BOX Options Market: Notice 2023-139 QCC Rebate Changes

Effective June 1, 2023, BOX Options Market LLC (“BOX”) is amending the QCC Rebate structure in Section IV.D.1.a and the QCC Growth Rebate in Section IV.D.1.b of the BOX Fee Schedule.¹ Please also see June 1 Fee Changes, Notice 2023-133, for additional fee changes effective June 1, 2023.

The QCC Fee and Rebate structure will now be as follows:

D.        Qualified Contingent Cross (“QCC”) Transactions²

All QCC transactions will count toward Market Maker and Public Customer monthly executed volume on BOX in Section IV.A.1.

1. QCC Rebate

a.    The QCC Rebate will be paid to the Participant that entered the order into the BOX System when at least one party to the QCC transaction is a Broker Dealer or Market Maker. 
The Participant will receive a per contract rebate on QCC Transactions according to the tier achieved, as provided in the table below. Volume thresholds will be calculated on a monthly basis by totaling the Participant’s QCC Agency Order volume on BOX.
When only one side of the QCC transaction is a Broker Dealer or Market Maker, Rebate 1 will apply. When both parties to the QCC transaction are a Broker Dealer or Market Maker, Rebate 2 will apply.

b.    QCC Growth Rebate

If a Participant’s QCC Agency Order volume on BOX achieves Tier 2 of the QCC Rebate in the month AND the Participant’s total QCC volume combined with total QOO volume exceeds 6 million contracts per month, then the Participant will qualify for the rebates listed in Tier 3 of the QCC Rebate. Strategy QOO Orders and Strategy QCC Orders will not be counted toward the QCC Growth Rebate volume.

Participants are entitled to one QCC Rebate in a given month, which would be the greater of the QCC Rebate in Section (a) or the QCC Growth Rebate detailed in Section (b), but not both.

2. Strategy QCC Transactions

Strategy QCC transactions will not be assessed a fee. Strategy QCC transactions are not eligible for the QCC Rebate and QCC Growth Rebate and will not count toward QCC Agency Order volume detailed in Section D.1.a above.

Complete Fee Schedule

The BOX Fee Schedule is available at www.boxoptions.com/fee-schedule/.

Contact

Please review the information provided herein. If you have any questions regarding this information, please contact the BOX Market Operations Center at boxmoc@boxoptions.com.