2026-01523Notice

24X Exchange Tags Retail Orders for Better Everyday Trading

Published Date: 1/27/2026

Notice

Summary

24X National Exchange is rolling out a new rule that lets members label orders from everyday retail customers as 'retail orders.' This change helps the Exchange spot and handle these orders better, starting right away with no extra fees. Traders and investors who place retail orders will see this update in action from January 2026.

Analyzed Economic Effects

4 provisions identified: 2 benefits, 1 costs, 1 mixed.

New Qualification and Compliance Rules

To be able to send Retail Orders, a Member must be approved as a Retail Member Organization (RMO) by submitting an application, supporting documentation, and an attestation that "substantially all" orders it designates meet the rule. RMOs must maintain written policies and procedures, monitor designated order flow, obtain annual representations from broker-dealers they route for, and will be exam-reviewed by the Exchange.

Members May Label Retail Orders

Beginning with the Exchange filing on January 9, 2026, 24X will allow its Members to apply to have certain orders they submit for everyday customers identified to the Exchange as "Retail Orders." A Retail Order must originate from a natural person, meet the criteria of FINRA Rule 5320.03, not be changed in price or side, and not come from a trading algorithm.

Retail Tagging Is Internal Only

Orders designated as Retail Orders will be identifiable only to 24X and will not be labeled as such on the Exchange's market data feeds or visible to other market participants. The Exchange also states that a Retail Order designation will not change an order's priority or how the order is handled under the Exchange's rules.

Sets Up Possible Future Retail Pricing

The Exchange says the retail-designation rule will let it identify and track Retail Orders so that it can later propose a fee code or differentiated pricing for Retail Orders; any such fee changes would be proposed separately. The Exchange notes it may refile to amend its fee schedule to adopt a specific fee code or provide differentiated pricing for Retail Orders in the future.

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Key Dates

Effective Date
Published Date
1/9/2026
1/27/2026

Department and Agencies

Department
Independent Agency
Agency
Securities and Exchange Commission
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