The Securities and Exchange Commission has approved a Philadelphia Stock Exchange (Phlx) proposal to shorten the exposure period for marketable public customer limit orders that are eventually routed through the Intermarket Option Linkage (the Linkage) when Phlx’s disseminated market is not the national best bid and offer (NBBO). Currently, when Phlx’s disseminated price on the opposite side of the market is not the NBBO, marketable public customer limit orders are exposed to the trading crowd and Phlx XL participants for three seconds before being routed through the Linkage to another exchange at the NBBO. Under the proposed rule, Phlx would shorten the exposure period to one second.

Comments to the Phlx proposal are due within 21 days of its publication in the Federal Register.