SEC-Required Report on Routing of Customer Orders
For Quarter Ending Sat Dec 31 23:59:59 2011
Pennaluna & Company has prepared this report pursuant to a U.S. Securities
and Exchange Commission rule requiring most brokerage firms to make
publicly available quarterly reports on their order routing practices. The
report provides information on the routing of "non-directed orders" - any
order that the customer has not specifically instructed to be routed to a
particular venue for execution. For these non-directed orders, Pennaluna
has selected the execution venue on behalf of its customers.
The report is divided into three sections: one for securities listed on
the New York Stock Exchange; one for securities listed on The Nasdaq Stock
Market; one for securities listed on the American Stock Exchange or
regional exchanges. A fourth section for exchange-listed options does not
appear, because Pennaluna & Company does not trade options.
For each section, this report identifies the venues most often selected by
Pennaluna & Company and sets forth the percentage of various types of orders routed
to the venues. With respect to all orders, as has been common practice in the
securities industry, Pennaluna & Company or related parties may receive remuneration
for the equity order flow routed for customer orders. Such orders are executed
at prices equal to or better than the displayed national best bid/offer price.
Not all orders are so directed nor are rebates available in many instances and
where such arrangements exist they are subject to a number of conditions. When
received, such remuneration may be used to help defray the firm’s aggregate cost
of executing trades or other business purposes.