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Non-Tech : Web Street Securities (WEBS) -- Ignore unavailable to you. Want to Upgrade?

To: James F. Otton who wrote (420)	7/11/1998 7:23:00 AM
From: gbh	Respond to of 1339

Jim, you may be just the guy I need to type too. I am considering accounts at both MB and Web Street (WS). But I need to fully understand the order routing implications. I understand that WS only has the capability of routing orders to their MM, Nash Weiss (NAWE). At first I thought this may be a negative thing. But this in fact may be a very positive thing when trying to buy at the bid and sell at the ask. If I place a limit order to buy at the bid, WS would route this order to NAWE. If NAWE is not at the bid, I believe they are required by NASDAQ rules to represent my order at the bid. Now this could be far better than routing an order to ISLD at the bid. Why? Because ISLD (or any ECN) is not SOES'able, and NAWE, being a MM, is. The above assumes that WS and NAWE abide by NASDAQ rules (as I understand them). In your experience at WS, do you see limit orders to buy or sell, immediatley appear on your Level 2 screen as NAWE moving to the bid/ask if they weren't there to begin with? The same should be true for limit orders between the spread. NAWE should immediately represent that order as the new best bid/ask, and since they are a MM and not an ECN, it should be an SOES'able order. Using MB, the only way to possibly buy at the bid or sell at the ask is to preference an ECN such as ISLD. Now MB does give you that awesome SOES button for near instant execution at the current market when you have to get the stock. And I think I will love Realtick. And all the other goodies.. Your comments on this will be greatly appreciated. Gary