Fee Disclosure and Commission Schedule
This Fee Disclosure and Commission Schedule (this “Schedule”) describes the commissions, fees, and other charges that apply to accounts introduced by Six Two Five Management LLC (the “Firm,” NFA ID 0576299), a CFTC-registered introducing broker and NFA Member, to Webull Futures LLC (the “FCM,” NFA ID 0568685), for the trading of event contracts listed on KalshiEX LLC (“Kalshi”), a CFTC-designated contract market. This Schedule is part of, and incorporated into, the Firm’s Customer Agreement. Please read it carefully before trading. Transaction costs reduce your trading results and can be significant relative to potential gains, particularly for frequent trading and for low-priced event contracts.
1. Transaction Fees Per Contract
Every event contract transaction is charged a total of $0.015 per contract, per side (that is, on each opening transaction and separately on each closing transaction), composed of the following three flat components:
| Component | Amount (per contract, per side) | Charged By / Retained By |
|---|---|---|
| Firm commission | $0.0025 per contract (flat; 25 basis points of the $1.00 contract notional value) | Six Two Five Management LLC (introducing broker) |
| FCM fee | $0.0025 per contract (flat; 25 basis points of the $1.00 contract notional value) | Webull Futures LLC (futures commission merchant) |
| Exchange fee | $0.01 per contract (flat) | KalshiEX LLC (exchange); not controlled by the Firm |
| TOTAL | $0.0150 per contract per side | |
All three fees are flat per-contract amounts, so total transaction fees are always $0.015 per contract, per side, regardless of the contract price, and no rounding is required. A “round turn” (opening and later closing a position before expiration) incurs these fees twice, for a total of $0.03 per contract. Note that for low-priced contracts, these flat fees are large relative to the contract price and to potential profit: on a contract trading at $0.05, fees of $0.015 per side equal 30% of the contract price.
2. Third-Party Fees Not Controlled by the Firm
The exchange fee above is established by KalshiEX LLC and the FCM fee is established by Webull Futures LLC. These fees are set by those parties under their own fee schedules and rules, may be changed by them, and are passed through to your account at the then-current rate. In the event of any conflict as to a third-party charge, the third party’s own fee schedule governs. No separate NFA assessment fee is currently charged on these transactions; any regulatory or exchange fee imposed in the future will be passed through to your account.
3. Account and Service Fees
The Firm does not accept or hold customer funds. All deposits, withdrawals, and money movements occur directly with the FCM.
4. How the Firm Is Compensated; Conflicts of Interest
Transaction-Based Compensation. The Firm is compensated through its commission of $0.0025 per contract, per side, described in Section 1, collected through the FCM pursuant to an introducing broker arrangement between the Firm and the FCM. Because this compensation is transaction-based, the Firm has a financial incentive for you to trade more frequently.
Interest on Cash Balances. Cash balances held in connection with introduced accounts earn interest that is paid to the FCM, and the FCM pays the Firm a percentage of that interest income. You do not receive interest on cash balances in your account unless the FCM separately provides otherwise. This arrangement gives the Firm a financial incentive for you to maintain cash balances in your account.
The Firm does not provide trading advice or recommendations; all accounts are self-directed. You should consider the cumulative effect of commissions and fees on your trading performance. Other than the transaction-based compensation and the interest income share described above, the Firm receives no compensation in connection with your account.
5. Illustrative Total Cost Example
The following example illustrates the effect of the $0.015 per-contract, per-side total transaction fee:
- You buy 100 “Yes” contracts at $0.60 per contract. Contract cost: $60.00. Transaction fees: 100 × $0.015 = $1.50. Total cost to open: $61.50.
- You later sell all 100 contracts at $0.75 per contract. Gross proceeds: $75.00. Transaction fees: 100 × $0.015 = $1.50. Net proceeds: $73.50.
- Net profit: $12.00. Total fees paid on the round turn: $3.00 (i.e., $0.03 per contract), of which $0.50 was paid to the Firm, $0.50 to the FCM, and $2.00 to the Exchange.
- Break-even: the same position would need to be sold at $0.63 per contract to cover the purchase price plus all fees. If instead the contracts were held to expiration and settled at $1.00, you would receive $100.00 against a total cost of $61.50; if they settled at $0.00, you would lose the entire $61.50.
6. Important Notes
- All fees in this Schedule are flat per-contract charges assessed per side (on each opening and each closing transaction) unless expressly stated otherwise.
- The Firm’s commission may be changed upon at least thirty (30) days’ advance written or electronic notice. Exchange and FCM fees may change without notice by those parties and will be passed through at the then-current rate. Kalshi posts notice of changes to its fees on its website.
- You authorize the FCM to deduct all commissions and fees from your account.
- Commissions and fees are reflected on your trade confirmations and account statements prepared by the FCM.
- Trading event contracts is highly speculative, involves substantial risk of loss, and is not suitable for all persons. Fees will add to losses and may significantly reduce earnings. Refer to the Risk Disclosure Statement required by CFTC Regulation 1.55, the risk disclosures in the Kalshi Member Agreement, and any product-specific disclosures.
Questions about this Schedule may be directed to the Firm at Six Two Five Management LLC, 16192 Coastal Highway, Lewes, Delaware 19958, United States.