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Order Type
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Order Handling
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Limit Order (LMT)
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1) LMT orders are evaluated for marketability. If not
marketable at CBSX or away markets, the order will be booked automatically.
If marketable at CBSX and CBSX is part of the NBBO, it executes immediately
up to the disseminated size. Any remainder will be treated as though CBSX is
not at the NBBO.
2) If marketable at an away exchange, but not at CBSX the
order will be "flashed" to API users for a brief period of time (100
milliseconds) for step-up to NBBO. If still not executable, an Intermarket
Sweep Order (ISO) will be automatically routed to away exchange(s) showing
prices equal to or better than the order limit price.
3) If there is not enough size at away exchanges to
execute at a better price than CBSX, the remainder will be executed at CBSX,
subject to the order's limit price. Any remaining quantity that is no longer
marketable will be booked.
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Market Order (MKT)
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MKT orders are treated similarly to LMT orders with the
exception that they are never booked. Additionally market orders will trigger
a Request For Quote (RFQ) process if they cannot be fully executed at CBSX or
away markets.
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Immediate or Cancel (IOC)
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IOC orders are immediately executed at CBSX if CBSX is
part of the NBBO. If CBSX is not part of the NBBO, an IOC order will be
cancelled immediately. If an IOC order is partially executed, the remainder
will be cancelled immediately.
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All-or-None (AON)
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AON orders are executed in full as soon as it is possible
to do so. If an AON order cannot be executed in full, it will be booked. The
publicly disseminated price and size will not include resting AON orders.
However, the AON price and size will be shown to API users as contingent
quantity, so market participants will know about the resting order.
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Fill-or-Kill
(FOK)
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FOK orders are AON orders with an IOC contingency. If an
FOK order cannot be executed in its entirety, it will be immediately
cancelled.
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Stop Order (STP)
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STP orders rest in the book until the STP price is
triggered (when the primary market trades at or through the STP price). Once
the STP price is triggered, the order becomes a MKT order and will follow the
MKT order handling described above. STP orders are not displayed in the CBSX
market or book depth until they are triggered.
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Stop Limit Order
(STP LMT)
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STP LMT orders rest in the book until the STP price is
triggered (when the primary market trades at or through the STP price). Once
the STP price is triggered, the order becomes a LMT order and will follow the
LMT order handling described above. STP LMT orders are not displayed in the
CBSX market or book depth until they are triggered.
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Opening Only (OPG)
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Opening Only orders will trade at the opening price or be
immediately cancelled. OPG orders can be MKT or LMT but cannot have any other
contingencies.
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Intermarket Sweep Order (ISO)
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ISOs are IOC orders executed up
to the LMT price of the order, regardless of the NBBO, as the sender has
satisfied all other markets concurrent with the transmission of the ISO to
CBSX.
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Sell-Short Order
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Orders marked Sell Short are evaluated according to the
appropriate short sale rule. Currently only NYSE and AMEX-listed securities
will be subject to special short sale handling. If a marketable order to sell
short is received and cannot be executed due to the short sale rule, the
order will be booked at the closest price that would allow it to trade. Last
sale prices will be tracked and the resting price of the order will be
continually updated until it is traded or cancelled. Certain securities are
exempted from short-sale rules. If the security is exempted CBSX will not use
the special handling described here, even if the order is marked short.
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Sell-Short Exempt Orders
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These orders are
treated as though they were marked as long orders.
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Reserve Order
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Reserve orders allow a user to display only a certain
amount of the order in the disseminated quote. The user indicates the display
quantity and only that amount is displayed. The remainder of the reserve
order will trade against incoming orders; however, it will not retain time
priority over other orders that are displayed. The display quantity will be replenished once 100 shares have
traded. CBSX rules may require a minimum display amount on the order.
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Cross-Only
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Cross only orders are used when two parties are planning
to cross or meet between the current market. The two orders will be executed
against one another as long as they are between the CBSX market and at or
better than the NBBO. Both orders
must match on price and size. If the orders cannot be executed according to the rules,
both orders will be cancelled immediately. If the sell order is marked as
short and the price violates the short sale rules in place, both orders will
be cancelled. Cross orders can be sent paired or separately.
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Mid-Point Cross
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A cross-only order with a price of MKT. Both orders will
automatically cross at the mid-point of the NBBO. Mid-point cross orders can
be sent paired or separately.
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Cross and Sweep
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Cross orders that trade outside the current best market.
Before trading against each other they will sweep the CBSX book and the top
of any away markets that are better than the crossing price. The price on the
two orders must match; however, it is not required (but recommended) that the
sizes match. Once both orders have traded as much as possible any remaining
quantity will be cancelled. Cross and Sweep orders can be sent paired or
separately.
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Time In Force
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CBSX accepts orders with a Time
In Force of DAY.
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