Thursday, February 28, 2013

UTP Vendor Alert #2013 - 4
REVISED 5-2-2013: REVERSAL OF UTP PLAN FEE CHANGES: UTP Announces Fee Changes; Net Reporting for Internal Subscribers, External Redistributor Fee, Global Data Policy Changes

Markets Impacted:

  • UTP/SIP

Products Impacted:

  • UTP Quotation Data Feed (UQDF)
  • UTP Trade Data Feed (UTDF)
  • OTC Montage Data Feed (OMDF)
  • Bulletin Board Dissemination Service (BBDS)
  • Trade Data Dissemination Service (TDDS)

Contact Information:

What you need to know:

  • REVISED 5-2-2013: The UTP proposed fee changes as announced on February 28, 2013, and planned effective April 1, 2013, will be delayed. The UTP Operating Committee consulted with the U.S. Securities and Exchange Commission (SEC), and has decided to withdraw the fee filing as proposed and will resubmit shortly. As such, the proposed changes will not take effect as currently scheduled and we will provide further details as they become available.
  • Effective April 1, 2013, the UTP Level 1 Professional Fee will increase from $20 per month to $25 per month.
  • In association with the Professional fee increase, Recipients of Datafeeds may report Internal Subscribers on a Per User basis.
  • A new fee of $1,000 per month will be introduced for External Distributors of real-time UTP Level 1 Information.
  • The Non-Professional Enterprise License fee will increase from $600,000 per month to $624,000 per month.
  • NASDAQ OMX has published an updated version of the NASDAQ OMX Global Data Policies to include the Program and recent policy changes.

What is changing?

Effective April 1, 2013, pending review by the Securities and Exchange Commission (SEC), revised UTP Level 1 pricing will be introduced. The UTP Level 1 Professional Fee will increase from $20 per month to $25 per month. With this increase, Recipients of Datafeeds may now report Internal Subscribers on a Per User basis. In addition, a new fee of $1,000 will be introduced for External Distributors of real-time UTP Level 1 Information. Finally, the Non-Professional Enterprise License fee will increase from $600,000 per month to $624,000 per month.

What is the Unit of Count for UTP Level 1?

Distributors are required to count and report on a Per Subscriber basis for UTP Level 1. Only Distributors that are approved for the UTP Net Reporting Program, as described below, will be allowed to count and report on a Per User basis. Please see the NASDAQ OMX Global Data Policies document for the definition of a User and a Subscriber.

What is the UTP Level 1 Net Reporting Program?

The UTP Net Reporting Program (Program) allows approved Distributors that directly report to NASDAQ OMX® to begin reporting display usage on a Per User basis, rather than by Subscriber, Interrogation Device or user ID and password. This is an optional program, and to participate Distributors must apply for consideration and be approved in writing by NASDAQ OMX. The Program is only available for display usage associated with Internal Subscribers, and does not include display usage controlled by market data vendors, Non-Display usage or External Subscriber usage.

How does a Distributor qualify to participate in the UTP Level 1 Net Reporting Program?

Distributors must be approved in advance to participate in the Program.

NASDAQ OMX has posted all of the requirements for the Program in the NASDAQ OMX Global Data Policies document. The requirements include, but are not limited to:

  • Distributors must demonstrate adequate internal controls to entitle, monitor and report all internal display usage directly to NASDAQ OMX;
  • NASDAQ OMX must verify compliance of controls;
  • Distributor must submit detailed reporting according to NASDAQ OMX requirements for a minimum of three (3) months, and, if approved, credits begin as of the first month submitted.

Please contact your NASDAQ OMX Account Manager for all of the acceptance criteria and to begin the process.

Which customers are affected by the new Redistributor Fee?

The newly introduced UTP Level 1 Redistributor Fee is applicable only to organizations receiving an uncontrolled retransmission Datafeed containing real-time UTP Level 1 Information and distributing the data to External Subscribers and/or External Redistributors. NASDAQ OMX will use information in our database as a basis for determining if each firm distributes to External Subscribers. If your firm is assessed this fee and no longer distributes data to External Subscribers, please contact NASDAQ OMX for an immediate credit. This fee is in addition to the current direct or indirect access fee currently invoiced.

How will the new fees be implemented?

The changes in fees will all go into effect as of April 1, 2013. Invoices for the April 2013 period will be sent on or about May 7, 2013, and billed monthly thereafter. Please refer to the NASDAQ OMX Global Data Price List for more details.

Are any new agreements necessary?

Provided that your firm has executed the NASDAQ Vendor Agreement for access to UTP Level 1 Services on a Datafeed, no further action is required.

Which Data Policies have been updated?

NASDAQ OMX has updated the NASDAQ OMX Global Data Policies to include the following:

  • Addition of policy details for NLX
  • Clear Identification of Delayed Fee Liable products
  • Addition of detailed contact and notification information
  • Inclusion of details regarding the UTP Level 1 Net Reporting Program

In addition, recently NASDAQ OMX has updated the NASDAQ OMX Global Data Policies to also include the following:

  • Clarification of the UTP Level 1 real-time volume and non-display policies
  • Addition of the UTP Level 1 Hosted Datafeed for Internal Non-Display Usage policy

Please email dataops@nasdaqomx.com for a redlined copy of the NASDAQ OMX Global Data Policies document.

Who should I contact for additional information?

Please contact NASDAQ OMX Global Data Operations at +1 301 978 5307.



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The NASDAQ OMX Group, Inc. is the world's largest exchange company. It delivers trading, exchange technology and public company services across six continents, with more than 3,600 listed companies. NASDAQ OMX offers multiple capital raising solutions to companies around the globe, including its U.S. listings market, NASDAQ OMX Nordic, NASDAQ OMX Baltic, NASDAQ OMX First North, and the U.S. 144A sector. The company offers trading across multiple asset classes including equities, derivatives, debt, commodities, structured products and exchange-traded funds. NASDAQ OMX technology supports the operations of over 70 exchanges, clearing organizations and central securities depositories in more than 50 countries. NASDAQ OMX Nordic and NASDAQ OMX Baltic are not legal entities but describe the common offering from NASDAQ OMX exchanges in Helsinki, Copenhagen, Stockholm, Iceland, Tallinn, Riga, and Vilnius. For more information about NASDAQ OMX, visit www.nasdaqomx.com.