Healthy Markets Association Files “Friend of the Court” Brief in Defense of SEC Approval of Investor-Protecting Order Type

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Healthy Markets Association Files “Friend of the Court”

Brief in Support of SEC Approval of IEX’s D-

Limit Order Type

“Ethical Markets also supports IEX and this Amicus Brief from Healthy Markets is welcome,

~Dr. Hazel Henderson, Editor“

On April 12, 2021, Healthy Markets Association filed an amicus brief in the United States Court of Appeals for the District of Columbia Circuit in support of the Securities and Exchange Commission (SEC), IEX, and investors. Read the full brief at the link below.






In 2019, IEX proposed a D-Limit order type, which would automatically reprice if the exchange’s proprietary “crumbling quote indictator” (CQI) was triggered. This innovation was designed and intended to protect investors from receiving poor executions during the few seconds each trading day when the CQI is triggered.

Healthy Markets Association joined dozens of pension funds and other institutional investors in support of IEX’s proposal. The SEC approved the proposal and IEX’s innovative order type was put into place. However, Citadel Securities then sued the SEC, asserting that the SEC’s approval was improper.

The case is now pending before the United States Court of Appeals for the District of Columbia Circuit.

In its “friend of the court” brief in support of the SEC, IEX, and investors, Healthy Markets Association:

  • provides some historical context regarding how the regulatory environment has inadvertently created a kill zone for high-speed traders that harms investors,
  • clarifies that Citadel Securities doesn’t trade “on behalf of” retail investors, and
  • distinguishes the automatic repricing of the D-Limit order type from the one-way optionality created by the CboeEDGA’s order type (which Healthy Markets Association had opposed).


Since our launch in 2015, Healthy Markets Association has been engaging asset owners, asset managers, brokers, exchanges, data providers, policymakers, regulators, and other stakeholders to increase capital markets transparency and reduce conflicts of interest, risks, and costs for investors. To learn more about Healthy Markets Association and our initiatives, please check out our website.