Notice2025-23076
Self-Regulatory Organizations; Nasdaq PHLX LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Adopt Fees for the Trades and Spread Feeds
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
December 17, 2025
Issuing agencies
Securities and Exchange Commission
Full Text
<html>
<head>
<title>Federal Register, Volume 90 Issue 240 (Wednesday, December 17, 2025)</title>
</head>
<body><pre>
[Federal Register Volume 90, Number 240 (Wednesday, December 17, 2025)]
[Notices]
[Pages 58650-58654]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-23076]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-104387; File No. SR-Phlx-2025-67]
Self-Regulatory Organizations; Nasdaq PHLX LLC; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change To Adopt Fees for
the Trades and Spread Feeds
December 12, 2025.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on December 5, 2025, Nasdaq PHLX LLC (``Phlx'' or ``Exchange'') filed
with the Securities and Exchange Commission (``Commission'') the
proposed rule change as described in Items I, II, and III, below, which
Items have been prepared by the Exchange. The Commission is publishing
this notice to solicit comments on the proposed rule change from
interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to adopt fees for two newly established data
feeds, the Trades Feed and the Spread Feed.
The text of the proposed rule change is available on the Exchange's
website at <a href="https://listingcenter.nasdaq.com/rulebook/phlx/rulefilings">https://listingcenter.nasdaq.com/rulebook/phlx/rulefilings</a>,
and at the principal office of the Exchange.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the Exchange included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. The Exchange has prepared summaries, set forth in
sections A, B, and C below, of the most significant aspects of such
statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The purpose of the proposal is to adopt fees for two data feeds,
the Trades Feed and the Spread Feed. While these amendments are
effective upon filing, the Exchange has designated the proposed
amendments to be operative on January 1, 2026.\3\
---------------------------------------------------------------------------
\3\ This proposal was initially filed as SR-Phlx-2025-62. On
December 5, 2025, that filing was withdrawn and replaced with the
instant filing.
---------------------------------------------------------------------------
The Trades Feed and the Spread Feed are recently established data
feeds for the Phlx exchange.\4\ These two new feeds, together with
changes to three existing feeds--the Nasdaq Phlx Top of Market Feed,
the Nasdaq Phlx Order Feed, and the Nasdaq Phlx Depth of Market Feed--
are designed to harmonize the market data feed structure of the Phlx
exchange with those of its affiliates ISE and MRX.
---------------------------------------------------------------------------
\4\ See Securities Exchange Act Release No. 104049 (September
25, 2025), 90 FR 47096 (September 30, 2025) (SR-Phlx-2025-53)
(proposal to amend certain market data feed descriptions and fees).
---------------------------------------------------------------------------
Nasdaq believes that this harmonization will allow customers to
ingest data more efficiently and to tailor their purchase to only the
data they need.
Ingestion of data will become more efficient because customers will
be able to transition from multiple exchange formats to a single format
for all Nasdaq exchanges, resulting in more efficient ingestion of data
and possible cost savings. This is a change from current practice, in
which each exchange offers its own unique set of market data feeds,
requiring subscribers to separately program their systems to ingest
information from each market. The new format also allows customers to
[[Page 58651]]
configure hardware to balance system loads more efficiently.
The new feed structure will also allow customers to tailor their
purchase to only the data they need. A customer that only needs last
sale information, for example, would be able to purchase the Trades
Feed as a standalone feed without being required to also purchase a
best bid and offer feed. This is more efficient and cost effective than
requiring customers to purchase a bundled feed with multiple types of
information, possibly including information that the customer neither
wants nor needs.
The new Phlx format is the same as that used for the ISE and MRX
exchanges. Nasdaq is planning to submit future proposals to conform the
BX Exchange and the Nasdaq Options Market to this format.
Trades Feed
Nasdaq Phlx Trades Feed (``Trades Feed'') displays last trade
information. The data provided for each option series includes the
symbols (series and underlying security), put or call indicator,
expiration date, the strike price of the series, whether the option
series is available for trading on Phlx, and identifies whether the
series is available for closing transactions only. Prior to the
harmonization of market data feeds across the Phlx, ISE, GEMX and MRX
markets, last sale information had been offered in the Nasdaq Phlx Top
of Market (``TOPO'') data feed.
The Exchange currently offers the Trades Feed for no additional
cost with the purchase of TOPO.
The Exchange proposes to establish a fee for the Trades Feed of
$1,000 per month for unlimited internal and/or external distribution.
This will allow the customer to choose whether or not to purchase last
sale information on a standalone basis or together with TOPO.\5\
---------------------------------------------------------------------------
\5\ Nasdaq noted in its product filing for the Trades Feed that
it intended to propose a separate fee for the Trades Feed at a later
date. See Securities Exchange Act Release No. 104049 (September 25,
2025), 90 FR 47096 (September 30, 2025) (SR-Phlx-2025-53).
---------------------------------------------------------------------------
Spread Feed
Nasdaq Phlx Spread Feed (``Spread Feed'') provides information on
complex orders. It consists of: (1) options orders for all Complex
Orders (i.e., spreads, buy-writes, delta neutral strategies, etc.); (2)
full Complex Order depth information, including prices, side, size,
capacity, Attributable Complex Order tags when provided by a member or
member organization, and order attributes (e.g., OCC account number,
give-up information, CMTA information), for individual Complex Orders
on the Exchange book; (3) last trades information; and (4) a
calculation of Phlx's complex best bid and offer position, with
aggregated size (including total size in aggregate, for Professional
Order size in the aggregate and Public Customer Order size in the
aggregate), based on displayable Complex Order interest in the System.
The feed also provides Complex Order auction notifications.
While some of the information on the Spread Feed was included in
the Order Feed prior to harmonization, the new Spread Feed also
includes additional information not previously distributed by the
Exchange. The old Order Feed had provided some information on complex
orders (option order comprising of one or more legs), such as order
messages, updates on resting orders, and auction notification messages.
The new Spread Feed includes this information, but also significantly
enhances customer insight into complex orders by associating top of
market, order, depth of market and trade information with a unique
strategy identification number that will allow customers to identify
different stages of a trade as elements of a single complex order,
providing market participants with much greater transparency into
complex order activity. Such information is already an integral part of
the feeds available on the MRX and ISE exchanges.
The Exchange currently offers the Spread Feed for no additional
cost with the purchase of the Order Feed.
The Exchange proposes to charge $3,100 per month per distributor
for unlimited internal and/or external distribution of the Phlx Spread
Feed.\6\ This fee will allow the customer to choose whether or not to
purchase the complex order information available on the Spread Feed
together with the simple order information on the Order Feed or as a
standalone feed.\7\
---------------------------------------------------------------------------
\6\ ``A `distributor' of Exchange data is any entity that
receives a feed or data file of Exchange data directly from the
Exchange or indirectly through another entity and then distributes
it either internally (within that entity) or externally (outside
that entity). All distributors shall execute an Exchange distributor
agreement. The Exchange itself is a vendor of its data feed(s) and
has executed an Exchange distributor agreement and pays the
distributor charge.'' Equity 7, Section 3.
\7\ Nasdaq noted in its product filing for the Spread Feed that
it intended to propose a separate fee for the Spread Feed at a later
date. See Supra n.4.
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that its proposal is consistent with Section
6(b) of the Act,\8\ in general, and furthers the objectives of Sections
6(b)(4) and 6(b)(5) of the Act,\9\ in particular, in that it provides
for the equitable allocation of reasonable dues, fees and other charges
among members and issuers and other persons using any facility, and is
not designed to permit unfair discrimination between customers,
issuers, brokers, or dealers. This belief is based on the fact that the
proposal will enhance our market data products while at the same time
maintaining fees that are comparable to those charged by similarly
situated options exchanges.
---------------------------------------------------------------------------
\8\ 15 U.S.C. 78f(b).
\9\ 15 U.S.C. 78f(b)(4) and (5).
---------------------------------------------------------------------------
The experience of other exchanges show that many customers will
take advantage of the ability to purchase the TOPO feed and the Trades
Feed separately. Our experience with the ISE Exchange--which already
offers a trades feed that is distinct from its top of book feed--shows
that nearly a third of customers take either take the top of market
feed only (approximately 17%) or the trades feed only (about 14%),
while the remaining customers take both. We expect the same pattern to
hold true for Phlx--about a third of customers will take one feed or
the other, ingesting less data than would be required for a combined
feed, and the remaining customers to take both feeds.
We also expect customers to take advantage of the opportunity to
purchase the Order Feed and the Spread feed separately, rather than
bundled as part of a single product. The ISE exchange currently offers
an Order Feed and a Spread Feed configured in a similar manner. Our
experience with the ISE Exchange shows that approximately 45% of
customers take either the Spread Feed only (approximately 39%) or the
Order Feed only (about 7%), while the remaining customers take both. We
expect the same pattern to hold true for Phlx--somewhat less than half
the customers will take one feed or the other, while the remaining
customers will take both.
Comparability Analysis
Calculation of Market Share
For the comparability analysis, the Exchange assessed market share
\10\ for each of the eighteen options markets
[[Page 58652]]
based on total options contracts traded in 2025 through October 20,
2025, as set forth in the graph below.
---------------------------------------------------------------------------
\10\ Market share is the percentage of volume on a particular
exchange relative to the total volume across all exchanges and
indicates the amount of order flow directed to that exchange. High
levels of market share enhance the value of trading and ports. Total
contracts include both multi-list options and proprietary options
products. Proprietary options products are products with
intellectual property rights that are not multi-listed. Phlx lists
proprietary products.
---------------------------------------------------------------------------
BILLING CODE 8011-01-P
[GRAPHIC] [TIFF OMITTED] TN17DE25.017
BILLING CODE 8011-01-C
Trades Feed
The data feed formats used by Phlx, ISE, and MRX, composed of five
different feeds--TOPO, the Order Feed, the Depth of Market Feed, the
Trades Feed, and the Spread Feed--are unique to the Nasdaq options
exchanges. In particular, no exchange unaffiliated with Nasdaq offers a
Trades Feed, and therefore no comparison with exchanges not affiliated
with Nasdaq is possible.
Comparing the proposed Trades Feed fees to those of the Nasdaq
affiliates offering this feed shows that the proposed fees are
comparable to, or less than, the fees charged by the Nasdaq affiliates
for that product, based on market share.
------------------------------------------------------------------------
Market share
Exchange (%) Trades Feed
------------------------------------------------------------------------
Phlx........................... 9.7 $1,000/month internal
and external
distribution.
ISE............................ 6.8 $1,040/month internal
and external
distribution.
MRX............................ 3.2 $757/month internal
distribution, $1,010/
month external
distribution.
GEMX........................... 3.8 $520/month internal and
external distribution.
------------------------------------------------------------------------
ISE: The proposed fees for the Phlx Trades Feed of $1,000 per month
for internal and external distribution are less than the current ISE
fees of $1,040 per month for internal and external distribution.\11\
The difference is even larger relative to market share, as Phlx has a
market share of 9.7% as compared to ISE's market share of 6.8%.
---------------------------------------------------------------------------
\11\ ISE Rulebook, Options 7, Section 10(J) (Nasdaq ISE Trade
Feed). These are fees for 2025. As noted above, fees for the ISE
Trade Feed are scheduled to be adjusted in 2026 and 2027 to account
for the impact of past inflation. The proposed Phlx fees will not be
adjusted for past inflation, which would not be applicable to new
fees proposed herein.
---------------------------------------------------------------------------
MRX: The proposed fees for the Phlx Trades Feed of $1,000 per month
for internal and external distribution are less than the combined MRX
fees of $757 per month for internal distribution and $1,010 per month
for external distribution, and also less than the MRX fee of $1,010 for
external distribution.\12\
[[Page 58653]]
While MRX charges less than the proposed Phlx fee for internal
distribution, fees are nevertheless comparable relative to market share
because Phlx has a market share of 9.7% as compared to 3.2% for MRX).
---------------------------------------------------------------------------
\12\ MRX Rulebook, Options 7, Distributor Fees, Section 7(4)
(Trades Feed). These are fees for 2025. Fees for the MRX Trade Feed
are scheduled to be adjusted in 2026 and 2027 to account for the
impact of past inflation. The proposed Phlx fees will not be
adjusted for past inflation, which would not be applicable to the
new fees proposed herein.
---------------------------------------------------------------------------
GEMX: The proposed fees for the Trades Feed are comparable to those
charged by GEMX based on relative market share. While the proposed Phlx
fees of $1,000 per month for internal and external distribution are
greater than GEMX's fees of $520 per month for internal and external
distribution,\13\ fees are nevertheless comparable relative to market
share because Phlx has a market share (9.7% as compared to 3.8% for
GEMX).
---------------------------------------------------------------------------
\13\ GEMX Rulebook, Options 7, Section 7(H) (Nasdaq GEMX Trade
Feed). These are fees for 2025. Fees for the GEMX Trade Feed are
scheduled to be adjusted in 2026 and 2027 to account for the impact
of past inflation. The proposed Phlx fees will not be adjusted for
past inflation, which would not be applicable to the new fees
proposed herein.
---------------------------------------------------------------------------
Spread Feed
The proposed fees for the Spread Feed are comparable to, or less
than, the fees charged by Nasdaq affiliates ISE and MRX based on market
share. No exchange unaffiliated with Nasdaq offers a Spread Feed, and
neither does GEMX, and therefore no comparison with other exchanges is
possible.
------------------------------------------------------------------------
Market share
Exchange (%) Spread feed
------------------------------------------------------------------------
Phlx........................... 9.7 $3,100/month internal
and/or external
distribution.
ISE............................ 6.8 $3,100/month internal
and/or external
distribution.
MRX............................ 3.2 $1,010/month internal
distribution, $1,515/
month external
distribution.
------------------------------------------------------------------------
ISE: The proposed fees for the Phlx Trades Feed of $3,100/month
internal and/or external distribution are the same as current ISE
fees.\14\ Given that Phlx has a market share nearly 50 percent higher
than that of ISE (9.7% for Phlx as compared to 6.8% for ISE), the
proposed fees are lower than ISE fees relative to market share.
---------------------------------------------------------------------------
\14\ ISE Rulebook, Options 7, Section 10(I) (Nasdaq ISE Spread
Feed). These are fees for 2025. As noted above, fees for the ISE
Trade Feed are scheduled to be adjusted in 2026 and 2027 to account
for the impact of past inflation. The proposed Phlx fees will not be
adjusted for past inflation, which would not be applicable to new
fees proposed herein.
---------------------------------------------------------------------------
MRX: The proposed fees for the Phlx Trades Feed of $3,100/month
internal and/or external distribution are greater than the current MRX
fees of $1,010 for internal distribution and $1,515 for external
distribution ($2,525 for internal and external distribution).\15\
However, Phlx has a market share nearly four times greater than that of
MRX (9.7% for Phlx relative to 3.2% for MRX), much greater than the fee
differential for the Trades Feed, and therefore the proposed fees are
comparable to those of MRX relative to market share.
---------------------------------------------------------------------------
\15\ MRX Rulebook, Options 7, Distributor Fees, Section 7(5)
(Spread Feed). These are fees for 2025. Fees for the MRX Trade Feed
are scheduled to be adjusted in 2026 and 2027 to account for the
impact of past inflation. The proposed Phlx fees will not be
adjusted for past inflation, which would not be applicable to the
new fees proposed herein.
---------------------------------------------------------------------------
No Unfair Discrimination
The Proposal is not unfairly discriminatory. The proposed feeds are
optional data fees available to all market participants on a non-
discriminatory basis.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
impose any burden on competition not necessary or appropriate in
furtherance of the purposes of the Act.
Nothing in the proposal burdens inter-market competition (the
competition among self-regulatory organizations) because approval of
the proposal does not impose any burden on the ability of other options
exchanges to compete. The proposed fees for the Spread Feed and the
Trades Feed are comparable to, and in some cases less than, those of
the other exchanges that offer them relative to market share, as
discussed above.
Nothing in the Proposal burdens intra-market competition (the
competition among consumers of exchange data), because the Spread Feed
and the Trades Feed are available to any market participant at the same
price and any market participant that elects to purchase either the
Spread Feed or the Trades Feed may do so on a non-discriminatory basis.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were either solicited or received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become effective pursuant to Section
19(b)(3)(A)(ii) of the Act.\16\
---------------------------------------------------------------------------
\16\ 15 U.S.C. 78s(b)(3)(A)(ii).
---------------------------------------------------------------------------
At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is: (i)
necessary or appropriate in the public interest; (ii) for the
protection of investors; or (iii) otherwise in furtherance of the
purposes of the Act. If the Commission takes such action, the
Commission shall institute proceedings to determine whether the
proposed rule should be approved or disapproved.
IV. Solicitation of Comments
Interested persons are invited to submit written data, views and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:
Electronic Comments
<bullet> Use the Commission's internet comment form (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>); or
<bullet> Send an email to <a href="/cdn-cgi/l/email-protection#3143445d541c525e5c5c545f4542714254521f565e47"><span class="__cf_email__" data-cfemail="95e7e0f9f0b8f6faf8f8f0fbe1e6d5e6f0f6bbf2fae3">[email protected]</span></a>. Please include
file number SR-Phlx-2025-67 on the subject line.
Paper Comments
<bullet> Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street NE, Washington, DC 20549-1090.
All submissions should refer to file number SR-Phlx-2025-67. This file
number should be included on the subject line if email is used. To help
the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's internet website (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>). Copies of the filing will be available for inspection and
copying at the principal office of the Exchange. Do not include
personal identifiable information in submissions; you should submit
only information that you wish to make available publicly. We may
[[Page 58654]]
redact in part or withhold entirely from publication submitted material
that is obscene or subject to copyright protection. All submissions
should refer to file number SR-Phlx-2025-67 and should be submitted on
or before January 7, 2026.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\17\
---------------------------------------------------------------------------
\17\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025-23076 Filed 12-16-25; 8:45 am]
BILLING CODE 8011-01-P
</pre><script data-cfasync="false" src="/cdn-cgi/scripts/5c5dd728/cloudflare-static/email-decode.min.js"></script></body>
</html>Indexed from Federal Register on December 17, 2025.
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.