Eurex said the overarching goal is to further increase the attractiveness of its marketplace by offering incentives for market quality and volume contribution as well as fee reductions in a number of key products.
According to Eurex, the enhancement of order book trading shall support market transparency and price discovery. To achieve this goal, the highest proportion of incentives will be given to market makers in exchange for providing value to the order book.
Additionally, the two current market making schemes will be further differentiated to reward market makers according to their market quality contributions.
Members who provide significant trading volume will benefit from modified rebate schemes for both futures and options products.
The existing fee caps for block trades in options will be replaced by a staggered fee model. Additionally, proprietary traders will receive volume rebates that are valid for both order book and block trades.
Furthermore, end customers will directly benefit from lower transactions fees for a number of key index options, single equity options and single stock futures. For example, transaction fees in DAX options will be reduced from 75 to 50 euro cents and fees for equity options will be reduced from 20 to 10 euro cents, said Eurex.
Other measures under the new pricing model include the removal of the minimum quarterly transaction fee to lower entry barriers for new trading firms.
Additionally, in the first quarter 2011 the contract sizes of selected single equity options and single stock futures will be increased to comply with international standards.
