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Non-Tech : Meet Gene, a NASDAQ Market Maker -- Ignore unavailable to you. Want to Upgrade?

To: Phil(bullrider) who wrote (389)	8/2/2000 10:25:09 PM
From: gene_the_mm	Read Replies (1) \| Respond to of 1426

GOOD QUESTION BULLRIDER... With supervisory approval an MM can purchase securities that his firm makes markets in. As for specialists I am not sure, but I don't think they can purchase stock for themselves personally ever (someone correct me about this but I remember talking to my friend about it... I will have to ask him). The other thing you refered to is called 'running ahead of an order' which is illegal. It would be illegal for an MM to purchase stock for himself personally (whether approved by the supervisor or not) if he has a large order and knows that that order will influence the market (it is essentially the illegal equivalent of trading on 'insider information'). Thanks, -- Gene