Your Best Execution Rights
FINRA Rule 5310 requires brokers to exercise 'reasonable diligence' to find the most advantageous market for your order and to execute at the most favorable price reasonably available. This is the best execution obligation. Your broker cannot simply route your order wherever it is most convenient or profitable for the broker — it must consider your interests in obtaining the best available price.
What Best Execution Does Not Guarantee
Best execution is a standard of care, not a guarantee of the absolute best price in every circumstance. The rule requires 'reasonable diligence' — not perfection. This means that individual trades will not always receive the theoretical best price, and demonstrating a violation requires showing a pattern of inadequate execution rather than pointing to a single trade.
Disclosure Rights Under Rule 606
You have a right to know how your broker routes your orders and whether it receives PFOF. Rule 606 reports are publicly available. You can also request a personalized Rule 606 report from your broker showing your specific account's order routing history, under provisions of the rule.
Seeking Recourse
If you believe your broker has violated its best execution obligations — perhaps by routing to a PFOF market maker that consistently provides inferior prices — you can file a complaint with FINRA, contact the SEC's TCR system, or consult with a securities attorney about arbitration options. Class action lawsuits have been brought against brokers for best execution failures, as in the Robinhood case.