Market Maker Touch Bracket Waiver

Notice Type Notice ID
Exchange 1029.050919

On May 9, 2019, 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 waiver on Market Maker trading and settlement fees for its Touch Bracket contracts (the “Market Maker Touch Bracket Waiver”, or the “Waiver”).  The Waiver 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 Waiver 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 Waiver will apply to fees incurred from May 1, 2019 through October 31, 2019, after which Market Makers will be charged $0.50 per contract per side (or the prevailing rate as indicated in the Fee Schedule at the end of the Waiver period) for each Touch Bracket trade executed on Nadex, and $0.50 per contract per side (or the prevailing rate as indicated in the Fee Schedule at the end of the Waiver period) for each Touch Bracket contract that settles in-the-money, in accordance with the Fee Schedule. 

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