Information to be included in the market data policy
1. Market data providers shall make available to the public a market data policy which discloses all information relevant to the offering of market data in clear and unambiguous terms. Such information shall include:
(a)
the fee schedule for market data provision;
(b)
the terms and conditions of the market data provision, including any indirect service necessary for accessing the market data;
(c)
the terms and conditions of the audit referred to in Article 15.
2. The information on the offering of market data disclosed in the market data policy shall enable market data clients to understand the fees and the terms and conditions applicable to them, prior to the conclusion of a market data agreement.
Terminology of market data policies
In addition to the relevant definitions set out in Article 1, market data providers shall adopt the following terminology in their market data policy and fee schedules:
(a)
‘unit of count’ to indicate the unit that is used to measure the level of provision of market data to be invoiced to the market data client and that is applied for fee purposes. Where relevant, the unit of count may distinguish between display and non-display data or other types of data;
(b)
‘professional client’ to indicate a client operating a regulated financial service or regulated financial activity or providing a service for third parties;
(c)
‘non-professional client’ to indicate a client who does not meet the definition of professional client referred to in point (b);
(d)
‘display data’ to indicate the market data provided through the support of a monitor or a screen and that is human readable;
(e)
‘non-display data’ to indicate all the market data which does not meet the definition of display data referred to in point (d);
(f)
‘historical data’ to indicate market data which relates to a period prior to the previous business day which is archived and stored by the market data provider.
Accessible format of market data policies
1. Market data providers shall make the market data policy available on their websites on a free, non-discriminatory and easily accessible basis. Where the market data policy consists of more than one document, market data providers shall clearly indicate that and make all documents of the market data policy accessible via a single location on their website.
2. Market data providers shall make market data policies of the previous five years available on their websites on a free, non-discriminatory and easily accessible basis and shall ensure that the date and time of publication and application of those market data policies are clearly indicated.
Unit of count
1. Market data providers shall display the fee of market data by unit of count to measure the provision of market data in their market data policy and in the template set out in Annex I.
2. The unit of count used by a market data provider for market data shall be unique per type of market data including, where relevant, display and non-display data and based on the costs of producing and distributing the type of market data.
Format for publication of market data policy
1. Market data providers shall publish the market data policy by using the template set out in Annex I. That template shall not be used for any other information.
2. In the market data policy market data providers shall provide information in a consistent manner and with the same level of granularity and ensure that offers to market data clients can be easily compared. Information on pre- and post-trade data shall be provided separately.
Cost disclosure
1. Market data providers shall include in the market data policy a summary of how the level of fees for market data was set and a more detailed explanation of the cost accounting methodology used.
2. The explanation of the cost accounting methodology shall provide, at the minimum, the list of all the cost types included in the fees of market data with examples of such costs and the allocation principles and allocation keys for costs that are shared with other services not directly related to the production and dissemination of market data.
3. Market data providers shall disclose whether they include a margin in the fees of market data and explain how they ensure that the margins are reasonable.
4. Market data providers shall update the information referred to in paragraphs 1, 2 and 3 of this Article immediately after having finalised the review referred to in Article 2(7).
Source: EUR-Lex (Publications Office of the EU), © European Union, reuse permitted under Commission Decision 2011/833/EU.
