FINRA Member Firm Fee Rebate
Dear Member Firms:
We are writing to inform you that FINRA’s Board of Governors in December approved a rebate of 2025 regulatory fees that will be distributed at the end of this month to eligible member firms who paid such fees to FINRA. As discussed below, this rebate responds to the receipt of higher-than-anticipated fees in 2025.
FINRA’s Financial Guiding Principles
Informed by our Financial Guiding Principles, FINRA’s Board approves all major financial decisions for the organization, including our annual budget, significant capital expenditures, overall compensation, regulatory fees, rebates to members, and use of fines to promote compliance and improve markets. The Board reviews FINRA’s financial outcomes on a regular basis to consider whether current revenues and expenses warrant any changes to its financial planning.
Consistent with the Financial Guiding Principles and FINRA’s status as a not-for-profit membership organization, material surplus revenues may require a fee rebate or a reduction or deferral in fee increases. Such steps are also consistent with the sustainable funding plan that FINRA filed with the Securities and Exchange Commission in 2024.
Rebate to Members
Based on strong 2025 results, driven by higher-than-expected net income resulting primarily from higher-than-expected trading activity and industry revenue, and after consideration of FINRA’s updated projections regarding revenues, expenses, and overall market conditions for the next several years, FINRA’s Board has approved a $100 million rebate for active member firms in good standing as of December 31, 2025 and that paid FINRA fees in 2025. As noted above, providing a fee rebate under these circumstances is consistent with FINRA’s Financial Guiding Principles, status as a not-for-profit membership organization, and sustainable funding plan. The rebate to be paid this month follows a separate rebate of $50 million paid to member firms last year with respect to 2024 fees.
Each qualifying member firm will receive a rebate amount determined based on its 2025 regulatory fees. The rebate includes the full annual minimum fee of $1,200 (prorated if assessed for part-year), with the remainder allocated proportionally based on each firm's other 2025 regulatory fees. This allocation method follows FINRA’s approach in prior discretionary rebates to member firms.
We plan to provide firms with the rebate amount and access to the funds on March 31, 2026. The rebate will be paid via a credit amount in firms’ Flex-Funding account in FINRA E-Bill. A follow-up email with detailed instructions will be sent to the Chief Financial Officer and Executive Representatives at each eligible member firm prior to March 31. Any questions regarding this rebate may be directed to [email protected]. Based on our updated projections, FINRA believes that the fee rebate will not adversely impact its short- or long-term financial planning or ability to perform our regulatory responsibilities for the benefit of investors, members, and capital markets.
Member Firm Engagement
FINRA’s member firms play a vital role in serving investors and capital markets. We appreciate the time and effort that many of you contribute—through our Board, our committees and working groups, and many other channels—to inform and support FINRA’s regulatory functions. We welcome your continued feedback on our management and operations, as your ongoing engagement is essential to FINRA’s effectiveness as a self-regulatory organization.
Sincerely,
Scott A. Curtis, Chair of the FINRA Board and Elected Large Firm Governor
John Vaccaro, Chair of the Board’s Finance, Operations and Technology Committee and Elected Large Firm Governor
Robert W. Cook, FINRA President and Chief Executive Officer