80 FR 48611 - Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change to a Proposal to Update the Public Disclosure of Sources of Data BX Utilizes
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 80, Issue 156 (August 13, 2015)
Federal Register Volume 80, Issue 156 (August 13, 2015)
| Page Range | 48611-48612 | |
| FR Document | 2015-19879 |
[Federal Register Volume 80, Number 156 (Thursday, August 13, 2015)] [Notices] [Pages 48611-48612] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-19879] [[Page 48611]] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-75638; File No. SR-BX-2015-048] Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change to a Proposal to Update the Public Disclosure of Sources of Data BX Utilizes August 7, 2015. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (``Act'') \1\, and Rule 19b-4 thereunder,\2\ notice is hereby given that on August 5, 2015, NASDAQ OMX BX, Inc. (``BX'' or ``Exchange'') filed with the Securities and Exchange Commission (``SEC'' or ``Commission'') the proposed rule change as described in Items I, II, and III, below, which Items have been prepared by the Exchange. 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\ 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 update Exchange Rule 4759 and to amend the public disclosure of the sources of data that the Exchange utilizes when performing (1) order handling and execution; (2) order routing; and (3) related compliance processes. The text of the proposed rule change is below. Proposed new language is in italics; proposed deletions are bracketed. * * * * * 4759. Data Feeds Utilized The BX System utilizes the below proprietary and network processor feeds [utilized by the System] for the handling, routing, and execution of orders, as well as for the regulatory compliance processes related to those functions. The Secondary Source of data is, where applicable, utilized only in emergency market conditions and only until those emergency conditions are resolved. ------------------------------------------------------------------------ Market center Primary source Secondary source ------------------------------------------------------------------------ A--NYSE MKT (AMEX).......... [CQS/UQDF] NYSE [n/a] CQS/UQDF MKT OpenBook Ultra. B--NASDAQ OMX BX............ BX ITCH 5.0.... CQS/UQDF C--NSX...................... CQS/UQDF....... n/a D--FINRA ADF................ CQS/UQDF....... n/a J--DirectEdge A............. [EdgeBook] BATS CQS/UQDF PITCH. K--DirectEdge X............. [EdgeBook] BATS CQS/UQDF PITCH. M--CSX...................... CQS/UQDF....... n/a N--NYSE..................... NYSE OpenBook CQS/UQDF Ultra. P--NYSE Arca................ [ArcaBook CQS/UQDF Binary uncompacted] NYSE ARCA XDP. T/Q--NASDAQ................. ITCH 5.0....... CQS/UQDF X--NASDAQ OMX PSX........... PSX ITCH 5.0... CQS/UQDF Y--BATS Y-Exchange.......... BATS PITCH..... CQS/UQDF Z--BATS Exchange............ BATS PITCH..... CQS/UQDF ------------------------------------------------------------------------ * * * * * (b) Not applicable. (c) Not applicable. 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 Exchange 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 these 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 aspects of such statements. A. Self-Regulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose The Exchange proposes to update and amend the table in Exchange Rule 4759 that sets forth on a market-by-market basis the specific network processor and proprietary data feeds that the Exchange utilizes for the handling, routing, and execution of orders, and for performing the regulatory compliance checks related to each of those functions. Specifically, the table will be amended to include National Stock Exchange (``NSX''), which has informed the UTP Securities Information Processor (``UTP SIP'') that, subject to regulatory approval, it is projecting to reactivate its status as an operating participant for quotation and trading of NASDAQ-listed securities under the Unlisted Trading Privileges (``UTP'') Plan on or about August 31, 2015. The other changes to the table merely reflect updates to mirror the current network processor and proprietary data feeds utilized by the Exchange for the handling, routing, and execution of orders, and for performing the regulatory compliance checks related to each of those functions. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with the provisions of Section 6 of the Act,\3\ in general and with Sections 6(b)(5) of the Act,\4\ in particular in that it is designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade, to foster cooperation and coordination with persons engaged in regulating, clearing, settling, processing information with respect to, and facilitating transactions in securities, to remove impediments to and perfect the mechanism of a free and open market and a national market system, and, in general, to protect investors and the public interest. --------------------------------------------------------------------------- \3\ 15 U.S.C. 78f. \4\ 15 U.S.C. 78f(b)(5). --------------------------------------------------------------------------- The Exchange believes that its proposal to update the table in Exchange Rule 4759 to make certain it is current, as well as to amend the table to include NSX, would ensure that Exchange Rule 4759 correctly identifies and publicly states on a market-by-market basis all of the specific network processor and proprietary data feeds that the Exchange utilizes for the handling, routing, and execution of orders, and for performing the regulatory compliance checks related to each of those functions, and that the proposed rule change removes impediments to and perfects the [[Page 48612]] mechanism of a free and open market and protects investors and the public interest because it provides additional specificity, clarity and transparency. B. Self-Regulatory Organization's Statement on Burden on Competition The Exchange does not believe that the proposed rule change will result in any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act, as amended. To the contrary, the Exchange believes the proposal would enhance competition because including all of the exchanges enhances transparency and enables investors to better assess the quality of the Exchange's execution and routing services. C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were either solicited or received. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the foregoing 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 for 30 days from the date on which it was filed, or such shorter time as the Commission may designate, it has become effective pursuant to Section 19(b)(3)(A) \5\ of the Act and Rule 19b- 4(f)(6) thereunder.\6\ The Exchange believes that this proposed rule change is properly designated as non-controversial because it enhances clarity and operational transparency without modifying members' rights or obligations. The Exchange provided notice of the proposed rule change on July 27, 2015. --------------------------------------------------------------------------- \5\ 15 U.S.C. 78s(b)(3)(A). \6\ 17 CFR 240.19b-4(f)(6). --------------------------------------------------------------------------- At any time within 60 days of the filing of the proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is: (i) Necessary or appropriate in the public interest; (ii) for the protection of investors; or (iii) otherwise in furtherance of the purposes of the Act. If the Commission takes such action, the Commission shall institute proceedings to determine whether the proposed rule should be approved or disapproved. 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: 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-BX-2015-048 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-BX-2015-048. 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 also will be available for inspection and copying at the principal office of the Exchange. 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-BX-2015-048 and should be submitted on or before September 3, 2015. --------------------------------------------------------------------------- \7\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\7\ Jill M. Peterson, Assistant Secretary. [FR Doc. 2015-19879 Filed 8-12-15; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 80, No. 156 / Thursday, August 13, 2015 / Notices 48611
SECURITIES AND EXCHANGE and Exchange Commission (‘‘SEC’’ or The text of the proposed rule change
COMMISSION ‘‘Commission’’) the proposed rule is below. Proposed new language is in
change as described in Items I, II, and italics; proposed deletions are
[Release No. 34–75638; File No. SR–BX–
2015–048]
III, below, which Items have been bracketed.
prepared by the Exchange. The * * * * *
Self-Regulatory Organizations; Commission is publishing this notice to
NASDAQ OMX BX, Inc.; Notice of Filing solicit comments on the proposed rule 4759. Data Feeds Utilized
and Immediate Effectiveness of change from interested persons.
The BX System utilizes the below
Proposed Rule Change to a Proposal I. Self-Regulatory Organization’s proprietary and network processor feeds
to Update the Public Disclosure of Statement of the Terms of Substance of [utilized by the System] for the
Sources of Data BX Utilizes the Proposed Rule Change handling, routing, and execution of
August 7, 2015. The Exchange proposes to update orders, as well as for the regulatory
Pursuant to Section 19(b)(1) of the Exchange Rule 4759 and to amend the compliance processes related to those
Securities Exchange Act of 1934 public disclosure of the sources of data functions. The Secondary Source of data
(‘‘Act’’) 1, and Rule 19b–4 thereunder,2 that the Exchange utilizes when is, where applicable, utilized only in
notice is hereby given that on August 5, performing (1) order handling and emergency market conditions and only
2015, NASDAQ OMX BX, Inc. (‘‘BX’’ or execution; (2) order routing; and (3) until those emergency conditions are
‘‘Exchange’’) filed with the Securities related compliance processes. resolved.
Market center Primary source Secondary source
A—NYSE MKT (AMEX) ......................................................... [CQS/UQDF] NYSE MKT OpenBook Ultra ........................... [n/a] CQS/UQDF
B—NASDAQ OMX BX .......................................................... BX ITCH 5.0 .......................................................................... CQS/UQDF
C—NSX ................................................................................. CQS/UQDF ............................................................................ n/a
D—FINRA ADF ...................................................................... CQS/UQDF ............................................................................ n/a
J—DirectEdge A .................................................................... [EdgeBook] BATS PITCH ...................................................... CQS/UQDF
K—DirectEdge X .................................................................... [EdgeBook] BATS PITCH ...................................................... CQS/UQDF
M—CSX ................................................................................. CQS/UQDF ............................................................................ n/a
N—NYSE ............................................................................... NYSE OpenBook Ultra .......................................................... CQS/UQDF
P—NYSE Arca ....................................................................... [ArcaBook Binary uncompacted] NYSE ARCA XDP ............ CQS/UQDF
T/Q—NASDAQ ...................................................................... ITCH 5.0 ................................................................................ CQS/UQDF
X—NASDAQ OMX PSX ........................................................ PSX ITCH 5.0 ........................................................................ CQS/UQDF
Y—BATS Y-Exchange ........................................................... BATS PITCH ......................................................................... CQS/UQDF
Z—BATS Exchange ............................................................... BATS PITCH ......................................................................... CQS/UQDF
* * * * * proprietary data feeds that the Exchange the Act,4 in particular in that it is
(b) Not applicable. utilizes for the handling, routing, and designed to prevent fraudulent and
(c) Not applicable. execution of orders, and for performing manipulative acts and practices, to
II. Self-Regulatory Organization’s the regulatory compliance checks promote just and equitable principles of
Statement of the Purpose of, and related to each of those functions. trade, to foster cooperation and
Statutory Basis for, the Proposed Rule Specifically, the table will be coordination with persons engaged in
Change amended to include National Stock regulating, clearing, settling, processing
Exchange (‘‘NSX’’), which has informed information with respect to, and
In its filing with the Commission, the the UTP Securities Information facilitating transactions in securities, to
Exchange included statements Processor (‘‘UTP SIP’’) that, subject to remove impediments to and perfect the
concerning the purpose of and basis for regulatory approval, it is projecting to mechanism of a free and open market
the proposed rule change and discussed reactivate its status as an operating and a national market system, and, in
any comments it received on the participant for quotation and trading of general, to protect investors and the
proposed rule change. The text of these NASDAQ-listed securities under the public interest.
statements may be examined at the Unlisted Trading Privileges (‘‘UTP’’) The Exchange believes that its
places specified in Item IV below. The Plan on or about August 31, 2015. The proposal to update the table in
Exchange has prepared summaries, set other changes to the table merely reflect Exchange Rule 4759 to make certain it
forth in sections A, B, and C below, of updates to mirror the current network is current, as well as to amend the table
the most significant aspects of such processor and proprietary data feeds to include NSX, would ensure that
statements. utilized by the Exchange for the Exchange Rule 4759 correctly identifies
A. Self-Regulatory Organization’s handling, routing, and execution of and publicly states on a market-by-
Statement of the Purpose of, and orders, and for performing the market basis all of the specific network
Statutory Basis for, the Proposed Rule regulatory compliance checks related to processor and proprietary data feeds
Change each of those functions. that the Exchange utilizes for the
handling, routing, and execution of
1. Purpose 2. Statutory Basis orders, and for performing the
tkelley on DSK3SPTVN1PROD with NOTICES
The Exchange proposes to update and The Exchange believes that the regulatory compliance checks related to
amend the table in Exchange Rule 4759 proposed rule change is consistent with each of those functions, and that the
that sets forth on a market-by-market the provisions of Section 6 of the Act,3 proposed rule change removes
basis the specific network processor and in general and with Sections 6(b)(5) of impediments to and perfects the
1 15 U.S.C. 78s(b)(1). 3 15 U.S.C. 78f.
2 17 CFR 240.19b–4. 4 15 U.S.C. 78f(b)(5).
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![48612 Federal Register / Vol. 80, No. 156 / Thursday, August 13, 2015 / Notices
mechanism of a free and open market arguments concerning the foregoing, SECURITIES AND EXCHANGE
and protects investors and the public including whether the proposed rule COMMISSION
interest because it provides additional change is consistent with the Act.
[Release No. 34–75647; File No. SR–
specificity, clarity and transparency. Comments may be submitted by any of
NASDAQ–2015–090]
the following methods:
B. Self-Regulatory Organization’s
Statement on Burden on Competition Electronic Comments Self-Regulatory Organizations; The
NASDAQ Stock Market LLC; Notice of
The Exchange does not believe that • Use the Commission’s Internet
Filing and Immediate Effectiveness of
the proposed rule change will result in comment form (http://www.sec.gov/
Proposed Rule Change To Amend
any burden on competition that is not rules/sro.shtml); or
• Send an email to rule-comments@ Chapter XV, Section 2 Entitled
necessary or appropriate in furtherance ‘‘NASDAQ Options Market—Fees and
of the purposes of the Act, as amended. sec.gov. Please include File Number SR–
BX–2015–048 on the subject line. Rebates’’
To the contrary, the Exchange believes
the proposal would enhance Paper Comments August 7, 2015.
competition because including all of the Pursuant to Section 19(b)(1) of the
exchanges enhances transparency and • Send paper comments in triplicate Securities Exchange Act of 1934
enables investors to better assess the to Brent J. Fields, Secretary, Securities (‘‘Act’’),1 and Rule 19b–4 thereunder,2
quality of the Exchange’s execution and and Exchange Commission, 100 F Street notice is hereby given that on July 31,
routing services. NE., Washington, DC 20549–1090.
2015, The NASDAQ Stock Market LLC
All submissions should refer to File (‘‘Nasdaq’’ or ‘‘Exchange’’) filed with the
C. Self-Regulatory Organization’s Number SR–BX–2015–048. This file Securities and Exchange Commission
Statement on Comments on the number should be included on the (‘‘SEC’’ or ‘‘Commission’’) the proposed
Proposed Rule Change Received From subject line if email is used. To help the rule change as described in Items I, II,
Members, Participants, or Others Commission process and review your and III, below, which Items have been
No written comments were either comments more efficiently, please use prepared by the Exchange. The
solicited or received. only one method. The Commission will Commission is publishing this notice to
post all comments on the Commission’s solicit comments on the proposed rule
III. Date of Effectiveness of the Internet Web site (http://www.sec.gov/
Proposed Rule Change and Timing for change from interested persons.
rules/sro.shtml).
Commission Action Copies of the submission, all I. Self-Regulatory Organization’s
Because the foregoing proposed rule subsequent amendments, all written Statement of the Terms of Substance of
change does not: (i) Significantly affect statements with respect to the proposed the Proposed Rule Change
the protection of investors or the public rule change that are filed with the The Exchange proposes to amend the
interest; (ii) impose any significant Commission, and all written Exchange’s transaction fees at Chapter
burden on competition; and (iii) become communications relating to the XV, Section 2 entitled ‘‘NASDAQ
operative for 30 days from the date on proposed rule change between the Options Market—Fees and Rebates,’’
which it was filed, or such shorter time Commission and any person, other than which governs pricing for NASDAQ
as the Commission may designate, it has those that may be withheld from the members using the NASDAQ Options
become effective pursuant to Section public in accordance with the Market (‘‘NOM’’), NASDAQ’s facility for
19(b)(3)(A) 5 of the Act and Rule 19b- provisions of 5 U.S.C. 552, will be executing and routing standardized
4(f)(6) thereunder.6 The Exchange available for Web site viewing and equity and index options.
believes that this proposed rule change printing in the Commission’s Public While the changes proposed herein
is properly designated as non- Reference Room, 100 F Street, NE., are effective upon filing, the Exchange
controversial because it enhances clarity Washington, DC 20549, on official has designated such changes to become
and operational transparency without business days between the hours of operative on August 3, 3015.
modifying members’ rights or 10:00 a.m. and 3:00 p.m. Copies of the The text of the proposed rule change
obligations. The Exchange provided filing also will be available for is available on the Exchange’s Web site
notice of the proposed rule change on inspection and copying at the principal at http://nasdaq.cchwallstreet.com, at
July 27, 2015. office of the Exchange. All comments the principal office of the Exchange, and
At any time within 60 days of the received will be posted without change; at the Commission’s Public Reference
filing of the proposed rule change, the the Commission does not edit personal Room.
Commission summarily may identifying information from
submissions. You should submit only II. Self-Regulatory Organization’s
temporarily suspend such rule change if
information that you wish to make Statement of the Purpose of, and
it appears to the Commission that such
available publicly. Statutory Basis for, the Proposed Rule
action is: (i) Necessary or appropriate in
All submissions should refer to File Change
the public interest; (ii) for the protection
Number SR–BX–2015–048 and should In its filing with the Commission, the
of investors; or (iii) otherwise in
be submitted on or before September 3, Exchange included statements
furtherance of the purposes of the Act.
2015. concerning the purpose of and basis for
If the Commission takes such action, the
Commission shall institute proceedings the proposed rule change and discussed
to determine whether the proposed rule For the Commission, by the Division of any comments it received on the
Trading and Markets, pursuant to delegated proposed rule change. The text of these
should be approved or disapproved. authority.7
tkelley on DSK3SPTVN1PROD with NOTICES
statements may be examined at the
IV. Solicitation of Comments Jill M. Peterson, places specified in Item IV below. The
Interested persons are invited to Assistant Secretary. Exchange has prepared summaries, set
submit written data, views, and [FR Doc. 2015–19879 Filed 8–12–15; 8:45 am] forth in sections A, B, and C below, of
BILLING CODE 8011–01–P
5 15 U.S.C. 78s(b)(3)(A). 1 15 U.S.C. 78s(b)(1).
6 17 CFR 240.19b–4(f)(6). 7 17 CFR 200.30–3(a)(12). 2 17 CFR 240.19b-4.
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Document Created: 2018-02-23 10:56:50
Document Modified: 2018-02-23 10:56:50
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
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| Section | Notices | |
| FR Citation | 80 FR 48611 |
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