BROWSE

Backing Away

What is 'Backing Away'

Failure by a market maker in a security to honor the quoted bid and ask prices for a minimum quantity. Backing away constitutes a serious violation of industry regulations. NASD Regulation Inc uses an automated market surveillance system to enable the resolution of backing-away complaints in real time.

Explaining 'Backing Away'

Backing away constitutes a breach of SEC Rule 11Ac1-1 or the firm quote rule, which requires a market maker to execute an order presented to it at a price at least as favorable as its published quotation, up to its published quotation size. A potential backing-away complaint has to be brought to the attention of the Market Regulation Department within five minutes of the alleged offense. Otherwise, it may be difficult for department staff to obtain a contemporaneous trade execution from the market maker.

Backing Away FAQ

What's the definition of backing away?

Backing away is the failure of a market maker to honor the quoted bid and ask prices for a minimum quantity. This is considered to be an ethical violation of industry regulations.

Who are you backing meaning?

Providing resources and funding for an individual or organization is called backing.

What does painting the tape mean?

Painting the tape is a form of market manipulation in which participant trade securities among themselves to create the appearance of increased activity and influence market prices.

What is considered market manipulation?

Market manipulation refers to the deliberate attempt to increase or decrease market prices for personal gain.

Is churning market manipulated?

Churning is a form of market manipulation in which a trader buys and sells the same stock, making it seem more interesting.

Further Reading


Brazil Rolls Back Regional Integration: Under President Michel Temer, Brazil takes a decisive turn away from regional integration, towards courting the United States …
www.tandfonline.com [PDF]
… Brazil Rolls Back Regional Integration … All of this has taken its toll on Brazil's image abroad, leading many leaders to shy away from meeting formally with … But other countries have been willing to continue their economic relationship with Brazil under the Temer administration …

Inter-firm linkages and the wealth effects of financial distress along the supply chainInter-firm linkages and the wealth effects of financial distress along the supply chain
www.sciencedirect.com [PDF]
… Brazil Rolls Back Regional Integration … All of this has taken its toll on Brazil's image abroad, leading many leaders to shy away from meeting formally with … But other countries have been willing to continue their economic relationship with Brazil under the Temer administration …

Participation and equity in higher education: Are we going back to the future?Participation and equity in higher education: Are we going back to the future?
www.tandfonline.com [PDF]
… Brazil Rolls Back Regional Integration … All of this has taken its toll on Brazil's image abroad, leading many leaders to shy away from meeting formally with … But other countries have been willing to continue their economic relationship with Brazil under the Temer administration …

… : the good intentions of governments and donors to ensure long-term food security for all may be melting away in the face of the current global financial and economic …… : the good intentions of governments and donors to ensure long-term food security for all may be melting away in the face of the current global financial and economic …
go.gale.com [PDF]
… Brazil Rolls Back Regional Integration … All of this has taken its toll on Brazil's image abroad, leading many leaders to shy away from meeting formally with … But other countries have been willing to continue their economic relationship with Brazil under the Temer administration …

Kicking Away the Ladder, Too: Inside Central BanksKicking Away the Ladder, Too: Inside Central Banks
www.tandfonline.com [PDF]
… Brazil Rolls Back Regional Integration … All of this has taken its toll on Brazil's image abroad, leading many leaders to shy away from meeting formally with … But other countries have been willing to continue their economic relationship with Brazil under the Temer administration …

Looking back in order to move forward: The politics of evolving sub-national economic policy architectureLooking back in order to move forward: The politics of evolving sub-national economic policy architecture
www.tandfonline.com [PDF]
… Brazil Rolls Back Regional Integration … All of this has taken its toll on Brazil's image abroad, leading many leaders to shy away from meeting formally with … But other countries have been willing to continue their economic relationship with Brazil under the Temer administration …

The economic policies of Turkey's AKP government: Rabbits from a hat?The economic policies of Turkey's AKP government: Rabbits from a hat?
www.ingentaconnect.com [PDF]
… Brazil Rolls Back Regional Integration … All of this has taken its toll on Brazil's image abroad, leading many leaders to shy away from meeting formally with … But other countries have been willing to continue their economic relationship with Brazil under the Temer administration …

Aid effectiveness: bringing country ownership (and politics) back inAid effectiveness: bringing country ownership (and politics) back in
www.tandfonline.com [PDF]
… Brazil Rolls Back Regional Integration … All of this has taken its toll on Brazil's image abroad, leading many leaders to shy away from meeting formally with … But other countries have been willing to continue their economic relationship with Brazil under the Temer administration …

Debt problems, home‐leaving, and boomeranging: A register‐based perspective on economic consequences of moving away from parental homeDebt problems, home‐leaving, and boomeranging: A register‐based perspective on economic consequences of moving away from parental home
onlinelibrary.wiley.com [PDF]
… Brazil Rolls Back Regional Integration … All of this has taken its toll on Brazil's image abroad, leading many leaders to shy away from meeting formally with … But other countries have been willing to continue their economic relationship with Brazil under the Temer administration …



Q&A About Backing Away


What is backing away?

Backing away is when a market maker does not honor the quoted bid and ask prices for a minimum quantity.

Who are Market Makers?

Market makers are individuals or firms that buy and sell securities on behalf of their customers, as well as other investors.

How do economists define value?

Value in economics refers to the usefulness of a good or service in satisfying human needs and wants. It can also refer to the importance placed on a good or service by individuals or society as a whole.

Who uses value in their decision making process?

Everyone uses value in his or her decision making process. For example, when you decide whether you want to buy an item at a store you compare its price with your income and then decide if it is worth buying it based on your need for the item versus your ability to pay for it. If you cannot afford the item then you will not buy it even though you may really want it because your need for the item does not outweigh its cost (value). Another example would be if someone has $5 but they only need $3 worth of gas so they decide not to fill up their tank all the way because there is no point in doing so since they have more money than they need (value).

Do all societies use value similarly?

No; different societies place different values on goods and services depending upon their

What are some things that economists study?

Economists study how people make decisions about what to produce, how much to produce, who gets what is produced, and for whom it is produced.

Why do we use value in our decision making processes?

We use value because we have limited resources which means we must choose between competing alternatives such as buying something now versus saving money now by waiting until later before purchasing something else that costs more than what we currently have available at this time (value).

What constitutes a serious violation of industry regulations?

A serious violation of industry regulations constitutes backing away.

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