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Best execution

140 bytes removed, 10:17, 17 May 2012
Best Execution refers to an investment service firm's obligation to execute [[orders]] on behalf of customers and to ensure that the prices those orders receive reflect the best mix of price improvement, speed and likelihood of execution.<ref>{{cite web|url=|name=Trade Execution|org=SEC|date=April 28, 2008}}</ref> [[Brokers]] are obligated to send orders to venues with the optimal "best execution stats."
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== Determine Compliance With Best Execution Requirements ==
To determine compliance, [[brokerage firm]]s must evaluate customer orders and assess which competing markets, [[market maker]]s, or electronic communications networks offer the best terms of execution. Ultimately, the decision on best execution is made by selecting preferences of market centers or counterparties who consistently meet or exceed certain [[benchmark]]s for quality.