SEC Set to Let Wall Street Keep Payment-for-Order-Flow Deals (3)

The US Securities and Exchange Commission will stop short of banning payment for order flow, a controversial way to process retail stock trades, as it proposes new rules for the $48 trillion American equities market.

The decision, described by people familiar with the matter, follows months of internal deliberations at the agency. It marks a win for brokerages that get paid for processing rights, although the SEC may still enact other changes that make the practice less profitable, according to the people.

The regulator is expected to unveil its plans in the coming months.

Gary Gensler

Photographer: Al Drago/Bloomberg

Wall Street has been ...