Search:
   

Thursday, December 4, 2008

Data News #2008 - 95
NASDAQ OMX Information LLC Announces Pricing for NASDAQ OMX Global Index Data Service; Revised Pricing for NASDAQ OMX Index Dissemination Service (NIDS)

Please Route to:

  • Direct NASDAQ OMX Data Feed Subscribers
  • NASDAQ OMX Market Data Distributors

Data Feeds Impacted:

  • Global Index Data Service (GIDS)
  • NASDAQ Index Dissemination Service (NIDS)

What you need to know:

  • Global Index Data Service is a new premier service that provides firms access to all of NASDAQ OMX global index and derivative product valuation data in a single outbound data stream.
  • As announced in NASDAQ Vendor Alert #2008-054, NASDAQ OMX Information, LLC officially launched the Global Index Data Service on November 17, 2008.
    • As the new premier Index and ETF data service, Global Index Data Service is designed to provide lower administrative and technology costs by offering firms access to all NASDAQ OMX global index and derivative product valuation data in a single outbound data stream.
    • Global Index Data Service standardizes the message formats for index and ETF values across the various NASDAQ OMX markets.
    • Global Index Data Service is designed to facilitate better trading performance and portfolio valuation due to the increased frequency of dissemination.
  • In addition to the introduction of the new GIDS service NASDAQ OMX will revise pricing of the current NASDAQ Index Dissemination Service (NIDS) in February 2009 to match the GIDS pricing described below.

Who you should contact:

What is the NASDAQ OMX Global Index Service?

The NASDAQ OMX Global Index Data ServiceSM is a consolidation of existing NASDAQ OMXSM index and ETF products into a new data service. This new premier service gives firms access to all NASDAQ OMX global index and derivative product valuation data in a single outbound data stream.

This premier service consolidates NASDAQ OMX index data and ETF valuation data that in the past have been available separately from the following NASDAQ OMX markets:

  • The NASDAQ Stock Market®
  • NASDAQ OMX PHLXSM
  • NASDAQ OMX Nordic Exchange
  • NASDAQ OMX Baltic Exchange

To facilitate the processing of cross-market data, the NASDAQ OMX Global Index Service standardizes the message formats for index and ETF values. The consolidated data stream includes the following data elements:

  • For Indexes:
    • Real-time data dissemination for many indexes
    • Intraday net asset values
    • Settlement values
    • Currency Spot values for select instruments
    • Daily security weightings and components data
    • End-of-Day Summary data
  • For ETFs:
    • Intraday Portfolio Values (IPVs)
    • Daily valuation information — such as the Net Asset Value per Share, the Estimated Cash per Share (also known as Net Accrued Dividend per Share), the Estimated Cash per Creation Unit, the Total Cash per Creation Unit and the Total Shares Outstanding of the fund
    • ETF Directory message designed to provide the symbols of the ETF valuations

    What is the Global Index Data Service fee structure?

    In developing pricing for Global Index Data Service, NASDAQ OMX's goal was to keep costs fair for all market data distributors, as well as to promote wide-spread distribution of real-time data to the public. These fees bring the product offering in line with other major index providers while still providing a low cost solution.

    NASDAQ OMX Information, LLC will offer the following entitlement for this new service:

    Service Level Distributor Fees (per month)
    Index Data Feed Service Direct Access: $2,000
    Internal Distributor: $350
    External Distributor:
  • 0-499 subscribers - $2,500
  • 500-4999 subscribers - $5,000
  • 5000+ subscribers - $7,500*
    		•

    * Please note: For opportunities to distribute Index data along with Nordic depth information under an enterprise license, please contact NASDAQ OMX Global Data Products at +1 301 978 5307 or +45 33 93 33 66.

    Will firms that subscribe to the current NASDAQ Index Dissemination Service (NIDS) be affected?

    Yes, the Index Data Feed Service fees will be applied equally to all data feed recipients of NASDAQ Stock Market, NASDAQ OMX Nordic, and NASDAQ OMX Baltic index content - including NIDS data feed recipients — effective Monday, February 2, 2009. NASDAQ will assess the Index Data Feed Service fees to data feed recipients that receive the data directly via NASDAQ or an Extranet provider, or indirectly via a retransmission vendor. Stand alone terminal customers are not affected by this change.

    How will the GIDS fee be administered?

    Direct Access Fees are applicable only to distributors receiving an uncontrolled data feed from NASDAQ OMX directly or via an extranet provider. Distributors receiving an uncontrolled data feed from another source (e.g., a retransmission vendor) shall not be liable for this fee.

    Distributors Fee assessments are applied based upon the organization's use of the data. The Internal Distributor Fee will be charged when a distributor utilizes the data solely within its own organization. The External Distributor Fee will be charged when a distributor is providing the data to its external customers or the data is distributed outside the distributor's organization. Distributors using the data both internally and externally shall be liable only for the External Distributor Fee. An organization may only be liable for either the Internal or External Distributor Fee, but not both.

    Payment of the Internal Distributor Fee allows a distributor to provide the data to internal subscribers only. Payment of the External Distributor Fee allows a distributor to provide the data to internal subscribers as well as to all of its external controlled/stand alone terminal subscribers. This includes end-user subscribers but does not include distribution to retransmission data feed subscribers.

    Is NASDAQ OMX implementing a usage reporting requirement for GIDS/NIDS data?

    Yes, for some firms. NASDAQ OMX will require GIDS and NIDS distributors using the data externally to submit usage monthly reports indicating the number of subscribers accessing the data. NASDAQ OMX requests that each external distributor submit a usage report showing the number of subscribers by using the Online Summary Usage Reporting — OLIVER System or by sending an email with the number of index subscribers to DataAdmin@nasdaqomx.com. NASDAQ OMX cannot guarantee proper classification of a distributor that fails to submit a usage report, but will allow distributors up to 60 days, per the Revised Reporting Policy, to adjust their usage reporting.

    How can I receive the NASDAQ OMX Global Index Service?

    In order to receive the NASDAQ OMX Global Index Data Service, firms must complete and submit the NASDAQ OMX Global Index Service Order Form.

    Where can I get additional information?

    Please follow Nasdaq on Facebook RSS and Twitter.

    Nasdaq (Nasdaq: NDAQ) is a leading global provider of trading, clearing, exchange technology, listing, information and public company services. Through its diverse portfolio of solutions, Nasdaq enables customers to plan, optimize and execute their business vision with confidence, using proven technologies that provide transparency and insight for navigating today's global capital markets. As the creator of the world's first electronic stock market, its technology powers more than 90 marketplaces in 50 countries, and 1 in 10 of the world's securities transactions. Nasdaq is home to approximately 3,900 total listings with a market value of approximately $13 trillion. To learn more, visit: business.nasdaq.com.

    View NASDAQTrader.com Mobile