AFM Assessment Execution Quality
AFM takes a close look at the quality of order execution on PFOF trading platformsThe Netherlands Authority for the Financial Markets (AFM) has developed a method that provides better insight into the impact of payment for order flow (PFOF) services by brokers. An initial analysis of a number of parties shows that PFOF results in structurally worse prices for retail investors. In the Netherlands, PFOF is prohibited and the European regulator ESMA recently warned about the risks it entails.
Please find the news here.