Retransmission Data Feed Policy
FINRA has established a number of policies affecting the distribution of market data. The following information details FINRA's policy for retransmission of FINRA data via a data feed product.
A data feed is defined by FINRA as any uncontrolled retransmission of TRACE market data. FINRA considers the retransmission to be a data feed if the Vendor does not control either the entitlements or the display of the market data. FINRA requires that all real-time data feeds have prior approval by FINRA or their Administrator. The prior approval process creates a direct relationship between the data feed recipient and FINRA. This direct relationship is essential in ensuring the correct display of market data, an effective entitlement process, and a timely reporting process of the market data usage. TRACE data feed recipients are subject to periodic FINRA on site reviews.
All real-time data feeds are required to be approved by FINRA or FINRA Administrator prior to initiation of service.
The Retransmission Vendor is responsible for coordinating the document distribution process with the prospective data feed recipient by:
After the documentation is completed, the prospective data feed recipient must forward the required documentation to FINRA or the FINRA Administrator. The application is then reviewed and the data feed recipient will be contacted directly for additional information, if necessary. The review of the application includes, but is not limited to, a review of the display of data, the entitlements, and the reporting mechanism. The review and approval process takes approximately two weeks. Upon approval, an approval letter will be forwarded via fax or e-mail to both the Retransmission Vendor and the Vendor. Once the approval letter is received, the Retransmission Vendor is authorized to provide TRACE data feed to the data feed recipient.
For Retransmission Vendors:
Retransmission Vendors must report all data feeds (under a non-billable product code) to FINRA or the FINRA Administrator on a monthly basis [either via Vendor Automated Reporting System (VARS) or via hard-copy reporting]. The report must include the following:
For Data Feed Recipients (Internal and External):
Data feed recipients must report market data usage to FINRA or FINRA administrator on a monthly basis. FINRA invoices all data feed recipients directly for the market data usage based upon the monthly reporting.