💸FINRA Proposes CAT Cost Recovery Fee 2025-2 Impacting Industry Members
Self-Regulatory Organizations; Financial Industry Regulatory Authority, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend FINRA Rule 6897(b) (CAT Cost Recovery Fees) To Implement a Cost Recovery Fee Related to Reasonably Budgeted Costs of the National Market System Plan Governing the Consolidated Audit Trail for the Period From July 1, 2025 Through December 31, 2025
Summary
FINRA's notice announces a proposed rule change to implement the Prospective CAT Cost Recovery Fee 2025-2, designed to recover budgeted costs for the consolidated audit trail system from industry members. This fee is structured based on transaction volumes and is integral for fulfilling the regulatory requirements and maintaining financial accountability within the National Market System Plan.
Agencies
- Securities and Exchange Commission
Business Impact
$$$ - High
The proposed rule change introduces a new fee structure (Prospective CAT Cost Recovery Fee 2025-2) aimed at recouping costs associated with the consolidated audit trail, directly impacting financial obligations for industry members and their transaction cost structures. Specifically, it establishes fees that are to be passed on to members based on transaction volumes, with financial implications tied to compliance with the National Market System Plan.