80 FR 19389 - Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending Rule 1000-Equities To Reflect That Exchange Systems Will Reject Incoming Orders of Over 1,000,000 Shares That Are Marketable Upon Arrival
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 80, Issue 69 (April 10, 2015)
Federal Register Volume 80, Issue 69 (April 10, 2015)
| Page Range | 19389-19391 | |
| FR Document | 2015-08198 |
[Federal Register Volume 80, Number 69 (Friday, April 10, 2015)] [Notices] [Pages 19389-19391] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-08198] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-74650; File No. SR-NYSEMKT-2015-21] Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending Rule 1000-- Equities To Reflect That Exchange Systems Will Reject Incoming Orders of Over 1,000,000 Shares That Are Marketable Upon Arrival April 6, 2015. Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby given that on March 23, 2015, NYSE MKT LLC (the ``Exchange'' or ``NYSE MKT'') filed with the Securities and Exchange Commission (the ``Commission'') the proposed rule change as described in Items I and II below, which Items have been prepared by the self-regulatory organization. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. --------------------------------------------------------------------------- \1\ 15 U.S.C.78s(b)(1). \2\ 15 U.S.C. 78a. \3\ 17 CFR 240.19b-4. --------------------------------------------------------------------------- I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes to amend Rule 1000--Equities to reflect that Exchange systems will reject incoming orders of over 1,000,000 shares that are marketable upon arrival. The text of the proposed rule change is available on the Exchange's Web site at www.nyse.com, at the principal office of the Exchange, and at the Commission's Public Reference Room. II. Self-Regulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, the self-regulatory organization included statements concerning the purpose of, and basis for, the proposed rule change and discussed any comments it received on the proposed rule change. The text of those statements may be examined at the places specified in Item IV below. The Exchange has prepared summaries, set forth in sections A, B, and C below, of the most significant parts of such statements. [[Page 19390]] A. Self-Regulatory Organization's Statement of the Purpose of, and the Statutory Basis for, the Proposed Rule Change 1. Purpose The Exchange proposes to amend Rule 1000--Equities (Automatic Execution of Limit Orders Against Orders Reflected in Exchange Published Quotation) (``Rule 1000'') to reflect that Exchange systems will reject incoming orders of over 1,000,000 shares that are marketable upon arrival against interest in Exchange systems. Currently, Exchange systems accept orders up to a maximum order size of 25,000,000 shares.\4\ Rule 1000 provides that market and limit orders of up to 1,000,000 shares are eligible to initiate or participate in automatic executions on the Exchange. However, because an order of over 1,000,000 shares in size is ineligible for automatic execution, if such an order is marketable on arrival, the Exchange suspends automatic executions in that security and it is auto-quoted with a ``slow'' quote condition. When a symbol is in a ``slow'' quote condition, its quote is not protected under Regulation NMS.\5\ Orders for more than 1,000,000 shares that are not marketable upon arrival do not suspend automatic executions or cause a slow quote condition. Rather, non-marketable orders of over 1,000,000 shares in size rest on the Exchange's limit order book and are available as liquidity to interact with incoming contra-side interest. --------------------------------------------------------------------------- \4\ See Rule 1000--Equities. \5\ Rule 611 of Regulation NMS requires that trading centers have policies and procedures reasonably designed to prevent trade throughs on that trading center of protected quotations in NMS Stocks. 17 CFR 242.611(a). Importantly, to be a protected quotation, it must be an automated quotation that is the best bid or offer of an exchange. 17 CFR 242.603(b)(57)(iii). --------------------------------------------------------------------------- The Exchange proposes to amend Rule 1000 to provide that incoming orders of over 1,000,000 shares that are marketable upon arrival would be rejected. The Exchange believes it is appropriate to reject marketable orders ineligible for automatic execution in order to reduce the potential that the Exchange would suspend automatic executions and disseminate a ``slow'' quote that permits other market centers to trade through the Exchange's quotations in that security. In addition, the Exchange notes that an order of such size that is marketable upon arrival may be an order entry error, and therefore rejecting the order puts the submitter of the order on notice of the large size of the order. Because of the technology changes associated with the proposed rule change, the Exchange proposes to announce the implementation date via Trader Update. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with Section 6(b) of the Act,\6\ in general, and furthers the objectives of Section 6(b)(5) of the Act,\7\ in particular, because it is designed to prevent fraudulent and manipulative acts and practices, promote just and equitable principles of trade, remove impediments to and perfect the mechanism of a free and open market and a national market system, and protect investors and the public interest. In particular, the Exchange believes that rejecting large orders ineligible for automatic execution rather than triggering a suspension of automatic executions in the relevant security would remove impediments to and perfect the mechanism of a free and open market and a national market system by reducing the potential that the Exchange would suspend automatic executions and disseminate a ``slow'' quote that permits other market centers to trade through the Exchange's quotations in the relevant security. The Exchange also believes that rejecting large orders ineligible for automatic execution would assist with the maintenance of fair and orderly markets by helping to mitigate the risk that a large order that is marketable upon arrival may be an order entry error, and therefore rejecting the order puts the submitter of the order on notice of the large size of the order. For the same reasons, the proposal is also designed to protect investors as well as the public interest. --------------------------------------------------------------------------- \6\ 15 U.S.C. 78f(b). \7\ 15 U.S.C. 78f(b)(5). --------------------------------------------------------------------------- B. Self-Regulatory Organization's Statement on Burden on Competition The Exchange does not believe that the proposed rule change will impose any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. The proposed rule change is not intended to address competitive issues but rather to prevent unnecessary suspension of automatic executions on the Exchange's marketplace and reduce the likelihood that large, marketable orders may be an order entry error. C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were solicited or received with respect to the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The Exchange has filed the proposed rule change pursuant to Section 19(b)(3)(A)(iii) of the Act \8\ and Rule 19b-4(f)(6) thereunder.\9\ Because the proposed rule change does not: (i) Significantly affect the protection of investors or the public interest; (ii) impose any significant burden on competition; and (iii) become operative prior to 30 days from the date on which it was filed, or such shorter time as the Commission may designate, if consistent with the protection of investors and the public interest, the proposed rule change has become effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b- 4(f)(6)(iii) thereunder.\10\ --------------------------------------------------------------------------- \8\ 15 U.S.C. 78s(b)(3)(A)(iii). \9\ 17 CFR 240.19b-4(f)(6). \10\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii) requires the Exchange to give the Commission written notice of the Exchange's intent to file the proposed rule change, along with a brief description and text of the proposed rule change, at least five business days prior to the date of filing of the proposed rule change, or such shorter time as designated by the Commission. The Exchange has satisfied this requirement. --------------------------------------------------------------------------- A proposed rule change filed under Rule 19b-4(f)(6) \11\ normally does not become operative prior to 30 days after the date of the filing. However, pursuant to Rule 19b4(f)(6)(iii),\12\ the Commission may designate a shorter time if such action is consistent with the protection of investors and the public interest. --------------------------------------------------------------------------- \11\ 17 CFR 240.19b-4(f)(6). \12\ 17 CFR 240.19b-4(f)(6)(iii). --------------------------------------------------------------------------- At any time within 60 days of the filing of such proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act .\13\ --------------------------------------------------------------------------- \13\ 15 U.S.C. 78s(b)(3)(C). --------------------------------------------------------------------------- IV. Solicitation of Comments Interested persons are invited to submit written data, views, and arguments concerning the foregoing, including whether the proposed rule change is consistent with the Act. Comments may be submitted by any of the following methods: [[Page 19391]] Electronic CommentsUse the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or Send an email to [email protected]. Please include File Number SR-NYSEMKT-2015-21 on the subject line. Paper Comments Send paper comments in triplicate to Brent J. Fields, Secretary, Securities and Exchange Commission, 100 F Street NE., Washington, DC 20549-1090. All submissions should refer to File Number SR-NYSEMKT-2015-21. This file number should be included on the subject line if email is used. To help the Commission process and review your comments more efficiently, please use only one method. The Commission will post all comments on the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all written statements with respect to the proposed rule change that are filed with the Commission, and all written communications relating to the proposed rule change between the Commission and any person, other than those that may be withheld from the public in accordance with the provisions of 5 U.S.C. 552, will be available for Web site viewing and printing in the Commission's Public Reference Room, 100 F Street NE., Washington, DC 20549, on official business days between the hours of 10:00 a.m. and 3:00 p.m. Copies of the filing will also be available for inspection and copying at the NYSE's principal office and on its Internet Web site at www.nyse.com. All comments received will be posted without change; the Commission does not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR-NYSEMKT-2015-21 and should be submitted on or before May 1, 2015. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\14\ --------------------------------------------------------------------------- \14\ 17 CFR 200.30-3(a)(59). --------------------------------------------------------------------------- Brent J. Fields, Secretary. [FR Doc. 2015-08198 Filed 4-9-15; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 80, No. 69 / Friday, April 10, 2015 / Notices 19389
B. Self-Regulatory Organization’s • Send an email to rule-comments@ SECURITIES AND EXCHANGE
Statement on Burden on Competition sec.gov. Please include File Number SR– COMMISSION
CBOE does not believe that the CBOE–2015–034 on the subject line.
proposed rule change will impose any Paper Comments [Release No. 34–74650; File No. SR–
burden on competition that is not NYSEMKT–2015–21]
necessary or appropriate in furtherance • Send paper comments in triplicate
of the purposes of the Act. More to Brent J. Fields, Secretary, Securities Self-Regulatory Organizations; NYSE
specifically, the Exchange does not and Exchange Commission, 100 F Street MKT LLC; Notice of Filing and
believe that the proposed rule change NE., Washington, DC 20549–1090. Immediate Effectiveness of Proposed
will impose any burden on intramarket Rule Change Amending Rule 1000—
or intermarket competition because this All submissions should refer to File Equities To Reflect That Exchange
filing simply seeks to delay the Number SR–CBOE–2015–034. This file Systems Will Reject Incoming Orders
implementation deadline of SR–CBOE– number should be included on the of Over 1,000,000 Shares That Are
2014–067. subject line if email is used. To help the Marketable Upon Arrival
Commission process and review your
C. Self-Regulatory Organization’s comments more efficiently, please use April 6, 2015.
Statement on Comments on the
only one method. The Commission will Pursuant to Section 19(b)(1) 1 of the
Proposed Rule Change Received From
post all comments on the Commission’s Securities Exchange Act of 1934 (the
Members, Participants, or Others
Internet Web site (http://www.sec.gov/ ‘‘Act’’) 2 and Rule 19b–4 thereunder,3
The Exchange neither solicited nor rules/sro.shtml). Copies of the
received comments on the proposed notice is hereby given that on March 23,
submission, all subsequent 2015, NYSE MKT LLC (the ‘‘Exchange’’
rule change. amendments, all written statements or ‘‘NYSE MKT’’) filed with the
III. Date of Effectiveness of the with respect to the proposed rule Securities and Exchange Commission
Proposed Rule Change and Timing for change that are filed with the (the ‘‘Commission’’) the proposed rule
Commission Action Commission, and all written change as described in Items I and II
Because the foregoing proposed rule communications relating to the below, which Items have been prepared
change does not: proposed rule change between the by the self-regulatory organization. The
A. significantly affect the protection Commission and any person, other than Commission is publishing this notice to
of investors or the public interest; those that may be withheld from the solicit comments on the proposed rule
B. impose any significant burden on public in accordance with the change from interested persons.
competition; and provisions of 5 U.S.C. 552, will be
C. become operative for 30 days from available for Web site viewing and I. Self-Regulatory Organization’s
the date on which it was filed, or such printing in the Commission’s Public Statement of the Terms of Substance of
shorter time as the Commission may Reference Room, 100 F Street NE., the Proposed Rule Change
designate, it has become effective Washington, DC 20549 on official
pursuant to Section 19(b)(3)(A) of the The Exchange proposes to amend
business days between the hours of
Act 11 and Rule 19b–4(f)(6) 12 Rule 1000—Equities to reflect that
10:00 a.m. and 3:00 p.m. Copies of the
thereunder. At any time within 60 days Exchange systems will reject incoming
filing also will be available for
of the filing of the proposed rule change, orders of over 1,000,000 shares that are
inspection and copying at the principal
the Commission summarily may marketable upon arrival. The text of the
office of the Exchange. All comments
temporarily suspend such rule change if proposed rule change is available on the
received will be posted without change;
it appears to the Commission that such Exchange’s Web site at www.nyse.com,
action is necessary or appropriate in the the Commission does not edit personal
at the principal office of the Exchange,
public interest, for the protection of identifying information from
and at the Commission’s Public
investors, or otherwise in furtherance of submissions. You should submit only
Reference Room.
the purposes of the Act. If the information that you wish to make
Commission takes such action, the available publicly. All submissions II. Self-Regulatory Organization’s
Commission will institute proceedings should refer to File Number SR–CBOE– Statement of the Purpose of, and
to determine whether the proposed rule 2015–034 and should be submitted on Statutory Basis for, the Proposed Rule
change should be approved or or before May 1, 2015. Change
disapproved. For the Commission, by the Division of In its filing with the Commission, the
IV. Solicitation of Comments Trading and Markets, pursuant to delegated
self-regulatory organization included
authority.13
Interested persons are invited to statements concerning the purpose of,
Brent J. Fields, and basis for, the proposed rule change
submit written data, views, and
arguments concerning the foregoing, Secretary. and discussed any comments it received
including whether the proposed rule [FR Doc. 2015–08202 Filed 4–9–15; 8:45 am] on the proposed rule change. The text
change is consistent with the Act. BILLING CODE 8011–01–P of those statements may be examined at
Comments may be submitted by any of the places specified in Item IV below.
the following methods: The Exchange has prepared summaries,
mstockstill on DSK4VPTVN1PROD with NOTICES
Electronic Comments set forth in sections A, B, and C below,
of the most significant parts of such
• Use the Commission’s Internet statements.
comment form (http://www.sec.gov/
rules/sro.shtml); or
1 15 U.S.C.78s(b)(1).
11 15 2 15 U.S.C. 78a.
U.S.C. 78s(b)(3)(A).
12 17 CFR 240.19b–4(f)(6). 13 17 CFR 200.30–3(a)(12). 3 17 CFR 240.19b–4.
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![Federal Register / Vol. 80, No. 69 / Friday, April 10, 2015 / Notices 19391
Electronic Comments SMALL BUSINESS ADMINISTRATION Percent
• Use the Commission’s Internet Non-Profit Organizations Without
[Disaster Declaration #14261 and #14262]
comment form (http://www.sec.gov/ Credit Available Elsewhere ..... 2.625
rules/sro.shtml); or Tennessee Disaster #TN–00087 The number assigned to this disaster for
• Send an email to rule-comments@ physical damage is 14261B and for economic
sec.gov. Please include File Number SR– AGENCY:U.S. Small Business injury is 14262B.
NYSEMKT–2015–21 on the subject line. Administration. (Catalog of Federal Domestic Assistance
ACTION: Notice. Numbers 59002 and 59008)
Paper Comments
James E. Rivera,
• Send paper comments in triplicate SUMMARY: This is a Notice of the
Associate Administrator for Disaster
to Brent J. Fields, Secretary, Securities Presidential declaration of a major
Assistance.
and Exchange Commission, 100 F Street disaster for Public Assistance Only for
[FR Doc. 2015–08334 Filed 4–9–15; 8:45 am]
the State of Tennessee (FEMA–4211–
NE., Washington, DC 20549–1090. BILLING CODE 8025–01–P
DR), dated 04/02/2015.
All submissions should refer to File Incident: Severe winter storm and
Number SR–NYSEMKT–2015–21. This flooding. SMALL BUSINESS ADMINISTRATION
file number should be included on the Incident Period: 02/15/2015 through
subject line if email is used. To help the 02/22/2015. Announcement of Growth Accelerator
Commission process and review your Effective Date: 04/02/2015. Fund Competition
comments more efficiently, please use Physical Loan Application Deadline
only one method. The Commission will AGENCY: U.S. Small Business
Date: 06/01/2015. Administration.
post all comments on the Commission’s
Economic Injury (EIDL) Loan ACTION: Notice.
Internet Web site (http://www.sec.gov/
Application Deadline Date: 01/04/2016.
rules/sro.shtml). Copies of the SUMMARY: The U.S. Small Business
submission, all subsequent ADDRESSES: Submit completed loan
Administration (SBA) announces the
amendments, all written statements applications to U.S. Small Business
2015 Growth Accelerator Fund
with respect to the proposed rule Administration Processing and
Competition, pursuant to the America
change that are filed with the Disbursement Center, 14925 Kingsport
Competes Act, to identify the nation’s
Commission, and all written Road, Fort Worth, TX 76155.
most innovative accelerators and similar
communications relating to the FOR FURTHER INFORMATION CONTACT: A. organizations and award them cash
proposed rule change between the Escobar, Office of Disaster Assistance, prizes they may use to fund their
Commission and any person, other than U.S. Small Business Administration, operations costs and allow them to bring
those that may be withheld from the 409 3rd Street SW., Suite 6050, startup companies to scale and new
public in accordance with the Washington, DC 20416. ideas to life.
provisions of 5 U.S.C. 552, will be SUPPLEMENTARY INFORMATION: Notice is DATES: The submission period for
available for Web site viewing and hereby given that as a result of the entries begins 12:00 p.m. EDT, April 10,
printing in the Commission’s Public President’s major disaster declaration on 2015 and ends June 1, 2015 at 11:59
Reference Room, 100 F Street NE., 04/02/2015, Private Non-Profit p.m. EDT. Winners will be announced
Washington, DC 20549, on official organizations that provide essential no later than August 24, 2015.
business days between the hours of services of governmental nature may file FOR FURTHER INFORMATION CONTACT:
10:00 a.m. and 3:00 p.m. Copies of the disaster loan applications at the address Nareg Sagherian, Office of Investment
filing will also be available for listed above or other locally announced and Innovation, U.S. Small Business
inspection and copying at the NYSE’s locations. Administration, 409 Third Street SW.,
principal office and on its Internet Web The following areas have been 6th Floor, Washington, DC 20416, (202)
site at www.nyse.com. All comments determined to be adversely affected by 205–7576, accelerators@sba.gov.
received will be posted without change; the disaster: SUPPLEMENTARY INFORMATION:
the Commission does not edit personal Primary Counties: Anderson; Bedford; Competition Details
identifying information from Bledsoe; Blount; Campbell; Clay;
submissions. You should submit only Coffee; Cumberland; Fentress; Giles; 1. Subject of Competition: The SBA is
information that you wish to make Grainger; Grundy; Hamblen; Hancock; seeking to identify the nation’s most
available publicly. All submissions Hardeman; Jefferson; Knox; Lawrence; innovative and promising small
Loudon; Marshall; Mcminn; Mcnairy; business accelerators and incubators in
should refer to File Number SR–
Meigs; Monroe; Moore; Morgan; order to infuse them with additional
NYSEMKT–2015–21 and should be
Obion; Overton; Putnam; Roane; resource capital that ultimately
submitted on or before May 1, 2015. stimulates the growth and development
Scott; Sevier; Van Buren; Warren;
For the Commission, by the Division of of startups from within the
White.
Trading and Markets, pursuant to delegated entrepreneurial communities they serve.
authority.14 The Interest Rates are: For the purposes of this competition,
mstockstill on DSK4VPTVN1PROD with NOTICES
Brent J. Fields, Growth Accelerators include
Percent accelerators, incubators, co-working
Secretary.
[FR Doc. 2015–08198 Filed 4–9–15; 8:45 am] startup communities, shared tinker-
For Physical Damage:
Non-Profit Organizations With
spaces or other models to accomplish
BILLING CODE 8011–01–P
Credit Available Elsewhere ..... 2.625 similar goals. Regardless of the specific
Non-Profit Organizations Without model employed, Growth Accelerators
Credit Available Elsewhere ..... 2.625 focus on helping entrepreneurs and
14 17 CFR 200.30–3(a)(59). For Economic Injury: their startups speed the launch, growth
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Document Created: 2018-02-21 10:08:15
Document Modified: 2018-02-21 10:08:15
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Notices | |
| FR Citation | 80 FR 19389 |
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