Abstract

http://ssrn.com/abstract=2149302
 
 

References (25)



 
 

Citations (1)



 


 



Make and Take Fees in the U.S. Equity Market


Laura Cardella


Texas Tech University

Jia Hao


Wayne State University - Department of Finance

Ivalina Kalcheva


University of Arizona - Department of Finance

April 29, 2013


Abstract:     
We study make and take fees on the U.S. stock exchanges, documenting that exchange trading volume depends on the net fee relative to that of other exchanges. This result implies that traders do not fully adjust their quoted prices to offset the exchange's fees. In addition, we show that the allocation of the net fee to makers and takers has an effect on trading activity, specifically, an increase in the take fee decreases trading volume more than an increase in the make fee. We do not find an association between the fee structure and changes in quoted spreads.

Number of Pages in PDF File: 38

Keywords: make-and-take fee pricing model, make rebate fee, take access fee

JEL Classification: G1, G2

working papers series


Download This Paper

Date posted: September 20, 2012 ; Last revised: April 29, 2013

Suggested Citation

Cardella, Laura and Hao, Jia and Kalcheva, Ivalina, Make and Take Fees in the U.S. Equity Market (April 29, 2013). Available at SSRN: http://ssrn.com/abstract=2149302 or http://dx.doi.org/10.2139/ssrn.2149302

Contact Information

Laura Cardella
Texas Tech University ( email )
Lubbock, TX 79409
United States
Jia Hao
Wayne State University - Department of Finance ( email )
Prentis 313, 5201 Cass Ave.
Detroit, MI 48202
United States
313-577-5059 (Phone)
Ivalina Kalcheva (Contact Author)
University of Arizona - Department of Finance ( email )
Finance Department
P.O.Box 210108
Tucson, AZ 85721
United States
HOME PAGE: http://finance.eller.arizona.edu/faculty/ikalcheva.asp
Feedback to SSRN


Paper statistics
Abstract Views: 778
Downloads: 199
Download Rank: 84,665
References:  25
Citations:  1

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo3 in 0.688 seconds