'Flash Boys' IEX stock exchange opens for business
If you&#x27;re wondering what IEX becoming a full blown exchange means to you, well it probably doesn&#x27;t matter at all.<p>They have been operating for some time already as an ATS, today they are now part of the RegNMS protected quote, meaning that up until today, brokers did not have to route orders to them.<p>it also allows them to have companies &quot;list&quot; on their exchange, though I don&#x27;t know of any companies that are planning on listing with IEX currently.<p>They bring 4 unique things to the market<p>- their built in delay of 350 micro seconds on each incoming and out going message, ie they delay order&#x27;s coming in and they delay fill notifications going out.<p>- they have a patented dynamic peg algo that will allow a user to place an order that the exchange will dynamically price.  This order type was a bit contentious as the exchange doesn&#x27;t delay quote changes when updating these orders, ie these orders are blessed in the sense that they don&#x27;t obey the 350 microsecond delay.<p><a href="https:&#x2F;&#x2F;www.iextrading.com&#x2F;trading&#x2F;dpeg&#x2F;" rel="nofollow">https:&#x2F;&#x2F;www.iextrading.com&#x2F;trading&#x2F;dpeg&#x2F;</a><p>- they aren&#x27;t currently allowing co-location<p>- they don&#x27;t participate in the maker taker model.  They charge, I think, 9 cents on dark orders and nothing for lit orders.<p>Maybe the most interesting thing that IEX has brought to the US market is that the NYSE is now filing to add their own discretionary PEG order.<p><a href="https:&#x2F;&#x2F;www.nyse.com&#x2F;network&#x2F;article&#x2F;nyse-order-types" rel="nofollow">https:&#x2F;&#x2F;www.nyse.com&#x2F;network&#x2F;article&#x2F;nyse-order-types</a>