INSTINET, LLC (CRD #7897) — SEC Rule 606 Order Routing & FINRA Rule 5310.09 Execution Quality Report
Executive Best Execution & Order Routing Analysis
INSTINET, LLC (CRD #7897) files direct SEC Rule 606 quarterly order routing disclosures as an independent executing broker-dealer. In 2026Q1, the firm's non-directed customer order flow was routed across key market centers, led by Nasdaq Options (70.1%), CBOE Exchange (9.2%), NYSE ARCA Options (6.0%). Under FINRA Rule 5310, the broker-dealer must evaluate whether routing choices maximize customer price improvement relative to non-routed market destinations.
During 2026Q1, the firm reported $-1,278,967.14 in total net payment for order flow (PFOF) and execution rebates received across its order routing arrangements. Disclosed net payment rates for marketable limit orders averaged -38.27 ¢. FINRA Rule 5310.09 requires rigorous surveillance of potential conflicts of interest when order routing decisions coincide with financial remuneration from execution venues.
Our mix-adjusted benchmark analysis flagged 0 material differences across the 144 Amended Rule 605 order size and security buckets where INSTINET, LLC's routed execution trailed competing peer benchmarks by more than 1.0 basis points. Under FINRA Rule 5310.09, broker-dealers must conduct regular and rigorous committee reviews comparing execution quality achieved against competing market centers they do not route to. Each flagged competing-market difference requires documented supervisory disposition and committee review in the firm's permanent compliance records.
SEC Rule 606 Order Routing Summary
Disclosed non-directed customer order routing shares, total PFOF remuneration, and net rates by execution venue.
| Execution Venue | Route % | Disclosed PFOF (USD) | Net Rate (¢/100 sh) |
|---|---|---|---|
| Nasdaq Options | 70.1% | $125,742.62 | -17.33 ¢ |
| CBOE Exchange | 9.2% | $0.00 | -39.15 ¢ |
| NYSE ARCA Options | 6.0% | $820,905.50 | -13.04 ¢ |
| C2 Options Exchange, Inc. | 2.4% | $0.00 | -41.89 ¢ |
| MEMX Options | 2.2% | $0.00 | -52.58 ¢ |
| Nasdaq OMX | 1.5% | $0.00 | -35.07 ¢ |
| MIAX Emerald, LLC. | 1.4% | $0.00 | -5.63 ¢ |
| Cboe BZX Options Exchange | 1.3% | $0.00 | -48.70 ¢ |
| Nasdaq ISE | 1.2% | $0.00 | -41.09 ¢ |
| MIAX Pearl, LLC | 1.1% | $0.00 | -48.51 ¢ |
| BOX Exchange | 1.1% | $0.00 | -10.74 ¢ |
| Nasdaq GEMX, LLC | 0.5% | $0.00 | -20.64 ¢ |
| Miami Intl Exchange | 0.5% | $0.00 | -18.22 ¢ |
Flagged Competing-Market Differences (0 Locked Buckets)
Scored execution buckets requiring committee evaluation and supervisory disposition under FINRA Rule 5310.09.
No locked exceptions detected in this review period.
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