10 Feb 2025
📈Nasdaq PHLX Proposes New OTTO Protocol for Options Trading
Self-Regulatory Organizations; Nasdaq PHLX LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Adopt a New OTTO Protocol
Summary
The SEC has published a notice regarding Nasdaq PHLX LLC's filing for a new trading protocol called "Ouch to Trade Options" (OTTO). The proposal aims to amend existing options rules, including order types and member fees. Stakeholders are invited to comment on this significant regulatory change, which is designed for immediate effectiveness, enhancing trading operations within the options market.
Agencies
- Securities and Exchange Commission
Business Impact
$$ - Med
The proposed rule change introduces a new trading protocol (OTTO) that impacts operational processes, order types, and fee structures for businesses engaged in options trading. Understanding these changes is crucial for compliance and strategic adjustments by market participants.