Nasdaq Reduces Penny-Symbol Market-Maker Rebates by One Cent
Effective Oct. 1, 2026, the change lowers the rebate paid to NOM Market Makers across six tiers.
On October 1, 2026, The Nasdaq Stock Market LLC filed a proposed rule change with the Securities and Exchange Commission under Release No. 34-106665; File No. SR-NASDAQ-2026-087. The notice, published in the Federal Register on October 14, 2026 (FR Doc No. 2026-21246), announces the immediate effectiveness of the amendment to Options 7, Section 2(1) of the Nasdaq Options Market rules.
The amendment revises the pricing schedule for liquidity rebates in penny-symbol options. Currently, NOM Market Makers receive rebates of $0.20, $0.25, $0.30, $0.32, $0.45 and $0.45 for Tiers 1 through 6, respectively. The Exchange proposes to lower each of these amounts by $0.01, resulting in new rebates of $0.19, $0.24, $0.29, $0.31, $0.44 and $0.44 across the six tiers.
The purpose of the change is to adjust the rebate structure for participants that add liquidity in penny symbols, as set out in the Exchange's filing. The proposal is part of the Exchange's ongoing effort to align pricing incentives with market conditions. The Commission is soliciting comments from interested persons, with the filing and the rule change already effective as of the filing date.
The amendment applies to all participants classified as NOM Market Makers under the Nasdaq Options Market rules. Because the rule change is effective immediately, the reduced rebate schedule will govern all qualifying liquidity-adding activity on and after October 1, 2026.
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