Firm58 Now Manages Exchange Fees for All 23 U.S. Equities and Options Exchanges
Financial software company’s “fee-ologists” maintain up-to-date information on complex rate structures comprising more than 5,000 lines of unique logic for major banks, brokerages and venue operators
Chicago, IL – May 6, 2015 – Firm58, a financial management software company simplifying trade operations for capital market firms, today announced it now monitors and regularly reports on fees across all 11 equity and 12 options exchanges for broker dealers, including non-exchange trading venues.
As soon as an exchange makes a change to its fee structure, Firm58 is able to analyze and document the difference to all of a broker dealer’s clients. Once the fee change is updated in the rate library, Firm58 clients receive an advisory notice allowing them to examine the change, and to consider their own trade routing and make any necessary adjustments to save cost. By ensuring clients are able to act quickly when fees shift, Firm58 helps brokerage firms route trades strategically and profitability.
Companies that currently receive equities or options reports on a monthly basis include leading US broker dealers, and the program is set to grow in the coming months.
“With the millions of trades we execute weekly, managing the sheer volume of data and frequency of exchange fee adjustments helps our clients benefit both when trading on IEX and when using the IEX router to capture available liquidity on all other exchanges,” said John Schwall, Chief Operating Officer and co-founder at IEX Group. “Firm58 not only helps us deliver transparency to our customers, but also allows them to have all the information they need in order to optimize their strategies.”
Firm58’s team of “fee-ologists” accounts for several trade execution costs by identifying unique pieces of data on every trade. Over 4,500 unique combinations of trade criteria are converted to Firm58 logic to simplify the tie back to the actual exchange fee schedule and capture a wide variety of option trading execution costs— along with over 700 in all to cover Equity exchange fees.
“All told, it comes to around 7,000+ unique rules covering a wide range of execution costs and accommodating for changing exchange pricing models,” said Nick Fera, CEO of Firm58. “This is a unique service we’re pleased to be able to deliver to our clients by maintaining close relationships with each venue. As more exchanges modify their rate structures over time to be creative and competitive, keeping track of each is essential for measuring and maintaining profitability in a complex market structure.”
The full list of the Equities and Options exchange for which Firm58 manages fees is:
- New York Stock Exchange – NYSE (XNYS)
- NYSE MKT Amex (XASE)
- NYSE Arca (ARCX)
- BATS BYX (BATY)
- BATS BZX (BATS)
- NASDAQ OMX BX (XBOS)
- NASDAQ OMX (XNAS)
- NASDAQ OMX PSX (XPSX)
- Chicago Stock Exchange (XCHI)
- DirectEdge EDGA (EDGA)
- DirectEdge EDGX (EDGX)
- American Stock Exchange Options – AMEX (AMXO)
- NYSE ARCA Options (ARCO)
- BATS Options (BATO)
- Boston Options Exchange (BOX)
- Chicago Board Options Exchange – C2 (C2OX)
- Chicago Board Options Exchange – C1 (XCBO)
- International Securities Exchange – ISE (XISX)
- International Securities Exchange – Gemini (GMNI)
- NASDAQ OMX BX Options (XBXO)
- NASDAQ OMX Options (XNDQ)
- Miami International Securities Exchange – MIAX (XMIO)
- NASDAQ OMX PHLX Options (XPHO)
For more information about how Firm58 is helping broker/dealers and exchanges gain valuable insight into their billing, CSA soft dollar and risk data, visit https://www.firm58.com.
Firm58 simplifies trade operations for capital markets firms. The company’s web-based financial management software manages the processes associated with fees, commissions and compliance to help increase revenue and operational efficiency, reduce costs, and remain compliant. The Software as a Service (SaaS) platform automates middle- and back-office processes across asset classes to provide insight into daily profitability and protect revenue. Firm58 offers solutions for billing, profitability analysis, commission sharing arrangements/soft dollar management, and compliance. Clients include global market exchanges and execution venues, leading institutional brokerages, clearing and non-clearing broker-dealers, and proprietary trading firms. Founded in 2005, Firm58 is based in Chicago, and is backed by Pritzker Group Venture Capital and North Bridge Venture Partners. For more information, visit https://www.firm58.com.