Trading with Attribution
Attribution is now available on EDGA Exchange (EDGA) and EDGX Exchange (EDGX).
The attribution functionality is available to any Member who wishes to increase their transparency on the orders they send to EDGA and/or EDGX. This new functionality also enhances the Direct Edge Market Maker Program, allowing Market Makers to identify themselves as willing to buy and sell securities on the exchanges to facilitate making continuous two-sided markets.
Edge Attribution Incentive Program
The Edge Attribution Incentive Program has been designed to reward Members for providing Direct Edge Exchanges with valuable data and increased transparency for investors. Starting in February 2013, each month, EDGA and EDGX will each set aside 25% of the revenue generated in connection with fees received from EdgeBook Attributed (the “Revenue Allotment”). From the Revenue Allotment, the Exchanges will provide a payment to eligible Members who qualified for the Attributed Order Incentive Program based on the percentage of executed share volume from their Attributable Orders entered into the Exchange’s System.
Members can qualify for the Edge Attribution Incentive Program by entering Attributable Orders into the Exchange’s System in at least 100 symbols over 10 consecutive trading days over the course of a month.
Members will have the flexibility to attribute their orders on an order-by-order basis and can permission this functionality at the session/MPID level. Unless specifically permissioned, orders will be unattributed by default.
As a prerequisite for attribution, interested Members must first execute and submit an attribution addendum to their User Agreement. Once complete, and in order to gain session entitlement to send attributable orders, Members must also submit a request using the Logical Port Request Form to identify those sessions and MPIDs that should be entitled to access the functionality. In addition to establishing entitlement, firms may also designate a session/MPID for attribution by default. In such case, all orders entered via the session will be attributed on behalf of the entering MPID without order entry changes.
Both the addendum to the User Agreement and Logical Port Request Forms should be submitted to Direct Edge Member Services.
To support attribution, FIX Tag 9140 will be modified to include the value “A” to designate the order for display with attribution on the exchange data feed. Similarly, the XPRS display field at offset 31 will be modified to include the value “A”.
Important Documents and Forms