IEX Files Immediate Rule Change to Tighten Options Activity-Based Risk Controls
The Investors Exchange's proposed amendments to Rules 22.250 and 22.260 take effect on August 13, 2026 and bind all IEX Options Members.
On August 13, 2026, Investors Exchange LLC (IEX) filed with the Securities and Exchange Commission a proposed rule change that enhances the Activity-Based Risk Controls for IEX Options Members under Rule 22.250 and makes conforming and typographical revisions to Rules 22.250 and 22.260. The filing, identified as Release No. 34-106166 and File No. SR-IEX-2026-27, was published in the Federal Register on August 25, 2026 (FR Doc No. 2026-17281). The Exchange has designated the amendment as "non-controversial" under Section 19(b)(3)(A) of the Securities Exchange Act of 1934 and provided the required notice under Rule 19b-4(f)(6).
The amendment builds on the risk-control framework introduced when the Commission approved IEX's options facility on September 18, 2025, with trading slated to begin on October 2, 2026. Under the revised Rule 22.250, Activity-Based Risk Controls will continue to offer optional, configurable limits measured over a specified time interval ("Interval"). The Exchange will specify minimum, maximum, and default settings for three control types: transaction-based limits ranging from one to 2,000 transactions; volume-based limits ranging from one to 500,000 contracts; and percentage-based limits ranging from 50 to 200,000 percent. Global Risk Controls, which cap the number of breaches per Interval, will have a minimum setting of 25 breaches and a maximum of 100 breaches.
The proposed changes do not replace members' internal risk-management systems and are not intended to satisfy Rule 15c3-5 compliance obligations. Responsibility for adherence to all Exchange and Commission rules remains with each Options Member. The full text of the proposal is available on IEX's website at https://www.iexexchange.io/resources/regulation/rule-filings and at the Exchange's principal office. The Commission is now soliciting comments from interested parties.
Comments must be submitted in accordance with the procedures outlined in the notice. The immediate effectiveness of the rule change means that IEX Options Members must assess and, if necessary, adjust their risk-control settings promptly to remain in compliance.
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