Nasdaq leads push to reform options regulatory fee

Proposed rule change would pare costs for traders, raise them for banks and defund smaller venues

Photo: lucky-photographer/Alamy Stock Photo

US exchange Nasdaq is leading an effort to reform equity options fees. It’s a move that could cut costs for traders and raise them for banks – but would also remove an important revenue source for smaller exchanges.

Exchanges routinely charge users an options regulatory fee (ORF) to cover the cost of monitoring cross-exchange transactions. But the fee’s application to trades ‘done away’ from a