Effective Monday, January 3, 2022, MEMX will be implementing the following changes to transaction fees, subject to filing with the SEC:
Reduce the standard rebate for added displayed volume.
Reduce the rebate and modify the criteria under Liquidity Provision Tier 1.
Modify the criteria under Liquidity Provision Tier 2.
Adoption of a new Liquidity Provision Tier 3.
Reduce the rebates under DLI Tiers 1 and 2.
Adoption of a new DLI Additive Rebate, which provides an additive rebate of 0.0001 per share for executions of added displayed volume in securities >=$1 that otherwise qualify for DLI Tiers 1 or 2 if the specified additional volume threshold is achieved.
Increase the fee and modify the criteria under Liquidity Removal Tier 1.
Increase the fee to remove sub-dollar volume.
Reduce the rebate (to a free execution) to add non-displayed sub-dollar volume (including midpoint pegs).
Changes are reflected in bold text below.
Trading Fees and Rebates
| Fee Code | Description | Fee/(Rebate) – Securities at or above $1.00 (“A”) | Fee/(Rebate) – Securities below $1.00 (“B”) |
|---|---|---|---|
| B, D or J | Added displayed volume | $(0.0022) | (0.05% of total dollar value) |
| B1, D1 or J1 | Added displayed volume, Liquidity Provision Tier 1 | $(0.00325) | (0.05% of total dollar value) |
| B2, D2 or J2 | Added displayed volume, Liquidity Provision Tier 2 | $(0.0031) | (0.05% of total dollar value) |
| Bq3, D3 or J3 | Added displayed volume, Liquidity Provision Tier 3 | $(0.0027) | (0.05% of total dollar value) |
| Bq1, Dq1 or Jq1 | Added displayed volume, DLI Tier 1 | $(0.0033) | (0.05% of total dollar value) |
| Bq2, Dq2 or Jq2 | Added displayed volume, DLI Tier 2 | b>$(0.0031) | (0.05% of total dollar value) |
| Br, Dr or Jr | Added displayed volume, Retail Order | $(0.0037) | (0.05% of total dollar value) |
| H | Added non-displayed volume | $(0.0020) | Free |
| M | Added non-displayed volume, Midpoint Peg | $(0.0025) | Free |
| R | Removed volume from MEMX Book | $0.0029 | 0.25% of total dollar value |
| R1 | Removed volume from MEMX Book, Liquidity Removal Tier 1 | $0.0028 | 0.25% of total dollar value |
| Rr0 | Removed volume from MEMX Book upon entry, Retail Order (DAY/GTT/RHO) | Free | Free |
| Z | Routed to another market, removed liquidity | $0.0030 | 0.30% of total dollar value |
Liquidity Provision Tiers
| Tier | Rebate Per Share | Required Criteria |
|---|---|---|
| Tier 1 | $(0.00325) | Member has an ADAV ≥ 0.25% of the TCV |
| Tier 2 | $(0.0031) | Member has (1) an ADAV ≥ 0.20% of the TCV; or (2) a Step-Up ADAV from December 2021 ≥ 0.05% of the TCV |
| Tier 3 | $(0.0027) | Member has an ADAV ≥ 0.05% of the TCV |
Liquidity Removal Tier
| Tier | Fee Per Share | Required Criteria |
|---|---|---|
| Tier 1 | $(0.0028) | Member has (1) an ADAV ≥ 0.50% of the TCV; or (2) an ADV ≥ 0.70% of the TCV |
Displayed Liquidity Incentive (DLI) Tiers
| Tier | Rebate Per Share | Required Criteria |
|---|---|---|
| Tier 1 | $(0.0033) | Member has an NBBO Time of at least 25% in an average of at least 1,000 securities, at least 125 of which must be DLI Target Securities, per trading day during the month |
| Tier 2 | $(0.0031) | Member has an NBBO Time of at least 25% in an average of at least 250 securities, at least 75 of which must be DLI Target Securities, per trading day during the month |
DLI Additive Rebate
| Additive Rebate Per Share* | Required Criteria |
|---|---|
| $(0.0001) | DLI Tier 1 – Member has an ADAV ≥ 0.30% of the TCV DLI Tier 2 – Member has an ADAV ≥ 0.10% of the TCV |
*Rebate is in addition to otherwise applicable rebate under DLI Tiers 1 and 2 for executions of added displayed volume in securities priced at or above $1.00 per share. MEMX will append Fee Code “Y” to the otherwise applicable Fee Code for qualifying executions.
Please see the Fee Schedule and the DLI Program Page for more details.
Contact Market Operations or your MEMX Relationship Manager with any questions.