On December 14, 2022, the Securities and Exchange Commission (the SEC or Commission) proposed Regulation Best Execution (Proposed Reg Best Ex), which would establish through Commission rules a federal best execution regulatory framework for brokers, dealers, government securities brokers, government securities dealers and municipal securities dealers. As proposed, Proposed Reg Best Ex consists of three rules: (1) Rule 1100, which sets forth “the best execution standard”; (2) Rule 1101, which requires policies and procedures; and (3) Rule 1102, which requires an annual report.