FIX Protocol Limited

Membership Pricing Structure

FPL Global Steering Committee’s strategic direction regarding membership and funding:

·         Seek to achieve broader participation by increasing the number of firms who join FPL

·         Recognize and include startup firms and independent individuals who can contribute volunteer resources more easily than cash

·         Significantly enhance the FPL membership value proposition

o        Strive to reduce the cost of membership

o        Deliver and enhance FPL Member benefits and services

o        Restrict non-member access to certain FPL products and services

·         Identify and implement opportunities to make the operation of FPL more cost efficient

·         Establish alternative sources of funding such as website advertising, fee-based job posting system, etc. thereby reducing FPL’s dependency on membership dues as the sole source of funding

 

Key considerations associated with revising the membership fee structure:

·         Focus on articulating and improving the FPL membership value proposition

·         Eliminate “per committee” membership fees, rather firms will join FPL and participate in any or all committees

·         Recognition that establishing alternative sources of funding will take some time to develop and that for the foreseeable future, the vast majority of FPL funding will be derived from membership

·         Establish a membership fee structure that is consistent with the current policy and is sensitive to the budgetary constraints of members and candidate members

·         Establish reduced pricing for buyside firms to attract new participants which is considered essential for the future of the FIX Protocol

·         Support a reduced pricing policy with clear qualifications for small firms with limited financial resources but who contribute volunteers

·         Transition and enhance the status of a “global” member to “premier” member with these members receiving greater recognition and sponsorship opportunities

·         Support the ability for firms to join but remain anonymous in order to target hedge funds (contributing financial resources to support FIX and receiving FPL Member access)

 

Membership Fee Structure
Membership Type	Category	Suggested Fee	Description
Premier		$25,000	Global investment banks, global vendors, exchanges, global investment managers, global carriers, and other organizations which wish to be seen as a premier sponsor of FPL.  This category replaces “Global” membership.  Premier members will receive greater recognition and sponsorship benefits which will be further developed.
Regular	Non-buyside	$8,000	Non-global, regional bodies and other organizations who do not seek to be recognized as “premier members”.  This represents “Regular” membership for non-buy-side firms.
	Buyside	$4,000	Reduced pricing for buyside firms - this is 50% of their current cost.
	Small Firm	$500 or waived	Small firms or independent individuals meeting specific criteria identified below.  This category recognizes that small firms can contribute volunteer resources more easily than cash.  Rate is dependent upon the level of the firm’s volunteer resource contribution commitment.

 

All members of a given Membership Type are entitled to the same benefits regardless of their Category.  Voting privileges are the same regardless of Membership Type.

 

“In-Transition” membership:

·         FPL will continue to provide FPL Member privileges to individuals who have recently left the employ of a FPL Member firm for up to 3 months

·         Note that individuals who are part of an “In Transition” membership are not entitled to vote

 

Anonymous members:

·         Firms such as Hedge Funds may elect to join FPL but remain anonymous

·         The firm will be contributing to the goals of FPL financially and will benefit from FPL Member access

·         The firm will be counted as part of the total number of FPL firms and the total number of anonymous FPL firms, however, the firm’s identity and employees will not be displayed in member listings

 

Criteria for “Small Firm” status:

·         The qualifying firm cannot be a subsidiary or part of a larger group organization

·         The firm must meet at least two of the following conditions:

o        Total number of employees or dedicated contractors cannot exceed 8

o        Projected revenue or revenue for prior year cannot exceed $500,000

o        Net Assets (balance sheet’s Assets – Liabilities) cannot exceed $125,000

·         A letter signed by a senior officer of the firm stating that the firm meets the above criteria is required

·         Note that an independent, self-employed, or unemployed individual may apply for “Small Firm” membership

·         Annual membership pricing is based upon the level of volunteer resources contributed:

o        In order to qualify for the $500 rate, the firm or individual must agree to participate over a 12 month period as a volunteer in at least 5 hours worth of FPL committee or working group meetings or assigned tasks

o        Membership dues may be waived if the firm or individual agrees to participate over a 12 month period as a volunteer in at least 30 hours worth of FPL committee or working group meetings or tasks

·         Annual membership renewal

o        Applications must be re-submitted and firms must re-qualify

o        A member of the Global Steering Committee (e.g. a chair of one of the committees that the firm’s volunteers are participation in) must endorse the firm’s renewal recognizing the firm’s non-financial contributions to FPL

 

Special relationships:

·         FPL may grant FPL Member privileges to entities such as other industry standards organizations or trade associations with which FPL’s Global Steering Committee has established a formal memorandum of understanding

·         These relationships will be reviewed and renewed on an annual basis

 

Please see the FAQs for additional information.