Regulation NMS Rule 605

ALBERT FRIED & COMPANY, LLC Regulation NMS Rule 605

SECURITIES AND EXCHANGE COMMISSION REGULATION NMS RULE 605

(FORMERLY KNOWN AS RULE 11Ac1-5)

DISCLOSURE OF SEC-REQUIRED ORDER EXECUTION INFORMATION.

Albert Fried & Company, LLC (“AFCO”) is publishing statistical information about its execution of market and limit orders in NASDAQ National Market System securities in which we are considered a designated market maker (“market center”). It should be noted that this criteria only captures a portion of AFCO’s order flow. Order flow information in securities in which we do not make a market can be found in our Rule 606 Routing Information Disclosure.

In January 2001, the Securities & Exchange Commission(“SEC”) adopted SEC Rule 605 (formerly 11Ac1-5) which was designed to provide uniform order execution information in the form of electronic reports from the various market centers to allow investors and broker-dealers to compare the execution quality across all market centers.

The Rule 605 reports include information about each market center's quality of executions on a stock-by-stock basis, including how market orders of various sizes are executed relative to the public quotes. These reports must also disclose information about effective spreads (the spreads actually paid by investors whose orders are routed to a particular market center). In addition, market centers must disclose the extent to which they provide executions at prices better than the public quotes to investors using limit orders.

For more information, please visit the SEC Website for the Final Rule: Disclosure of Order Execution and Routing Practices (http://www.sec.gov/rules/final/34-43590.htm) and http://www.sec.gov/interps/legal/slbim12a.htm for frequently asked questions on this topic.

Click here to view Rule605 Order Execution Information

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