2026-07786NoticeWallet

PHLX Updates Auctions to Speed Up Option Trades

Published Date: 4/22/2026

Notice

Summary

Nasdaq PHLX is updating its auction rules to let Market Makers join in more types of trading auctions, like the Price Improvement Auction and Solicited Order Mechanism. This change helps trades happen faster and could lead to better prices for investors. The new rules took effect right away on April 10, 2026, so traders and investors should watch for smoother, smarter trading action.

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Analyzed Economic Effects

2 provisions identified: 2 benefits, 0 costs, 0 mixed.

Market Makers Can Be Solicited in Auctions

The Exchange now permits orders for the accounts of Market Makers assigned to an options class to be solicited as the contra-side in paired auctions (Facilitation Mechanism, Solicited Order Mechanism (SOM), Price Improvement Auction (PIXL), and their FLEX variants). The rule change was filed on April 10, 2026 and became effective upon filing; the Exchange expects to implement the changes on or before Q3 2026 and will announce the date by trader alert.

IOC Orders Will Be Rejected, Not Routed

The Exchange amended Options 5, Section 4(a) to state that Immediate-or-Cancel ("IOC") orders will be rejected and will not be routed. This clarification was filed April 10, 2026 (effective upon filing) and the Exchange says it will implement the changes on or before Q3 2026 and notify members by trader alert.

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Key Dates

Effective Date
Published Date
4/10/2026
4/22/2026

Department and Agencies

Department
Independent Agency
Agency
Securities and Exchange Commission
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