The New York Stock Exchange (NYSE) has proposed a rule change to eliminate the cap on the fee discount provided to certain investment management entities and their eligible portfolio companies. Previously, there was a maximum limit on the discount, which created unequal fee outcomes for similar companies. By removing this cap, all qualifying companies will uniformly receive a 50% annual fee discount without a maximum limit, promoting fairness and consistency. The change is expected to have minimal impact on overall competition, as only a small percentage of companies qualify for this discount.
Simple Explanation
The New York Stock Exchange wants to change its rules so that certain companies can get a bigger discount on their fees without a limit, helping them all equally. This should be okay because not many companies will qualify for these discounts.