Cboe Exchange, Inc.

Cboe Global Markets

Christopher Andrew Isaacson

Eric Crampton

Kenneth E Conklin, Iii

Phillip J Ratterman

Brian M King

A system and method for managing latency of messages in an exchange system to address technical advantages in certain market participant hardware are disclosed. In one implementation, the system may include an exchange system, and a set of instructions, to cause a processor of the exchange system identify an order type susceptible to technical advantages certain market participants may possess and to apply a re-ordering of, and/or a fixed or random latency to, all orders of the identified order type during a predetermined time of a trading day.

Message randomization and delay based on order type in an electronic trading system

A system and method for managing latency of messages in an exchange system in response to removal of liquidity are disclosed. In one implementation, the system may include an exchange system, and a set of instructions to cause a processor of the exchange system to gather information on quote patterns. The monitored quote patterns are assessed against quote parameters maintained in system memory, and a latency adjustment is automatically made to delay messages from particular market participants removing liquidity in the exchange system. Market participants may be identified as aggressive market participants, and their subsequent liquidity removing orders delayed, based on predetermined quote pattern parameters.

System and method for implementing a system execution delay in response to liquidity removal for resting orders

A system and method determine rewards or other incentives for market participants submitting orders for financial instruments on a financial exchange. The system and method determine if orders submitted by one or more market participants are eligible for a reward or other incentive by identifying orders that are at a best bid or offer for a corresponding financial instrument. The system and method determine a number of eligible orders submitted by each of the one or more market participants and applies a reward or other incentive to a particular market participant with the most eligible orders or greatest aggregate size of eligible orders.

Market liquidity incentive systems and methods

An exchange order fulfillment method comprises receiving, by at least one processor of an electronic exchange, a plurality of electronic communications comprising orders for trades of one or more financial instruments, at least one order comprising an amount of price improvement to be applied to one of a protected national best bid (NBB) or a protected national best offer (NBO) of a financial instrument for a trade. The method further includes fulfilling, by the at least one processor, the order when the amount of the price improvement is more aggressive than a specified value of aggressiveness relative to the one of the protected NBB or the protected NBO of the financial instrument and reporting information associated with fulfillment of the order.

Financial exchange system and method for processing retail price improvement orders

An exchange order fulfillment method includes receiving, by at least one processor, a plurality of orders for trading an underlying security, at least one of the orders comprising a retail price improvement (RPI) order having an interest value that is more aggressive than one of a protected NBB and a protected NBO of the underlying security. The method further includes fulfilling, by the at least one processor, the orders based upon an aggressiveness of a respective interest value for each of the plurality of orders relative to the one of the protected NBB and the protected NBO of the underlying security.

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Lenexa, KS, United States of America

Christopher Andrew Isaacson