OATS Announcements - Archive

Posted: July 8, 2014

New OATS Release on July 14, 2014 in the OATS Customer Test (CT) Environment

The OATS release related to the migration of the OTC Reporting Facility (ORF) technology platform as described in the May 9, 2014 version of the OATS Reporting Technical Specifications will be available in the OATS CT environment on July 14, 2014. Please note, during the Certificate Test period, Execution Reports submitted for OTC equity securities will be matched against trades reported to the ORF testing environment, known as the NTF, and not the current ORF production platform. Firms and OSOs that need to test matching for OTC equity trades reported to the current ORF production platform should contact the OATS Helpdesk at 1-800-321-6273 for assistance. For more information on the upcoming changes, please see the OATS Report.
 


 

Posted: June 16, 2014

OATS Industry-wide Teleconference and WebEx Presentation Thursday, June 19, 2014 at 4:15 p.m

On Thursday, June 19, 2014 at 4:15 p.m., FINRA staff is hosting an Industry-wide Teleconference and WebEx presentation related to Order Audit Trail System (OATS) reporting. This call will discuss the latest version of the OATS Reporting Technical Specifications and recently published OATS Reports
 



Posted: June 5, 2014

New OATS Reports Posted

FINRA recently published a series of OATS Reports related to the migration of the OTC Reporting Facility (ORF) to a new technology platform. These reports include information on: 1) the reporting of milliseconds to OATS; 2) changes related to the unique identifier used in Order/Trade Matching, and 3) the reporting of execution time for PRP and Stop Stock transactions.

Additionally, new guidance has been posted related to the reporting of Desk Reports when a firm transmits an order to the trading desk within one second of receipt.

FINRA staff will be hosting an industry wide call on June 19, 2014 to discuss these and other OATS related topics. Details of the call will be distributed in the near future.
 



Posted: May 9, 2014

New OATS Reporting Technical Specifications

FINRA released a new edition of the OATS Reporting Technical Specifications dated May 9, 2014.This version of the OATS Reporting Technical Specifications contains the following changes:

 

  1. Changes specific to the exchange route matching requirements for orders routed to BATS Exchanges (BATS BYX Exchange and BATS BZX Exchange). Additionally, a new Syntax/Semantics validation related to Exchange Participant ID field has been added. These changes will be available in the OATS Production environment on September 15, 2014 and in the OATS Certificate Test environment on August 11, 2014.
  2. Changes specific to the migration of the OTC Reporting Facility (ORF) technology platform for the reporting of transactions in OTC equity securities (i.e., non-NMS stocks). These changes will be available in the OATS Production environment on September 15, 2014 and in the OATS Certificate Test environment on July 14, 2014. Please note, during the Certificate Test period, OATS will match Execution Reports to trades reported to both the ORF testing environment as well as the ORF Production environment. FINRA staff has published a new OATS Report related to changes to the Order/Trade Matching requirements for OTC equity securities as a result of the ORF platform migration. Refer to the OATS Report titled "Changes to Order/Trade Matching Requirements for OTC Equity Securities".
  3. Beginning September 15, if the firm reports Execution Timestamp in milliseconds to a FINRA transaction reporting system, OATS will include milliseconds as part of the Order Trade Matching criteria. Therefore, both the FINRA transaction reporting system Execution Timestamp and the OATS Execution Timestamp must be identical to the millisecond.
     

 

Posted: April 23, 2014

New OATS Report on Changes to Order/Trade Matching Requirements for OTC Equity Securities

FINRA staff has published a new OATS Report related to changes to the Order/Trade Matching requirements for OTC equity securities as a result of the ORF platform migration.


 

Posted: December 12, 2013

New OATS Release Now Live in Production

FINRA reminds firms that the New OATS release is now live in the OATS Production environment. This release includes the following changes:
 

  • Publication of Exchange Route Match statistics for orders routed to EDGA and EDGX Exchanges
  • Addition of one new rejection code preventing the population of both the Originating Department ID and the Receiving Department ID fields on the same New Order Type Report


Please note that all data must be in the required format else it will be rejected or unmatched.

For more information regarding the New OATS Release, please see the related links below:
 


 

Posted: November 15, 2013

NASDAQ Expanded Symbology for NASDAQ Listed Companies

 

As announced in NASDAQ Equity Trader Alert #2013-79, NASDAQ plans to expand Symbology for NASDAQ listed companies beginning in January 2014. Staff reminds firms and Order Sending Organizations (OSOs) that orders must be reported to OATS in the format prescribed by the primary listing exchange. Firms and OSOs can start testing symbol formats in the OATS CT environment with the following test symbols:

  • ZXYZ.A
  • ZXY.A
  • ZYY.A
  • ZYY.B
  • ZYY.C
  • XXVV.A

 

If you have any questions regarding this matter, please call the OATS Helpdesk at 1(800) 321-6273.

 


 

Posted: November 15, 2013

New Release Now Available in the OATS Customer Test (CT) Environment

 

The OATS release as described in the September 12, 2013 version of the OATS Reporting Technical Specifications, and updated in the related Addendum published on October 16, 2013, is now available in the OATS CT environment. This release includes the following changes:

  • Publication of Exchange Route Match statistics for orders routed to EDGA and EDGX Exchanges
  • Addition of one new rejection code preventing the population of both the Originating Department ID and the Receiving Department ID fields on the same New Order Type Report

 

Firms and OSOs are strongly encouraged to begin testing to identify and resolve rejection and matching issues prior to the December 2, 2013 implementation in the OATS Production environment.

 

For more information on the upcoming changes, please see the related links below:

 


 

Posted: November 11, 2013

New Release Now Available in the OATS Customer Test (CT) Environment

The OATS release as described in the September 12, 2013 version of the OATS Reporting Technical Specifications, and updated in the related Addendum published on October 16, 2013, is now available in the OATS CT environment. This release includes the following changes:
 

  • Publication of Exchange Route Match statistics for orders routed to EDGA and EDGX Exchanges.
  • Addition of one new rejection code preventing the population of both the Originating Department ID and the Receiving Department ID fields on the same New Order Type Report.

Firms and OSOs are strongly encouraged to begin testing to identify and resolve rejection and matching issues prior to the December 2, 2013 implementation in the OATS Production environment.

For more information on the upcoming changes, please see the related links below:
 


 

Posted: October 18, 2013

Publication Date Changed for OATS Route Matching Statistics for the EDGA and EDGX Exchanges

 

The publication date of Exchange Route Matching Statistics for orders routed to the EDGA and EDGX Exchanges has been changed to November 11, 2013 for the Customer Test (CT) environment and December 2, 2013 for the Production environment. For more information, please see the related links below:

Additionally, FINRA has published an addendum to the September 12, 2013 version of the OATS Reporting Technical Specifications. The addendum contains a new Rejection Code of 2146 which prevents the population of both the Originating Department ID and Receiving Department ID on the same New Order Type Report.

 

View Addendum (PDF 17 KB)

 


 

Posted: October 18, 2013

Exchange Route Matching for orders routed to Direct Edge EDGA and EDGX exchanges

 

FINRA will begin publishing Exchange Route Matching statistics for orders routed to the EDGA Exchange and EDGX Exchange in November 2013. FINRA is publishing a new version of the OATS Reporting Technical Specifications that includes the specific Direct Edge exchange fields that will be used to match the OATS Route Report or Combined Order/Route Reports to the related order in EDGA or EDGX. In addition, FINRA is posting an updated OATS Report entitled “FINRA Guidance on Exchange Route Matching” that includes reporting guidance for all the exchanges that are included in the Exchange Route Matching statistics. The EDGA and EDGX exchange route matching statistics will be available to firms in the CT environment on October 21, 2013 and in the OATS Production environment on November 18, 2013. For more information please see the related links below:

 


 

Posted: September 27, 2011

FINRA intends to file with the SEC to delay the expansion of OATS to all NMS Stocks until October 17, 2011. FINRA believes additional testing time for member firms will allow for any remaining implementation issues to be resolved before the new rule and related technical requirements become effective on October 17, 2011. The same previously announced phase-in schedule will be followed but with dates moved back for the start of each phase by two weeks.

 


 

Posted: June 22, 2011

On June 14, 2011, FINRA filed a proposed rule change to amend FINRA Rule 7470 to extend for an additional four years FINRA’s ability to exempt certain members from the recording and reporting requirements of the Order Audit Trail System (“OATS”) Rules for manual orders received by the member. FINRA filed the proposed rule change for immediate effectiveness with an operative date of July 9, 2011. Read the proposed rule change.

 

Members that were previously granted an exemption under Rule 7470 with an expiration date of July 10, 2011 will receive a letter and an “Exemption Renewal Request Form”. Members wishing to apply for continuing exemption must complete and return the form and certify that they still meet the criteria required under FINRA Rule 7470 to be eligible for an exemption. Additionally, firms requesting an exemption will be required to submit their FY2010 Certified Annual Audit Report.

 

Please visit OATS Phase III for more information on the exemption criteria and process.

 


 

Posted: May 3, 2011

As previously announced, FINRA filed a proposed rule change on April 26, 2011 with the SEC extending the implementation date for the OATS expansion to all NMS stocks from July 11, 2011 to October 3, 2011.  Further, in response to industry comment, FINRA has made modifications to the OATS Reporting Technical Specifications last published on March 17, 2011.  Accordingly, FINRA has published a revised version of the OATS Reporting Technical Specifications reflecting these modifications. 

 

OATS Technical Specifications (5/3/11 edition)

The changes described in this version of the OATS Reporting Technical Specifications include all required changes related to FINRA’s rule changes expanding the OATS Rules to all NMS stocks (SR-FINRA-2010-44), along with other technical enhancements.  This version of the OATS Reporting Technical Specifications supersedes versions published on January 11, 2011, February 16, 2011 and March 17, 2011, also related to the expansion of the OATS Rules to all NMS stocks.  All code changes required by this version of the OATS Reporting Technical Specifications should use the November 8, 2010 version of the OATS Reporting Technical Specifications as the base code to which changes should be applied. View this revised version of the OATS Reporting Technical Specifications, dated May 3, 2011.

 

View PDF file (PDF 1.30 MB)

View Addendum (PDF 17 KB)

 


 

 

Posted: November 15, 2010

The SEC has approved FINRA’s proposed rule change SR-FINRA-2010-044 to expand the OATS Rules to all NMS stocks. FINRA will publish a Regulatory Notice and related OATS Reporting Technical Specifications detailing the approved changes within the next 60 days.  The changes will be effective 180 days after publication of the Regulatory Notice and related OATS Reporting Technical Specifications.

 

For more information, please review the SEC's Approval Order. 

 


 

Posted: November 4, 2010 

In light of today's announcement by the SEC that it is extending the compliance date for amendments to Rule 201 and Rule 200(g) of SEC Regulation SHO, FINRA intends to file a proposed rule change to delay the effective date of changes to OATS to coincide with the new compliance date of these amendments to SEC Regulation SHO, which is currently anticipated to be February 28, 2011. Accordingly, FINRA will not release the code changes described in the August 30, 2010 version of the OATS Reporting Technical Specifications on Monday, November 8, 2010. Rather, these changes will be released in the OATS production environment on Monday, February 28, 2011. FINRA will announce a new date for the availability of such changes in the OATS test environment shortly.

 


 

Posted: October 11, 2010 

FINRA staff reminds firms and reporting entities that the OATS release as described in the August 30th version of the OATS Reporting Technical Specifications is now available in the OATS Testing environment. FINRA staff strongly recommends firms test their new code prior to the November 8, 2010 OATS Production release. View the related OATS Reporting Technical Specifications.

 


 

Posted: October 5, 2010 

On October 4, 2010, the SEC approved SR-FINRA-2010-043 to reinstitute short exempt marking for trade reporting and OATS. As previously announced, the applicable OATS changes will be available for testing in the OATS Test environment on October 11, 2010. The changes will become effective in the OATS Production environment on November 8, 2010 with population of short sale related fields becoming mandatory on November 10, 2010. Please refer to the most recent version of the OATS Reporting Technical Specifications and Frequently Asked Questions C85 and C86 for more details.

 


 

Posted: September 27, 2010 

FINRA has posted new Frequently Asked Questions C85 and C86 related to the scheduled November 8, 2010 OATS release. In addition, to allow firms additional time to test their systems, the code related to this release will be available to firms in the OATS test environment on October 11, 2010, as opposed to the originally scheduled date of October 20, 2010.

 


 

Posted: August 9, 2010 

FINRA has filed a proposed rule change relating to the expansion of the Order Audit Trail System to all NMS stocks. Read the proposed rule change.

 


 

Posted: September 2, 2010

OATS Educational Telephone Conference

FINRA will host an educational telephone conference and WebEx presentation on Wednesday, September 8, 2010 at 4:15 p.m., ET. Topics to be discussed include:

 

  • Presentation of changes described in the OATS Reporting Technical Specification
  • Question and answer session

 

View additional details (PDF 58 KB), including how to register.

 


 

Posted: June 28, 2010

Upon implementation of Rule 201 of Regulation SHO, otherwise known as the Short Sale Price Test, FINRA is reinstating Short Exempt (“SX”) as a permitted value in the Buy/Sell Code field on the following OATS Reports: New Order, Combined Order/Route, Combined Order/Execution, Cancel/Replace. This code will be available for testing in the OATS test environment starting on September 4, 2010. It will be live in OATS Production as of November 10, 2010. Please contact the OATS Helpdesk at 1-800-321-6273, with any questions regarding this update. 

 


 

Posted: December 4, 2009

Order Audit Trail System (OATS) Educational Telephone Conference 
Wednesday, December 9, 2009 at 4:15 PM ET

 

 

The newly updated OATS Web Interface has been available to firms in the OATS Test Environment since Monday, November 2, 2009. It will be put into the OATS Production Environment on Monday, December 14, 2009.

 

FINRA will host an educational telephone conference and WebEx demonstration of the new Web Interface on Wednesday, December 9, 2009 at 4:15 p.m., ET. Topics to be discussed include:

 

  • New OATS Web Interface Demonstration
  • Question and answer session

 

The details of the call are below:

 

Time: 4:15 p.m., ET
Call-In Number: (888) 831-6083 

Leader's Name: Paul McKenney 

Password: oats

 

Please note that this call is closed to all members of the media. You must pre-register in order to participate in this conference call.

 

To register for the telephone portion of this conference:

 

  • Go to our MyMeetings Web page and input the required information.
  • Enter the conference number and passcode.
    • Conference Number: 2551575
    • Passcode: 2372649
  • Provide your information for the event leader and then click submit.

 

To ensure that you are not held up in the conference call queue as a result of the high call volume, please call in at least five minutes early.

 

To access the WebEx presentation on the day of the call, please follow the instructions below:

 

  • Go to the WebEx presentation Web page
  • Enter your name and email address.
  • Enter the meeting password: OATS
  • Click "Join Now".

 

Note: When accessing the WebEx application, please follow the download instructions if prompted.

 

Please contact the OATS Helpdesk at (800) 321-6273 should you have any questions or concerns regarding OATS.

 


 

Posted: October 27, 2009

Order Audit Trail System (OATS) Educational Telephone Conference 
Wednesday, November 4, 2009 at 4:15 PM ET

 

The newly updated OATS Web Interface will be available to firms in the OATS Test Environment on Monday, November 2, 2009. It will be put into the OATS Production Environment on Monday, December 14, 2009.

 

FINRA will host an educational telephone conference and WebEx demonstration of the new Web Interface on Wednesday, November 4, 2009 at 4:15 p.m., ET. Topics to be discussed include:

 

  • New OATS Web Interface Demonstration
  • Question and answer session

 

The details of the call are below:

 

Time: 4:15 p.m., ET
Call-In Number: (800) 779-1743 

Leader's Name: Paul McKenney 

Password: OATS

 

Please note that this call is closed to all members of the media. You must pre-register in order to participate in this conference call.

 

To register for the telephone portion of this conference:

 

  • Go to our MyMeetings Web page and input the required information.
  • Enter the conference number and passcode.
    • Conference Number: 9937405
    • Passcode: 3740126
  • Provide your information for the event leader and then click submit.

 

To ensure that you are not held up in the conference call queue as a result of the high call volume, please call in at least five minutes early.

 

To access the WebEx presentation on the day of the call, please follow the instructions below:

 

  • Go to the WebEx presentation Web page 
  • Enter your name and email address.
  • Enter the meeting password: OATS
  • Click "Join Now".

 

Note: When accessing the WebEx application, please follow the download instructions if prompted.

 

Please contact the OATS Helpdesk at (800) 321-6273 should you have any questions or concerns regarding OATS.

 


 

Posted: May 20, 2009

Preliminary Version of OATS Compliance Report Card — Available for June 2009 Report

Beginning with the June 2009 report period, FINRA will issue a preliminary version of the OATS Compliance Report Card in an effort to provide firms with more timely information regarding their overall OATS compliance performance.

 

View additional details.

 


 

Posted: May 20, 2009

OATS Educational Telephone Conference 

FINRA will host an educational telephone conference and WebEx presentation on Tuesday, June 16, 2009 at 4:15 p.m., ET. Topics to be discussed include:

 

  • Email Retirement / IFT demonstration
  • New OATS Web Interface Demonstration
  • Guidance on Agency Orders
  • Question and answer session

 


 

Posted: May 18, 2009  

OATS Email Retirement
Effective August, 31 2009, FINRA will retire email as an OATS transmission method and transition current email users to Internet File Transfer (“IFT”). As such, Order Sending Organizations will no longer be able to transmit data to OATS via email as of August 31, 2009. OATS will reject any files submitted via email as of that date. FINRA will be contacting each OSO currently submitting files via email to assist them with the transition process.

 

IFT is an efficient and cost-effective method to directly upload a prepared OATS file to FINRA via the Internet. Once the file is uploaded, the user is immediately able to confirm successful file transmission and receipt. IFT requires no file encryption or annual certificate renewal, thus reducing firm maintenance and compliance risk.

 

IFT may be accessed by a free web-based application or by purchasing a SecureTransport software package. Firms that submit less than 100,000 order events per day may use the free Web browser version. Firms that submit more than 100,000 order events per day must use the client version, which requires the purchase of the software package.

Effective June 1, 2009, firms may begin transitioning from email to IFT. The chart below provides more details on important dates. Please note that OATS will no longer accept files via email effective August 31, 2009.

 

Effective DateImpact
June 1, 2009 – June 30, 2009The OATS Technical Helpdesk will contact all OSOs submitting via email to provide an IFT user id and password. In addition, the Helpdesk will provide assistance with IFT functionality and submission of test files.
June 16, 2009FINRA will provide a WebEx overview of data transmission via the free web-based IFT application
August 31, 2009OATS will no longer accept OATS data via email.

 

Please contact the OATS Helpdesk at 1-800-321-6273 with any questions related to this notice or to start the transition to IFT.

 


 

Posted: December 15, 2008 

FINRA to Offer Customized OATS Training

Beginning in January 2009, FINRA staff will be offering customized training sessions to individual firms via telephone and WebEx demonstrations. Firms may schedule a one on one training session with FINRA OATS staff during which the staff will respond to the firm's questions related to OATS, provide information to the firm on the various OATS compliance resources available to members, and demonstrate specific resources such as the OATS web interface and the Compliance Report Cards that can be used to monitor for compliance with the OATS Rules. The staff will also offer OATS compliance and supervisory tips geared to the specific firm.

 

To register, please complete our online form. A limited number of sessions are available each month and firms will be scheduled on first come, first serve basis.

 


 

Posted: October 14, 2008 

OATS Release Moved to February 2, 2009

In light of recent market events and other competing programming obligations currently facing members, FINRA is moving the November 10, 2008 OATS Release to February 2, 2009. The new scheduled CT date for the release is Monday, January 5, 2009.

 


 

Posted: May 9, 2008 

OATS Reporting Phone-In Workshop On-Demand

This phone-in workshop provides updates about OATS, in particular, OATS for OTC-equity securities that became effective February 4, 2008. Panelists discuss common compliance issues and trends, highlight tools available to assist firms in supervision of OATS reporting and address the transition of OATS access through the Firm Gateway. The OATS Reporting Phone-In Workshop lasts approximately 75 minutes and its original, live air date was May 8, 2008.

 

Access Information
 

To access the recorded Phone-In Workshop, please dial the phone number provided.

  • Toll-Free Number within the U.S.: (800) 294-0997
     
  • Outside the U.S.: + (203) 369-3226

If you have questions regarding the Phone-In Workshop, please email us.

 


 

Posted: August 16, 2007 

New OATS Reporting Deadline

Effective Monday, August 20, 2007, OATS reportable order events that occurred during a particular OATS business day must be reported to OATS by 5:00 a.m. Eastern Time the following calendar day.  This new reporting deadline gives firms an additional hour, from the current 4:00 a.m. deadline, to submit OATS data.  As of August 20, 2007, reports received after the new 5:00 a.m. deadline will be marked late.  FINRA staff, however, encourages member firms and reporting entities to maintain their current internal OATS reporting schedules to ensure timely submission of data.     

 


 

Posted: August 3, 2007 

FINRA Rule Filing

Proposed Rule Change to Amend NASD Rule 6952 Relating to the Reporting of Foreign Equity Securities to the Order Audit Trail System (SR-FINRA-2007-001)

 


 

Posted: November 14, 2005 

OATS Phase III

NASD has published two documents regarding the amended OATS reporting requirements and the implementation of OATS Phase III, which will be effective May 8, 2006.  The first document is a Notice to Members providing background and interpretative guidance related to the recently approved amendments to the OATS Rules.

 

NASD has also updated the OATS Reporting Technical Specifications to include, among other things, technical enhancements required by the amendments to the OATS Rules.  The changes to the OATS Reporting Technical Specifications  will be effective May 8, 2006.  Firms and OSOs may begin to test their codes for compliance with the system specifications, in the OATS Customer Testing (CT) environment, on March 27, 2006.

 

For more information on OATS Phase III please visit www.finra.org/oats/PhaseIII. Should you have any questions regarding OATS, please contact the OATS Helpdesk at (800) 321-6273.

 



SEC Request for Comments

On October 11, 2005, the Securities and Exchange Commission (SEC) noticed for comment SR-NASD-2005-101, which proposes to expand OATS reporting requirements to OTC equity securities.  View the SEC's notice (Rel. 34-52581).

 

Those interested in commenting on the proposed changes should submit comments directly to the SEC, as described in the SEC's notice. The comment period will expire 21 days after publication of the proposal in the Federal Register, which is expected during the week of October 17, 2005.  Rule filings are not effective until approved by the SEC.  In addition, some rule filings may be followed by amendments that modify the original filing.

 

Please contact the OATS Helpdesk at (800) 321-6273 with any questions regarding OATS.

 


 

NASD Rule Filing Approval

On September 28, 2005, the SEC approved SR-NASD-00-23 relating to the OATS rules.  As approved, the amendments (1) implement the OATS requirements for manual orders (OATS Phase 3);  (2) provide that members are required to capture and report both the time the order is received by the member from the customer and the time the order is received by the member's trading desk or trading department, if those times are different; (3) exclude certain members from the definition of "Reporting Member" for those orders that meet specified conditions and are recorded and reported to OATS by another member; and (4) permit NASD to grant exemptive relief from the OATS reporting requirements in certain circumstances to members that meet specified criteria.

 

For more detailed information, members can view the SEC approval order.

 

In addition, NASD will provide additional information and guidance in a Notice to Members and updated OATS Reporting Technical Specifications both to be published shortly.  

 



NASD Rule Filing
On September 14, 2005, NASD filed Amendment No. 3 to SR-NASD-00-23 with the SEC, the proposed rule change was originally filed with the SEC on April 19, 2000. 
 
The purpose of Amendment No. 3 is to address the comment letters received by the SEC in response to the publication of the proposed rule change in the Federal Register and to propose amendments responsive to the comments where appropriate.  If approved, the amendments to the OATS Rules proposed in SR-NASD-00-23 would: (1) provide that members are required to capture and report both the time the order is received by the member from the customer and the time the order is received by the member's trading desk or trading department, if those times are different; (2) exclude certain members from the definition of "Reporting Member" for those orders that meet specified conditions and are recorded and reported to OATS by another member; and (3) permit NASD to grant exemptive relief from the OATS reporting requirements in certain circumstances to members that meet specified criteria. 
 
Please note that rule filings generally are not effective until approved by the SEC.  Rule filings also may be followed by amendments that modify the original filing or prior filing thereto.

 

If you have any questions or concerns regarding this proposal, please contact the OATS Helpdesk at (800) 321-6273.


 



OATS Survey
As previously announced, the Market Regulation Department of NASD is conducting a review of members' supervisory systems as they relate to the OATS Rules.  In this regard, all member firms currently submitting OATS data, either on their own behalf or via another party, were requested pursuant to NASD Procedural Rule 8210 to complete an online survey concerning their OATS supervisory system by July 15, 2005. After August 12, 2005, the questionnaire will no longer be available on the OATS Web site. NASD may initiate disciplinary proceedings against any firm that failed to submit a completed survey.

 

Each firm must access the survey through the secure OATS Web Interface. Access to the OATS Web Interface requires an OATS UserID and password.  If you have not yet established and received an OATS UserID and password, you may request one through the OATS Helpdesk according to the instructions on our site. 

 

Should you have any questions when applying for a User ID and password or when accessing the supervisory survey, please contact the OATS Helpdesk at (800) 321-6273. 

 

If you have questions regarding the survey itself, please contact the Market Regulation Department at (240) 386-5126.

 



NASD Rule Filing

On June 10, 2005, NASD filed with the SEC Amendment No. 2 to SR-NASD-00-23, originally filed with the Commission on April 19, 2000.  Pursuant to NASD Rule 6957(c),  the OATS Rules will apply to all manual orders effective 120 days after Commission approval of SR-NASD-SR-00-23 (“Phase Three”). 
 
The SEC requests comment on the NASD proposal to amend the Order Audit Trail System (OATS) Rules which:  (1) provide that members are required to capture and report both the time the order is received by the member from the customer and the time the order is received by the member's trading desk or trading department, if those times are different; (2) exclude certain members from the definition of "Reporting Member" for those orders that meet specified conditions and are recorded and reported to OATS by another member; and (3) permit NASD to grant exemptive relief from the OATS reporting requirements in certain circumstances to members that meet specified criteria. The comment period expires July 18, 2005.
 
View the Federal Register Notice. Should you have any questions or concerns regarding this proposal, please contact the OATS Helpdesk at (800) 321-6273.

 


 

Posted: January 27, 2005

NASD Extends Implementation Date of New Special Handling Code

 

In the January 14, 2005 OATS Report entitled "OATS Reporting Obligations for Modifications to Executed Orders", members were instructed that a new special handling code of ADD will be required for certain order modifications beginning with the February 14, 2005 OATS release. In order to give firms additional programming time to accommodate this new code, use of the new ADD Special Handling Code will not be required until April 1, 2005. Firms should note that because the new code will be included in the February 14, 2005 release, OATS will accept the code beginning February 14, 2005.

 

Please contact the OATS Helpdesk at 1-800-321-6273 if you have any further questions.

 


 

 

Posted: December 22, 2004

Passing Routed Order IDs via ACES

On November 24, 2004 NASDAQ issued a letter to ACES subscribers concerning translation issues in ACES that result in the routing and receiving firms reporting different OATS Routed Order IDs to OATS. NASDAQ's proposed short-term solution is for both routing and receiving firms to remove the spaces between the Branch and Sequence number when reporting the Routed Order ID to OATS.  This solution is consistent with NASD's guidance posted in the OATS Report article Matching OATS Routed Order IDs on Orders Routed via Nasdaq's ACES System on September 2, 2004. 


NASDAQ posted new ACES specifications on December 21, 2004.  The specifications allow for Order Entry firms to transmit the Branch Sequence number to ACES without interval spaces beginning on January 12, 2005.  As of that date, however, market makers will still receive the Branch/Sequence numbers with embedded spaces.  NASD continues to recommend that the embedded spaces be eliminated when reporting the Routed Order ID to OATS. 
 

 

As of April 2005,  ACES plans to eliminate the embedded space between the Branch and Sequence numbers that ACES passes through to the receiving firms. 
 

 

Please contact the OATS Helpdesk at 1-800-321-6273 with any question regarding this notice or on OATS in general. 


 

 

Posted: November 24, 2004

New Notices to Members Regarding OATS

NASD recently published two Notices to Members regarding OATS.  Notice to Members 04-80 seeks comment on proposed changes to the OATS Rules.  These proposed changes would require members to record and report to OATS:  (1) order information relating to exchanged listed and OTC equity securities; (2) enhanced information relating to orders routed to non-members or exchanges; (3) and order information related to proprietary orders generated during normal market making activities.  Comments are due by January 20, 2005. 

 

Notice to Members 04-85 announces SEC approval of amendments to Rule 6954(c) requiring that Electronic Communication Networks (ECNs) report the Routed Order ID on orders received electronically from other members. 

 

Please contact the OATS Helpdesk at 1-800-321-6273 with any questions regarding these notices, or regarding OATS in general. 


 

 

Posted: Nobember 12, 2004

QQQ to Become OATS Reportable on December 1, 2004

On December 1, 2004, the NASDAQ-100 Index Tracking StockSM, known as QQQSM, will transfer its listing to the NASDAQ National Market® under the trading symbol QQQQ. (See Nasdaq Head Trader Alert #2004-142) Upon listing on NASDAQ, QQQ will trade under NASDAQ market rules.  This means that orders received for QQQ will become subject to the OATS Rules on December 1, 2004. 

 
Therefore, any QQQ order received on or after December 1, 2004, must be reported to OATS.  Order events related to orders received prior to December 1, 2004, however, are not subject to OATS reporting and should not be reported to the OATS production environment.  Any Desk, Routing, Execution, Cancel/Replace, or Cancel Reports submitted to OATS for orders received before 12/1/04 will be rejected. Should you have any questions on this announcement or on OATS in general, please contact the OATS Helpdesk at 1-800-321-6273.