17 Apr 2025
📉Nasdaq PHLX Proposes Elimination of Market Data Revenue Rebate Program
Self-Regulatory Organizations; Nasdaq PHLX LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Rule Equity 7, Section 3, To Eliminate the Market Data Revenue Rebate Program
Summary
Nasdaq PHLX has proposed to eliminate the Market Data Revenue Rebate program, which incentivized participants to increase quoting activity but has seen limited use. The change reflects the exchange's evolving needs amidst a competitive trading environment and aims to streamline operations by reallocating resources more effectively.
Agencies
- Securities and Exchange Commission
Business Impact
$$ - Med
The elimination of the Market Data Revenue Rebate program may significantly impact market participants' financial incentives for quoting activities on the exchange. Businesses relying on these rebates for income may be adversely affected, leading to potential shifts in trading strategies and order flow.