EXCHANGE TRADING SYSTEM AND METHOD HAVING A MODIFIED PARTICIPATION ENTITLEMENT

摘要

A system and method of determining a participation entitlement for orders for the purchase or sale of securities or derivatives in an exchange configured for trading securities or derivatives is provided. One method includes determining a first participation entitlement based on a presence of a first-in-time public customer order at an executable price and determining a second participation entitlement in an absence of a public customer order on the electronic book. The system includes an electronic trade engine with electronic book configured for receiving orders from market makers on and away from the trading floor. The system also includes executable instructions for determining participation entitlements according to the method noted above.