The New York Stock Exchange (NYSE), part of the NYSE Euronext group, will charge a lower take rate of $0.0017 a share and a reduced charge for market-on-close (MOC) and limit-on-close (LOC) orders of $0.0006 a share from 1 August for customers who trade above certain levels. The exchange currently charges $0.0018 for removing liquidity.
However, the exchange will also introduce a $0.0005 a share charge for trading in its opening auction, which is currently free, and increase the charges for MOC and LOC orders in the closing auction to $0.0007 a share from $0.0005 for both the NYSE and NYSE Amex platforms.
It will also boost the charge for odd lots on NYSE – trades of less than 100 shares – including the odd-lot portions of partial round lots, to $0.0018 from $.0.005. The exchange claimed that this higher charge was still 28-40% lower than on other exchanges.
To qualify for the lower take fee and MOC/LOC rates, customers need to execute an average daily volume of more than 130 million shares per month, which must include the addition of liquidity of more than 30 million shares for MOC activity and 15 million shares for LOC activity.
NYSE plans to raise the volume requirements in September, but is setting lower volume tiers in August because of the expected slowdown in trading over the summer.