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Monday, August 9, 2021

Data News #2021 - 6
Nasdaq PHLX Announces Expanded Distribution Policy and Fee Changes for PHLX Trade Outline (PHOTO) Product, Effective October 1, 2021

Markets Impacted:

Products Impacted:

Contact Information:

What you need to know:

Effective October 1, 2021, Nasdaq will offer the ability for 3rd parties to create products derived from PHOTO data to be broadly distributed to the general investing public.

Nasdaq will also increase fees to reflect the current market value of the product, while at the same time discounting the price of historical data to incentivize back-testing and product development*.


*Subject to Securities and Exchange Commission (SEC) approval.

What is PHLX Trade Outline (PHOTO)?

  • PHOTO is an analytical product that provides summarized volume, trading, and other information on each option contract using data on electronic trade activity on the Nasdaq PHLX (PHLX) options trading platform.
  • PHOTO has been offered by PHLX since 2010.
  • The product offers valuable information that can be used to assess investor sentiment, and helps users analyze options trade and volume data on particular option series.
  • The product is made available in two versions: End of Day and Intra-Day. The End of Day version is provided on a T+1 basis, while the Intra-Day version is provided every 10 minutes throughout the trading day.
  • Historical data on both report versions is available for purchase, dating back to 2009.

What is the new policy on external distribution of derived data on PHOTO?

  • As a result of client demand, a new external distribution policy is being introduced to allow for the distribution of Derived Data from PHOTO for a fee of $5,000/month.
  • The policy is designed to enable clients to use the PHOTO data to create innovative products to disseminate information about, and encourage interest in, the options markets for the general investing public and other market participants. Nasdaq will require all firms leveraging the new external distribution capability to abide by Nasdaq’s Derived Data policy.
  • The fees for the external distribution of Derived Data is in addition to any applicable fees for the End of Day product or the Intra-Day product.

What are the new fees for PHOTO and why is Nasdaq changing the fees?

  • Nasdaq PHLX continuously enhances its technology and has undergone multiple system updates over the decade that has elapsed since current fees were set, including regular tech refreshes as well as the recent migration of PHOTO to the Report HQ platform, completed last year. The migration enables firms to access PHOTO in a single sign-on (SSO) environment, along with complementary products, creating a more seamless interface for report and delivery management.
  • The price changes reflect current market demand and help support the investments in technology needed to keep pace with industry growth.
  • The new monthly distributor fees will be as follows:
Internal Distribution: New Fees
End of Day Subscription: $750
Intra-Day Subscription: $2,500
Historical End of Day: $500
Historical Intra-Day: $1,000

What discounts are being established for historical data purchases?

  • A discounted rate of $6,000 for End of Day history and $12,000 for Intra-Day history will be offered for the most recent 36 months of data, which is one-third of the standard rates.
  • The historical data discount is designed to encourage and facilitate multi-year back-testing on the product by more participants to optimize the value of the on-going subscription.
  • The discount is offered exclusively to those that are signed-up for the on-going data.

When will the changes become effective?

  • These fees will become effective October 1, 2021, pending SEC approval.

    • Where can I find additional information?

    For more information, please contact your Nasdaq Sales Representative at +1-301-978-5307 (Option #1)