Securities information processor

A securities information processor (SIP) is a part of the infrastructure of public market data providers in the United States that process, consolidate, and disseminate quotes and trade data from different US securities exchanges and market centers.[1] An important purpose of the SIPs for US securities is to publish the prevailing National Best Bid Offer (NBBO).[2]

There are three exclusive SIPs in operation as of 2023. The UTP Plan oversees the SIP for securities listed on Nasdaq and over-the-counter securities, also called unlisted trading privileges securities. The Consolidated Tape Association (CTA) Plan oversees the SIP for securities listed on all other exchanges, including the New York Stock Exchange, NYSE Arca, NYSE American, NYSE Chicago, and Cboe stock exchanges. The Options Price Reporting Authority (OPRA) oversees the SIP for all exchange-traded securities options in the US.[3]

  1. ^ Osipovich, Alexander (5 July 2022). "Nasdaq, NYSE Win Court Battle With SEC Over Market Data". Wall Street Journal.
  2. ^ Bartlett, Robert; McCrary, Justin. "How Rigged Are Stock Markets? Evidence from Microsecond Timestamps" (PDF). Retrieved 27 May 2023.
  3. ^ "Frequently Asked Questions". Options Price Reporting Authority. Retrieved 27 May 2023.