Updated
Updated · Better Markets · May 19
MEMX Seeks SEC Relief From Fee Caps Worth $2 Billion in Investor Savings
Updated
Updated · Better Markets · May 19

MEMX Seeks SEC Relief From Fee Caps Worth $2 Billion in Investor Savings

1 articles · Updated · Better Markets · May 19

Summary

  • MEMX asked the SEC to exempt all national stock exchanges from newly reduced access fee caps, and the agency has opened the request for public comment.
  • The exchange says the relief should last for an unspecified period while the SEC considers possible market-structure changes, including potential revisions to Rule 611 of Regulation NMS.
  • The reduced caps were adopted in 2024, unanimously approved by the SEC, and later upheld by a federal appeals court after exchanges challenged them.
  • SEC estimates said the lower caps would have cut investor access-fee costs by about $2 billion based on 2023 trading, while also improving price transparency.
  • Because the caps have not yet taken effect after litigation and implementation delays, granting relief now would effectively undo a completed rulemaking before the SEC has tested it in practice.

Insights

Will the SEC undo a court-approved rule that saves investors billions based on one exchange's speculation?
As exchanges fight to keep fees high, is the stock market becoming too expensive for average investors?