The NYSE Trading Floor partially reopened on Tuesday 5/26/20. When fully operational, seven full-service banks and 22 independent brokerage firms support clients directly from the NYSE Trading Floor, providing a wide range of innovative execution, order routing and capital markets services.
The 2020 NYSE Trading Floor operates on leading edge technology and is strengthened by the flexibility of human interaction. Establishing a direct relationship with an NYSE floor broker is the most efficient channel for investors to tap into these services.
Participate in IPOs/Follow-ons/Special Situations
Get closer to the point of sale. Global market and economic conditions have companies looking to public markets to raise capital, execute share repurchase plans, evaluate M&A and seek balance-sheet flexibility. In each of these scenarios, the NYSE Trading Floor can be an essential channel for liquidity discovery, strategic collaboration and price formation.
Navigate the Open
U.S. equity markets are highly fragmented. The NYSE Opening Auction is typically the second-largest print of the session. The price discovery available through floor broker interactions is vital to many trading strategies. The centralized liquidity available in the NYSE Opening Auction, and the immediate aftermarket, provides a significant edge to small and midcap traders. Floor brokers frequently receive instructions to trade “on and after” the auction.
Trade into the NYSE Close
The NYSE Closing Auction is the single largest global equities liquidity event each day. NAV calculations, derivative reference prices, index values and benchmark return strategies rely on NYSE DMMs to close stocks at the most accurate prices.
Floor brokers use D Orders to help their customers navigate the NYSE Closing Auction. This order type allows for strategic and flexible interaction in the Closing Auction as the continuous market transitions into the Closing Auction. D Orders can be entered or cancelled up until 3:59:50 p.m. On a typical day with the full complement of DMMs and floor brokers on the Trading Floor, over 30% of Closing Auction activity is executed via the NYSE floor brokers. Recent independent research indicates NYSE floor brokers save investors over $10 million in trading into the close each day.
Check in with Algorithmic Trading Providers
During the temporary Floor closure, algorithmic service providers disabled all routes to the NYSE Floor Brokers. This impacted share repurchase tools, intraday opportunistic strategies and many MOC / MOO algorithms.
In addition, multiple brokers were in the process of expanding the use of electronic midpoint orders across all NYSE Group exchanges. We have made substantial improvements to our non-displayed midpoint minimum trade size features and overall infrastructure across NYSE exchanges. Ensure your preferred brokers are ready to go.
As we move deeper into 2020 it is essential investors have access to the widest set of execution tools, information and liquidity options. Stocks trade better on the NYSE.