Payment for order flow is a common practice in the investing world that lets retail brokers be paid by market makers, wholesalers and others in exchange their retail clients’ orders to buy and sell ...
PFOF allows brokers to offer commission-free trades by routing orders to market makers. Investors often receive better prices than the NBBO via market maker payments. Critics argue PFOF may prevent ...
High Frequency Traders (HFTs) like Citadel are catching considerable flack in the wake of the GameStop phenom. HFTs are blamed for adding an unnecessary cost, payments for order flow, to retail ...