A member who feels that a trade was reported in error may have the trade reviewed by NASDAQ Market Operations, if they are unable to resolve the issue with the contra broker dealer. The party bringing the complaint must submit a written request to NASDAQ Market Operations by fax or other acceptable means by 10:30 AM EST for trades occurring prior to 10:00 AM EST and within 30 minutes for trades occurring after 10:00 AM EST. Once a complaint has been filed, the firm bringing the complaint has 30 minutes to provide additional documentation. The broker dealer responding to the complaint will receive telephone notification and will be given 30 minutes to submit documentation. Once both parties have indicated that they have submitted all documentation, they may not submit additional documentation. The matter will then be reviewed by a NASDAQ Market Operations Hearing Officer. The Hearing Officer may cancel the trade, modify the trade, or allow the trade to stand. Both parties will receive telephone notification and a written report. Either party may appeal the decision of The Hearing Officer if the appeal is filed in writing within 30 minutes of receiving telephone notification of the decision for decisions received prior to 4:00 PM. If the decision is received after 4:00 PM the appealing firm has until 9:30 AM to file a written appeal. All appeals will be made to The Market Operations Review Committee. Upon final decision either party is free to file a claim in arbitration. Appealing the decision does not stay the original decision of The Hearing Officer. If the NASDAQ system causes erroneous reports to take place, NASDAQ Market Operations can automatically correct or break the trade within 30 minutes of detection. The NASDAQ may correct trades caused by system malfunctions up to 6:00 PM EST on the day after the trade date.

Need Help Passing Your Series 57 Exam?



The Order Audit Trail System / OATS

Related Articles
  1. Investing

    When, Why And How To File A Complaint With The CFPB

    When the employees you interact with at your bank, credit card company, mortgage lender or other financial institution seem incapable of or unwilling to resolve your complaint, the Consumer Financial ...
  2. Trading

    These Are The Best Hours To Trade the British Pound

    The best times to trade the British pound are centered around economic releases at 1:30 am, 2:00 am, 8:30 am and 10:00 am U.S. ET.
  3. Insights

    Understanding NASDAQ

    NASDAQ is an acronym that stands for the National Association of Securities Dealers Automated Quotation system.
  4. Insights

    8 Biggest Global Trade Offenders

    Countries launch protectionist policies to keep domestic producers safe. We list the top eight offenders.
  5. Financial Advisor

    Is Your Broker Ripping You Off?

    We show you how to resolve a problem without getting the lawyers involved.
  6. Insights

    Crude Closes Lower As Hopes For An OPEC Deal Fade

    Oil prices slide as OPEC stalemate looms.
  7. Insights

    How Nasdaq Makes Money

    NASDAQ provides a marketplace which offers money-making opportunities to investors. Investopedia explains how NASDAQ makes money.
  8. Tech

    Is the Trump Surprise a Buying Opportunity for Stocks?

    The light at the end of the tunnel may not be an oncoming train.
  9. Investing

    How Nasdaq Continues To Innovate

    For centuries, a stock market was a physical arena where buyers and sellers traded shares. Then the NASDAQ opened and changed everything.
  10. Investing

    The Two Biggest Flash Crashes of 2015

    A flash crash occurs when prices plunge in minutes, and then often recover just as quickly. Here are two major flash crashes that occurred in 2015.
Frequently Asked Questions
  1. What is the difference between yield and return?

    While both terms are often used to describe the performance of an investment, yield and return are not one and the same ...
  2. What are the Differences Among a Real Estate Agent, a broker and a Realtor?

    Learn how agents, realtors, and brokers are often considered the same, but in reality, these real estate positions have different ...
  3. What is the difference between amortization and depreciation?

    Because very few assets last forever, one of the main principles of accrual accounting requires that an asset's cost be proportionally ...
  4. Which is better, a fixed or variable rate loan?

    A variable interest rate loan is a loan in which the interest rate charged on the outstanding balance varies as market interest ...
Trading Center