lowtrade

[BigBake1]

No FINRA doesnt do clearing, it is strictly a monitoring organization, they take Consolidated Tape Reports and Non Tape Transactions reports (Regulatory Reports) and balance the two for a full picture of trading. It gives them right down to the member as to each trade transaction, if they want further resolution they "Blue Sheet" the particular member who then provides a detailed transactions report down to the individual accounts/trades that were involved in the transactions of "interest".

The DTCC doesnt have that kind of resolution, they can only see down to the member level and the imbalance in their account. We see that in their Fails to Deliver report if they have an open balance at the end of the trade settlement cycle.

The closest FINRA and the DTCC get to each other is over Corporate actions, Name Changes, Symbols and CUSIPs. There has been recent coordination between the two organizations to reign this in on the OTC.

Yeah basically OTC Link became the Dealer network as you say Tier 1 while the individual BD still report broker transactions at their level at Tier 2. There are actual ATS reports now available by FINRA so you can actually watch the amount of volume traded through the ATS on a weekly basis and of course delayed by a few weeks.

https://ats.finra.org/