Compromise found for revenue rebate

Authorities are concerned incentives will increase false trades

US stock exchanges have reached a compromise with the Securities and Exchange Commission (SEC) over controversial revenue rebates.

They have been told that they will be allowed to return up to 50% of revenues they receive from selling data on Amex-listed securities to market makers. Rebates have been as high as 75%. However, the exchanges have been warned that they face a long wait before the SEC will allow them to offer rebates on Nasdaq securities.

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