New York Stock Exchange Systems and Trading Procedures

This paper is an expanded and updated version of NYSE Working Paper "Orders, Trades, Reports and Quotes at the New York Stock Exchange." The comments and opinions contained in this paper are those of the authors and do not necessarily reflect those of the directors, members or officers of the New York Stock Exchange, Inc. This paper does not constitute an official statement and interpretation of Exchange rules and procedures and it has no legal standing. Whenever possible, the paper provides citations to official sources. Preface This paper provides a selective description of New York Stock Exchange systems, trading rules and procedures. The paper's primary objective is to provide researchers with a detailed institutional framework for studying quote and transaction data generated by U.S. securities trading. It is also meant to serve as a guide to the New York Stock Exchange system, for economics, business and legal scholars needing a reference aid for their research. Among the topics examined are: order entry and execution, trade and quote reporting, the audit trail, SuperDot, the Intermarket Trading System, crossing orders and the upstairs positioning of large block trades. The paper provides descriptions of New York Stock Exchange systems, rules and procedures that are constantly changing, as they were at the beginning of 1993.