Smaller cap securities generally have less liquidity provision by market makers than larger cap companies. The smallest 4,721 securities account for just 22% of all trading volume, while the largest 500 securities represent 61% of trading volume.1 While NYSE offers Dedicated Market Makers that provide liquidity in small cap companies, we are pleased that regulators and industry participants are working together to focus on creating more liquid, transparent markets for smaller cap companies.
The SEC has approved a pilot program to test hypotheses about how to increase liquidity for small cap companies. The pilot began with a six month data collection period on April 4, 2016, followed by implementation in October 2016. This two-year pilot consists of four groups to evaluate three variables: widening minimum quoting increments, widening minimum trading increments and encouraging displayed liquidity in what is known as the "trade-at" requirement. Results will be compared against a control group. NYSE believes this pilot will be a positive first step in determining how small caps can attract more liquidity in the trading of their shares.
NYSE published a list of eligible securities for inclusion in the data collection phase of the tick pilot on March 7, 2016. Tick pilot eligible securities are Common Stock Operating Companies (i.e., excludes ADRs, Closed End Funds, Preferred Stocks, Warrants, Units, Structured Products and Exchange Traded Products).
The following link contains Tick Pilot Control and Test Group Assignments
The Daily List of all securities included in the data collection phase, and a cumulative list of changes, are posted each night by 10pm following the close, and are available here.
If any updates or corrections to these lists are subsequently made, a record of such updates is available here. You are urged to periodically check this file prior to the start of the next trading day.
Historical daily lists for data collection eligible issues are available here.
Publicly available statistics as described in Appendix B of the Tick Size Plan will be available here.
If any updates or corrections to Appendix B data are subsequently made, a record of such updates is available here. You are urged to periodically check this file.
Notice regarding how each Participant calculated the B.II.q statistic is available here. Please note that, as of October 31, 2017, Appendix B data above has been corrected and now also reflects a calculation change for the B.II.q indicator for NYSE Arca and NYSE National.
Notice regarding NYSE National, Inc.'s (NSX's) B.1.a. statistics for the period covering April 2016 - January 2017 is available here.
Publicly available statistics as described in Item II of Appendix C of the Tick Size Plan will be consolidated and available on FINRA’s Appendix C Data page.
Section VIII of the Tick Size Pilot Plan requires the Plan Participants to submit to the Commission and make publicly available a joint assessment of the impact of the Pilot. The Participants submitted the joint assessment to the Commission on Tuesday, July 3, 2018.
Listen to the Follow Up Call
How the SEC Tick Pilot Could Impact You
Read the SEC Filing on Plan to Implement a Tick Size Pilot Program
See the SEC release on the Tick Size Pilot Program
1Source: Consolidated Tape Association, NYSE, 2015