(EFFECTIVE JANUARY 17, 2023)
Transaction Fees
MEMX Members are charged per share fees or provided per share rebates based on shares executed within each of the fee code categories below.
| 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 | $(0.0020) | (0.075% of total dollar value) |
| B1, D1 or J1 | Added displayed volume, Liquidity Provision Tier 1 | $(0.0034) | (0.075% of total dollar value) |
| B2, D2 or J2 | Added displayed volume, Liquidity Provision Tier 2 | $(0.0032) | (0.075% of total dollar value) |
| B3, D3 or J3 | Added displayed volume, Liquidity Provision Tier 3 | $(0.0030) | (0.075% of total dollar value) |
| B4, D4 or J4 | Added displayed volume, Liquidity Provision Tier 4 | $(0.0028) | (0.075% of total dollar value) |
| B5, D5 or J5 | Added displayed volume, Liquidity Provision Tier 5 | $(0.0025) | (0.075% of total dollar value) |
| Bq1, Dq1 or Jq1 | Added displayed volume, DLI Tier 1 | $(0.0031) | (0.075% of total dollar value) |
| Bq2, Dq2 or Jq2 | Added displayed volume, DLI Tier 2 | $(0.0028) | (0.075% of total dollar value) |
| Br, Dr or Jr | Added displayed volume, Retail Order | $(0.0035) | (0.075% of total dollar value) |
| H | Added non-displayed volume | $(0.0015) | Free |
| M | Added non-displayed volume, Midpoint Peg | $(0.0015) | Free |
| H1, M1 | Added non-displayed volume, Non-Display Add Tier 1 | $(0.0027) | Free |
| H2, M2 | Added non-displayed volume, Non-Display Add Tier 2 | $(0.0024) | Free |
| H3, M3 | Added non-displayed volume, Non-Display Add Tier 3 | $(0.0020) | Free |
| R | Removed volume from MEMX Book | $0.0030 | 0.28% of total dollar value |
| R1 | Removed volume from MEMX Book, Liquidity Removal Tier 1 | $0.00295 | 0.28% of total dollar value |
| Rm | Removed volume from MEMX Book, Midpoint Peg (IOC/FOK) | $0.0027 | 0.28% 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 |
Definitions:
- “ADAV” means average daily added volume calculated as the number of shares added per day. ADAV is calculated on a monthly basis.
- “ADV” means average daily volume calculated as the number of shares added or removed, combined, per day. ADV is calculated on a monthly basis.
- “Displayed ADAV” means ADAV with respect to displayed orders.
- “Midpoint ADAV” means ADAV with respect to Midpoint Peg orders.
- “Non-Displayed ADAV” means ADAV with respect to non-displayed orders (including Midpoint Peg orders).
- “Remove ADV” means ADV with respect to orders that remove liquidity.
- “Step-Up ADAV” means ADAV in the relevant baseline month subtracted from current ADAV.
- “Step-Up Displayed ADAV” means Displayed ADAV in the relevant baseline month subtracted from current Displayed ADAV.
- “Step-Up Non-Displayed ADAV” means Non-Displayed ADAV in the relevant baseline month subtracted from current Non-Displayed ADAV.
- “TCV” means total consolidated volume calculated as the volume reported by all exchanges and trade reporting facilities to a consolidated transaction reporting plan for the month for which the fees apply.
Notes:
- To the extent a Member qualifies for multiple fees/rebates with respect to a particular transaction, the lowest fee/highest rebate shall apply.
- The Exchange excludes from its calculations of ADAV, ADV and TCV, and for purposes of determining qualification for the Displayed Liquidity Incentive: (1) any trading day that the Exchange’s system experiences a disruption that lasts for more than 60 minutes during regular trading hours; (2) the day that Russell Investments reconstitutes its family of indexes (i.e., the last Friday in June); (3) any day that the MSCI Equities Indexes are rebalanced (i.e., on a quarterly basis); (4) any day that the S&P 400, S&P 500, and S&P 600 Indexes are rebalanced (i.e., on a quarterly basis); and (5) any day with a scheduled early market close.
- Routed shares are not included in ADAV or ADV calculation.
- With prior notice to the Exchange, a Member may aggregate ADAV and ADV with other Members that control, are controlled by, or are under common control with such Member (as evidenced on such Member’s Form BD).
- The Reserve Quantity of an order is treated as adding displayed volume, and thus, the rebate for adding displayed volume applies to any Reserve Quantity of an order.
- To the extent a single execution qualifies for one or more additive rebates, the maximum combined rebate per share provided by the Exchange shall be $0.0036.
Liquidity Provision Tiers
| Tier | Rebate Per Share | Required Criteria |
|---|---|---|
| Tier 1 | $(0.0034) | Member has (1) a Displayed ADAV ≥ 0.40% of the TCV; or (2) an ADAV ≥ 0.30% of the TCV and a Step-Up ADAV from November 2022 ≥ 0.10% of the TCV |
| Tier 2 | $(0.0032) | Member has (1) an ADAV ≥ 0.20% of the TCV; or (2) an ADAV ≥ 15,000,000 shares and a Step-Up ADAV from October 2022 ≥ 0.10% of the TCV |
| Tier 3 | $(0.0030) | Member has (1) an ADAV ≥ 0.15% of the TCV; or (2) an ADAV ≥ 15,000,000 shares |
| Tier 4 | $(0.0028) | Member has (1) an ADAV ≥ 0.10% of the TCV; or (2) a Displayed ADAV (excluding Retail Orders) ≥ 750,000 shares and a Step-Up Displayed ADAV (excluding Retail Orders) from October 2022 ≥ 30% of the Member’s October 2022 Displayed ADAV (excluding Retail Orders) |
| Tier 5 | $(0.0025) | Member has (1) an ADAV ≥ 0.075% of the TCV; or (2) a Midpoint ADAV of ≥ 1,000,000 shares |
Liquidity Removal Tier
| Tier | Fee Per Share | Required Criteria |
| Tier 1 | $0.00295 | Member has (1) an ADV ≥ 0.50% of the TCV and a Remove ADV ≥ 0.25% of the TCV; or (2) an ADV ≥ 1.00% of the TCV |
Non-Display Add Tiers
| Tier | Rebate Per Share | Required Criteria |
| Tier 1 | $(0.0027) | Member has a Non-Displayed ADAV ≥ 5,000,000 shares |
| Tier 2 | $(0.0024) | Member has a Non-Displayed ADAV ≥ 2,000,000 shares |
| Tier 3 | $(0.0020) | Member has a Non-Displayed ADAV ≥ 1,000,000 shares |
Sub-Dollar Rebate Tier
| Tier | Rebate* | Required Criteria |
| Tier 1 | (0.15% of total dollar value) | Member has an ADAV ≥ 0.15% of the TCV |
NBBO Setter/Joiner Tiers
| Tier | Additive Rebate Per Share* | Required Criteria |
| Tier 1 | $(0.0004) | Member has an ADAV with respect to orders with Fee Code B ≥ 0.10% of the TCV |
| Tier 2 | $(0.0003) | Member has an ADAV ≥ 0.05% of the TCV and a Displayed ADAV with respect to orders with Fee Code B or J ≥ 40% of the Member’s Displayed ADAV with respect to orders with Fee Code B, D or J |
Displayed Liquidity Incentive (DLI) Tiers
| Tier | Rebate Per Share | Required Criteria |
| Tier 1 | $(0.0031) | Member has (1) an NBBO Time of at least 25% in an average of at least 1,000 securities per trading day during the month; (2) an ADAV ≥ 0.05% of the TCV |
| Tier 2 | $(0.0028) | Member has an NBBO Time of at least 25% in an average of at least 400 securities per trading day during the month |
Definitions and Notes
For purposes of this section, the terms set forth below shall have the following meanings:
- The term “MPID” shall mean market participant identifier.
- The term “NBBO Time” shall mean the aggregate of the percentage of time during regular trading hours during which one of a Member’s MPIDs has a displayed order of at least one round lot at the national best bid or the national best offer.
- The term “quoting requirement” shall mean the requirement that a Member’s NBBO Time be at least 25%.
- The term “regular trading hours” shall mean the time between 9:30 a.m. and 4:00 p.m. Eastern Time, or such shorter period as may be designated by the Exchange on a day when the securities markets close early.
- The term “securities requirement” shall mean the requirement that a Member meets the quoting requirement in the applicable number of securities per trading day.
On a daily basis, MEMX will determine the number of securities in which each of a Member’s MPIDs meets the quoting requirement for that day. MEMX will aggregate the number of securities in which each of a Member’s MPIDs meets the quoting requirement to determine the number of securities in which such Member meets the quoting requirement for that day, provided that a single security in which more than one of such Member’s MPIDs meets the quoting requirement for that day will only be counted once for this purpose. The quoting requirement with respect to a security must be met by a single MPID and MEMX will not aggregate the NBBO Time across all of a Member’s MPIDs to determine if the quoting requirement has been met.
In order to determine whether a Member meets the applicable securities requirements during a month, the average number of securities in which such Member meets the quoting requirement per trading day during the month will be calculated by summing the number of securities in which each of such Member’s MPIDs met the quoting requirement for each trading day during the month then dividing the resulting sum by the total number of trading days in the month.
With prior notice to the Exchange, a Member may aggregate the quoting activity (but not the NBBO Time) of its MPIDs, consistent with the above, with that of the MPIDs of other Members that control, are controlled by, or are under common control with such Member (as evidenced on such Member’s Form BD).
Membership, Market Data, and Connectivity Fees
Membership
MEMX charges $200 per month to maintain active membership. The MEMX membership fee is assessed to each active Member at the close of business on the first day of each month. If a Member is pending a voluntary termination of rights as a Member pursuant to Rule 2.8 prior to such fee being assessed and the Member does not utilize the facilities of the Exchange while such voluntary termination of rights is pending, then the Member will not be obligated to pay the monthly membership fee. MEMX does not return pro rated fees if a membership is not active for an entire month.
Market Data
| DELIVERY | MEMOIR DEPTH | MEMOIR TOP | MEMOIR LAST SALE |
| Internal Distributor | $1,500 | $750 | $500 |
| External Distributor | $2,500 | $2,000 | $2,000 |
| Non-Display Usage not by Trading Platforms1 | $1,500 | Free | Free |
| Non-Display Usage by Trading Platforms1 | $4,000 | Free | Free |
| Professional User Fee | $30 | $0.012 | $0.012 |
| Non-Professional User Fee | $3 | $0.012 | $0.012 |
| Enterprise Fee3 | N/A | $10,000 | $10,000 |
| Digital Media Enterprise Fee4 | $5,000 | $2,000 | $2,000 |
Notes:
1 Fee is charged per subscriber that uses the data for Non-Display Usage, as defined below. The fee represents the maximum charge per month per subscriber regardless of the number of non-display uses by the subscriber and/or Trading Platforms operated by the subscriber that receives the data for Non-Display Usage.
2 User Fees for MEMOIR Top and MEMOIR Last Sale only apply to External Distribution.
3 As an alternative to User fees, a recipient firm may purchase a monthly Enterprise license to receive MEMOIR Top or MEMOIR Last Sale for distribution to an unlimited number of Professional and Non-Professional Users.
4 As an alternative to User fees, a recipient firm may purchase a monthly Digital Media Enterprise license to receive MEMOIR Depth, MEMOIR Top or MEMOIR Last Sale for distribution to an unlimited number of Users for viewing via television, websites, and mobile devices for informational and non-trading purposes only.
Market Data Definitions:
- Distributor: any entity that receives an Exchange Data product directly from the Exchange or indirectly through another entity and then distributes it internally or externally to a third party.
- External Distributor: a Distributor that receives an Exchange Data product and then distributes that data to a third party or one or more data recipients outside the Distributor’s own organization.
- Internal Distributor: a Distributor that receives an Exchange Data product and then distributes that data to one or more data recipients within the Distributor’s own organization.
- Non-Display Usage: any method of accessing an Exchange Data product that involves access or use by a machine or automated device without access or use of a display by a natural person or persons.
- Non-Professional User: a natural person or qualifying trust that uses Exchange Data only for personal purposes and not for any commercial purpose and, for a natural person who works in the United States, is not: (i) registered or qualified in any capacity with the Securities and Exchange Commission, the Commodities Futures Trading Commission, any state securities agency, any securities exchange or association, or any commodities or futures contract market or association; (ii) engaged as an “investment adviser” as that term is defined in Section 202(a)(11) of the Investment Advisors Act of 1940 (whether or not registered or qualified under that Act); or (iii) employed by a bank or other organization exempt from registration under federal or state securities laws to perform functions that would require registration or qualification if such functions were performed for an organization not so exempt; or, for a natural person who works outside of the United States, does not perform the same functions as would disqualify such person as a Non-Professional User if he or she worked in the United States.
- Professional User: any User other than a Non-Professional User.
- Trading Platform: is any execution platform operated as or by a registered National Securities Exchange (as defined in Section 3(a)(1) of the Exchange Act), an Alternative Trading System (as defined in Rule 300(a) of Regulation ATS), or an Electronic Communications Network (as defined in Rule 600(b)(23) of Regulation NMS).
Connectivity and Application Sessions
Physical Connectivity
| Product | Location | Fee |
| xNet Physical Connection | Primary Data Center | $6,000 |
| xNet Physical Connection | Secondary Data Center | $3,000 |
Application Sessions
| Product | Location | Fee |
| Order Entry Port | Primary Data Center | $450 |
| Drop Copy Port | Primary Data Center | $450 |
Notes:
- Fees for Connectivity and Application Sessions are assessed based on each active product at the close of business on the first day of each month. If a product is cancelled by a Member submission of a written request or via the MEMX User Portal prior to such fee being assessed then the Member will not be obligated to pay the applicable product fee. MEMX does not return pro rated fees if a product is not used for an entire month.
- MEMX does not charge for: (1) Order Entry Ports or Drop Copy Ports in the Secondary Data Center, or (2) any Test Facility Ports or MEMOIR Gap Fill Ports.
Additional Fees
Additional fees are set forth in Rule 15.1 of the MEMX Rulebook. Such fees include Regulatory Transaction Fees collected to fund MEMX’s Section 31 obligations and fees collected through the CRD registration system for registration of associated persons of Members that are not also FINRA members.