ASX Limited (ASX:ASX) has outlined plans to lower fees and increase growth incentives for clearing participants in its interest rate futures and over-the-counter clearing business.
The operator of the Australian Securities Exchange will implement a new fee schedule for interest rate futures and provide volume discounts for over-the-counter clearing.
ASX advises derivatives are its largest contributor to revenue and interest rate futures account for the majority of traded volume within the derivatives business.
Fee changes will be introduced from this October and ASX has estimated the changes would have cut revenue by about $17 million if applied in the 2014 financial year.
ASX says the new structure recognises volumes have grown strongly and fees have not changed for more than a decade.
The exchange believes the new fees improve the sustainability of the derivatives business, encourage volume growth and position ASX to compete for liquidity.
ASX lifted its net profit by 11 per cent to $189.6 million in the first half of the 2014 financial year.
