{"id":1181,"date":"2019-04-11T11:49:17","date_gmt":"2019-04-11T09:49:17","guid":{"rendered":"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/"},"modified":"2019-04-11T11:49:17","modified_gmt":"2019-04-11T09:49:17","slug":"priority-rules","status":"publish","type":"events","link":"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/","title":{"rendered":"Priority Rules"},"content":{"rendered":"<section class=\"wp-block-unilux-blocks-free-section section\"><div class=\"container xl:max-w-screen-xl\"><p>We study the impact of priority rules on market quality and investor welfare. While typically the regulator mandates price priority (e.g., the Securities and Exchange Commission&rsquo;s Order Protection Rule), price priority does not specify who trades first when multiple venues (or counterparties) have the best-posted price. Order preferencing to a specific venue or broker may then serve as a tie-breaking rule. We compare order preferencing, modeled as price-broker-time priority (PBT), to price-time priority (PT).<\/p><p>When the tick is tight relative to the dispersion in trader valuations, trading rates are higher with PBT whereas investor welfare is higher with PT. The opposite holds for a wide tick. PBT endogenously results when brokers individually choose between PT or PBT. Our model has testable implications regarding systematic patterns in order flow, market depth, trade composition, and market fragmentation.<\/p><\/div><\/section>","protected":false},"excerpt":{"rendered":"","protected":false},"author":0,"featured_media":1182,"parent":0,"menu_order":0,"comment_status":"open","ping_status":"closed","template":"","format":"standard","meta":{"featured_image_focal_point":[],"show_featured_caption":false,"ulux_newsletter_groups":"","uluxPostTitle":"","uluxPrePostTitle":"","_trash_the_other_posts":false,"_price":"","_stock":"","_tribe_ticket_header":"","_tribe_default_ticket_provider":"","_tribe_ticket_capacity":"0","_ticket_start_date":"","_ticket_end_date":"","_tribe_ticket_show_description":"","_tribe_ticket_show_not_going":false,"_tribe_ticket_use_global_stock":"","_tribe_ticket_global_stock_level":"","_global_stock_mode":"","_global_stock_cap":"","_tribe_rsvp_for_event":"","_tribe_ticket_going_count":"","_tribe_ticket_not_going_count":"","_tribe_tickets_list":"[]","_tribe_ticket_has_attendee_info_fields":false,"event_start_date":"2019-04-25 12:30:00","event_end_date":"2019-04-25 13:45:00","event_speaker_name":"Hans Degryse \u2013 KU Leuven and CEPR","event_speaker_link":"","event_is_online":false,"event_location":"JFK Building \r\n29, avenue Kennedy\r\nL-1855 Luxembourg\r\nGround Floor, Nancy-Metz Room","event_street":"","event_location_link":"","event_zip_code":"","event_city":"","event_country":"LU"},"events-topic":[301],"events-type":[],"organisation":[115],"authorship":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.3 (Yoast SEO v22.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Priority Rules - FDEF I Uni.lu<\/title>\n<meta name=\"description\" content=\"We study the impact of priority rules on market quality and investor welfare. While typically the regulator mandates price priority (e.g., the Securities\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/\" \/>\n<meta property=\"og:locale\" content=\"fr_FR\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Priority Rules\" \/>\n<meta property=\"og:description\" content=\"We study the impact of priority rules on market quality and investor welfare. While typically the regulator mandates price priority (e.g., the Securities\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/\" \/>\n<meta property=\"og:site_name\" content=\"FDEF FR\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/uni.FDEF.lu\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.uni.lu\/wp-content\/uploads\/sites\/18\/2026\/03\/03111953\/FDEF_SM-Profile_1600x1600px-scaled.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"2560\" \/>\n\t<meta property=\"og:image:height\" content=\"2560\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Dur\u00e9e de lecture estim\u00e9e\" \/>\n\t<meta name=\"twitter:data1\" content=\"1 minute\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/\",\"url\":\"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/\",\"name\":\"Priority Rules - FDEF I Uni.lu\",\"isPartOf\":{\"@id\":\"https:\/\/www.uni.lu\/fdef-fr\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.uni.lu\/wp-content\/uploads\/sites\/18\/2019\/04\/priority_rules.jpg\",\"datePublished\":\"2019-04-11T09:49:17+00:00\",\"dateModified\":\"2019-04-11T09:49:17+00:00\",\"description\":\"We study the impact of priority rules on market quality and investor welfare. While typically the regulator mandates price priority (e.g., the Securities\",\"breadcrumb\":{\"@id\":\"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/#breadcrumb\"},\"inLanguage\":\"fr-FR\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"fr-FR\",\"@id\":\"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/#primaryimage\",\"url\":\"https:\/\/www.uni.lu\/wp-content\/uploads\/sites\/18\/2019\/04\/priority_rules.jpg\",\"contentUrl\":\"https:\/\/www.uni.lu\/wp-content\/uploads\/sites\/18\/2019\/04\/priority_rules.jpg\",\"width\":800,\"height\":600},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.uni.lu\/fr\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Facult\u00e9 de Droit, d\u2019\u00c9conomie et de Finance\",\"item\":\"https:\/\/www.uni.lu\/fdef-fr\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Events\",\"item\":\"https:\/\/www.uni.lu\/fdef-fr\/events\/\"},{\"@type\":\"ListItem\",\"position\":4,\"name\":\"Priority Rules\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.uni.lu\/fdef-fr\/#website\",\"url\":\"https:\/\/www.uni.lu\/fdef-fr\/\",\"name\":\"FDEF\",\"description\":\"Facult\u00e9 de Droit, d\u2019\u00c9conomie et de Finance I Uni.lu\",\"publisher\":{\"@id\":\"https:\/\/www.uni.lu\/fdef-fr\/#organization\"},\"alternateName\":\"Facult\u00e9 de Droit, d\u2019\u00c9conomie et de Finance I Universit\u00e9 du Luxembourg\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.uni.lu\/fdef-fr\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"fr-FR\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/www.uni.lu\/fdef-fr\/#organization\",\"name\":\"FDEF - Universit\u00e9 du Luxembourg I Uni.lu\",\"alternateName\":\"Facult\u00e9 de Droit, d\u2019\u00c9conomie et de Finance\",\"url\":\"https:\/\/www.uni.lu\/fdef-fr\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"fr-FR\",\"@id\":\"https:\/\/www.uni.lu\/fdef-fr\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/www.uni.lu\/wp-content\/uploads\/sites\/18\/2026\/03\/03111953\/FDEF_SM-Profile_1600x1600px-scaled.jpg\",\"contentUrl\":\"https:\/\/www.uni.lu\/wp-content\/uploads\/sites\/18\/2026\/03\/03111953\/FDEF_SM-Profile_1600x1600px-scaled.jpg\",\"width\":2560,\"height\":2560,\"caption\":\"FDEF - Universit\u00e9 du Luxembourg I Uni.lu\"},\"image\":{\"@id\":\"https:\/\/www.uni.lu\/fdef-fr\/#\/schema\/logo\/image\/\"},\"sameAs\":[\"https:\/\/www.facebook.com\/uni.FDEF.lu\",\"https:\/\/www.linkedin.com\/showcase\/fdef-uni-lu\/\"]}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Priority Rules - FDEF I Uni.lu","description":"We study the impact of priority rules on market quality and investor welfare. While typically the regulator mandates price priority (e.g., the Securities","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/","og_locale":"fr_FR","og_type":"article","og_title":"Priority Rules","og_description":"We study the impact of priority rules on market quality and investor welfare. While typically the regulator mandates price priority (e.g., the Securities","og_url":"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/","og_site_name":"FDEF FR","article_publisher":"https:\/\/www.facebook.com\/uni.FDEF.lu","og_image":[{"width":2560,"height":2560,"url":"https:\/\/www.uni.lu\/wp-content\/uploads\/sites\/18\/2026\/03\/03111953\/FDEF_SM-Profile_1600x1600px-scaled.jpg","type":"image\/jpeg"}],"twitter_card":"summary_large_image","twitter_misc":{"Dur\u00e9e de lecture estim\u00e9e":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/","url":"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/","name":"Priority Rules - FDEF I Uni.lu","isPartOf":{"@id":"https:\/\/www.uni.lu\/fdef-fr\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/#primaryimage"},"image":{"@id":"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/#primaryimage"},"thumbnailUrl":"https:\/\/www.uni.lu\/wp-content\/uploads\/sites\/18\/2019\/04\/priority_rules.jpg","datePublished":"2019-04-11T09:49:17+00:00","dateModified":"2019-04-11T09:49:17+00:00","description":"We study the impact of priority rules on market quality and investor welfare. While typically the regulator mandates price priority (e.g., the Securities","breadcrumb":{"@id":"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/#breadcrumb"},"inLanguage":"fr-FR","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/"]}]},{"@type":"ImageObject","inLanguage":"fr-FR","@id":"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/#primaryimage","url":"https:\/\/www.uni.lu\/wp-content\/uploads\/sites\/18\/2019\/04\/priority_rules.jpg","contentUrl":"https:\/\/www.uni.lu\/wp-content\/uploads\/sites\/18\/2019\/04\/priority_rules.jpg","width":800,"height":600},{"@type":"BreadcrumbList","@id":"https:\/\/www.uni.lu\/fdef-fr\/events\/priority-rules\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.uni.lu\/fr"},{"@type":"ListItem","position":2,"name":"Facult\u00e9 de Droit, d\u2019\u00c9conomie et de Finance","item":"https:\/\/www.uni.lu\/fdef-fr\/"},{"@type":"ListItem","position":3,"name":"Events","item":"https:\/\/www.uni.lu\/fdef-fr\/events\/"},{"@type":"ListItem","position":4,"name":"Priority Rules"}]},{"@type":"WebSite","@id":"https:\/\/www.uni.lu\/fdef-fr\/#website","url":"https:\/\/www.uni.lu\/fdef-fr\/","name":"FDEF","description":"Facult\u00e9 de Droit, d\u2019\u00c9conomie et de Finance I Uni.lu","publisher":{"@id":"https:\/\/www.uni.lu\/fdef-fr\/#organization"},"alternateName":"Facult\u00e9 de Droit, d\u2019\u00c9conomie et de Finance I Universit\u00e9 du Luxembourg","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.uni.lu\/fdef-fr\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"fr-FR"},{"@type":"Organization","@id":"https:\/\/www.uni.lu\/fdef-fr\/#organization","name":"FDEF - Universit\u00e9 du Luxembourg I Uni.lu","alternateName":"Facult\u00e9 de Droit, d\u2019\u00c9conomie et de Finance","url":"https:\/\/www.uni.lu\/fdef-fr\/","logo":{"@type":"ImageObject","inLanguage":"fr-FR","@id":"https:\/\/www.uni.lu\/fdef-fr\/#\/schema\/logo\/image\/","url":"https:\/\/www.uni.lu\/wp-content\/uploads\/sites\/18\/2026\/03\/03111953\/FDEF_SM-Profile_1600x1600px-scaled.jpg","contentUrl":"https:\/\/www.uni.lu\/wp-content\/uploads\/sites\/18\/2026\/03\/03111953\/FDEF_SM-Profile_1600x1600px-scaled.jpg","width":2560,"height":2560,"caption":"FDEF - Universit\u00e9 du Luxembourg I Uni.lu"},"image":{"@id":"https:\/\/www.uni.lu\/fdef-fr\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/uni.FDEF.lu","https:\/\/www.linkedin.com\/showcase\/fdef-uni-lu\/"]}]}},"_links":{"self":[{"href":"https:\/\/www.uni.lu\/fdef-fr\/wp-json\/wp\/v2\/events\/1181"}],"collection":[{"href":"https:\/\/www.uni.lu\/fdef-fr\/wp-json\/wp\/v2\/events"}],"about":[{"href":"https:\/\/www.uni.lu\/fdef-fr\/wp-json\/wp\/v2\/types\/events"}],"replies":[{"embeddable":true,"href":"https:\/\/www.uni.lu\/fdef-fr\/wp-json\/wp\/v2\/comments?post=1181"}],"version-history":[{"count":0,"href":"https:\/\/www.uni.lu\/fdef-fr\/wp-json\/wp\/v2\/events\/1181\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.uni.lu\/fdef-fr\/wp-json\/wp\/v2\/media\/1182"}],"wp:attachment":[{"href":"https:\/\/www.uni.lu\/fdef-fr\/wp-json\/wp\/v2\/media?parent=1181"}],"wp:term":[{"taxonomy":"events-topic","embeddable":true,"href":"https:\/\/www.uni.lu\/fdef-fr\/wp-json\/wp\/v2\/events-topic?post=1181"},{"taxonomy":"events-type","embeddable":true,"href":"https:\/\/www.uni.lu\/fdef-fr\/wp-json\/wp\/v2\/events-type?post=1181"},{"taxonomy":"organisation","embeddable":true,"href":"https:\/\/www.uni.lu\/fdef-fr\/wp-json\/wp\/v2\/organisation?post=1181"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}