In a letter filed with the Securities and Exchange Commission, the FIA Principal Traders Group said it supports the Commission's action to address spiralling Consolidated Audit Trail costs, promote accountability and fashion a reasonable governance framework for the CAT.
FIA PTG said it continues to believe that the CAT should be funded through the Commission’s regular budget process rather than through an NMS Plan. If the Commission were to transition the CAT onto its budget, the CAT’s scope and budget would be subject to Congressional oversight, which would better align incentives across all stakeholders and ensure that cost-efficient decisions are made regarding overall scope and design, and that the costs and benefits are carefully weighed before expanding system data requirements.
Further, FIA PTG recommends the Commission takes immediate action to reduce CAT costs by addressing costly and inefficient CAT system requirements. FIA PTG urges the Commission to act immediately to reduce the financial burdens associated with the CAT.
Read the full letter and the list of cost reduction recommendations here.
