3 ms·

This is not true, Citadel is the largest market maker and is in fact TDA's largest broker. This is abundantly clear in 606 disclosures. TDA: https://www.tdamer

by wocram 6y ago

This is not true, Citadel is the largest market maker and is in fact TDA's largest broker. This is abundantly clear in 606 disclosures. TDA: https://www.tdameritrade.com/retail-en_us/resources/606_disclosure/tdac-TDA2054-q4-2020.pdf https://www.tdameritrade.com/retail-en_us/resources/606_disc... from https://www.tdameritrade.com/disclosure.page https://www.tdameritrade.com/disclosure.page Webull: http://public.s3.com/rule606/webull/606-BULL-2019Q4.pdf http://public.s3.com/rule606/webull/606-BULL-2019Q4.pdf from https://pic.webull.com/PDFs/Disclosure%20of%20Payment%20for%20Order%20flow%20and%20Order%20Routing%20Information%20(Rule%20606%20and%20607).pdf https://pic.webull.com/PDFs/Disclosure%20of%20Payment%20for%... / http://public.s3.com/rule606/webull/ http://public.s3.com/rule606/webull/ Robinhood: https://cdn.robinhood.com/assets/robinhood/legal/RHS%20SEC%20Rule%20606a%20and%20607%20Disclosure%20Report%20Q3%202020.pdf https://cdn.robinhood.com/assets/robinhood/legal/RHS%20SEC%2... from https://robinhood.com/us/en/about/legal/ https://robinhood.com/us/en/about/legal/ Fidelity: https://clearingcustody.fidelity.com/app/literature/item/9901330.html https://clearingcustody.fidelity.com/app/literature/item/990... from https://clearingcustody.fidelity.com/app/item/RD_13569_21696/sec-rule-606.html https://clearingcustody.fidelity.com/app/item/RD_13569_21696...

hardwaresofton 6y ago
I stand corrected -- thank you for clearing this up, this completely explains it. It does not explain why Fidelity allowed purchasing the stock however though, which means I was likely wrong about the link altogether. Thanks for pointing that out. [EDIT] - Is it reasonable to assume that maybe TD and Fidelity have a venue that the others do not have and that's the reason? When I compare RH, WeBull, Fidelity and TD I see UBS Securities, LLC as the standout difference. Was UBS choosing to route the orders (I guess they have none of the shorts on their books? or they properly managed their risk?) while the others didn't touch it?
- wocram 6y ago
  It looks like the prevailing explanation is that DTCC increased collateral requirements and some brokers couldn't handle that. https://www.bloomberg.com/opinion/articles/2021-01-29/reddit-traders-on-robinhood-are-on-both-sides-of-gamestop https://www.bloomberg.com/opinion/articles/2021-01-29/reddit...

by wocram 6y ago

hardwaresofton 6y ago

I stand corrected -- thank you for clearing this up, this completely explains it. It does not explain why Fidelity allowed purchasing the stock however though, which means I was likely wrong about the link altogether. Thanks for pointing that out. [EDIT] - Is it reasonable to assume that maybe TD and Fidelity have a venue that the others do not have and that's the reason? When I compare RH, WeBull, Fidelity and TD I see UBS Securities, LLC as the standout difference. Was UBS choosing to route the orders (I guess they have none of the shorts on their books? or they properly managed their risk?) while the others didn't touch it?

wocram 6y ago
It looks like the prevailing explanation is that DTCC increased collateral requirements and some brokers couldn't handle that. https://www.bloomberg.com/opinion/articles/2021-01-29/reddit-traders-on-robinhood-are-on-both-sides-of-gamestop https://www.bloomberg.com/opinion/articles/2021-01-29/reddit...