Market Maker Touch Bracket Rebate

Notice Type Notice ID
Exchange 982.122818

On December 28, 2018, North American Derivatives Exchange, Inc. (“Nadex”, the “Exchange”) submitted to the Commodity Futures Trading Commission (the “Commission”), pursuant to Section 5c(c)(1) of the Commodity Exchange Act, as amended (“Act”), and section §40.6(a) of the regulations promulgated by the Commission under the Act (the “Regulations”), its intent to offer a rebate on Market Maker trading and settlement fees for its new Touch Bracket contracts (the “Market Maker Touch Bracket Rebate”, or the “Rebate”).  The Rebate is a temporary offer to incentivize its Market Makers to take on the obligation to quote markets in Nadex’s newly launched Touch Bracket contracts in order to provide a better experience to Nadex’s market participants in these products.  The Rebate will only apply to Nadex’s contracted Market Makers who are obligated to quote the Touch Bracket contracts, and only to the fees incurred from quoting the Touch Bracket contracts.  The Rebate will apply to fees incurred through the last trading day in January 2019, after which Market Makers will be charged $0.50 per contract per side for each Touch Bracket trade executed on Nadex, and $0.50 per contract per side for each Touch Bracket contract that settles in-the-money, in accordance with the Fee Schedule.  Market Makers will be rebated in the form of a credit to the Market Makers’ accounts after January 2019.

Should you have any questions or require further information, please contact the Compliance Department.