orf fees

ORF Fee (Options Regulatory Fee) in 2025


What is broker Options Regulatory Fee (ORF)? Current Options Clearing Corp (OCC) fee on ETRADE, Interactive Brokers, Tastytrade and Webull.


Options Regulatory Fee (ORF)


For options traders, tracking the fees tied to each trade is crucial. Several fees apply to buying and selling options contracts, and they can add up quickly, especially for frequent traders. Beyond broker commissions, regulatory fees also apply. One example is the Options Regulatory Fee, or ORF.

The Options Regulatory Fee is one of two small fees added to each trade. The other is the clearing fee.


What is the Options Regulatory Fee (ORF)


The Options Regulatory Fee was introduced in 2009 by the Chicago Board Options Exchange (Cboe). It comes from exchanges and helps cover their operating costs. The exchanges charge brokers and clearing houses, who then pass the fee on to individual investors.


ORF Fee Breakdown


The Options Regulatory Fee is calculated using many factors, but the main ones are trading volume and exchange type. In months with higher trading activity, the ORF may increase in the following months. When trading slows, the ORF decreases.

Each options exchange has its own fee schedule. For example:

Cboe Options = $0.003 per contract, per side (buy and sell)
C2 Options = $0.0002 per contract, per side
BZX Options = $0.0003 per contract, per side
EDGX Options = $0.0001 per contract, per side

It’s also worth noting that different brokers and clearing houses may be charged different rates based on various factors. As a result, the ORF can range from $0.0001 to $0.004 per contract, per side.


ORF Fee


Options Clearing Corp (OCC): Clearing Fees


When trading options, it’s important to understand the fees tied to each trade. The most common (and costly) fees are broker commissions, but there are also smaller regulatory fees added to each options contract purchase and sale. While these fees may seem minor, they can add up in certain trading scenarios. Many of these small fees come from the Options Clearing Corp (OCC). Read on to learn more.


Who or What is the Options Clearing Corp?


The Options Clearing Corp (OCC) oversees most options activity in the U.S. They monitor all entities involved in the options markets, including brokers, clearing firms, institutions, and individual investors.

To fund their operations, the OCC charges fees for each purchase and sale they facilitate. One of these fees is the Clearing Fee. The clearing fee varies based on several factors and differs from broker to broker.


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Clearing Fee Examples


Here are examples of clearing fees from popular brokers.

Webull:

Options Regulatory Fee = $0.02675 * no. of contracts (buys & sells)
Options Clearing Fee = $0.025 * no. of contracts (max $55 per trade) (buys & sells)

Tastytrade:

Clearing fee: $0.10 per contract plus regulatory fee

E*Trade:

FINRA TAF Options Fee = $0.00279 * no. of contracts (buys & sells)
SEC Fee = $0.0000278 * principal amount

Interactive Brokers:

Options Regulatory Fee (ORF): $0.02675 * no. of contracts
FINRA Consolidated Audit Trail Fees: $0.0035 * no. of contracts
SEC Transaction Fee: $0.0000278 * value of aggregatesales
FINRA Trading Activity Fee: $0.00279 * quantity sold
OCC Clearing Fees: $0.025 * no. of contracts

Updated on 2/9/2025.


About the Author
Chad Morris is a financial writer with more than 20 years experience as both an English teacher and an avid trader. When he isn’t writing expert content for Brokerage-Review.com, Chad can usually be found managing his portfolio or building a new home computer.