The decision, which was reached on Wednesday at a regularly scheduled meeting of the Exchange's Board of Governors, will become effective June 1. This action marks the first time an equity exchange has eliminated customer fees for electronically routed orders.
"We have eliminated fees that brokerage firms pay to access the national market," said Meyer "Sandy" Frucher, chairman and CEO of the PHLX. "Just as the PHLX has strategically redefined the operation of an options exchange, the PHLX is equally committed to strategically redefining the operation of a stock exchange."
The PHLX is now the third largest U.S. options exchange. In recent months, the Exchange has begun positioning itself as the "SRO to ECNs," with its entrance into an alliance with Bloomberg Tradebook that offers the Electronic Communication Networks' (ECNs) customers enhanced abilities to trade listed stocks. The template used in the Bloomberg alliance can be replicated for use in other alliances, Frucher said.
The Philadelphia Stock Exchange, which was founded in 1790 shortly after America declared its independence from England, is redefining the options market in the 21st century. The Exchange's market share has almost doubled year-over-year in the PHLX's 941 listed equity options and 10 sector indexes, which are supported by advanced trading technology. The PHLX, whose members include the largest, best capitalized specialist firms in the global equity derivatives market, is the fastest growing U.S. options exchange. For more information about the PHLX and its products, including more than 2,200 stocks and 100 currency pairs, visit www.phlx.com.
