an exchange with a “speed bump” that delays orders to curb the advantages of the fastest traders. Now, it’s copying the idea.
The owner of the New York Stock Exchange will rename its tiny NYSE MKT exchange the NYSE American and introduce a 350-microsecond delay on orders there, according to a statement Wednesday. NYSE American will also add a new order type called a discretionary peg -- which IEX pioneered -- a so-called dark order because it isn’t publicly displayed. Both new features closely mirror how IEX’s Investors Exchange works.