2025-14863NoticeWallet

Nasdaq Tweaks Options Fee Rules for Customer Trades Only

Published Date: 8/6/2025

Notice

Summary

Starting January 2, 2026, Nasdaq is changing how it charges the Options Regulatory Fee (ORF). Now, only options trades cleared in the Customer range at the Options Clearing Corporation will be charged this fee. This update affects traders using Nasdaq’s options market and could change the fees they pay.

Analyzed Economic Effects

6 provisions identified: 1 benefits, 1 costs, 4 mixed.

ORF Rate Jump to $0.0157 per Contract

Effective January 2, 2026, Nasdaq would increase the NOM Options Regulatory Fee from $0.0005 per contract side (the rate as of August 1, 2025) to $0.0157 per contract side for Customer transactions that are assessed ORF. The proposal also states the Exchange may revert to $0.0005 per contract side after the sunset on February 1, 2026.

ORF Charged Only for Customer Trades on NOM

Starting January 2, 2026, Nasdaq will assess its Options Regulatory Fee (ORF) only for options transactions that are executed on The Nasdaq Options Market (NOM) and cleared in the Options Clearing Corporation (OCC) Customer ("C") range. Nasdaq will not assess ORF for transactions that occur on other exchanges, even if those transactions clear in the Customer range at OCC.

Billing Based on Clearing Instruction at Execution

Under the proposal, Nasdaq will assess ORF based on the clearing instruction provided on the execution on trade date and will not take into account CMTA transfers or clearing changes at OCC that occur after the execution, except for adjustments provided the same day as the trade. That means the clearing member on record at execution is the entity assessed ORF.

Market Makers, Firms, Broker-Dealers Excluded

The proposal continues to assess ORF only on Customer transactions and would not assess ORF on Market Maker, Firm, or Broker-Dealer transactions; orders and quotes by Market Makers are excepted for ORF purposes. The Exchange states these non-Customer categories are not subject to ORF under the proposal.

Temporary Change Sunsets February 1, 2026

The proposed ORF methodology and the increased rate would sunset on February 1, 2026, at which point Nasdaq would revert to the prior ORF methodology and the $0.0005 per contract side rate unless the Exchange reconsiders and extends the structure. The Exchange said it will reconsider the sunset date in early 2026.

ORF Revenues Capped at 82% of Regulatory Cost

Nasdaq states it will endeavor to ensure that ORF Regulatory Revenue will not exceed 82% of Options Regulatory Cost and that ORF revenue, combined with other regulatory fees and fines, will not exceed total Options Regulatory Cost. Nasdaq will monitor and may amend ORF if revenue exceeds projections.

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Key Dates

Published Date
Effective Date
8/6/2025
1/2/2026

Department and Agencies

Department
Independent Agency
Agency
Securities and Exchange Commission
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