SEC Chair Mary Jo White called for the SEC, FINRA and the exchanges to offer recommendations to adjust the "limit-up/limit-down" plan in order to reflect the sensitivity of exchange-traded products to disorderly market activity. The plan was designed to reduce extraordinary volatility in individual securities.
In an address before the Security Traders Association's 83rd Annual Market Structure Conference, Chair White focused on several other initiatives to improve the equity market structure related to (i) operational integrity, (ii) market transparency and (iii) algorithmic trading. Chair White announced that the SEC is developing a rule proposal designed to enhance firm recordkeeping and related requirements with respect to trading algorithms. She also stated that staff will recommend a revision to Regulation ATS regarding SEC proposed new rules that would require certain alternative trading systems to make detailed public disclosures about their operations and the activities of their operators and affiliates.
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