odd-lot

It made sense because investors paid fixed commissions to traditional brokers; buying an “odd lot” — less than 100 shares — resulted in significantly higher commissions per share than buying “round lots” of 100 shares or more.

Retail investors likely drove much of the call buying, said Christopher Murphy, co-head of derivatives strategy at Susquehanna, given the pickup in odd lot trades - less than the typical 100 contracts - opening and closing during the same day.

Pimco provided “other, misleading reasons” for the fund’s early success in monthly and annual reports to investors, and it did not disclose that its odd lot strategy was not sustainable as the fund grew, according to the SEC order.

"Pimco misled investors about the true long-term impact of its odd lot strategy and denied them the opportunity to make fully informed investment decisions about the Total Return ETF," Andrew Ceresney, director of the SEC's enforcement division, said in a statement.

He’d then turn around and sell the odd lot to, oh, a guy building housing on adjacent property.