| >Read the full article and maybe you'll understand better? If you're lazy here ya go: Well you just casually linked a 11k word article with little context. I'm not going to read that and then try to figure out whether that article was supposed to serve as an addition to your original argument, or merely a source to back up your claim about PFOF being pioneered by maddoff. >At the time, payment for order flow was highly controversial, and opposition was intense. In other words, PFOF is bad because Madoff fought for it and it was controversial? That's still guilt by association, and a terrible argument. >I don't understand why you guys are so hand-wavy about the the idea that PFOF introduces serious conflicts of interest Because they're already obligated by law to provide best execution. They're also obligated to provide reports on the quality of execution. >You seem to suggest that just because they are the ones bringing light to it that it shouldn't be taken seriously. Weird. You started off by insinuating that robinhood took orders from melvin/citadel to restrict trades. Insofar as that's concerned, it shouldn't be taken seriously because there's scarce evidence. |
I guess the statement "At the time, payment for order flow was highly controversial, and opposition was intense." doesn't mean the same thing to you as it does to me. In other words it didn't say it was controversial because it was Madoff, it was controversial because of the nature of incentives. If you're not going to read the article or understanding why PFOF is controversial (sans Maddoff or Warren's involvement) then it's not worth discussing anything here. Thanks.
> Because they're already obligated by law to provide best execution. They're also obligated to provide reports on the quality of execution.
You mean the same law that...you guessed it Robinhood violated?!
https://www.sec.gov/news/press-release/2020-321