Payments for Market Making

What this video covers

• What payments or other consideration are prohibited when tied to publishing a quotation, acting as a market maker, or submitting an application
• Why indirect payments, noncash consideration, and payments made to an associated person are still covered
• Why submitting an application is a prohibited act even when the firm never publishes a quote
• The three permitted carve-outs: bona fide services, reimbursement of specified regulatory payments, and payments provided for under effective exchange rules
• How the affiliate control test and the promoter definition apply, including the catch-all for similar promotional interests
• The difference between owning any restricted securities and owning 5% or more of an issuer's public float
• Why bids, offers, indications of interest, and general advertising of buying or selling interest can all qualify as quotations