Sterling
Financial Systems Inc.
225 West Washington Street, Suite 1014
Chicago, Illinois 60606
(312) 346-9600
Route
to NASDAQ Single Book through Sterling
November
28, 2006
In
view of the newly implemented NASDAQ Single Book facility,
the Sterling Trader® network will now support a
consolidated order entry route to the NASDAQ Single
Book system. This new order entry route will be referred
to in the Sterling system as destination NSDQ. The objective
is to phase out existing routes to BRUT, NASDAQ (SUMO),
and INET with a single route to NSDQ. The transition
to NSDQ will take place during the month of December
2006, to be completed by January 1, 2007. During this
transition period, traders on the Sterling system will
be strongly encouraged to update their existing order
entry settings (including hot keys), changing from BRUT,
NASDAQ, and INET to the new destination code of NSDQ.
The NSDQ route on the Sterling system
will include all major order entry functions supported
by the NASDAQ Single Book facility. Specifically, the
following will be available:
- Limit and Market orders
- Discretionary Orders
- Pegged Orders
- Pegged Discretionary Orders
- Reserve and Hidden Orders
- DAY, MOO, LOO, IOC, EXT, MOC, LOC,
GTC, and GTX Orders
- All routing strategies supported
by the Single Book
Users of the Sterling system will be
able to use all routing strategies supported by the
NASDAQ Single Book system. These strategies are going
to be available to users of both Sterling Trader®
Pro and Sterling Trader® Manager platforms. The
following table illustrates the usage of the strategies:
| NASDAQ
Strategy |
Description |
New
Sterling Destination Code |
Old
Sterling Destination Code(s) |
| INET |
Send
directly to NASDAQ – no routing |
NSDQ |
INET,
BRUT, SUMOONLY |
| DOTN |
Try
NASDAQ book first then route to DOT |
NSDQNDOT |
BRUTDOT |
| DOTA |
Try
all available ECNs first then route to DOT |
NSDQADOT |
BRUTADOT |
| DOTP |
Try
available market centers then post to NASDAQ book
for a predetermined amount of time, then route
to DOT |
NSDQPDOT |
n/a |
| DOTM |
Try
available market centers then post to NASDAQ book,
route to DOT when marketable |
NSDQMDOT |
n/a |
| STGY |
Try
available market centers then post to NASDAQ book |
NSDQSTGY |
NASDAQ,
SUMO |
| SCAN |
Try
available market centers then post to NASDAQ.
Once on NASDAQ book, the order will proactively
route again. |
NSDQSCAN |
BRUTX
|
| n/a |
If
order sent is for a listed stock use DOTN strategy
else use STGY strategy. |
NSDQSMART |
BRUTSMART |
The availability of the single order
route to the NASDAQ Single Book on the Sterling system
will be announced at a later time. Once announced, Sterling
will contact all the affected clients with specific
information about the usage and additional features
of the new route.
IMPORTANT NOTE:
All limit orders for eligible
securities that are routed to NYSE or AMEX using routing
strategies: DOTA, DOTP, DOTN, or DOTM that stay on the
specialist book will be automatically cancel-replaced
to avoid billable charges. This feature is internally
supported by the NASDAQ Single Book order engine, not
the Sterling system.
For further information about the NASDAQ
Single Book services and order routing types, please
go to the following link:
http://www.nasdaqtrader.com/trader/tradingservices/integration.stm
To read more about functional differences
between old NASDAQ system and the Single Book please
refer to the following document posted by NASDAQ:
http://www.nasdaqtrader.com/trader/tradingservices/productservices/productdescriptions/INET/sumo_vs_sb.pdf
|
