80 FR 69256 - Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Notice of Designation of a Longer Period for Commission Action on Proposed Rule Change To Establish a Retail Order Process Known as “RTFY”

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 80, Issue 216 (November 9, 2015)

Page Range		69256-69256
FR Document		2015-28405

Federal Register, Volume 80 Issue 216 (Monday, November 9, 2015)

[Federal Register Volume 80, Number 216 (Monday, November 9, 2015)]
[Notices]
[Page 69256]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-28405]



[[Page 69256]]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-76335; File No. SR-NASDAQ-2015-112]


Self-Regulatory Organizations; The NASDAQ Stock Market LLC; 
Notice of Designation of a Longer Period for Commission Action on 
Proposed Rule Change To Establish a Retail Order Process Known as 
``RTFY''

November 3, 2015.
    On September 21, 2015 The NASDAQ Stock Market LLC (``NASDAQ'') 
filed with the Securities and Exchange Commission (``Commission''), 
pursuant to section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act'') \1\ and Rule 19b-4 thereunder,\2\ a proposed rule change to 
adopt a new routing option, the Retail Order Process (``RTFY''). The 
proposed rule change was published for comment in the Federal Register 
on October 1, 2015.\3\ The Commission received two comment letters on 
the proposed rule change.\4\ NASDAQ submitted a response to these 
comments.\5\
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ See Securities Exchange Act Release No. 75987 (September 25, 
2015), 80 FR 59210 (``Notice'').
    \4\ See letter from Joseph Saluzzi, Themis Trading LLC, to the 
Commission, dated September 29, 2015 (``Themis Letter''); letter 
from Suzanne Shatto to the Commission, dated October 6, 2015 
(``Shatto Letter'').
    \5\ See letter from Jonathan F. Cayne, Senior Associate General 
Counsel, NASDAQ, to Brent J. Fields, Secretary, Commission, dated 
October 22, 2015 (``NASDAQ Response'').
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    Section 19(b)(2) of the Act \6\ provides that, within 45 days of 
the publication of notice of the filing of a proposed rule change, or 
within such longer period up to 90 days as the Commission may designate 
if it finds such longer period to be appropriate and publishes its 
reasons for so finding or as to which the self-regulatory organization 
consents, the Commission shall either approve the proposed rule change, 
disapprove the proposed rule change, or institute proceedings to 
determine whether the proposed rule change should be disapproved. The 
45th day for this filing is November 15, 2015. The Commission finds 
that it is appropriate to designate a longer period within which to 
take action on the proposed rule change so that it has sufficient time 
to consider the proposed rule change, the comments received, and the 
Nasdaq Response. Therefore, the Commission is extending this 45-day 
time period.
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    \6\ 15 U.S.C. 78s(b)(2).
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    Accordingly, the Commission, pursuant to section 19(b)(2) of the 
Act,\7\ designates December 30, 2015, as the date by which the 
Commission should either approve or disapprove or institute proceedings 
to determine whether to disapprove the proposed rule change (File No. 
SR-NASDAQ-2015-112).
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    \7\ 15 U.S.C. 78s(b)(2).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\8\
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    \8\ 17 CFR 200.30-3(a)(31).
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Brent J. Fields,
Secretary.
[FR Doc. 2015-28405 Filed 11-6-15; 8:45 am]
BILLING CODE 8011-01-P

69256 Federal Register / Vol. 80, No. 216 / Monday, November 9, 2015 / Notices

SECURITIES AND EXCHANGE designates December 30, 2015, as the the Exchange, and at the Commission’s
COMMISSION date by which the Commission should Public Reference Room.
either approve or disapprove or institute
[Release No. 34–76335; File No. SR–
proceedings to determine whether to II. Self-Regulatory Organization’s
NASDAQ–2015–112] Statement of the Purpose of, and
disapprove the proposed rule change
(File No. SR–NASDAQ–2015–112). Statutory Basis for, the Proposed Rule
Self-Regulatory Organizations; The
Change
NASDAQ Stock Market LLC; Notice of For the Commission, by the Division of
Designation of a Longer Period for Trading and Markets, pursuant to delegated In its filing with the Commission, the
Commission Action on Proposed Rule authority.8
self-regulatory organization included
Change To Establish a Retail Order Brent J. Fields, statements concerning the purpose of,
Process Known as ‘‘RTFY’’ Secretary. and basis for, the proposed rule change
[FR Doc. 2015–28405 Filed 11–6–15; 8:45 am] and discussed any comments it received
November 3, 2015.
On September 21, 2015 The NASDAQ BILLING CODE 8011–01–P on the proposed rule change. The text
Stock Market LLC (‘‘NASDAQ’’) filed of these statements may be examined at
with the Securities and Exchange the places specified in Item IV below.
SECURITIES AND EXCHANGE The Exchange has prepared summaries,
Commission (‘‘Commission’’), pursuant COMMISSION
to section 19(b)(1) of the Securities set forth in sections A, B, and C below,
Exchange Act of 1934 (‘‘Act’’) 1 and Rule [Release No. 34–76334; File No. SR–ISE– of the most significant aspects of such
19b–4 thereunder,2 a proposed rule 2015–35] statements.
change to adopt a new routing option,
Self-Regulatory Organizations; A. Self-Regulatory Organization's
the Retail Order Process (‘‘RTFY’’). The
International Securities Exchange; Statement of the Purpose of, and
proposed rule change was published for
comment in the Federal Register on Notice of Filing of Proposed Rule Statutory Basis for, the Proposed Rule
October 1, 2015.3 The Commission Change To Comply With the Change
received two comment letters on the Requirements of Rule 1004 of
Regulation SCI 1. Purpose
proposed rule change.4 NASDAQ
submitted a response to these November 3, 2015. Rule 1004 requires the establishment
comments.5 Pursuant to section 19(b)(1) of the of standards for the designation of those
Section 19(b)(2) of the Act 6 provides Securities Exchange Act of 1934 (the members the Exchange reasonably
that, within 45 days of the publication ‘‘Act’’),1 and Rule 19b–4 thereunder,2 determines are, taken as a whole, the
of notice of the filing of a proposed rule notice is hereby given that on October minimum necessary for the
change, or within such longer period up 23, 2015, the International Securities maintenance of a fair and orderly
to 90 days as the Commission may Exchange, LLC (the ‘‘Exchange’’ or the market should the Exchange’s business
designate if it finds such longer period ‘‘ISE’’) filed with the Securities and continuity and disaster recovery plans
to be appropriate and publishes its Exchange Commission the proposed be activated. Rule 1004 also requires the
reasons for so finding or as to which the rule change as described in Items I, II, Exchange to designate members
self-regulatory organization consents, and III below, which Items have been pursuant to those standards and require
the Commission shall either approve the prepared by the self-regulatory participation by such members in
proposed rule change, disapprove the organization. The Commission is scheduled functional and performance
proposed rule change, or institute publishing this notice to solicit testing of the operation of such plans, in
proceedings to determine whether the comments on the proposed rule change the manner and frequency specified by
proposed rule change should be from interested persons. the Exchange, provided that such
disapproved. The 45th day for this filing frequency shall not be less than once
is November 15, 2015. The Commission I. Self-Regulatory Organization’s
Statement of the Terms of Substance of every 12 months. Therefore, in
finds that it is appropriate to designate accordance with Rule 1004, the
a longer period within which to take the Proposed Rule Change
Exchange proposes to designate all
action on the proposed rule change so ISE proposes to designate all members
PMMs 3 and Linkage Handlers,4 as the
that it has sufficient time to consider the that function as Primary Market Makers
minimum necessary for the
proposed rule change, the comments (‘‘PMMs’’) and Linkage Handlers
maintenance of a fair and orderly
received, and the Nasdaq Response. (collectively ‘‘designated members’’) as
market should the Exchange’s DR Plans
Therefore, the Commission is extending necessary for the maintenance of a fair
be activated. This proposed rule also
this 45-day time period. and orderly market should business
mandates participation by designated
Accordingly, the Commission, continuity and disaster recovery plans
pursuant to section 19(b)(2) of the Act,7 members in scheduled functional and
(collectively ‘‘DR Plans’’) be activated,
and proposes to require designated
3 A PMM posts two-sided continuous quotations
1 15 U.S.C. 78s(b)(1). members to participate in scheduled in all of the options classes to which it is appointed
2 17 CFR 240.19b–4. functional and performance testing of and undertakes special responsibilities for
3 See Securities Exchange Act Release No. 75987
the operation of such DR Plans by maintaining fair and orderly markets. PMM
(September 25, 2015), 80 FR 59210 (‘‘Notice’’). memberships are represented by PMM Trading
4 See letter from Joseph Saluzzi, Themis Trading
amending amend Rules 803, Obligations
Rights. The options classes trading on the ISE are
LLC, to the Commission, dated September 29, 2015 of Market Makers, and 1903, Order divided into groups or ‘‘bins’’, each with one PMM.
srobinson on DSK5SPTVN1PROD with NOTICES

(‘‘Themis Letter’’); letter from Suzanne Shatto to the Routing to Other Exchanges. The text of One PMM member may, however, represent more
Commission, dated October 6, 2015 (‘‘Shatto the proposed rule change is available on than one bin.
Letter’’).
5 See letter from Jonathan F. Cayne, Senior
the Exchange’s Web site at 4 A Linkage Handler is a broker that is unaffiliated

www.ise.com, at the principal office of with the Exchange with which the Exchange has
Associate General Counsel, NASDAQ, to Brent J. contracted with to provide routing services, by
Fields, Secretary, Commission, dated October 22, routing certain orders, to other exchanges as agent
2015 (‘‘NASDAQ Response’’). 8 17 CFR 200.30–3(a)(31). in connection with the Options Order Protection
6 15 U.S.C. 78s(b)(2). 1 15 U.S.C. 78s(b)(1). and Locked/Crossed Market Plan. See .03 to
7 15 U.S.C. 78s(b)(2). 2 17 CFR 240.19b–4. Supplementary Material to Rule 1901.

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Document Created: 2015-12-14 15:05:24
Document Modified: 2015-12-14 15:05:24

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
FR Citation		80 FR 69256