Institute Comments on NYSE Proposal Relating to New Trading Service

Washington, DC, July 6, 2000 - The Securities and Exchange Commission published for comment in mid-June a proposed rule change filed by the New York Stock Exchange relating to NYSE Direct+, a proposed new facility of the Exchange which would provide automatic execution for certain limit orders of 1,099 shares or less ("auto ex" orders). The Institute recently filed a comment letter with the SEC on the proposal.

The comment letter states that, in general, the Institute supports modifications to the Exchange's trading systems and supports the intent of the proposal. Nevertheless, the Institute believes that there are certain aspects of the Proposal that require further examination before the SEC approves the Proposal.