NYSE Arca

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Is the first open, all-electronic stock market in the United States enabling customers to trade equity securities, including those listed on NYSE Arca, the NYSE, and other U.S. equities markets, and options products. NYSE Arca’s trading platform links traders to multiple U.S. market centers where buyers and sellers meet directly in a highly liquid electronic environment without intermediaries for fast order execution and open, direct, and anonymous market access.

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A securities exchange in the U.S. on which stocks and options are traded. The NYSE Arca, previously known as the ArcaEx or Archipelago Exchange, is owned by NYSE Euronext, which merged with Archipelago Holdings in a reverse merger in 2006.

Investopedia Says:
As of 2009, The NYSE Arca is the world's second largest electronic communication network (ECN) in terms of shares traded. It accounts for roughly 10% of NYSE-listed securities traded and 20% of Nasdaq-listed securities traded. Much like other ECNs, the NYSE Arca implements a liquidity fee/rebate program to improve overall market liquidity.

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The New York Stock Exchange building on August 9, 2011, when Deutsche Bank's db-X Group commenced trading on NYSE Arca.[1]

NYSE Arca, previously known as ArcaEx, an abbreviation of Archipelago Exchange, is a securities exchange on which both stocks and options are traded. It is owned by NYSE Euronext, which merged (as NYSE Group) with Archipelago Holdings in a reverse merger on 2006-02-27.

Early reports indicate that NYSE Arca may have played an early role in the 2010 Flash Crash[2]

The NYSE Arca exchange is headquartered in Chicago, Illinois. [3]

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Market share

As of 1 March 2007, NYSE Arca is the second largest electronic communication network in terms of shares traded. Approximately one out of every six shares traded on the American financial markets is traded on the system. For New York Stock Exchange-listed securities or Tape A, it accounts for just over 10% of the shares traded. For NASDAQ-listed securities, NYSE Arca accounts for approximately 20% of the trading volume. For exchange-traded funds, NYSE Arca accounts for 30-40% of the traded volume.

Fees

NYSE Arca's liquidity fee/rebate structure resembles that of other electronic communication networks. In late 2006, it was the first one to offer NASDAQ-style fees on New York Stock Exchange-listed securities, a move that was soon copied by NASDAQ and other electronic communication networks. NYSE Arca charges traders that remove liquidity from the Arca-book $3.00 per 1,000 shares. Traders that add liquidity receive a $2.00 rebate per 1,000 shares. Traders that route orders out of the NYSE Arca system are charged $1.00 per 1,000 shares for Tape A securities and $4.00 per 1,000 shares for other securities.

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