80 FR 51342 - Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending the NYSE Arca Equities Schedule of Fees and Charges for Exchange Services To Modify the Credits the Exchange Provides for Routing Certain Orders to the New York Stock Exchange LLC
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 80, Issue 163 (August 24, 2015)
Federal Register Volume 80, Issue 163 (August 24, 2015)
| Page Range | 51342-51343 | |
| FR Document | 2015-20791 |
[Federal Register Volume 80, Number 163 (Monday, August 24, 2015)] [Notices] [Pages 51342-51343] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-20791] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-75722; File No. SR-NYSEARCA-2015-70] Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending the NYSE Arca Equities Schedule of Fees and Charges for Exchange Services To Modify the Credits the Exchange Provides for Routing Certain Orders to the New York Stock Exchange LLC August 18, 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 August 3, 2015, NYSE Arca, Inc. (the ``Exchange'' or ``NYSE Arca'') filed with the Securities and Exchange Commission (the ``Commission'') the proposed rule change as described in Items I, II, and III 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 the NYSE Arca Equities Schedule of Fees and Charges for Exchange Services (``Fee Schedule'') to modify the credits the Exchange provides for routing certain orders to the New York Stock Exchange LLC (``NYSE''). 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. 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 the Fee Schedule to modify the Tier 1 and Tier 2 credits the Exchange provides for routing PO+ Orders \4\ to the NYSE and make corresponding changes in the Basic Rate pricing. --------------------------------------------------------------------------- \4\ A PO+ Order is a Primary Only Order (i.e., a market or limit order that is to be routed to the primary market) that is entered for participation in the primary market, other than for participation in the primary market opening or primary market re- opening. See NYSE Arca Equities Rule 7.31(f)(1)(C). --------------------------------------------------------------------------- A PO+ Order is designed to route to the primary listing market of the security underlying the order (i.e., NYSE, NASDAQ, etc.) immediately upon arrival and the order therefore does not rest on the Exchange's order book. Because PO+ Orders do not rest on the Exchange's book, the Exchange charges fees or provides credits for those orders based on the fees or credits of the destination primary listing market, which are the fees and credits that the Exchange is charged by the primary listing market that receives the order. In a recent rule filing, the NYSE modified its fee structure for equities transaction by decreasing the level of rebate that it provides to its members that provide liquidity from $0.0015 per share to $0.0014 per share.\5\ In order to maintain the same relationship between the rate that the Exchange charges for a PO+ Order and the rebate provided by the destination venue, the Exchange is also amending the per share credit for PO+ Orders routed to the NYSE that provide liquidity to the NYSE to $0.0014 per share. The Exchange proposes corresponding changes to the Basic Rate pricing section of the Fee Schedule. --------------------------------------------------------------------------- \5\ See Securities Exchange Act Release No. 75353 (July 2, 2015), 80 FR 39468 (July 9, 2015) (SR-NYSE-2015-30). --------------------------------------------------------------------------- The proposed changes are not otherwise intended to address any other issues, and the Exchange is not aware of any problems that ETP Holders would have in complying with the proposed changes. 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 sections 6(b)(4) and (5) of the Act,\7\ in particular, because it provides for the equitable allocation of reasonable dues, fees, and other charges among its members, issuers and other persons using its facilities and does not unfairly discriminate between customers, issuers, brokers or dealers. --------------------------------------------------------------------------- \6\ 15 U.S.C. 78f(b). \7\ 15 U.S.C. 78f(b)(4) and (5). --------------------------------------------------------------------------- The Exchange believes that the proposed changes to routing credits for PO+ Orders that provide liquidity to the NYSE are reasonable because the Exchange's credits for routing an order that does not rest on the Exchange's order book, but rather is designed to route to the primary listing market on arrival, are closely related to the NYSE's rebates for its members for providing liquidity, and the proposed change is consistent with the recent change to the NYSE Price List to lower its rebate for providing liquidity. While the proposed change would result in a decrease in the per share credit for PO+ Orders routed to the NYSE that provide liquidity to the NYSE, the rebate that the Exchange would provide to ETP Holders is competitive with the rate that NYSE provides to its members for providing liquidity and would maintain the same relationship between the rebate provide [[Page 51343]] by the venue to which the PO+ Order is routed and the fees charged by the Exchange for such orders. Further, the proposed change is equitable and not unfairly discriminatory because the rebate would apply uniformly across pricing tiers and all similarly situated ETP Holders would be subject to the same credit. Finally, the Exchange believes that it is subject to significant competitive forces, as described below in the Exchange's statement regarding the burden on competition. For these reasons, the Exchange believes that the proposal is consistent with the Act. B. Self-Regulatory Organization's Statement on Burden on Competition In accordance with section 6(b)(8) of the Act,\8\ the Exchange believes that the proposed rule change would not impose any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. In particular, the routing credits would not place a burden on competition because the Exchange is maintaining the existing relationship between the rebate provided by the Exchange for PO+ Order that are routed to the NYSE that provide liquidity on the NYSE and the rebate the NYSE provides to its members that provide liquidity.\9\ --------------------------------------------------------------------------- \8\ 15 U.S.C. 78f(b)(8). \9\ See supra note 5. --------------------------------------------------------------------------- The Exchange notes that it operates in a highly competitive market in which market participants can readily favor competing venues. In such an environment, the Exchange must continually review, and consider adjusting, its fees and credits to remain competitive with other exchanges. For the reasons described above, the Exchange believes that this proposal promotes a competitive environment. 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 foregoing rule change is effective upon filing pursuant to section 19(b)(3)(A) \10\ of the Act and subparagraph (f)(2) of Rule 19b-4 \11\ thereunder, because it establishes a due, fee, or other charge imposed by the Exchange. --------------------------------------------------------------------------- \10\ 15 U.S.C. 78s(b)(3)(A). \11\ 17 CFR 240.19b-4(f)(2). --------------------------------------------------------------------------- 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. If the Commission takes such action, the Commission shall institute proceedings under section 19(b)(2)(B)\12\ of the Act to determine whether the proposed rule change should be approved or disapproved. --------------------------------------------------------------------------- \12\ 15 U.S.C. 78s(b)(2)(B). --------------------------------------------------------------------------- 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-NYSEARCA-2015-70 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-NYSEARCA-2015-70. 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-NYSEARCA-2015-70 and should be submitted on or before September 14, 2015. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\13\ --------------------------------------------------------------------------- \13\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Robert W. Errett, Deputy Secretary. [FR Doc. 2015-20791 Filed 8-21-15; 8:45 am] BILLING CODE 8011-01-P
![51342 Federal Register / Vol. 80, No. 163 / Monday, August 24, 2015 / Notices
Internet Web site (http://www.sec.gov/ proposed rule change as described in which are the fees and credits that the
rules/sro.shtml). Copies of the Items I, II, and III below, which Items Exchange is charged by the primary
submission, all subsequent have been prepared by the self- listing market that receives the order.
amendments, all written statements regulatory organization. The In a recent rule filing, the NYSE
with respect to the proposed rule Commission is publishing this notice to modified its fee structure for equities
change that are filed with the solicit comments on the proposed rule transaction by decreasing the level of
Commission, and all written change from interested persons. rebate that it provides to its members
communications relating to the that provide liquidity from $0.0015 per
I. Self-Regulatory Organization’s
proposed rule change between the share to $0.0014 per share.5 In order to
Statement of the Terms of Substance of
Commission and any person, other than maintain the same relationship between
the Proposed Rule Change
those that may be withheld from the the rate that the Exchange charges for a
public in accordance with the The Exchange proposes to amend the PO+ Order and the rebate provided by
provisions of 5 U.S.C. 552, will be NYSE Arca Equities Schedule of Fees the destination venue, the Exchange is
available for Web site viewing and and Charges for Exchange Services also amending the per share credit for
printing in the Commission’s Public (‘‘Fee Schedule’’) to modify the credits PO+ Orders routed to the NYSE that
Reference Room, 100 F Street NE., the Exchange provides for routing provide liquidity to the NYSE to
Washington, DC 20549, on official certain orders to the New York Stock $0.0014 per share. The Exchange
business days between the hours of Exchange LLC (‘‘NYSE’’). The text of the proposes corresponding changes to the
10:00 a.m. and 3:00 p.m. Copies of the proposed rule change is available on the Basic Rate pricing section of the Fee
filing also will be available for Exchange’s Web site at www.nyse.com, Schedule.
inspection and copying at the principal at the principal office of the Exchange, The proposed changes are not
office of the Exchange. All comments and at the Commission’s Public otherwise intended to address any other
received will be posted without change; Reference Room. issues, and the Exchange is not aware of
the Commission does not edit personal II. Self-Regulatory Organization’s any problems that ETP Holders would
identifying information from Statement of the Purpose of, and have in complying with the proposed
submissions. You should submit only Statutory Basis for, the Proposed Rule changes.
information that you wish to make Change
available publicly. All submissions 2. Statutory Basis
should refer to File Number SR–BATS– In its filing with the Commission, the
The Exchange believes that the
2015–60, and should be submitted on or self-regulatory organization included
proposed rule change is consistent with
before September 14, 2015. statements concerning the purpose of,
section 6(b) of the Act,6 in general, and
and basis for, the proposed rule change
For the Commission, by the Division of and discussed any comments it received furthers the objectives of sections 6(b)(4)
Trading and Markets, pursuant to delegated
on the proposed rule change. The text and (5) of the Act,7 in particular,
authority.12 because it provides for the equitable
of those statements may be examined at
Robert W. Errett, allocation of reasonable dues, fees, and
the places specified in Item IV below.
Deputy Secretary. The Exchange has prepared summaries, other charges among its members,
[FR Doc. 2015–20790 Filed 8–21–15; 8:45 am] set forth in sections A, B, and C below, issuers and other persons using its
BILLING CODE 8011–01–P of the most significant parts of such facilities and does not unfairly
statements. discriminate between customers,
issuers, brokers or dealers.
SECURITIES AND EXCHANGE A. Self-Regulatory Organization’s The Exchange believes that the
COMMISSION Statement of the Purpose of, and the proposed changes to routing credits for
Statutory Basis for, the Proposed Rule PO+ Orders that provide liquidity to the
[Release No. 34–75722; File No. SR– Change
NYSEARCA–2015–70] NYSE are reasonable because the
1. Purpose Exchange’s credits for routing an order
Self-Regulatory Organizations; NYSE that does not rest on the Exchange’s
The Exchange proposes to amend the order book, but rather is designed to
Arca, Inc.; Notice of Filing and
Fee Schedule to modify the Tier 1 and route to the primary listing market on
Immediate Effectiveness of Proposed
Tier 2 credits the Exchange provides for arrival, are closely related to the NYSE’s
Rule Change Amending the NYSE Arca
routing PO+ Orders 4 to the NYSE and rebates for its members for providing
Equities Schedule of Fees and
make corresponding changes in the liquidity, and the proposed change is
Charges for Exchange Services To
Basic Rate pricing. consistent with the recent change to the
Modify the Credits the Exchange A PO+ Order is designed to route to
Provides for Routing Certain Orders to NYSE Price List to lower its rebate for
the primary listing market of the
the New York Stock Exchange LLC providing liquidity. While the proposed
security underlying the order (i.e.,
change would result in a decrease in the
August 18, 2015. NYSE, NASDAQ, etc.) immediately
per share credit for PO+ Orders routed
Pursuant to section 19(b)(1) 1 of the upon arrival and the order therefore
does not rest on the Exchange’s order to the NYSE that provide liquidity to the
Securities Exchange Act of 1934 (the NYSE, the rebate that the Exchange
‘‘Act’’) 2 and Rule 19b–4 thereunder,3 book. Because PO+ Orders do not rest
on the Exchange’s book, the Exchange would provide to ETP Holders is
notice is hereby given that, on August competitive with the rate that NYSE
3, 2015, NYSE Arca, Inc. (the charges fees or provides credits for those
orders based on the fees or credits of the provides to its members for providing
‘‘Exchange’’ or ‘‘NYSE Arca’’) filed with liquidity and would maintain the same
tkelley on DSK3SPTVN1PROD with NOTICES
the Securities and Exchange destination primary listing market,
relationship between the rebate provide
Commission (the ‘‘Commission’’) the
4 A PO+ Order is a Primary Only Order (i.e., a
5 See Securities Exchange Act Release No. 75353
12 17
market or limit order that is to be routed to the
CFR 200.30–3(a)(12). primary market) that is entered for participation in (July 2, 2015), 80 FR 39468 (July 9, 2015) (SR–
1 15 U.S.C.78s(b)(1). NYSE–2015–30).
the primary market, other than for participation in
2 15 U.S.C. 78a. 6 15 U.S.C. 78f(b).
the primary market opening or primary market re-
3 17 CFR 240.19b–4. opening. See NYSE Arca Equities Rule 7.31(f)(1)(C). 7 15 U.S.C. 78f(b)(4) and (5).
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![Federal Register / Vol. 80, No. 163 / Monday, August 24, 2015 / Notices 51343
by the venue to which the PO+ Order is fee, or other charge imposed by the 10:00 a.m. and 3:00 p.m. Copies of the
routed and the fees charged by the Exchange. filing will also be available for
Exchange for such orders. Further, the At any time within 60 days of the inspection and copying at the NYSE’s
proposed change is equitable and not filing of such proposed rule change, the principal office and on its Internet Web
unfairly discriminatory because the Commission summarily may site at www.nyse.com. All comments
rebate would apply uniformly across temporarily suspend such rule change if received will be posted without change;
pricing tiers and all similarly situated it appears to the Commission that such the Commission does not edit personal
ETP Holders would be subject to the action is necessary or appropriate in the identifying information from
same credit. public interest, for the protection of
submissions. You should submit only
investors, or otherwise in furtherance of
Finally, the Exchange believes that it information that you wish to make
the purposes of the Act. If the
is subject to significant competitive available publicly. All submissions
Commission takes such action, the
forces, as described below in the should refer to File Number SR–
Commission shall institute proceedings
Exchange’s statement regarding the NYSEARCA–2015–70 and should be
under section 19(b)(2)(B)12 of the Act to
burden on competition. For these submitted on or before September 14,
determine whether the proposed rule
reasons, the Exchange believes that the 2015.
change should be approved or
proposal is consistent with the Act.
disapproved. For the Commission, by the Division of
B. Self-Regulatory Organization’s IV. Solicitation of Comments Trading and Markets, pursuant to delegated
Statement on Burden on Competition authority.13
Interested persons are invited to
Robert W. Errett,
In accordance with section 6(b)(8) of submit written data, views, and
the Act,8 the Exchange believes that the arguments concerning the foregoing, Deputy Secretary.
proposed rule change would not impose including whether the proposed rule [FR Doc. 2015–20791 Filed 8–21–15; 8:45 am]
any burden on competition that is not change is consistent with the Act. BILLING CODE 8011–01–P
necessary or appropriate in furtherance Comments may be submitted by any of
of the purposes of the Act. In particular, the following methods:
the routing credits would not place a SECURITIES AND EXCHANGE
Electronic Comments COMMISSION
burden on competition because the
Exchange is maintaining the existing • Use the Commission’s Internet
relationship between the rebate comment form (http://www.sec.gov/ [Release No. 34–75724; File No. SR–CME–
provided by the Exchange for PO+ rules/sro.shtml); or 2015–015]
Order that are routed to the NYSE that • Send an email to rule-comments@
provide liquidity on the NYSE and the sec.gov. Please include File Number SR– Self-Regulatory Organizations;
rebate the NYSE provides to its NYSEARCA–2015–70 on the subject Chicago Mercantile Exchange Inc.;
members that provide liquidity.9 line. Notice of Filing and Immediate
The Exchange notes that it operates in Paper Comments Effectiveness of Proposed Rule
a highly competitive market in which • Send paper comments in triplicate Change To Expand the Listing
market participants can readily favor to Brent J. Fields, Secretary, Securities Schedule for the Urea (Granular) FOB
competing venues. In such an and Exchange Commission, 100 F Street US Gulf Coast Swaps (Clearing Only)
environment, the Exchange must NE., Washington, DC 20549–1090. Contract
continually review, and consider All submissions should refer to File
adjusting, its fees and credits to remain August 18, 2015.
Number SR–NYSEARCA–2015–70. This
competitive with other exchanges. For file number should be included on the Pursuant to Section 19(b)(1) of the
the reasons described above, the subject line if email is used. To help the Securities Exchange Act of 1934
Exchange believes that this proposal Commission process and review your (‘‘Act’’),1 and Rule 19b–4 thereunder,2
promotes a competitive environment. comments more efficiently, please use notice is hereby given that on August
C. Self-Regulatory Organization’s only one method. The Commission will 10, 2015, Chicago Mercantile Exchange
Statement on Comments on the post all comments on the Commission’s Inc. (‘‘CME’’) filed with the Securities
Proposed Rule Change Received From Internet Web site (http://www.sec.gov/ and Exchange Commission
Members, Participants, or Others rules/sro.shtml). Copies of the (‘‘Commission’’) the proposed rule
submission, all subsequent change described in Items I, II and III
No written comments were solicited amendments, all written statements below, which Items have been prepared
or received with respect to the proposed with respect to the proposed rule primarily by CME. CME filed the
rule change. change that are filed with the proposal pursuant to Section 19(b)(3)(A)
III. Date of Effectiveness of the Commission, and all written of the Act,3 and Rule 19b–4(f)(4)(ii)
Proposed Rule Change and Timing for communications relating to the thereunder,4 so that the proposal was
Commission Action proposed rule change between the effective upon filing with the
Commission and any person, other than Commission. The Commission is
The foregoing rule change is effective those that may be withheld from the publishing this notice to solicit
upon filing pursuant to section public in accordance with the comments on the proposed rule change
19(b)(3)(A) 10 of the Act and provisions of 5 U.S.C. 552, will be from interested persons.
tkelley on DSK3SPTVN1PROD with NOTICES
subparagraph (f)(2) of Rule 19b–4 11 available for Web site viewing and
thereunder, because it establishes a due, printing in the Commission’s Public
Reference Room, 100 F Street NE., 13 17 CFR 200.30–3(a)(12).
8 15 U.S.C. 78f(b)(8). Washington, DC 20549, on official 1 15 U.S.C. 78s(b)(1).
9 See supra note 5. business days between the hours of 2 17 CFR 240.19b–4.
10 15 U.S.C. 78s(b)(3)(A). 3 15 U.S.C. 78s(b)(3)(A).
11 17 CFR 240.19b–4(f)(2). 12 15 U.S.C. 78s(b)(2)(B). 4 17 CFR 240.19b–4(f)(4)(ii).
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Document Created: 2015-12-15 10:54:25
Document Modified: 2015-12-15 10:54:25
| 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 51342 |
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