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Trader Alert 24-08: Equities Fee Schedule Update Effective February 1, 2024

Effective Thursday, February 1, 2024, MEMX will be implementing the following changes to transaction fees, subject to filing with the SEC:

  • Increase the base rebate for executions of Retail Orders that add displayed volume in securities priced below $1.00.
  • Add an alternative criteria to NBBO Setter Tier 1 and provide an additional additive rebate for executions with Fee Code D or J that meet the criteria under NBBO Setter Tier 1.

Changes are reflected in bold text below.

Transaction Fees

Fee CodeDescriptionFee/(Rebate) – Securities at or above $1.00 (“A”)Fee/(Rebate) – Securities below $1.00 (“B”)
B, D or JAdded displayed volume$(0.0015)(0.075% of total dollar value)
B1, D1 or J1Added displayed volume, Liquidity Provision Tier 1$(0.0033)(0.075% of total dollar value)
B2, D2 or J2Added displayed volume, Liquidity Provision Tier 2$(0.00325)(0.075% of total dollar value)
B3, D3 or J3Added displayed volume, Liquidity Provision Tier 3$(0.0031)(0.075% of total dollar value)
B4, D4 or J4Added displayed volume, Liquidity Provision Tier 4$(0.0029)(0.075% of total dollar value)
B5, D5 or J5Added displayed volume, Liquidity Provision Tier 5$(0.0027)(0.075% of total dollar value)
Bq1, Dq1 or Jq1Added displayed volume, DLI Tier 1$(0.0031)(0.075% of total dollar value)
Bq2, Dq2 or Jq2Added displayed volume, DLI Tier 2$(0.0026)(0.075% of total dollar value)
Br, Dr or JrAdded displayed volume, Retail Order$(0.0032)(0.0750.15% of total dollar value)
Br1, Dr1 or Jr1Added displayed volume, Retail Tier 1$(0.0034)(0.0750.15% of total dollar value)
PAdded volume, order subject to Display-Price Sliding that receives price improvement when executed$(0.0008) (0.075% of total dollar value)
HAdded non-displayed volume$(0.0008) (0.075% of total dollar value)
MAdded non-displayed volume, Midpoint Peg$(0.0008) (0.075% of total dollar value)
H1, M1, P1Added non-displayed volume, Non-Display Add Tier 1$(0.0028)(0.075% of total dollar value)
H2, M2, P2Added non-displayed volume, Non-Display Add Tier 2$(0.0027) (0.075% of total dollar value)
H3, M3, P3Added non-displayed volume, Non-Display Add Tier 3$(0.0024)(0.075% of total dollar value)
H4, M4, P4Added non-displayed volume, Non-Display Add Tier 4$(0.0018)(0.075% of total dollar value)
RRemoved volume from MEMX Book$0.00300.28% of total dollar value
R1Removed volume from MEMX Book, Liquidity Removal Tier 1$0.002950.28% of total dollar value
Rr0Removed volume from MEMX Book upon entry, Retail Order (Day/GTT/RHO)FreeFree
ZRouted to another market, removed liquidity$0.00300.30% of total dollar value

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 NBBO Setter Tier

TierAdditive Rebate Per Share*Required Criteria
Tier 1$(0.0002) for Fee Code B, and $(0.0001) for Fee Code D, J(1) Member has an ADAV with respect to orders with Fee Code B ≥ 0.10% of the TCV, or (2) Member has an ADAV with respect to orders with Fee Code B ≥ 0.05% and has a Step-Up ADAV with respect to orders with a Fee Code B ≥ 75% of the Member’s December 2023 ADAV with respect to orders with a Fee Code B**

*Rebate is in addition to otherwise applicable rebate for executions of added displayed volume (other than Retail Orders) in securities priced at or above $1.00 per share. that establish the NBBO. MEMX will append Fee Code “S1” (for Tier 1) to the otherwise applicable Fee Code for qualifying executions.

**Criteria (2) of NBBO Setter Tier 1 will expire no later than July 31, 2024.

* * * * * 

Please see the Fee Schedule for more details.

Contact Market Operations or your MEMX Relationship Manager with any questions.