Alpaca's free market-data tier gives you the IEX feed only, which is a single exchange carrying roughly 3% of consolidated US equity volume, while the paid SIP feed (Algo Trader Plus, $99/month) gives the full consolidated tape across all US exchanges — both verified on 2026-05-2512. That distinction decides what the free tier is valid for: IEX is fine for research and prototyping but is not a complete picture of the market, so anything keying off NBBO-quality pricing for execution needs SIP. Here is exactly what each feed is and is not good for. Model the upgrade cost with the Data Vendor TCO.

TL;DR

  • Free tier = IEX feed only, at 200 requests/minute1.
  • IEX is one exchange carrying roughly 3% of consolidated US equity volume (3.2% overall as of Q4 2025)3.
  • Paid SIP feed = Algo Trader Plus, $99/month, full consolidated tape across all US exchanges, 10,000 requests/minute1.
  • IEX is valid for research, backtests, and prototyping. SIP is required for NBBO-quality execution pricing.
  • Both feeds include 1-minute bars and trades; the difference is coverage breadth, not bar resolution.

IEX vs SIP at a glance

Dimension Free (IEX) Algo Trader Plus (SIP)
Feed IEX only (one exchange) Full SIP consolidated tape
Volume coverage ~3% of consolidated3 ~100% (all US exchanges)
Monthly price $0 $991
Rate limit 200 req/min 10,000 req/min1
Valid for execution NBBO No Yes
Valid for research / backtests Yes Yes

All values verified on 2026-05-2513.

What the IEX feed actually is

IEX (the Investors Exchange) is a single US equities venue. Alpaca's free tier streams IEX's own trades and quotes, not the consolidated market. IEX's share of total consolidated US equity volume is small — 3.2% overall as of Q4 2025 by IEX's own published statistics3. That means the free feed sees only the trades that printed on IEX and IEX's own best bid/offer, not the national best bid/offer (NBBO) formed across all venues.

For a developer, this has a precise consequence: prices on the free IEX feed are real, but partial. A quote may be stale or off-NBBO relative to the consolidated market because the other ~97% of volume is invisible to it.

What the SIP feed adds

The SIP (Securities Information Processor) consolidated tape aggregates trades and quotes from every US exchange into the official consolidated record, including the NBBO. Alpaca delivers SIP through the Algo Trader Plus subscription at $99/month, which also raises the market-data rate limit to 10,000 requests/minute1. This is the feed you need when a price drives an order, because it reflects the whole market, not one venue.

What each feed is valid for

Use the free IEX feed for:

  • Learning the API and prototyping integration.
  • Backtesting strategies where minor quote incompleteness is tolerable.
  • Low-frequency research and screening on liquid names.

You need the paid SIP feed for:

  • Any execution decision that keys off the current price (NBBO-sensitive entries/exits).
  • Accurate spread and microstructure analysis.
  • Real-time signals across a broad universe where venue coverage matters.

The honest rule: validate a strategy on the free IEX feed, then upgrade to SIP before risking real capital on live prices. The $99 step buys completeness, not just speed.

How it fits the rest of the stack

The IEX-vs-SIP split is Alpaca's version of a question every data-bundled broker faces: a free partial feed versus a paid complete one. For Alpaca's full rate-limit picture (trading and market data are separate ceilings), see Alpaca API Rate Limits 2026. For how Alpaca's bundled data compares to standalone vendors, run your universe through the Data Vendor TCO below — sometimes a dedicated vendor's flat tier beats $99 SIP, sometimes the broker bundle wins.

Verified figures

The free-tier IEX feed, the $99/month Algo Trader Plus SIP subscription, the rate limits, and IEX's ~3% consolidated-volume share were verified on 2026-05-25. Where Alpaca does not separately publish a per-feed historical-depth figure for the free tier, it is described rather than quoted.

Connects to

References

Footnotes

  1. Alpaca Markets. "About Market Data API" (free Basic = IEX feed, 200 req/min; Algo Trader Plus $99/mo, all US exchanges/SIP, 10,000 req/min). docs.alpaca.markets, verified 2026-05-25. https://docs.alpaca.markets/us/docs/about-market-data-api 2 3 4 5 6 7

  2. Alpaca Markets. "Real-time Market Data API." alpaca.markets/data, verified 2026-05-25. https://alpaca.markets/data

  3. IEX. "Equities market statistics" (IEX overall market share 3.2% as of Q4 2025). iex.io, verified 2026-05-25. https://www.iex.io/ 2 3 4

Verified engine output

Show the recompute-verified inputs and outputs
Alpaca market-data tier for a live medium universe
Inputs
vendor_idalpaca
universemedium
resolutionminute
needs_live1
Result
vendor › idalpaca
vendor › nameAlpaca Markets
vendor › urlhttps://alpaca.markets
vendor › short pitchBroker-bundled market data. Generous free tier via IEX feed; SIP feed requires paid plan.
vendor › has overagefalse
vendor › last checked2026-05-25
vendor › tiers › row 1 › nameFree (IEX feed)
vendor › tiers › row 1 › monthly0
vendor › tiers › row 1 › includes livetrue
vendor › tiers › row 1 › includes optionsfalse
vendor › tiers › row 1 › includes futuresfalse
vendor › tiers › row 1 › resolutions › row 1daily
vendor › tiers › row 1 › resolutions › row 2minute
vendor › tiers › row 1 › notes › row 1IEX feed only (subset of volume)
vendor › tiers › row 1 › notes › row 2Free with Alpaca brokerage account
vendor › tiers › row 2 › nameAlgo Trader Plus (SIP feed)
vendor › tiers › row 2 › monthly99
vendor › tiers › row 2 › includes livetrue
vendor › tiers › row 2 › includes optionstrue
vendor › tiers › row 2 › includes futuresfalse
vendor › tiers › row 2 › resolutions › row 1daily
vendor › tiers › row 2 › resolutions › row 2minute
vendor › tiers › row 2 › resolutions › row 3second
vendor › tiers › row 2 › resolutions › row 4tick
vendor › tiers › row 2 › notes › row 1Full SIP consolidated tape
vendor › tiers › row 2 › notes › row 2Options chains included
tier › nameFree (IEX feed)
tier › monthly0
tier › includes livetrue
tier › includes optionsfalse
tier › includes futuresfalse
tier › resolutions › row 1daily
tier › resolutions › row 2minute
tier › notes › row 1IEX feed only (subset of volume)
tier › notes › row 2Free with Alpaca brokerage account
monthly0
one time0
annual total0
meets resolutiontrue
meets livetrue
meets optionstrue
meets futurestrue
meets alltrue

Computed live at build time.

Frequently asked questions

What is the difference between Alpaca's IEX and SIP feeds?
The free tier streams the IEX feed, a single exchange carrying roughly 3% of consolidated US equity volume. The paid SIP feed (Algo Trader Plus, $99/month) is the full consolidated tape across all US exchanges, including the NBBO.
Is Alpaca's free market data tier good enough for trading?
Not for execution. The free IEX feed is fine for research, backtesting, and prototyping, but it sees only IEX's slice of the market. Any decision that keys off the current NBBO price needs the paid SIP feed.
How much does Alpaca's SIP feed cost?
The SIP consolidated feed is part of Algo Trader Plus at $99/month, which also raises the market-data rate limit to 10,000 requests per minute.
What share of US volume does IEX cover?
IEX carried roughly 3.2% of consolidated US equity volume as of Q4 2025 by its own published statistics, so the free IEX feed is a small, partial view of the overall market.