Reg-NMS Compliant
- Automated Trading Center with protected quotes
- Automatic sweep functionality to ensure NBBO executions
- Fully electronic order entry and immediate execution
Matching Algorithm
- Strict Price-Time
- Anonymous
- Level playing field
Liquidity Providers
- Assigned Designated Primary Market Makers (DPMs) in each stock
- Remote Market Maker (RMM) program allows liquidity providers to participate remotely
- Economic incentive to liquidity providers to provide the best markets
Maker-Taker Pricing Structure
Market Data Revenue Rebates
Trade Engine: CBOEdirect®
Regulation NMS Compliant
Operating as a facility of CBOE®, CBSX is Reg-NMS compliant, providing automatic sweep functionality to ensure NBBO executions under the Order Protection Rule, and is an Automated Trading Center with protected quotes. At CBSX, incoming orders receive full electronic, immediate execution. Resting orders are always fully accessible. CBSX has floor-based DPM trading stations to facilitate capture of options-related stock business.
Matching Algorithm
CBSX uses a strict, anonymous price-time matching algorithm. There is no customer or agency priority and no participation rights for DPMs or other market participants, ensuring a level playing field for all.
Liquidity Providers
Each security traded on CBSX has an assigned Designated Primary Market Maker (DPM) obligated to quote continuous, 2-sided markets. Unlike traditional Specialist roles, CBSX DPMs will not act as agents on behalf of orders. In addition, CBSX offers a Remote Market Maker (RMM) program, allowing approved applicants to participate remotely, adding to the liquidity pool. Through a rich rebate program and maker-taker pricing structure, CBSX provides liquidity providers economic incentive to provide the best markets without sacrificing a level playing field for all market participants.
Maker-Taker Pricing Structure
For information on CBSX Execution Fees click here.
Market Data Revenue Rebates
CBSX will share 50% of the revenue it receives from Tape A, B and NASDAQ with liquidity providers and those firms entering cross orders. For more information click here.
Trade Engine: CBOEdirect
CBSX is powered by CBOEdirect, the highly versatile and robust trading platform developed by CBOE. CBOEdirect currently serves as the trade engine for CBOE's Hybrid Trading System, OneChicago, the all-electronic single stock futures exchange, and the all-electronic CBOE Futures Exchangesm (CFE®). Built entirely in-house by CBOE, CBOEdirect was constructed to be extremely flexible and easily adaptable for a variety of uses.