News Releases

 
NYSE Arca Reduces Fees for Equities and Options Trading, Effective April 1, 2008
--Equities pricing delivers competitive rate combination in trading of NYSE- and Nasdaq-listed securities--
--Further tightens the “post/take” spread in options pricing--

New York and Chicago, March 31, 2008 – NYSE Euronext (NYX) today announced transaction pricing changes for NYSE Arca Equities that will deliver the most competitive rates, including the highest rebate and lowest “take” fee, among major U.S. equity markets for trading all NYSE-listed (Tape A) and Nasdaq-listed (Tape C) securities.  NYSE Arca Options will reduce the liquidity “take” rate for all market participants in penny pilot issues and will provide a higher rebate for active liquidity providers.  The new NYSE Arca fee schedules, which have been filed with the U.S. Securities and Exchange Commission (SEC), will be effective April 1, 2008.

“We are committed to providing the highest quality and most competitive markets for the benefit of our customers,” said Lawrence Leibowitz, Group Executive Vice President, U.S. Execution and Global Technology.  “Our new NYSE Arca equities fee schedule offers highly attractive volume-based incentives that will benefit active traders in Tapes A and C.  NYSE Arca will offer the highest rebate and lowest ‘take’ fee in Nasdaq-listed securities among major liquidity venues as well as the best rate combination in NYSE-listed securities. Active customers on NYSE Arca will gain a higher rebate in NYSE securities, which complements the lowest ‘take’ fee on the NYSE.”

Mr. Leibowitz added: “The expansion of the options penny pilot coupled with increasing option volumes on NYSE Arca enables us to further tighten the ‘post/take’ spread in our options pricing.    We believe our new pricing will benefit customers, strengthen our position in the new competitive landscape, and further fuel our growth as the marketplace continues to evolve.” 

NYSE Arca Equities Fee Schedule Reductions
In Nasdaq-listed (Tape C) securities (including ETFs), the new NYSE Arca equities fee schedule provides for increased rebates, decreased “take” fees and reduced routing fees for large liquidity providers based on monthly average daily share volumes. In particular:      

  • A rebate of $0.0026 per share for orders that provide liquidity and a fee of $0.00245 per share for orders that take liquidity will apply for customers who transact average daily share volume per month greater than 60 million shares in total, including the provision of liquidity of more than 30 million average daily shares.    The routing fee for orders that meet this volume threshold will be $0.0026 per share for orders routed away and executed by another market center or participant.

  • A rebate of $0.0025 per share for orders that provide liquidity and a fee of $0.0026 per share for orders that take liquidity will apply for customers who transact average daily share volume per month greater than 30 million shares in total, including the provision of liquidity of more than 15 million average daily shares. The routing fee for orders that meet this volume threshold will be $0.0026 per share for orders routed away and executed by another market center or participant.

  • All other customers will receive a rebate of $0.0020 per share for orders that provide liquidity, a fee of $0.0026 per share for orders that take liquidity, and a routing fee of $0.0035 per share for orders routed away and executed by another market center or participant.

For NYSE-listed (Tape A) securities, the new NYSE Arca equities fee schedule introduces an increased rebate of $0.0028 per share for orders that provide liquidity if the liquidity provider transacts an average daily share of providing volume per month greater than 30 million on NYSE Arca. 

Pricing remains unchanged on the New York Stock Exchange (NYSE) in NYSE-listed securities (Tape A) and for trading in all Tape B securities (including ETFs). The NYSE continues to offer the most attractive take fee in NYSE-listed securities of $0.0008 per share for all customers. 

Firms interested in advertising quotes in their own names can do so using NYSE Arca’s attribution capability, which is available through major vendors and service bureaus such as Fidessa, Lava Trading and SunGard BRASS.

NYSE Arca Option Fee Schedule Reductions
NYSE Arca Options will modify the “post/take” fee structure for electronic executions in all penny pilot issues, effectively lowering the “take” fee for all customers as well as providing a higher market maker rebate on incremental volume above certain liquidity provision levels.  

NYSE Arca Options will reduce the liquidity “take” rate from $0.50 to $0.45 per contract for all market participants.   The NYSE Arca trading system will automatically route orders to other exchanges if the national best bid and offer (NBBO) is not available on NYSE Arca.  Routed orders executed at other exchanges will only be charged the reduced $0.45 “take” rate per contract.  NYSE Arca Options provides a powerful combination with the lowest take fee together with deep liquidity and private smart-order routing capabilities that bring faster executions and fulfill best execution obligations. 

NYSE Arca Options will provide additional incentives to NYSE Arca Market Makers for posting immediate or ultimately executed liquidity.  Market Makers that achieve specific thresholds for posted, executed volume in penny pilot issues will receive additional credits.

Execution type

Rebate per contract for posting

“Take/Route” fee per contract

Customer

$0.25

$0.45

Broker Dealer

$0.25

$0.45

Market Maker

$0.30

$0.45

Market Maker

$0.31 for incremental volume over 1 million contracts/month

$0.45

Market Maker

$0.35 for incremental volume over 5 million contracts/month

$0.45

The new fee schedules are more fully described in NYSE Arca’s fee filing with the SEC, SR-NYSE Arca 2008-36 (March 28, 2008) and SR-NYSE Arca 2008-37 (March 28, 2008).

On Friday, March 28, 2008 , NYSE Arca Options began trading an additional 28 classes in penny pilot for a total of 63 classes.  Penny pilot classes will now account for approximately 60% of total option volume excluding the SPX.   NYSE Arca Options offers immediate, cost-effective electronic order execution in nearly 2,000 options issues. The advanced options trading system provides automatic executions for customer and broker dealer orders as well as a low cost venue for both Lead Market Makers and Market Makers to stream quotes from the trading floor or remotely.   Blending speed and price-time priority with Lead Market Maker participation, NYSE Arca Options offers expanded and innovative order types, along with greater transparency, reliability and performance.

 

About NYSE Euronext
NYSE Euronext (NYX) operates the world’s leading and most liquid exchange group, and seeks to provide the highest levels of quality, customer choice and innovation.  Its family of exchanges, located in six countries, include the New York Stock Exchange, the world's largest cash equities market; Euronext, the Eurozone's largest cash equities market; Liffe, Europe's leading derivatives exchange by value of trading; and NYSE Arca Options, one of the fastest growing U.S. options trading platforms.  NYSE Euronext offers a diverse array of financial products and services for issuers, investors and financial institutions in cash equities, options and derivatives, ETFs, bonds, market data, and commercial technology solutions.  NYSE Euronext's nearly 4,000 listed companies represent a combined $30.5 trillion/€20.9 trillion in total global market capitalization (as of Dec. 31, 2007 ), more than four times that of any other exchange group.  NYSE Euronext's equity exchanges transact an average daily trading value of approximately $141 billion/€103 billion (as of Dec. 31, 2007 ), which represents more than one-third of the world's cash equities trading.  NYSE Euronext is part of the S&P 500 index and the only exchange operator in the S&P 100 index.  For more information, please visit www.nyx.com.

Cautionary Note Regarding Forward-Looking Statements
This press release may contain forward-looking statements, including forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements concerning NYSE Euronext's plans, objectives, expectations and intentions and other statements that are not historical or current facts. Forward-looking statements are based on NYSE Euronext's current expectations and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such forward-looking statements. Factors that could cause NYSE Euronext's results to differ materially from current expectations include, but are not limited to: NYSE Euronext's ability to implement its strategic initiatives, economic, political and market conditions and fluctuations, government and industry regulation, interest rate risk and U.S. and global competition, and other factors detailed in NYSE Euronext’s reference document for 2006 ("document de référence") filed with the French Autorité des Marchés Financiers (Registered on June 6, 2007 under No. R.07-0089), 2007 Annual Report on Form 10-K and other periodic reports filed with the U.S. Securities and Exchange Commission or the French Autorité des Marchés Financiers. In addition, these statements are based on a number of assumptions that are subject to change. Accordingly, actual results may be materially higher or lower than those projected. The inclusion of such projections herein should not be regarded as a representation by NYSE Euronext that the projections will prove to be correct. This press release speaks only as of this date. NYSE Euronext disclaims any duty to update the information herein.

 

Contact: Gary Stein/Investor Relations
Phone: 212.656.2183
Email: gstein@nyx.com



Contact: Rich Adamonis/Media
Phone: 212.656.2140
Email:  radamonis@nyx.com