Search Results for keywords:"market makers"

The Securities and Exchange Commission (SEC) announced that The Nasdaq Stock Market LLC has filed a proposed rule change to increase the fees for their Specialized Quote Feed (SQF) Ports and SQF Purge Ports by 10%. These ports are used by Market Makers to send quotes to the exchange, and the increase aims to adjust for inflation and maintain the quality and security of the exchange's technology. Nasdaq cites investments in technology upgrades as a reason for the fee increase, which intends to better align pricing with improvements in service quality. The new fees will be effective from January 1, 2025, and the SEC is seeking public comments on this proposed rule change.

The Securities and Exchange Commission has received a proposal from Nasdaq BX to change how they handle the Options Regulatory Fee (ORF) starting on January 1, 2025. The change will adjust how fees are collected from different kinds of option transactions to better match the costs of regulation. Specifically, the proposal distinguishes between local and away trades and sets different fees for these categories. Nasdaq BX aims to ensure that these fees do not exceed 88% of the actual regulatory costs, and plans to revert to the previous fee system by July 1, 2025, unless further changes are made.

The Cboe Exchange, Inc. filed a proposal to change its fee structure regarding expiring fee waivers and incentive programs, effective January 4, 2021. The proposed changes include adjusting the incentive programs for market makers in specific index options, like MSCI EAFE (MXEA) and Emerging Markets (MXEF), and increasing financial incentives for quoting in S&P 500 (SPX) options during global trading hours. Additionally, the proposal plans to remove expired incentives related to the FTSE 100 Mini Index (UKXM) options. These changes aim to encourage liquidity and active markets, benefiting overall market quality to the advantage of all participants.

Nasdaq PHLX LLC proposed changes to lower the Options Regulatory Fee (ORF) starting in 2025. From November 1, 2024, to December 31, 2024, they plan to reduce the ORF fee from $0.0034 to $0.0022 per contract. Beginning January 1, 2025, the methodology for assessing ORF will change to include different rates for options traded on different exchanges, with new rates applied to various transactions except those by market makers. The proposal aims to ensure that the fees collected cover regulatory costs without exceeding them.

MIAX PEARL, an options exchange, has submitted a proposal to the Securities and Exchange Commission to amend its fee schedule, aiming to attract more trading activity by adjusting thresholds for rebates and fees for market makers. It plans to increase the volume threshold for Tier 2 from 0.45% to 0.75% of national monthly volume in specific options and introduce a new tiered incentive (Tier 3) based on trading activity in SPY options. The revisions are designed to enhance market liquidity and competitiveness by encouraging market makers to bring more orders to the exchange. These changes became effective on January 4, 2021, and aim to benefit all market participants through better liquidity and tighter markets.

On December 20, 2024, Nasdaq ISE, LLC submitted a proposal to the Securities and Exchange Commission to increase the position and exercise limits for options on the iShares Bitcoin Trust ETF (IBIT) from 25,000 to 250,000 contracts. This change aims to reflect the high trading volume and demand for IBIT options, allowing more flexibility for investors and market makers. The proposal suggests that increasing the limits would improve market liquidity and efficiency while ensuring effective regulation. The Securities and Exchange Commission is reviewing this proposal and inviting public comments before deciding whether to approve or disapprove the proposed changes.

Nasdaq PHLX LLC (Phlx) filed a proposed rule change with the Securities and Exchange Commission (SEC) to allow orders from market makers to be solicited for PIXL auctions in Nasdaq-100 Micro Index (XND) Options. This proposal was initially published for public comment on November 6, 2024, but the SEC received no comments. On December 20, 2024, Phlx decided to withdraw this proposed rule change. The notice of withdrawal was issued by the SEC's Division of Trading and Markets, with Secretary Vanessa A. Countryman providing the notice under delegated authority.

The Securities and Exchange Commission (SEC) has approved a rule change proposed by Cboe Exchange, Inc. The rule now allows market makers with an appointment in S&P 500 Index Options (SPX) to participate in Automated Improvement Mechanism (AIM) auctions, which could potentially improve pricing and liquidity. Previously, such market makers were restricted from participating in these electronic auctions, though they could participate in open outcry trading. This change aims to bring the benefits of open outcry trading to electronic settings, offering better price opportunities for retail investors in SPX options.

The Securities and Exchange Commission published a notice about a rule change proposed by the Investors Exchange LLC (IEX). IEX wants to establish rules for trading options on a new platform called IEX Options. This platform aims to enhance risk management for market makers by introducing features like automated trading, risk controls, and a mechanism to prevent trading at outdated prices. The SEC is inviting public comments on this proposal before making a final decision.

MIAX Emerald, a national securities exchange, has proposed a rule change to implement new fees, including a one-time membership application fee and testing and certification fees. The membership fee varies based on the applicant's role, with Electronic Exchange Members (EEMs) charged $2,500 and Market Makers $3,000, reflecting the greater complexity in evaluating Market Maker applications. Additionally, fees for Application Programming Interface (API) testing and Network Connectivity are being introduced to offset resources spent in the process. The fees are being structured to ensure they cover the costs incurred by the exchange, without imposing unfair discrimination among market participants.