Regulatory Notice 23-16

Following the approval of the Securities and Exchange Commission (SEC) of a proposed rule change requested by the Financial Industry Regulatory Authority (FINRA) with respect to the (non)application of FINRA’s trading activity fee [TAF] towards certain proprietary trading firms (please see EventID 22001 in this context), FINRA has now published Regulatory Notice 23-16 to announce the effective date of the rule change which will be November 6, 2023.
Upon this date, proprietary trading firms will be exempt from trading activity fees for trades on exchanges where such firms are members of. The exemption is intended to counteract the possible effects of a proposed rule change by the SEC (EventID 16739), pursuant to which more U.S. brokers and dealers would be brought under the remit of FINRA supervision and would thus be subject to additional TAF.