A defined Regulation NMS facility operated by or for an exchange or national securities association that executes orders or presents them to members for execution. This page is limited to the Regulation NMS definition; other regulatory or operational uses of “trading facility” may be broader.
ReviewedEvidence1 sourceSectionPhrases & Idioms
Quick answer
Under Regulation NMS, an SRO trading facility is a facility operated by or for a national securities exchange or national securities association that executes securities orders or presents orders to members for execution.
Key details
Canonical FormSRO Trading Facility
Core MeaningA defined Regulation NMS facility operated by or for an exchange or national securities association that executes orders or presents them to members for execution.
Further guidance
History Boundary
This page is limited to the Regulation NMS definition; other regulatory or operational uses of “trading facility” may be broader.
Meaning
Under Regulation NMS, an SRO trading facility is operated by or on behalf of a national securities exchange or national securities association and either executes orders in a security or presents orders to members for execution.
Usage Boundary
This page is limited to the Regulation NMS definition; other regulatory or operational uses of “trading facility” may be broader.
Sources and evidence
Sources are shown with the role they play in this guide. Historical or style-sensitive claims are kept within the evidence boundary described above.
A Regulation NMS definition for an exchange- or association-operated facility that displays quotations without executing against them or presenting orders to members for execution.
Alternative Trading System is a current federal securities-regulation defined term. This guide preserves the rule-specific definition and boundaries instead of replacing it with informal market shorthand.
Under current U.S. Regulation NMS, an “automated trading center” is a trading center with systems, procedures, and rules capable of displaying automated quotations, identifying non-automated quotations as manual, and applying reasonable standards for changes between automated and manual status. This is a condensed rule-scoped explanation of 17 CFR § 242.600; the full definition contains multiple operational conditions and should be consulted for compliance work.
Regulation NMS defines regular trading hours as 9:30 a.m. to 4:00 p.m. Eastern Time, or another time period determined under the referenced rule provision. The definition is regulatory and U.S.-market specific; extended-hours sessions and venue-specific schedules are separate concepts.
Regulation NMS defines trading center broadly to include specified exchanges, association facilities, alternative trading systems, market makers, and other broker-dealers that execute orders internally as principal or crossing agent. This page uses the U.S. Regulation NMS definition; ordinary-language uses of trading center can be broader and should not be substituted for the regulatory term.
Trading Rotation is a current federal securities-regulation defined term. This guide preserves the rule-specific definition and boundaries instead of replacing it with informal market shorthand.
Actionable Indication of Interest is a current federal securities-regulation defined term. This guide preserves the rule-specific definition and boundaries instead of replacing it with informal market shorthand.
Administrative Data is a current Regulation NMS defined term for specified administrative, control, and technical messages in the market-data plan framework.
