|JUNE 1, 1999|
|Knight/Trimark Group Launches Mid-Point Pricing At The Open And Saves Investors Half The Spread Per Share In Over 4,800 Nasdaq Securities|
|JERSEY CITY, New Jersey (June 1, 1999) – Knight/Trimark Group, Inc. (Nasdaq: NITE) today announced the launch of mid-point pricing at the open by its Nasdaq market making subsidiary, Knight Securities, Inc. Knight is the first market maker to implement mid-point pricing, a valuable change in its execution standards for the retail investor. Under Knight’s new mid-point pricing guarantee, it will execute orders at the mid-point of the first unlocked, uncrossed national best bid and offer (NBBO). True mid-point pricing, regardless of market imbalances, will offer the retail investor a single price opening – a guarantee that will help put an end to the current pre-opening pricing confusion.
“Enhancing Knight/Trimark Group’s superior execution standards to include mid-point pricing serves to reinforce the Company’s unwavering dedication to ‘Best Execution’” said Kenneth D. Pasternak, Chief Executive Officer of Knight/Trimark Group.
Mid-point pricing will result in price improvements of half the spread per share for all pre-opening market and marketable limit orders in over 4,800 Nasdaq securities in which Knight makes a market aggregating up to 250,000 shares per issue received before 9:25 AM. Retail investors will benefit from the same price improvement of half the spread per share for those new Nasdaq issues in which Knight intends to make a market representing the first 250,000 shares per issue received no later than ten (10) minutes before the commencement of trading.
Mid-point pricing underscores Knight’s continuing efforts to enhance its industry-leading execution standards. Last fall, Knight modified its systems to display all eligible limit orders immediately. Immediate display improves the inside quote at a faster rate, resulting in a more transparent marketplace. By offering mid-point pricing on all Nasdaq pre-opening market and marketable limit orders, and immediate display of eligible limit orders, Knight is providing real and meaningful price improvements, rather than just improvements resulting fortuitously from market orders executing against undisplayed, yet eligible, limit orders.
Beginning in June, as further testament to Knight/Trimark Group’s commitment to its customers, Trimark Securities, Inc., Knight/Trimark Group’s listed market making subsidiary, will be the first market maker to guarantee price improvement benefits for listed securities included in the S&P 500.
Knight/Trimark Group is the leading market maker in both Nasdaq securities and the over-the-counter market for New York Stock Exchange (NYSE)- and American Stock Exchange (AMEX)- listed equity securities – the Third Market. Knight/Trimark Group is “Dedicated to Execution Solutions.”™
Copies of this release and other information on the Company can be obtained via the Internet at www.knight-sec.com.