2024-19150. Self-Regulatory Organizations; MEMX LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the Exchange's Fee Schedule Regarding Options Market Data Products

Costs driver	Costs	% of all
Human Resources	$2,606,282	8
Data Center	69,340	2
Technology (Hardware, Software Licenses, etc.)	287,141	7
Depreciation	397,471	5
Allocated Shared Expenses	323,141	4
Total	3,683,375	5.8

Options Market Data Cost Analysis

As noted above, the 2024 Cost Analysis estimated aggregate annual costs for providing the Exchange Data Feeds at $3,683,375. Based on the limited number of additional resources specifically devoted to providing and administering the Options Data Feeds, the Exchange determined it was appropriate to conduct an allocation of only marginal costs related to the provision of the Options Data Feeds. In conducting this analysis, the Exchange adopted an allocation model for four of the five categories (all but Human Resources, as described more fully below) that was proportionally based upon the number of products sold in equities and options, and given the fact that the Exchange offers more data feeds and charges for Professional and Non-Professional User Fees in equities, the resulting allocation was 95.1% towards equities, and 4.9% towards options. The following chart details the individual line-item costs considered by MEMX to be related to offering the Options Data Feeds to its Members and other customers as a well as the percentage of the Exchange's overall Exchange Data Feed costs that such costs represent for such area ( e.g., as set for the below, the Exchange allocated approximately 9.8% of the Human Resources costs allocated to the provision of the Exchange Data Feeds to the Options Data Feeds, or $254,331 annually).^[26]

Costs driver	Costs	% of market data total
Human Resources	$254,331	9.8
Data Center	3,391	4.9
Technology (Hardware, Software Licenses, etc.)	14,041	4.9
Depreciation	19,436	4.9
Allocated Shared Expenses	15,802	4.9
Total	307,001