80_FR_56689 80 FR 56508 - Self-Regulatory Organizations; BATS Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Related to Fees for Use of BATS Exchange, Inc.

80 FR 56508 - Self-Regulatory Organizations; BATS Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Related to Fees for Use of BATS Exchange, Inc.

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 80, Issue 181 (September 18, 2015)

Page Range56508-56511
FR Document2015-23399

Federal Register, Volume 80 Issue 181 (Friday, September 18, 2015)
[Federal Register Volume 80, Number 181 (Friday, September 18, 2015)]
[Notices]
[Pages 56508-56511]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-23399]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-75915; File No. SR-BATS-2015-71]


Self-Regulatory Organizations; BATS Exchange, Inc.; Notice of 
Filing and Immediate Effectiveness of a Proposed Rule Change Related to 
Fees for Use of BATS Exchange, Inc.

September 14, 2015.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given 
that on September 2, 2015, BATS Exchange, Inc. (the ``Exchange'' or 
``BATS'') filed with the Securities and Exchange Commission 
(``Commission'') the proposed rule change as described in Items I, II 
and III below, which Items have been prepared by the Exchange. The 
Exchange has designated the proposed rule change as one establishing or 
changing a member due, fee, or other charge imposed by the Exchange 
under Section 19(b)(3)(A)(ii) of the Act \3\ and Rule 19b-4(f)(2) 
thereunder,\4\ which renders the proposed rule change effective upon 
filing with the Commission. The Commission is publishing this notice to 
solicit comments on the proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \4\ 17 CFR 240.19b-4(f)(2).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange filed a proposal to amend the fee schedule applicable 
to Members \5\ and non-members of the Exchange pursuant to BATS Rules 
15.1(a) and (c).
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    \5\ The term ``Member'' is defined as ``any registered broker or 
dealer that has been admitted to membership in the Exchange.'' See 
Exchange Rule 1.5(n).
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    The text of the proposed rule change is available at the Exchange's 
Web site at www.batstrading.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 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 parts 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 modify the ``Options Pricing'' section of 
its fee schedule effective immediately, in order to: (i) Modify pricing 
charged by the Exchange's options platform (``BATS Options'') including 
for orders routed away from the Exchange and executed at various away 
options exchanges; (ii) amend the thresholds related to meeting certain 
pricing tiers and to increase the rebate associated with such tiers; 
(iii) amend the fee for Customer \6\ orders that remove liquidity in 
Penny Pilot Securities; \7\ and (iv) make two non-substantive clean up 
changes.
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    \6\ ``Customer'' applies to any transaction identified by a 
Member for clearing in the Customer range at the OCC, excluding any 
transaction for a Broker Dealer or a ``Professional'' as defined in 
Exchange Rule 16.1.
    \7\ ``Penny Pilot Securities'' are those issues quoted pursuant 
to Exchange Rule 21.5, Interpretation and Policy .01.
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Routing Fees
    The Exchange currently charges the following rates for orders 
routed to certain other options exchanges: (i) Customer orders routed 
to C2 Options Exchange, Incorporated (``C2''), which yield the fee code 
2C, are charged $0.47 per contract; (ii) non-Customer orders routed to 
C2, which yield fee code 2F, are charged $0.95 per contract; (iii) 
Customer orders in Penny Pilot Securities routed to NYSE Arca, Inc. 
(``Arca''), which yield fee code AC, are charged $0.52 per contract; 
and (iv) Customer orders in Penny Pilot Securities routed to Nasdaq 
Options Market LLC (``NOM''), which yield fee code QC, are charged 
$0.52 per contract. In an effort to continue to offer routing services 
to its Members at prices that approximate the cost to the Exchange, 
BATS Options is proposing to amend those rates as follows: (i) The fee 
for Customer orders routed to C2 and any Customer orders in Penny Pilot 
Securities routed to Arca or NOM (fee codes 2C, AC, and QC, 
respectively) would be increased to $0.70 per contract; and (ii) the 
fee for non-Customer orders routed to C2 (fee code 2F) would be reduced 
to $0.72 per contract.

[[Page 56509]]

    As noted previously and as set forth above, the Exchange's current 
approach to routing fees is to set forth in a simple manner certain 
sub-categories of fees that approximate the cost of routing to other 
options exchanges based on the cost of transaction fees assessed by 
each venue as well as costs to the Exchange for routing (i.e., clearing 
fees, connectivity and other infrastructure costs, membership fees, 
etc.) (collectively, ``Routing Costs''). The Exchange then monitors the 
fees charged as compared to the costs of its routing services and 
adjusts its routing fees and/or sub-categories to ensure that the 
Exchange's fees do indeed result in a rough approximation of overall 
Routing Costs, and are not significantly higher or lower in any area. 
In performing this analysis, the Exchange has concluded that certain 
orders that it was routing to other options exchanges were costing more 
than it was charging, and in one case, were significantly less than it 
was charging. As a result, and in order to avoid subsidizing routing to 
away options exchanges and to continue providing quality routing 
services, the Exchange proposes relatively modest increases and 
adjustments to the charges assessed for the orders described above.
Tier Thresholds and Associated Rebate
    The Exchange currently offers enhanced rebates under both the Firm, 
Broker Dealer, and Joint Back Office Penny Pilot Add Volume Tiers 
(which apply to fee code PF) and the Market Maker and Non-BATS Market 
Maker Penny Pilot Add Volume Tiers (which apply to fee code PM) to 
Members with trading activity on BATS Options that meets certain 
thresholds. More specifically, in Tier 3 of each of these sets of 
tiers, BATS Options offers enhanced rebates to orders that yield fee 
code PF and PM ($0.43 and $0.42, respectively) for Members that: (i) 
Have an ADAV \8\ in Firm,\9\ Broker Dealer,\10\ and Joint Back Office 
\11\ orders in Penny Pilot Securities (yielding Fee Code PF) equal to 
or greater than 0.35% of average TCV; and (ii) have an ADV \12\ equal 
to or greater than 1.00% of average TCV.\13\ The Exchange is proposing 
to amend the numerical thresholds associated with meeting these tiers 
by lowering the threshold for requirement (i) from 0.35% to 0.25% and 
increasing the threshold for requirement (ii) from 1.00% to 1.50%. 
Specifically, the Exchange is proposing that an order yielding fee code 
PF or PM will meet Tier 3 of the respective tiers where: (i) The Member 
has an ADAV in Firm, Broker Dealer, and Joint Back Office orders in 
Penny Pilot Securities (yielding Fee Code PF) equal to or greater than 
0.25% of average TCV; and (ii) the Member has an ADV equal to or 
greater than 1.50% of average TCV. The Exchange is also proposing to 
increase the rebates for meeting these tiers to $0.47 per contract for 
fee code PF and PM, from $0.43 and $0.42 per contract, respectively.
---------------------------------------------------------------------------

    \8\ ``ADAV'' means average daily added volume calculated as the 
number of contracts per day.
    \9\ ``Firm'' applies to any transaction identified by a Member 
for clearing in the Firm range at the Options Clearing Corporation 
(``OCC''), excluding any Joint Back office transaction.
    \10\ ``Broker Dealer'' applies to any order for the account of a 
broker dealer, including a foreign broker dealer, that clears in the 
Customer range at the OCC.
    \11\ ``Joint Back Office'' applies to any transaction identified 
by a Member for clearing in the Firm Range at the OCC that is 
identified with an origin code as Joint Back Office. A Joint Back 
Office participant is a Member that maintains a Joint Back Office 
arrangement with a clearing broker-dealer.
    \12\ ``ADV'' means average daily volume calculated as the number 
of contracts added or removed, combined, per day.
    \13\ ``TCV'' means total consolidated volume calculated as the 
volume reported by all exchanges to the consolidated transaction 
reporting plan for the month for which the fees apply, excluding 
volume on any day that the Exchange experiences an Exchange System 
Disruption and on any day with a scheduled early market close.
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Customer Orders in Non-Penny Pilot Securities
    The Exchange currently charges $0.80 per contract for Customer 
orders that remove liquidity in non-Penny Pilot Securities. The 
Exchange is proposing to increase the fee to $0.84 per contract. The 
Exchange notes that the proposed fee is lower than the fees charged on 
NOM for removing liquidity in non-Penny Pilot Securities ($0.85 per 
contract) and is generally in line with the pricing at other options 
exchanges.
Clean Up Changes
    Finally, the Exchange is also proposing to make two non-substantive 
clean up changes to its fee schedule. Specifically, the Exchange is 
proposing to capitalize the ``O'' in ``Joint Back office'' as it 
appears in the definition for ``Firm'' and to add a bullet in front of 
the definition of ``Penny Pilot Securities'' in order to make the 
formatting consistent with that of the other definitions in the fee 
schedule.
Implementation Date
    The Exchange proposes to implement these amendments to its Fee 
Schedule effectively immediately.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with the requirements of the Act and the rules and regulations 
thereunder that are applicable to a national securities exchange, and, 
in particular, with the requirements of Section 6 of the Act.\14\ 
Specifically, the Exchange believes that the proposed rule change is 
consistent with Section 6(b)(4) of the Act,\15\ in that it provides for 
the equitable allocation of reasonable dues, fees and other charges 
among members and other persons using any facility or system which the 
Exchange operates or controls. The Exchange notes that it operates in a 
highly competitive market in which market participants can readily 
direct order flow to competing venues or providers of routing services 
if they deem fee levels to be excessive.
---------------------------------------------------------------------------

    \14\ 15 U.S.C. 78f.
    \15\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------

    As explained above, the Exchange generally attempts to approximate 
the cost of routing to other options exchanges, including other 
applicable costs to the Exchange for routing. The Exchange believes 
that a pricing model based on approximate Routing Costs is a 
reasonable, fair and equitable approach to pricing. Specifically, the 
Exchange believes that its proposal to modify fees is fair, equitable 
and reasonable because the fees are generally an approximation of the 
cost to the Exchange for routing orders to such exchanges and the 
Exchange has concluded that certain orders that it was routing to other 
options exchanges were costing more than it was charging, and in one 
case, were costing significantly less than it was charging. Further to 
this point, the Exchange notes that it is proposing to decrease fees 
for non-Customer orders routed to C2. Accordingly, the Exchange 
believes that the proposed increases are fair, equitable and reasonable 
because they will help the Exchange to avoid subsidizing routing to 
away options exchanges and to continue providing quality routing 
services. The Exchange believes that its fee structure for orders 
routed to various venues is a fair and equitable approach to pricing, 
as it provides certainty with respect to execution fees at away options 
exchanges. Under its straightforward fee structure, taking all costs to 
the Exchange into account, the Exchange may operate at a slight gain or 
slight loss for orders routed to and executed at away options 
exchanges. As a general matter, the Exchange believes that the proposed 
fees will allow it to recoup and cover its costs of providing routing 
services to such exchanges. The Exchange notes that routing through the 
Exchange is voluntary. The Exchange

[[Page 56510]]

also believes that the proposed fee structure for orders routed to and 
executed at these away options exchanges is fair and equitable and not 
unreasonably discriminatory in that it applies equally to all Members.
    The Exchange reiterates that it operates in a highly competitive 
market in which market participants can readily direct order flow to 
competing venues if they deem fee levels to be excessive or providers 
of routing services if they deem fee levels to be excessive. Finally, 
the Exchange notes that it constantly evaluates its routing fees, 
including profit and loss attributable to routing, as applicable, in 
connection with the operation of a flat fee routing service, and would 
consider future adjustments to the proposed pricing structure to the 
extent it was recouping a significant profit or loss from routing to 
away options exchanges.
    The Exchange also believes that the proposed amendments to the fee 
schedule related to the thresholds required to meet Tier 3 of both the 
Firm, Broker Dealer, and Joint Back Office Penny Pilot Add Volume Tiers 
and the Market Maker and Non-BATS Market Maker Penny Pilot Add Volume 
Tiers and the increased rebate of $0.47 per contract for achieving such 
tiers is a reasonable, fair and equitable, and not unfairly 
discriminatory allocation of fees and rebates because it will encourage 
greater participation on BATS Options, which, as described above the 
Exchange believes will result in higher levels of liquidity provision 
and introduction of higher volumes of orders into the price and volume 
discovery processes, which will benefit all participants on BATS 
Options. Specifically, the Exchange believes that the reduction in the 
threshold for a Member's ADAV in Penny Pilot Securities that yield fee 
code PF from 0.35% of average TCV and the increased threshold for a 
Member's ADV of average TCV from 1.00% to 1.50% combined with the 
increased rebate for meeting the thresholds is a reasonable, fair and 
equitable, and not unfairly discriminatory allocation of fees and 
rebates because, in conjunction, they will provide Members with a 
reasonably achievable threshold for receiving a greater rebate than 
they do today while simultaneously encouraging and rewarding higher 
levels of participation on the Exchange. By lowering the requirement 
for Firm, Broker Dealer, and Joint Back Office orders in Penny Pilot 
securities, increasing the requirement for ADV as a percentage of TCV, 
and increasing the rebate for achieving such tiers, the proposed 
amendment will encourage greater general participation on the Exchange, 
which will result in higher levels of liquidity provision and 
introduction of higher volumes of orders into the price and volume 
discovery processes, which will benefit all participants on BATS 
Options.
    The Exchange believes the proposed increase of the standard fees 
for Customer orders that remove liquidity in non-Penny Pilot Securities 
(from $0.80 per contract to $0.84 per contract) is a reasonable, fair 
and equitable, and not unfairly discriminatory allocation of fees and 
rebates because the additional revenue generated through the increased 
fees will allow the Exchange to continue to offer competitive pricing 
and incentives for other types of orders, which will result in better 
market quality for all participants. Further, as noted above, the 
proposed standard fee is still lower than the standard fee offered by 
NOM for of $0.85 per contract.
    The Exchange also believes that the proposed non-substantive 
changes to the definition of Firm and adding of the bullet to 
definition of Penny Pilot Securities are reasonable, fair, and 
equitable because they are designed to make the fee schedule easier to 
read and understand. The Exchange notes that neither of the proposed 
changes are designed to amend any fee or rebate, nor alter the manner 
in which the Exchange assess fees and rebates. These non-substantive 
changes to the fee schedule are intended to make the fee schedule 
clearer and less confusing for investors and eliminate potential 
investor confusion, thereby removing impediments to and perfecting the 
mechanism of a free and open market and a national market system, and, 
in general, protecting investors and the public interest.

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 not necessary or appropriate in 
furtherance of the purposes of the Act. As it relates to the proposed 
changes to routing fees, the proposed changes will assist the Exchange 
in recouping costs for routing orders to other options exchanges on 
behalf of its participants in a manner that is a better approximation 
of actual costs than is currently in place and that reflects pricing 
changes by various options exchanges as well as increases to other 
Routing Costs incurred by the Exchange. The Exchange also notes that 
Members may choose to mark their orders as ineligible for routing to 
avoid incurring routing fees.\16\
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    \16\ See BATS Rule 21.1(d)(8) (describing ``BATS Only'' orders 
for BATS Options) and BATS Rule 21.9(a)(1) (describing the BATS 
Options routing process, which requires orders to be designated as 
available for routing).
---------------------------------------------------------------------------

    With respect to the proposed changes to the thresholds in the Firm, 
Broker Dealer, and Joint Back Office Penny Pilot Add Volume Tiers and 
the Market Maker and Non-BATS Market Maker Penny Pilot Add Volume Tiers 
and the increased rebates associated therewith, the Exchange does not 
believe that any such changes burden competition, but instead, that 
they enhance competition as they are intended to increase the 
competitiveness of and draw additional volume to BATS Options.
    Finally, with respect to the change in fees for Customer orders 
that remove liquidity in non-Penny Pilot Securities, the Exchange does 
not believe that such change burdens competition, but instead, that it 
enhances competition as the proposed new pricing remains generally in 
line with that of other options exchanges and would still be lower than 
the per contract fee for an identical transaction that occurred on NOM.
    As stated above, the Exchange notes that it operates in a highly 
competitive market in which market participants can readily direct 
order flow to competing venues if they deem fee levels to be excessive 
or providers of routing services if they deem routing fee levels to be 
excessive.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants or Others

    The Exchange has not solicited, and does not intend to solicit, 
comments on this proposed rule change. The Exchange has not received 
any written comments from members or other interested parties.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A) of the Act \17\ and paragraph (f)(2) of Rule 19b-4 
thereunder.\18\ 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 
necessary or appropriate in the public interest, for the protection of 
investors, or otherwise in furtherance of the purposes of the Act. If 
the

[[Page 56511]]

Commission takes such action, the Commission shall institute 
proceedings to determine whether the proposed rule should be approved 
or disapproved.
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    \17\ 15 U.S.C. 78s(b)(3)(A).
    \18\ 17 CFR 240.19b-4(f)(2).
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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 Comments

     Use 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-BATS-2015-71 on the subject line.

Paper Comments

     Send paper comments in triplicate to Secretary, Securities 
and Exchange Commission, 100 F Street NE., Washington, DC 20549-1090.

All submissions should refer to File Number SR-BATS-2015-71. 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 such filing will also 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-BATS-2015-71 and should be 
submitted on or before October 9, 2015.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\19\
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    \19\ 17 CFR 200.30-3(a)(12).
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Brent J. Fields,
Secretary.
[FR Doc. 2015-23399 Filed 9-17-15; 8:45 am]
BILLING CODE 8011-01-P



                                              56508                       Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices

                                              contravention of such rules and                         SECURITIES AND EXCHANGE                               statements may be examined at the
                                              regulations as the Commission has                       COMMISSION                                            places specified in Item IV below. The
                                              prescribed as necessary or appropriate                                                                        Exchange has prepared summaries, set
                                                                                                      [Release No. 34–75915; File No. SR–BATS–
                                              in the public interest or for the                       2015–71]
                                                                                                                                                            forth in Sections A, B, and C below, of
                                              protection of investors. The Commission                                                                       the most significant parts of such
                                              has promulgated Regulation 14A to                       Self-Regulatory Organizations; BATS                   statements.
                                              regulate the solicitation of proxies or                 Exchange, Inc.; Notice of Filing and                  A. Self-Regulatory Organization’s
                                              consents. Regulation 14A (Exchange Act                  Immediate Effectiveness of a Proposed                 Statement of the Purpose of, and
                                              Rules 14a–1 through 14a–21 and                          Rule Change Related to Fees for Use                   Statutory Basis for, the Proposed Rule
                                              Schedule 14A) (17 CFR 240.14a–1                         of BATS Exchange, Inc.                                Change
                                              through 240.14a–21 and 240.14a–101)                     September 14, 2015.
                                              sets forth the requirements for the                                                                           1. Purpose
                                                                                                         Pursuant to Section 19(b)(1) of the
                                              dissemination, content and filing of                    Securities Exchange Act of 1934 (the                     The Exchange proposes to modify the
                                              proxy or consent solicitation materials                 ‘‘Act’’),1 and Rule 19b–4 thereunder,2                ‘‘Options Pricing’’ section of its fee
                                              in connection with annual or other                      notice is hereby given that on                        schedule effective immediately, in order
                                              meetings of holders of a Section 12-                    September 2, 2015, BATS Exchange,                     to: (i) Modify pricing charged by the
                                              registered class of securities. We                      Inc. (the ‘‘Exchange’’ or ‘‘BATS’’) filed             Exchange’s options platform (‘‘BATS
                                              estimate that Schedule 14A takes                        with the Securities and Exchange                      Options’’) including for orders routed
                                              approximately 130.52 hours per                          Commission (‘‘Commission’’) the                       away from the Exchange and executed
                                              response and will be filed by                           proposed rule change as described in                  at various away options exchanges; (ii)
                                              approximately 5,586 issuers annually.                   Items I, II and III below, which Items                amend the thresholds related to meeting
                                              In addition, we estimate that 75% of the                have been prepared by the Exchange.                   certain pricing tiers and to increase the
                                              130.52 hours per response (97.89 hours)                 The Exchange has designated the                       rebate associated with such tiers; (iii)
                                                                                                      proposed rule change as one                           amend the fee for Customer 6 orders that
                                              is prepared by the issuer for an annual
                                                                                                      establishing or changing a member due,                remove liquidity in Penny Pilot
                                              reporting burden of 546,814 hours
                                                                                                      fee, or other charge imposed by the                   Securities; 7 and (iv) make two non-
                                              (97.89 hours per response × 5,586                                                                             substantive clean up changes.
                                              responses).                                             Exchange under Section 19(b)(3)(A)(ii)
                                                                                                      of the Act 3 and Rule 19b–4(f)(2)                     Routing Fees
                                                 An agency may not conduct or                         thereunder,4 which renders the
                                              sponsor, and a person is not required to                proposed rule change effective upon                      The Exchange currently charges the
                                              respond to, a collection of information                 filing with the Commission. The                       following rates for orders routed to
                                              unless it displays a currently valid                    Commission is publishing this notice to               certain other options exchanges: (i)
                                              control number.                                         solicit comments on the proposed rule                 Customer orders routed to C2 Options
                                                                                                      change from interested persons.                       Exchange, Incorporated (‘‘C2’’), which
                                                 The public may view the background
                                                                                                                                                            yield the fee code 2C, are charged $0.47
                                              documentation for this information                      I. Self-Regulatory Organization’s                     per contract; (ii) non-Customer orders
                                              collection at the following Web site,                   Statement of the Terms of Substance of                routed to C2, which yield fee code 2F,
                                              www.reginfo.gov. Comments should be                     the Proposed Rule Change                              are charged $0.95 per contract; (iii)
                                              directed to: (i) Desk Officer for the                                                                         Customer orders in Penny Pilot
                                                                                                         The Exchange filed a proposal to
                                              Securities and Exchange Commission,                                                                           Securities routed to NYSE Arca, Inc.
                                                                                                      amend the fee schedule applicable to
                                              Office of Information and Regulatory                    Members 5 and non-members of the                      (‘‘Arca’’), which yield fee code AC, are
                                              Affairs, Office of Management and                       Exchange pursuant to BATS Rules                       charged $0.52 per contract; and (iv)
                                              Budget, Room 10102, New Executive                       15.1(a) and (c).                                      Customer orders in Penny Pilot
                                              Office Building, Washington, DC 20503,                     The text of the proposed rule change               Securities routed to Nasdaq Options
                                              or by sending an email to: Shagufta_                    is available at the Exchange’s Web site               Market LLC (‘‘NOM’’), which yield fee
                                              Ahmed@omb.eop.gov; and (ii) Pamela                      at www.batstrading.com, at the                        code QC, are charged $0.52 per contract.
                                              Dyson, Director/Chief Information                       principal office of the Exchange, and at              In an effort to continue to offer routing
                                              Officer, Securities and Exchange                        the Commission’s Public Reference                     services to its Members at prices that
                                              Commission, c/o Remi Pavlik-Simon,                      Room.                                                 approximate the cost to the Exchange,
                                              100 F Street NE., Washington, DC 20549                                                                        BATS Options is proposing to amend
                                                                                                      II. Self-Regulatory Organization’s
                                              or send an email to: PRA_Mailbox@                                                                             those rates as follows: (i) The fee for
                                                                                                      Statement of the Purpose of, and
                                              sec.gov. Comments must be submitted to                                                                        Customer orders routed to C2 and any
                                                                                                      Statutory Basis for, the Proposed Rule
                                              OMB within 30 days of this notice.                                                                            Customer orders in Penny Pilot
                                                                                                      Change
                                                                                                                                                            Securities routed to Arca or NOM (fee
                                                Dated: September 15, 2015.                               In its filing with the Commission, the             codes 2C, AC, and QC, respectively)
                                              Brent J. Fields,                                        Exchange included statements                          would be increased to $0.70 per
                                              Secretary.                                              concerning the purpose of and basis for               contract; and (ii) the fee for non-
                                              [FR Doc. 2015–23466 Filed 9–17–15; 8:45 am]             the proposed rule change and discussed                Customer orders routed to C2 (fee code
                                              BILLING CODE 8011–01–P
                                                                                                      any comments it received on the                       2F) would be reduced to $0.72 per
                                                                                                      proposed rule change. The text of these               contract.
tkelley on DSK3SPTVN1PROD with NOTICES




                                                                                                        1 15 U.S.C. 78s(b)(1).                                6 ‘‘Customer’’ applies to any transaction identified
                                                                                                        2 17 CFR 240.19b–4.                                 by a Member for clearing in the Customer range at
                                                                                                        3 15 U.S.C. 78s(b)(3)(A)(ii).
                                                                                                                                                            the OCC, excluding any transaction for a Broker
                                                                                                        4 17 CFR 240.19b–4(f)(2).                           Dealer or a ‘‘Professional’’ as defined in Exchange
                                                                                                        5 The term ‘‘Member’’ is defined as ‘‘any           Rule 16.1.
                                                                                                      registered broker or dealer that has been admitted      7 ‘‘Penny Pilot Securities’’ are those issues quoted

                                                                                                      to membership in the Exchange.’’ See Exchange         pursuant to Exchange Rule 21.5, Interpretation and
                                                                                                      Rule 1.5(n).                                          Policy .01.



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                                                                           Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices                                          56509

                                                 As noted previously and as set forth                 average TCV; and (ii) have an ADV 12                  the requirements of the Act and the
                                              above, the Exchange’s current approach                  equal to or greater than 1.00% of                     rules and regulations thereunder that
                                              to routing fees is to set forth in a simple             average TCV.13 The Exchange is                        are applicable to a national securities
                                              manner certain sub-categories of fees                   proposing to amend the numerical                      exchange, and, in particular, with the
                                              that approximate the cost of routing to                 thresholds associated with meeting                    requirements of Section 6 of the Act.14
                                              other options exchanges based on the                    these tiers by lowering the threshold for             Specifically, the Exchange believes that
                                              cost of transaction fees assessed by each               requirement (i) from 0.35% to 0.25%                   the proposed rule change is consistent
                                              venue as well as costs to the Exchange                  and increasing the threshold for                      with Section 6(b)(4) of the Act,15 in that
                                              for routing (i.e., clearing fees,                       requirement (ii) from 1.00% to 1.50%.                 it provides for the equitable allocation
                                              connectivity and other infrastructure                   Specifically, the Exchange is proposing               of reasonable dues, fees and other
                                              costs, membership fees, etc.)                           that an order yielding fee code PF or PM              charges among members and other
                                              (collectively, ‘‘Routing Costs’’). The                  will meet Tier 3 of the respective tiers              persons using any facility or system
                                              Exchange then monitors the fees                         where: (i) The Member has an ADAV in                  which the Exchange operates or
                                              charged as compared to the costs of its                 Firm, Broker Dealer, and Joint Back                   controls. The Exchange notes that it
                                              routing services and adjusts its routing                Office orders in Penny Pilot Securities               operates in a highly competitive market
                                              fees and/or sub-categories to ensure that               (yielding Fee Code PF) equal to or                    in which market participants can
                                              the Exchange’s fees do indeed result in                 greater than 0.25% of average TCV; and                readily direct order flow to competing
                                              a rough approximation of overall                        (ii) the Member has an ADV equal to or                venues or providers of routing services
                                              Routing Costs, and are not significantly                greater than 1.50% of average TCV. The                if they deem fee levels to be excessive.
                                                                                                      Exchange is also proposing to increase                   As explained above, the Exchange
                                              higher or lower in any area. In
                                                                                                      the rebates for meeting these tiers to                generally attempts to approximate the
                                              performing this analysis, the Exchange
                                                                                                      $0.47 per contract for fee code PF and                cost of routing to other options
                                              has concluded that certain orders that it
                                                                                                      PM, from $0.43 and $0.42 per contract,                exchanges, including other applicable
                                              was routing to other options exchanges
                                                                                                      respectively.                                         costs to the Exchange for routing. The
                                              were costing more than it was charging,
                                                                                                                                                            Exchange believes that a pricing model
                                              and in one case, were significantly less                Customer Orders in Non-Penny Pilot                    based on approximate Routing Costs is
                                              than it was charging. As a result, and in               Securities                                            a reasonable, fair and equitable
                                              order to avoid subsidizing routing to                     The Exchange currently charges $0.80                approach to pricing. Specifically, the
                                              away options exchanges and to continue                  per contract for Customer orders that                 Exchange believes that its proposal to
                                              providing quality routing services, the                 remove liquidity in non-Penny Pilot                   modify fees is fair, equitable and
                                              Exchange proposes relatively modest                     Securities. The Exchange is proposing to              reasonable because the fees are
                                              increases and adjustments to the charges                increase the fee to $0.84 per contract.               generally an approximation of the cost
                                              assessed for the orders described above.                The Exchange notes that the proposed                  to the Exchange for routing orders to
                                              Tier Thresholds and Associated Rebate                   fee is lower than the fees charged on                 such exchanges and the Exchange has
                                                                                                      NOM for removing liquidity in non-                    concluded that certain orders that it was
                                                 The Exchange currently offers                        Penny Pilot Securities ($0.85 per                     routing to other options exchanges were
                                              enhanced rebates under both the Firm,                   contract) and is generally in line with               costing more than it was charging, and
                                              Broker Dealer, and Joint Back Office                    the pricing at other options exchanges.               in one case, were costing significantly
                                              Penny Pilot Add Volume Tiers (which                                                                           less than it was charging. Further to this
                                                                                                      Clean Up Changes
                                              apply to fee code PF) and the Market                                                                          point, the Exchange notes that it is
                                              Maker and Non-BATS Market Maker                            Finally, the Exchange is also                      proposing to decrease fees for non-
                                              Penny Pilot Add Volume Tiers (which                     proposing to make two non-substantive                 Customer orders routed to C2.
                                              apply to fee code PM) to Members with                   clean up changes to its fee schedule.                 Accordingly, the Exchange believes that
                                              trading activity on BATS Options that                   Specifically, the Exchange is proposing               the proposed increases are fair,
                                              meets certain thresholds. More                          to capitalize the ‘‘O’’ in ‘‘Joint Back               equitable and reasonable because they
                                              specifically, in Tier 3 of each of these                office’’ as it appears in the definition for          will help the Exchange to avoid
                                              sets of tiers, BATS Options offers                      ‘‘Firm’’ and to add a bullet in front of              subsidizing routing to away options
                                              enhanced rebates to orders that yield fee               the definition of ‘‘Penny Pilot                       exchanges and to continue providing
                                              code PF and PM ($0.43 and $0.42,                        Securities’’ in order to make the                     quality routing services. The Exchange
                                              respectively) for Members that: (i) Have                formatting consistent with that of the                believes that its fee structure for orders
                                              an ADAV 8 in Firm,9 Broker Dealer,10                    other definitions in the fee schedule.                routed to various venues is a fair and
                                              and Joint Back Office 11 orders in Penny                Implementation Date                                   equitable approach to pricing, as it
                                              Pilot Securities (yielding Fee Code PF)                                                                       provides certainty with respect to
                                                                                                         The Exchange proposes to implement                 execution fees at away options
                                              equal to or greater than 0.35% of                       these amendments to its Fee Schedule                  exchanges. Under its straightforward fee
                                                                                                      effectively immediately.                              structure, taking all costs to the
                                                8 ‘‘ADAV’’ means average daily added volume

                                              calculated as the number of contracts per day.          2. Statutory Basis                                    Exchange into account, the Exchange
                                                9 ‘‘Firm’’ applies to any transaction identified by                                                         may operate at a slight gain or slight loss
                                              a Member for clearing in the Firm range at the
                                                                                                         The Exchange believes that the                     for orders routed to and executed at
                                              Options Clearing Corporation (‘‘OCC’’), excluding       proposed rule change is consistent with               away options exchanges. As a general
                                              any Joint Back office transaction.
                                                10 ‘‘Broker Dealer’’ applies to any order for the       12 ‘‘ADV’’ means average daily volume calculated
                                                                                                                                                            matter, the Exchange believes that the
                                              account of a broker dealer, including a foreign         as the number of contracts added or removed,          proposed fees will allow it to recoup
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                                              broker dealer, that clears in the Customer range at     combined, per day.                                    and cover its costs of providing routing
                                              the OCC.                                                  13 ‘‘TCV’’ means total consolidated volume          services to such exchanges. The
                                                11 ‘‘Joint Back Office’’ applies to any transaction   calculated as the volume reported by all exchanges    Exchange notes that routing through the
                                              identified by a Member for clearing in the Firm         to the consolidated transaction reporting plan for
                                              Range at the OCC that is identified with an origin      the month for which the fees apply, excluding
                                                                                                                                                            Exchange is voluntary. The Exchange
                                              code as Joint Back Office. A Joint Back Office          volume on any day that the Exchange experiences
                                                                                                                                                              14 15   U.S.C. 78f.
                                              participant is a Member that maintains a Joint Back     an Exchange System Disruption and on any day
                                              Office arrangement with a clearing broker-dealer.       with a scheduled early market close.                    15 15   U.S.C. 78f(b)(4).



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                                              56510                       Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices

                                              also believes that the proposed fee                     general participation on the Exchange,                orders as ineligible for routing to avoid
                                              structure for orders routed to and                      which will result in higher levels of                 incurring routing fees.16
                                              executed at these away options                          liquidity provision and introduction of                  With respect to the proposed changes
                                              exchanges is fair and equitable and not                 higher volumes of orders into the price               to the thresholds in the Firm, Broker
                                              unreasonably discriminatory in that it                  and volume discovery processes, which                 Dealer, and Joint Back Office Penny
                                              applies equally to all Members.                         will benefit all participants on BATS                 Pilot Add Volume Tiers and the Market
                                                 The Exchange reiterates that it                      Options.                                              Maker and Non-BATS Market Maker
                                              operates in a highly competitive market                                                                       Penny Pilot Add Volume Tiers and the
                                                                                                         The Exchange believes the proposed
                                              in which market participants can                                                                              increased rebates associated therewith,
                                                                                                      increase of the standard fees for
                                              readily direct order flow to competing                                                                        the Exchange does not believe that any
                                                                                                      Customer orders that remove liquidity
                                              venues if they deem fee levels to be                                                                          such changes burden competition, but
                                              excessive or providers of routing                       in non-Penny Pilot Securities (from                   instead, that they enhance competition
                                              services if they deem fee levels to be                  $0.80 per contract to $0.84 per contract)             as they are intended to increase the
                                              excessive. Finally, the Exchange notes                  is a reasonable, fair and equitable, and              competitiveness of and draw additional
                                              that it constantly evaluates its routing                not unfairly discriminatory allocation of             volume to BATS Options.
                                              fees, including profit and loss                         fees and rebates because the additional                  Finally, with respect to the change in
                                              attributable to routing, as applicable, in              revenue generated through the increased               fees for Customer orders that remove
                                              connection with the operation of a flat                 fees will allow the Exchange to continue              liquidity in non-Penny Pilot Securities,
                                              fee routing service, and would consider                 to offer competitive pricing and                      the Exchange does not believe that such
                                              future adjustments to the proposed                      incentives for other types of orders,                 change burdens competition, but
                                              pricing structure to the extent it was                  which will result in better market                    instead, that it enhances competition as
                                              recouping a significant profit or loss                  quality for all participants. Further, as             the proposed new pricing remains
                                              from routing to away options exchanges.                 noted above, the proposed standard fee                generally in line with that of other
                                                 The Exchange also believes that the                  is still lower than the standard fee                  options exchanges and would still be
                                              proposed amendments to the fee                          offered by NOM for of $0.85 per                       lower than the per contract fee for an
                                              schedule related to the thresholds                      contract.                                             identical transaction that occurred on
                                              required to meet Tier 3 of both the Firm,                  The Exchange also believes that the                NOM.
                                              Broker Dealer, and Joint Back Office                    proposed non-substantive changes to                      As stated above, the Exchange notes
                                              Penny Pilot Add Volume Tiers and the                    the definition of Firm and adding of the              that it operates in a highly competitive
                                              Market Maker and Non-BATS Market                        bullet to definition of Penny Pilot                   market in which market participants can
                                              Maker Penny Pilot Add Volume Tiers                      Securities are reasonable, fair, and                  readily direct order flow to competing
                                              and the increased rebate of $0.47 per                   equitable because they are designed to                venues if they deem fee levels to be
                                              contract for achieving such tiers is a                  make the fee schedule easier to read and              excessive or providers of routing
                                              reasonable, fair and equitable, and not                 understand. The Exchange notes that                   services if they deem routing fee levels
                                              unfairly discriminatory allocation of                   neither of the proposed changes are                   to be excessive.
                                              fees and rebates because it will                        designed to amend any fee or rebate, nor
                                              encourage greater participation on                                                                            C. Self-Regulatory Organization’s
                                                                                                      alter the manner in which the Exchange                Statement on Comments on the
                                              BATS Options, which, as described                       assess fees and rebates. These non-
                                              above the Exchange believes will result                                                                       Proposed Rule Change Received From
                                                                                                      substantive changes to the fee schedule               Members, Participants or Others
                                              in higher levels of liquidity provision                 are intended to make the fee schedule
                                              and introduction of higher volumes of                   clearer and less confusing for investors                The Exchange has not solicited, and
                                              orders into the price and volume                        and eliminate potential investor                      does not intend to solicit, comments on
                                              discovery processes, which will benefit                 confusion, thereby removing                           this proposed rule change. The
                                              all participants on BATS Options.                       impediments to and perfecting the                     Exchange has not received any written
                                              Specifically, the Exchange believes that                mechanism of a free and open market                   comments from members or other
                                              the reduction in the threshold for a                    and a national market system, and, in                 interested parties.
                                              Member’s ADAV in Penny Pilot                            general, protecting investors and the                 III. Date of Effectiveness of the
                                              Securities that yield fee code PF from                  public interest.                                      Proposed Rule Change and Timing for
                                              0.35% of average TCV and the increased
                                              threshold for a Member’s ADV of                         B. Self-Regulatory Organization’s                     Commission Action
                                              average TCV from 1.00% to 1.50%                         Statement on Burden on Competition                       The foregoing rule change has become
                                              combined with the increased rebate for                                                                        effective pursuant to Section 19(b)(3)(A)
                                              meeting the thresholds is a reasonable,                   The Exchange does not believe that                  of the Act 17 and paragraph (f)(2) of Rule
                                              fair and equitable, and not unfairly                    the proposed rule change will impose                  19b–4 thereunder.18 At any time within
                                              discriminatory allocation of fees and                   any burden on competition not                         60 days of the filing of the proposed rule
                                              rebates because, in conjunction, they                   necessary or appropriate in furtherance               change, the Commission summarily may
                                              will provide Members with a reasonably                  of the purposes of the Act. As it relates             temporarily suspend such rule change if
                                              achievable threshold for receiving a                    to the proposed changes to routing fees,              it appears to the Commission that such
                                              greater rebate than they do today while                 the proposed changes will assist the                  action is necessary or appropriate in the
                                              simultaneously encouraging and                          Exchange in recouping costs for routing               public interest, for the protection of
                                              rewarding higher levels of participation                orders to other options exchanges on                  investors, or otherwise in furtherance of
                                              on the Exchange. By lowering the                        behalf of its participants in a manner                the purposes of the Act. If the
                                                                                                      that is a better approximation of actual
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                                              requirement for Firm, Broker Dealer,
                                              and Joint Back Office orders in Penny                   costs than is currently in place and that               16 See BATS Rule 21.1(d)(8) (describing ‘‘BATS

                                              Pilot securities, increasing the                        reflects pricing changes by various                   Only’’ orders for BATS Options) and BATS Rule
                                                                                                      options exchanges as well as increases                21.9(a)(1) (describing the BATS Options routing
                                              requirement for ADV as a percentage of                                                                        process, which requires orders to be designated as
                                              TCV, and increasing the rebate for                      to other Routing Costs incurred by the                available for routing).
                                              achieving such tiers, the proposed                      Exchange. The Exchange also notes that                  17 15 U.S.C. 78s(b)(3)(A).

                                              amendment will encourage greater                        Members may choose to mark their                        18 17 CFR 240.19b–4(f)(2).




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                                                                          Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices                                                  56511

                                              Commission takes such action, the                         For the Commission, by the Division of              II. Self-Regulatory Organization’s
                                              Commission shall institute proceedings                  Trading and Markets, pursuant to delegated            Statement of the Purpose of, and
                                              to determine whether the proposed rule                  authority.19                                          Statutory Basis for, the Proposed Rule
                                              should be approved or disapproved.                      Brent J. Fields,                                      Change
                                              IV. Solicitation of Comments                            Secretary.                                               In its filing with the Commission, the
                                                                                                      [FR Doc. 2015–23399 Filed 9–17–15; 8:45 am]           Exchange included statements
                                                Interested persons are invited to                     BILLING CODE 8011–01–P                                concerning the purpose of and basis for
                                              submit written data, views and                                                                                the proposed rule change and discussed
                                              arguments concerning the foregoing,                                                                           any comments it received on the
                                              including whether the proposed rule                     SECURITIES AND EXCHANGE                               proposed rule change. The text of these
                                              change is consistent with the Act.                      COMMISSION                                            statements may be examined at the
                                              Comments may be submitted by any of                                                                           places specified in Item IV below. The
                                              the following methods:                                  [Release No. 34–75910; File No. SR–                   Exchange has prepared summaries, set
                                                                                                      NASDAQ–2015–102]                                      forth in sections A, B, and C below, of
                                              Electronic Comments                                                                                           the most significant aspects of such
                                                • Use the Commission’s Internet                       Self-Regulatory Organizations; The                    statements.
                                              comment form (http://www.sec.gov/                       NASDAQ Stock Market LLC; Notice of                    A. Self-Regulatory Organization’s
                                              rules/sro.shtml); or                                    Filing and Immediate Effectiveness of                 Statement of the Purpose of, and
                                                • Send an email to rule-comments@                     Proposed Rule Change To Amend                         Statutory Basis for, the Proposed Rule
                                              sec.gov. Please include File Number SR–                 Transaction Fees at Chapter XV,                       Change
                                              BATS–2015–71 on the subject line.                       Section 2 Entitled ‘‘NASDAQ Options
                                                                                                      Market—Fees and Rebates’’                             1. Purpose
                                              Paper Comments                                                                                                   The Exchange proposes the following
                                                                                                      September 14, 2015.                                   five [sic] changes to the NOM
                                                • Send paper comments in triplicate                      Pursuant to Section 19(b)(1) of the                transaction fees set forth at Chapter XV,
                                              to Secretary, Securities and Exchange                   Securities Exchange Act of 1934                       Section 2 for executing and routing
                                              Commission, 100 F Street NE.,                           (‘‘Act’’),1 and Rule 19b–4 thereunder,2               standardized equity and index options
                                              Washington, DC 20549–1090.                              notice is hereby given that on                        under the Penny Pilot options program.
                                              All submissions should refer to File                    September 1, 2015, The NASDAQ Stock                   The Penny Pilot was established in
                                              Number SR–BATS–2015–71. This file                       Market LLC (‘‘Nasdaq’’ or ‘‘Exchange’’)               March 2008 and has since been
                                              number should be included on the                        filed with the Securities and Exchange                expanded and extended through June
                                              subject line if email is used. To help the              Commission (‘‘SEC’’ or ‘‘Commission’’)                30, 2016.3
                                              Commission process and review your                      the proposed rule change as described
                                                                                                                                                               3 See Securities Exchange Act Release Nos. 57579
                                              comments more efficiently, please use                   in Items I, II, and III, below, which Items
                                                                                                                                                            (March 28, 2008), 73 FR 18587 (April 4, 2008) (SR–
                                              only one method. The Commission will                    have been prepared by the Exchange.                   NASDAQ–2008–026) (notice of filing and
                                              post all comments on the Commission’s                   The Commission is publishing this                     immediate effectiveness establishing Penny Pilot);
                                              Internet Web site (http://www.sec.gov/                  notice to solicit comments on the                     60874 (October 23, 2009), 74 FR 56682 (November
                                                                                                                                                            2, 2009) (SR–NASDAQ–2009–091) (notice of filing
                                              rules/sro.shtml). Copies of the                         proposed rule change from interested                  and immediate effectiveness expanding and
                                              submission, all subsequent                              persons.                                              extending Penny Pilot); 60965 (November 9, 2009),
                                              amendments, all written statements                                                                            74 FR 59292 (November 17, 2009) (SR–NASDAQ–
                                              with respect to the proposed rule                       I. Self-Regulatory Organization’s                     2009–097) (notice of filing and immediate
                                              change that are filed with the                          Statement of the Terms of Substance of                effectiveness adding seventy-five classes to Penny
                                                                                                      the Proposed Rule Change                              Pilot); 61455 (February 1, 2010), 75 FR 6239
                                              Commission, and all written                                                                                   (February 8, 2010) (SR–NASDAQ–2010–013)
                                              communications relating to the                             The Exchange proposes to amend                     (notice of filing and immediate effectiveness adding
                                              proposed rule change between the                                                                              seventy-five classes to Penny Pilot); 62029 (May 4,
                                                                                                      transaction fees at Chapter XV, Section               2010), 75 FR 25895 (May 10, 2010) (SR–NASDAQ–
                                              Commission and any person, other than                   2 entitled ‘‘NASDAQ Options Market—                   2010–053) (notice of filing and immediate
                                              those that may be withheld from the                     Fees and Rebates,’’ which governs                     effectiveness adding seventy-five classes to Penny
                                              public in accordance with the                           pricing for NASDAQ members using the
                                                                                                                                                            Pilot); 65969 (December 15, 2011), 76 FR 79268
                                              provisions of 5 U.S.C. 552, will be                                                                           (December 21, 2011) (SR–NASDAQ–2011–169)
                                                                                                      NASDAQ Options Market (‘‘NOM’’),                      (notice of filing and immediate effectiveness
                                              available for Web site viewing and
                                                                                                      NASDAQ’s facility for executing and                   extension and replacement of Penny Pilot); 67325
                                              printing in the Commission’s Public                                                                           (June 29, 2012), 77 FR 40127 (July 6, 2012) (SR–
                                                                                                      routing standardized equity and index
                                              Reference Room, 100 F Street NE.,                                                                             NASDAQ–2012–075) (notice of filing and
                                                                                                      options.                                              immediate effectiveness and extension and
                                              Washington, DC 20549, on official
                                                                                                         While these amendments are effective               replacement of Penny Pilot through December 31,
                                              business days between the hours of                                                                            2012); 68519 (December 21, 2012), 78 FR 136
                                              10:00 a.m. and 3:00 p.m. Copies of such                 upon filing, the Exchange has                         (January 2, 2013) (SR–NASDAQ–2012–143) (notice
                                              filing will also be available for                       designated the proposed amendments to                 of filing and immediate effectiveness and extension
                                              inspection and copying at the principal                 be operative on September 1, 2015.                    and replacement of Penny Pilot through June 30,
                                                                                                                                                            2013); 69787 (June 18, 2013), 78 FR 37858 (June 24,
                                              office of the Exchange. All comments                       The text of the proposed rule change               2013) (SR–NASDAQ–2013–082) (notice of filing
                                              received will be posted without change;                 is available on the Exchange’s Web site               and immediate effectiveness and extension and
                                              the Commission does not edit personal                   at http://nasdaq.cchwallstreet.com, at                replacement of Penny Pilot through December 31,
                                              identifying information from                                                                                  2013); 71105 (December 17, 2013), 78 FR 77530
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                                                                                                      the principal office of the Exchange, and             (December 23, 2013) (SR–NASDAQ–2013–154)
                                              submissions. You should submit only                     at the Commission’s Public Reference                  (notice of filing and immediate effectiveness and
                                              information that you wish to make                       Room.                                                 extension and replacement of Penny Pilot through
                                              available publicly. All submissions                                                                           June 30, 2014); 79 FR 31151 (May 23, 2014), 79 FR
                                              should refer to File Number SR–BATS–                                                                          31151 (May 30, 2014) (SR–NASDAQ–2014–056)
                                                                                                        19 17 CFR 200.30–3(a)(12).                          (notice of filing and immediate effectiveness and
                                              2015–71 and should be submitted on or                     1 15 U.S.C. 78s(b)(1).                              extension and replacement of Penny Pilot through
                                              before October 9, 2015.                                   2 17 CFR 240.19b–4.                                                                            Continued




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Document Created: 2015-12-15 09:28:15
Document Modified: 2015-12-15 09:28:15
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
FR Citation80 FR 56508 

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