The firms involved in the settlement were Bear Stearns Cos. subsidiary Bear Wagner Specialists, Fleet Specialist Inc., now part of Bank of America Corp., LaBranche & Co., Van der Moolen Specialists and Goldman Sachs Group Inc. subsidiary Spear, Leeds & Kellogg.
These are the market makers who match buy orders with sell orders on the floor. Very convenient to make them out to be hotbeds of criminality just as regulators are preparing to regulate them out of existence. Van der Moolen is a sponsor of this big conference my pub will soon be covering. Think they'll answer our questions about this?
Bad for business, bad for the industry. You can see why people get heated up about whether investment professionals should be considered fiduciaries or not. Depressing.