80 FR 70047 - Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing of Proposed Rule Change to the Co-Location Services Offered by the Exchange (the Offering of a Wireless Connection To Allow Users To Receive Market Data Feeds From Third Party Markets) and To Reflect Changes to the NYSE MKT Equities Price List and the NYSE Amex Options Fee Schedule Related to These Services
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 80, Issue 218 (November 12, 2015)
Federal Register Volume 80, Issue 218 (November 12, 2015)
| Page Range | 70047-70051 | |
| FR Document | 2015-28686 |
[Federal Register Volume 80, Number 218 (Thursday, November 12, 2015)] [Notices] [Pages 70047-70051] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-28686] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-76366; File No. SR-NYSEMKT-2015-85] Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing of Proposed Rule Change to the Co-Location Services Offered by the Exchange (the Offering of a Wireless Connection To Allow Users To Receive Market Data Feeds From Third Party Markets) and To Reflect Changes to the NYSE MKT Equities Price List and the NYSE Amex Options Fee Schedule Related to These Services November 5, 2015. Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby given that, on October 23, 2015, NYSE MKT LLC (the ``Exchange'' or ``NYSE MKT'') filed with the Securities and Exchange Commission (the ``Commission'') the proposed rule change as described in Items I, II, and III below, which Items have been prepared by the self-regulatory organization. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. --------------------------------------------------------------------------- \1\ 15 U.S.C. 78s(b)(1). \2\ 15 U.S.C. 78a. \3\ 17 CFR 240.19b-4. --------------------------------------------------------------------------- I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes to change the co-location services offered by the Exchange to include a means for co-located Users to receive market data feeds from third party markets through a wireless connection. In addition, the proposed rule change reflects changes to the NYSE MKT Equities Price List (``Price List'') and the NYSE Amex Options Fee Schedule (``Fee Schedule'') related to these services. The text of the proposed rule change is available on the Exchange's Web site at www.nyse.com, at the principal office of the Exchange, and at the Commission's Public Reference Room. II. Self-Regulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, the self-regulatory organization included statements concerning the purpose of, and basis for, the proposed rule change and discussed any comments it received on the proposed rule change. The text of those statements may be examined at [[Page 70048]] 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 change the co-location \4\ services offered by the Exchange to include a means for Users to receive market data feeds from third party markets (the ``Third Party Data'') through a wireless connection.\5\ In addition, this proposed rule change reflects changes to the Price List and the Fee Schedule related to these co-location services. --------------------------------------------------------------------------- \4\ The Exchange initially filed rule changes relating to its co-location services with the Securities and Exchange Commission (``Commission'') in 2010. See Securities Exchange Act Release No. 62961 (September 21, 2010), 75 FR 59299 (September 27, 2010) (SR- NYSEAmex-2010-80). The Exchange operates a data center in Mahwah, New Jersey (the ``data center'') from which it provides co-location services to Users. \5\ For purposes of the Exchange's co-location services, a ``User'' means any market participant that requests to receive co- location services directly from the Exchange. See Securities Exchange Act Release No. 76009 (September 29, 2015), 80 FR 60213 (October 5, 2015) (SR-NYSEMKT-2015-67). As specified in the Price List and the Fee Schedule, a User that incurs co-location fees for a particular co-location service pursuant thereto would not be subject to co-location fees for the same co-location service charged by the Exchange's affiliates New York Stock Exchange LLC and NYSE Arca, Inc. See Securities Exchange Act Release No. 70176 (August 13, 2013), 78 FR 50471 (August 19, 2013) (SR-NYSEMKT-2013-67). --------------------------------------------------------------------------- The Exchange proposes to offer the wireless connection to provide Users with an alternative means of connectivity for Third Party Data. Wireless connections involve beaming signals through the air between antennas that are within sight of one another. Because the signals travel a straight, unimpeded line, and because light waves travel faster through air than through glass (fiber optics), wireless messages have lower latency than messages travelling through fiber optics. Under the proposed rule change, the Exchange would utilize a network vendor to provide a wireless connection to the Third Party Data through wireless connections from the Exchange access centers in Secaucus and Carteret, New Jersey, to its data center in Mahwah, New Jersey, through a series of towers equipped with wireless equipment.\6\ The wireless connectivity would be an optional offering, offering an alternative method for connectivity to the Third Party Data. --------------------------------------------------------------------------- \6\ The NASDAQ Stock Market LLC (``NASDAQ'') offers a similar wireless service. See Securities Exchange Act Release No. 68735 (January 25, 2013), 78 FR 6842 (January 31, 2013) (SR-NASDAQ-2012- 119) (approving a proposed rule change to establish a new optional wireless connectivity for collocated clients). --------------------------------------------------------------------------- A User that chooses this optional service would be able to receive data feeds from NASDAQ and BATS Exchange, Inc. over a wireless connection. To receive Third Party Data, the User would enter into a contract with the relevant third party market, which would charge the User the applicable market data fees for the Third Party Data. The Exchange would charge the User fees for the wireless connection for the Third Party Data.\7\ --------------------------------------------------------------------------- \7\ A User would only receive the Third Party Data for which it had entered into a contract. For example, a User that contracted with NASDAQ for the NASDAQ Totalview-ITCH data feed but did not contract to receive any other Third Party Data would receive only the NASDAQ Totalview-ITCH data feed through its wireless connection. --------------------------------------------------------------------------- A User would be charged a $5,000 non-recurring initial charge for each wireless connection and a monthly recurring charge (``MRC'') that would vary depending upon the feed that the User opts to receive. If a User purchased two wireless connections, it would pay two non-recurring initial charges. The Exchange proposes to waive the first month's MRC, to allow Users to test the receipt of the feed(s) for a month before incurring any MRCs. The Exchange proposes that the wireless connections would include the use of one port for connectivity to the Third Party Data. A User will only require one port to connect to the Third Party Data, irrespective of how many of the five wireless connections it orders. If a User that has more than one wireless connection wishes to use more than one port to connect to the Third Party Data,\8\ the Exchange proposes to make such additional ports available for a monthly fee per port of $3,000. --------------------------------------------------------------------------- \8\ For example, a User with two wireless connections for Third Party Data may opt to purchase an additional port in order to route the options and equity data it receives to different cabinets. --------------------------------------------------------------------------- The Exchange proposes to revise its Price List and the Fee Schedule to reflect fees related to these connections and ports, as follows: ------------------------------------------------------------------------ Description Amount of charge ------------------------------------------------------------------------ Wireless connection of BATS Pitch BZX $5,000 per connection initial Gig shaped data. charge plus monthly charge per connection of $6,000. Fees are subject to a 30-day testing period, during which the monthly charge per connection is waived. Wireless connection of DirectEdge EDGX $5,000 per connection initial Gig shaped data. charge plus monthly charge per connection of $6,000. Fees are subject to a 30-day testing period, during which the monthly charge per connection is waived. Wireless connection of NASDAQ Totalview- $5,000 per connection initial ITCH data. charge plus monthly charge per connection of $8,500. Fees are subject to a 30-day testing period, during which the monthly charge per connection is waived. Wireless connection of NASDAQ BX $5,000 per connection initial Totalview-ITCH data. charge plus monthly charge per connection of $6,000. Fees are subject to a 30-day testing period, during which the monthly charge per connection is waived. Wireless connection of NASDAQ Totalview- $5,000 per connection initial ITCH and BX Totalview-ITCH data. charge plus monthly charge per connection of $12,000. Fees are subject to a 30-day testing period, during which the monthly charge per connection is waived. Port for wireless connection........... $3,000 monthly charge per port, excluding first port. ------------------------------------------------------------------------ [[Page 70049]] There is limited bandwidth available on the wireless connection for data feeds from third parties, and so the Exchange has opted to offer only the Third Party Data, which are data feeds that are in high demand from Users. The wireless network offered by the Exchange, although constrained by bandwidth with respect to the number of feeds it can carry, can be made available to an unlimited number of Users. The Exchange proposes to offer the wireless connection to provide Users with an alternative means of connectivity for Third Party Data. Currently, Users can receive Third Party Data from wireless networks offered by third party vendors.\9\ Users can also receive Third Party Data through other methods, including, for example, from another User, through a telecommunications provider, or over the internet protocol (``IP'') network.\10\ --------------------------------------------------------------------------- \9\ Currently, at least four third party vendors offer Users wireless network connections using wireless equipment installed on towers and buildings near the data center. \10\ The IP network is a local area network available in the data center. See Securities Exchange Act Release No. 74220 (February 6, 2015), 80 FR 7894 (February 12, 2015) (SR-NYSEMKT-2015-08) (notice of filing and immediate effectiveness of proposed rule change to include IP network connections). --------------------------------------------------------------------------- The wireless connection to the Third Party Data is expected to be available no later than March 1, 2016. The Exchange will announce the date that the wireless connection to the Third Party Data will be available through a customer notice. As is the case with all Exchange co-location arrangements, (i) neither a User nor any of the User's customers would be permitted to submit orders directly to the Exchange unless such User or customer is a member organization, a Sponsored Participant or an agent thereof (e.g., a service bureau providing order entry services); (ii) use of the co-location services proposed herein would be completely voluntary and available to all Users on a non-discriminatory basis; \11\ and (iii) a User would only incur one charge for the particular co-location service described herein, regardless of whether the User connects only to the Exchange or to the Exchange and one or both of its affiliates.\12\ --------------------------------------------------------------------------- \11\ As is currently the case, Users that receive co-location services from the Exchange will not receive any means of access to the Exchange's trading and execution systems that is separate from, or superior to, that of other Users. In this regard, all orders sent to the Exchange enter the Exchange's trading and execution systems through the same order gateway, regardless of whether the sender is co-located in the data center or not. In addition, co-located Users do not receive any market data or data service product that is not available to all Users, although Users that receive co-location services normally would expect reduced latencies in sending orders to, and receiving market data from, the Exchange. \12\ See SR-NYSEMKT-2013-67, supra note 5 at 50471. The Exchange's affiliates have also submitted substantially the same proposed rule change to propose the changes described herein. See SR-NYSE-2015-52 and SR-NYSEArca-2015-99. --------------------------------------------------------------------------- The proposed change is not otherwise intended to address any other issues relating to co-location services and/or related fees, and the Exchange is not aware of any problems that Users would have in complying with the proposed change. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with Section 6(b) of the Act,\13\ in general, and furthers the objectives of Sections 6(b)(5) of the Act,\14\ in particular, because it is designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade, to foster cooperation and coordination with persons engaged in regulating, clearing, settling, processing information with respect to, and facilitating transactions in securities, to remove impediments to, and perfect the mechanisms of, a free and open market and a national market system and, in general, to protect investors and the public interest and because it is not designed to permit unfair discrimination between customers, issuers, brokers, or dealers. --------------------------------------------------------------------------- \13\ 15 U.S.C. 78f(b). \14\ 15 U.S.C. 78f(b)(5). --------------------------------------------------------------------------- The Exchange believes that the proposed services are not designed to permit unfair discrimination between customers, issuers, brokers, or dealers because the wireless connection for Third Party Data would provide Users with an alternative means of connectivity for Third Party Data. Users that do not opt to utilize the Exchange's proposed wireless connections would still be able to obtain Third Party Data through other methods, including, for example, from wireless networks offered by third party vendors, another User, through a telecommunications provider, or over the IP network. Users that opt to use wireless connections for Third Party Data would not receive Third Party Data that is not available to all Users, as all market participants that contract with the relevant third party market for the Third Party Data may receive it. The Exchange believes that this removes impediments to, and perfects the mechanisms of, a free and open market and a national market system and, in general, protects investors and the public interest because it would provide Users with choices with respect to the form and optimal latency of the connectivity they use to receive Third Party Data, allowing a User that opts to receive Third Party Data to select the connectivity and number of ports that better suit its needs, helping it tailor its data center operations to the requirements of its business operations. The Exchange also believes that the proposed rule change is consistent with Section 6(b)(4) of the Act,\15\ in particular, because it provides for the equitable allocation of reasonable dues, fees, and other charges among its member organizations, issuers and other persons using its facilities and does not unfairly discriminate between customers, issuers, brokers or dealers. --------------------------------------------------------------------------- \15\ 15 U.S.C. 78f(b)(4). --------------------------------------------------------------------------- Overall, the Exchange believes that the proposed change is reasonable because the Exchange proposes to offer wireless connection for Third Party Data described herein as a convenience to Users, but in doing so would incur certain costs, including costs related to the data center facility, hardware and equipment and costs related to personnel required for initial installation and monitoring, support and maintenance of such services. The costs associated with the wireless connections are incrementally higher than fiber optics-based solutions due to the expense of the wireless equipment, cost of installation and testing and ongoing maintenance of the network. The Exchange believes that the proposed pricing for the wireless connection for Third Party Data is reasonable because it allows Users to select the Third Party Data connectivity option and number of ports that better suit their needs. The fees also reflect the benefit received by Users in terms of lower latency over the fiber optics option. The Exchange believes that the proposed waiver of the first month's MRC is reasonable as it would allow Users to test the receipt of the feed(s) for a month before incurring any monthly recurring fees and may act as an incentive to Users to utilize the new service. The Exchange believes that the proposed change is equitable and not unfairly discriminatory because it will result in fees being charged only to Users that voluntarily select to receive the corresponding services and because those services will be available to all Users. Furthermore, the Exchange believes that the services and fees proposed herein are not unfairly discriminatory and are equitably allocated because, in addition to the services being completely voluntary, [[Page 70050]] they are available to all Users on an equal basis (i.e., the same products and services are available to all Users). All Users that voluntarily select wireless connections and ports would be charged the same amount for the same services and would have their first month MRC for wireless connections waived. For the reasons above, the proposed changes do not unfairly discriminate between or among market participants that are otherwise capable of satisfying any applicable co-location fees, requirements, terms and conditions established from time to time by the Exchange. Finally, the Exchange believes that it is subject to significant competitive forces, as described below in the Exchange's statement regarding the burden on competition. For these reasons, the Exchange believes that the proposal is consistent with the Act. B. Self-Regulatory Organization's Statement on Burden on Competition In accordance with Section 6(b)(8) of the Act,\16\ the Exchange believes that the proposed rule change will not impose any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act because, in addition to the proposed services being completely voluntary, they are available to all Users on an equal basis (i.e. the same products and services are available to all Users). --------------------------------------------------------------------------- \16\ 15 U.S.C. 78f(b)(8). --------------------------------------------------------------------------- The Exchange believes that allowing Users to receive Third Party Data through a wireless connection will not impose any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act because such access will satisfy User demand for additional options for connectivity for Third Party Data. Currently, Users can receive Third Party Data from wireless networks offered by third party vendors. Based on the information available to it, the Exchange believes that its proposed wireless connection would provide data at the same or similar speed and at the same or similar cost as the existing wireless networks. Accordingly, the proposed wireless connection for Third Party Data would provide Users with an additional wireless connectivity option, thereby enhancing competition. The Exchange notes that the proposed wireless connection would compete not just with other wireless connections, but also with fiber optic networks, which may be more attractive to some Users as they are more reliable and less susceptible to weather conditions. Users that do not opt to utilize wireless connections would be able to obtain Third Party Data through other methods, including, for example, from another User, through a telecommunications provider, or over the IP network. In this way, the proposed changes would enhance competition by helping Users tailor their connectivity for Third Party Data to the needs of their business operations by allowing them to select the form and optimal latency of the connectivity they use to receive Third Party Data that best suits their needs, helping them tailor their data center operations to the requirements of their business operations. The proposed wireless connection to the Third Party Data would traverse wireless connections through a series of towers equipped with wireless equipment, including a pole on the grounds of the data center. The proposed wireless network would have exclusive rights to operate wireless equipment on the data center pole. The Exchange will not sell rights to third parties to operate wireless equipment on the pole, due to space limitations, security concerns, and the interference that would arise between equipment placed too closely together. In addition to space issues, there are contractual restrictions on the use of the roof that the Exchange has determined would not be met if it offered space on the roof for third party wireless equipment. Moreover, access to the pole or roof is not required for third parties to establish wireless networks that can compete with the Exchange's proposed service, as witnessed by the existing wireless networks currently serving Users. Based on the information available to it, the Exchange believes that its proposed wireless connection would provide data at the same or similar speed, and at the same or similar cost, as its proposed wireless connection, thereby enhancing competition.\17\ --------------------------------------------------------------------------- \17\ The Exchange notes that the distance of a wireless network provider's wireless equipment from the User is only one factor in determining overall latency. Other factors include the number of repeaters in the route, the number of switches the data has to travel through, and the millimeter wave and switch technology used. --------------------------------------------------------------------------- Finally, the Exchange notes that it operates in a highly competitive market in which market participants can readily favor competing venues if they deem fee levels at a particular venue to be excessive. In such an environment, the Exchange must continually review, and consider adjusting, its services and related fees and credits to remain competitive with other exchanges. For the reasons described above, the Exchange believes that the proposed rule change reflects this competitive environment. C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were solicited or received with respect to the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Within 45 days of the date of publication of this notice in the Federal Register or up to 90 days (i) as the Commission may designate if it finds such longer period to be appropriate and publishes its reasons for so finding or (ii) as to which the self-regulatory organization consents, the Commission will: (A) by order approve or disapprove the proposed rule change, or (B) institute proceedings to determine whether the proposed rule change should be disapproved. IV. Solicitation of Comments Interested persons are invited to submit written data, views, and arguments concerning the foregoing, including whether the proposed rule change is consistent with the Act. Comments may be submitted by any of the following methods: Electronic CommentsUse the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or Send an email to [email protected]. Please include File Number SR-NYSEMKT-2015-85 on the subject line. Paper Comments Send paper comments in triplicate to Brent J. Fields, Secretary, Securities and Exchange Commission, 100 F Street NE., Washington, DC 20549-1090. All submissions should refer to File Number SR-NYSEMKT-2015-85. 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 [[Page 70051]] Commission and any person, other than those that may be withheld from the public in accordance with the provisions of 5 U.S.C. 552, will be available for Web site viewing and printing in the Commission's Public Reference Room, 100 F Street NE., Washington, DC 20549, on official business days between the hours of 10:00 a.m. and 3:00 p.m. Copies of the filing also will be available for inspection and copying at the principal office of the Exchange. All comments received will be posted without change; the Commission does not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR-NYSEMKT-2015-85 and should be submitted on or before December 3, 2015. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\18\ --------------------------------------------------------------------------- \18\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Robert W. Errett, Deputy Secretary. [FR Doc. 2015-28686 Filed 11-10-15; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 80, No. 218 / Thursday, November 12, 2015 / Notices 70047
investors and the public interest, the • Send an email to rule- SECURITIES AND EXCHANGE
proposed rule change has become comments@sec.gov. Please include File COMMISSION
effective pursuant to Section 19(b)(3)(A) Number SR±NASDAQ±2015±134 on the
[Release No. 34–76366; File No. SR–
of the Act and Rule 19b–4(f)(6)(iii) subject line. NYSEMKT–2015–85]
thereunder.18 A proposed rule change
filed under Rule 19b–4(f)(6)(iii) 19 Paper Comments
Self-Regulatory Organizations; NYSE
normally does not become operative • Send paper comments in triplicate MKT LLC; Notice of Filing of Proposed
prior to 30 days after the date of the Rule Change to the Co-Location
to Brent J. Fields, Secretary, Securities
filing. However, pursuant to Rule 19b– Services Offered by the Exchange (the
and Exchange Commission, 100 F Street
4(f)(6)(iii),20 the Commission may Offering of a Wireless Connection To
NE., Washington, DC 20549–1090.
designate a shorter time if such action Allow Users To Receive Market Data
is consistent with the protection of All submissions should refer to File Feeds From Third Party Markets) and
investors and the public interest. Number SR–NASDAQ–2015–134. This To Reflect Changes to the NYSE MKT
The Exchange has asked the file number should be included on the Equities Price List and the NYSE Amex
Commission to waive the 30-day subject line if email is used. To help the Options Fee Schedule Related to
operative delay so that the proposal may Commission process and review your These Services
become operative immediately upon comments more efficiently, please use
filing. The Commission believes that November 5, 2015.
only one method. The Commission will
waiving the 30-day operative delay is Pursuant to Section 19(b)(1) 1 of the
post all comments on the Commission’s
consistent with the protection of Securities Exchange Act of 1934 (the
Internet Web site (http://www.sec.gov/ ‘‘Act’’) 2 and Rule 19b–4 thereunder,3
investors and the public interest as it
rules/sro.shtml). notice is hereby given that, on October
will allow the Exchange to incorporate
changes required under Regulation SCI, Copies of the submission, all 23, 2015, NYSE MKT LLC (the
such as establishing standards for subsequent amendments, all written ‘‘Exchange’’ or ‘‘NYSE MKT’’) filed with
designating BC/DR participants, prior to statements with respect to the proposed the Securities and Exchange
the November 3, 2015 compliance date. rule change that are filed with the Commission (the ‘‘Commission’’) the
Accordingly, the Commission Commission, and all written proposed rule change as described in
designates the proposed rule change to communications relating to the Items I, II, and III below, which Items
be operative upon filing.21 proposed rule change between the have been prepared by the self-
At any time within 60 days of the Commission and any person, other than regulatory organization. The
filing of the proposed rule change, the those that may be withheld from the Commission is publishing this notice to
Commission summarily may public in accordance with the solicit comments on the proposed rule
temporarily suspend such rule change if provisions of 5 U.S.C. 552, will be change from interested persons.
it appears to the Commission that such available for Web site viewing and I. Self-Regulatory Organization’s
action is necessary or appropriate in the printing in the Commission’s Public Statement of the Terms of Substance of
public interest, for the protection of Reference Room, 100 F Street NE., the Proposed Rule Change
investors, or otherwise in furtherance of Washington, DC 20549, on official
the purposes of the Act. If the The Exchange proposes to change the
business days between the hours of co-location services offered by the
Commission takes such action, the
10:00 a.m. and 3:00 p.m. Copies of the Exchange to include a means for co-
Commission shall institute proceedings
to determine whether the proposed rule filing also will be available for located Users to receive market data
should be approved or disapproved. inspection and copying at the principal feeds from third party markets through
office of the Exchange. All comments a wireless connection. In addition, the
IV. Solicitation of Comments received will be posted without change; proposed rule change reflects changes to
Interested persons are invited to the Commission does not edit personal the NYSE MKT Equities Price List
submit written data, views, and identifying information from (‘‘Price List’’) and the NYSE Amex
arguments concerning the foregoing, submissions. You should submit only Options Fee Schedule (‘‘Fee Schedule’’)
including whether the proposed rule information that you wish to make related to these services. The text of the
change is consistent with the Act. available publicly. All submissions proposed rule change is available on the
Comments may be submitted by any of should refer to File Number SR± Exchange’s Web site at www.nyse.com,
the following methods: NASDAQ±2015±134 and should be at the principal office of the Exchange,
submitted on or before December 3, and at the Commission’s Public
Electronic Comments Reference Room.
2015.
• Use the Commission’s Internet
comment form (http://www.sec.gov/ For the Commission, by the Division of II. Self-Regulatory Organization’s
rules/sro.shtml); or Trading and Markets, pursuant to delegated Statement of the Purpose of, and
authority.22 Statutory Basis for, the Proposed Rule
18 In addition, Rule 19b–4(f)(6) requires a self- Robert W. Errett, Change
regulatory organization to give the Commission Deputy Secretary. In its filing with the Commission, the
written notice of its intent to file the proposed rule
change at least five business days prior to the date [FR Doc. 2015–28697 Filed 11–10–15; 8:45 am] self-regulatory organization included
of filing of the proposed rule change, or such BILLING CODE 8011–01–P
statements concerning the purpose of,
mstockstill on DSK4VPTVN1PROD with NOTICES
shorter time as designated by the Commission. The and basis for, the proposed rule change
Exchange has satisfied this requirement. and discussed any comments it received
19 17 CFR 240.19b–4(f)(6).
on the proposed rule change. The text
20 17 CFR 240.19b–4(f)(6)(iii).
21 For purposes only of waiving the 30-day
of those statements may be examined at
operative delay, the Commission has also
1 15 U.S.C. 78s(b)(1).
considered the proposed rule’s impact on
2 15 U.S.C. 78a.
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f). 22 17 CFR 200.30–3(a)(12). 3 17 CFR 240.19b–4.
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![Federal Register / Vol. 80, No. 218 / Thursday, November 12, 2015 / Notices 70051
Commission and any person, other than solicit comments on the proposed rule addition, this proposed rule change
those that may be withheld from the change from interested persons. reflects changes to the Fee Schedules
public in accordance with the related to these co-location services.
I. Self-Regulatory Organization’s The Exchange proposes to offer the
provisions of 5 U.S.C. 552, will be
Statement of the Terms of Substance of wireless connection to provide Users
available for Web site viewing and
the Proposed Rule Change with an alternative means of
printing in the Commission’s Public
Reference Room, 100 F Street NE., The Exchange proposes to change the connectivity for Third Party Data.
Washington, DC 20549, on official co-location services offered by the Wireless connections involve beaming
business days between the hours of Exchange to include a means for co- signals through the air between
10:00 a.m. and 3:00 p.m. Copies of the located Users to receive market data antennas that are within sight of one
filing also will be available for feeds from third party markets through another. Because the signals travel a
inspection and copying at the principal a wireless connection. In addition, the straight, unimpeded line, and because
office of the Exchange. All comments proposed rule change reflects changes to light waves travel faster through air than
received will be posted without change; the NYSE MKT Equities Price List through glass (fiber optics), wireless
the Commission does not edit personal (‘‘Price List’’) and the NYSE Amex messages have lower latency than
identifying information from Options Fee Schedule (‘‘Fee Schedule’’) messages travelling through fiber optics.
submissions. You should submit only related to these services. The text of the Under the proposed rule change, the
information that you wish to make proposed rule change is available on the Exchange would utilize a network
available publicly. All submissions Exchange’s Web site at www.nyse.com, vendor to provide a wireless connection
should refer to File Number SR– at the principal office of the Exchange, to the Third Party Data through wireless
NYSEMKT–2015–85 and should be and at the Commission’s Public connections from the Exchange access
submitted on or before December 3, Reference Room. centers in Secaucus and Carteret, New
2015. Jersey, to its data center in Mahwah,
II. Self-Regulatory Organization’s New Jersey, through a series of towers
For the Commission, by the Division of Statement of the Purpose of, and equipped with wireless equipment.6
Trading and Markets, pursuant to delegated Statutory Basis for, the Proposed Rule The wireless connectivity would be an
authority.18 Change optional offering, offering an alternative
Robert W. Errett,
In its filing with the Commission, the method for connectivity to the Third
Deputy Secretary. self-regulatory organization included Party Data.
[FR Doc. 2015–28686 Filed 11–10–15; 8:45 am] statements concerning the purpose of, A User that chooses this optional
BILLING CODE 8011–01–P and basis for, the proposed rule change service would be able to receive data
and discussed any comments it received feeds from NASDAQ and BATS
on the proposed rule change. The text Exchange, Inc. over a wireless
SECURITIES AND EXCHANGE of those statements may be examined at connection. To receive Third Party Data,
COMMISSION the places specified in Item IV below. the User would enter into a contract
The Exchange has prepared summaries, with the relevant third party market,
[Release No. 34–76364; File No. SR–
NYSEArca–2015–99] set forth in sections A, B, and C below, which would charge the User the
of the most significant parts of such applicable market data fees for the Third
Self-Regulatory Organizations; NYSE statements. Party Data. The Exchange would charge
Arca, Inc.; Notice of Filing of Proposed the User fees for the wireless connection
A. Self-Regulatory Organization's for the Third Party Data.7
Rule Change to the Co-Location
Statement of the Purpose of, and A User would be charged a $5,000
Services Offered by the Exchange (the
Statutory Basis for, the Proposed Rule non-recurring initial charge for each
Offering of a Wireless Connection To
Change wireless connection and a monthly
Allow Users To Receive Market Data
Feeds From Third Party Markets) and 1. Purpose recurring charge (‘‘MRC’’) that would
To Reflect Changes to the NYSE Arca vary depending upon the feed that the
The Exchange proposes to change the
Options Fee Schedule and the NYSE User opts to receive. If a User purchased
co-location 4 services offered by the
Arca Equities Schedule of Fees and two wireless connections, it would pay
Exchange to include a means for Users two non-recurring initial charges. The
Charges Related to These Services to receive market data feeds from third Exchange proposes to waive the first
November 5, 2015. party markets (the ‘‘Third Party Data’’) month’s MRC, to allow Users to test the
Pursuant to Section 19(b)(1) 1 of the through a wireless connection.5 In receipt of the feed(s) for a month before
Securities Exchange Act of 1934 (the 4 The Exchange initially filed rule changes
incurring any MRCs.
‘‘Act’’) 2 and Rule 19b–4 thereunder,3 relating to its co-location services with the
notice is hereby given that, on October Securities and Exchange Commission Stock Exchange LLC and NYSE MKT LLC. See
23, 2015, NYSE Arca, Inc. (the (‘‘Commission’’) in 2010. See Securities Exchange Securities Exchange Act Release No. 70173 (August
Act Release No. 63275 (November 8, 2010), 75 FR 13, 2013), 78 FR 50459 (August 19, 2013) (SR–
‘‘Exchange’’ or ‘‘NYSE Arca’’) filed with NYSEArca–2013–80).
70048 (November 16, 2010) (SR–NYSEArca–2010–
the Securities and Exchange 100). The Exchange operates a data center in 6 The NASDAQ Stock Market LLC (‘‘NASDAQ’’)
Commission (the ‘‘Commission’’) the Mahwah, New Jersey (the ‘‘data center’’) from offers a similar wireless service. See Securities
proposed rule change as described in which it provides co-location services to Users. Exchange Act Release No. 68735 (January 25, 2013),
Items I, II, and III below, which Items 5 For purposes of the Exchange’s co-location 78 FR 6842 (January 31, 2013) (SR–NASDAQ–2012–
services, a ‘‘User’’ means any market participant 119) (approving a proposed rule change to establish
mstockstill on DSK4VPTVN1PROD with NOTICES
have been prepared by the self- that requests to receive co-location services directly a new optional wireless connectivity for collocated
regulatory organization. The from the Exchange. See Securities Exchange Act clients).
Commission is publishing this notice to Release No. 76010 (September 29, 2015), 80 FR 7 A User would only receive the Third Party Data
60197 (October 5, 2015) (SR–NYSEArca–2015–82). for which it had entered into a contract. For
18 17
As specified in the Fee Schedules, a User that example, a User that contracted with NASDAQ for
CFR 200.30–3(a)(12). incurs co-location fees for a particular co-location the NASDAQ Totalview-ITCH data feed but did not
1 15 U.S.C.78s(b)(1). service pursuant thereto would not be subject to co- contract to receive any other Third Party Data
2 15 U.S.C. 78a.
location fees for the same co-location service would receive only the NASDAQ Totalview-ITCH
3 17 CFR 240.19b–4. charged by the Exchange’s affiliates New York data feed through its wireless connection.
VerDate Sep<11>2014 18:15 Nov 10, 2015 Jkt 238001 PO 00000 Frm 00117 Fmt 4703 Sfmt 4703 E:\FR\FM\12NON1.SGM 12NON1](https://thefederalregister.org/doc/80_FR_70265/page/5.svg)
Document Created: 2015-12-14 14:53:56
Document Modified: 2015-12-14 14:53:56
| 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 70047 |
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