80_FR_81890 80 FR 81640 - Self-Regulatory Organizations; NYSE Arca, Inc.; Order Approving 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 Arca Options Fee Schedule and the NYSE Arca Equities Schedule of Fees and Charges Related to These Services

80 FR 81640 - Self-Regulatory Organizations; NYSE Arca, Inc.; Order Approving 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 Arca Options Fee Schedule and the NYSE Arca Equities Schedule of Fees and Charges Related to These Services

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 80, Issue 250 (December 30, 2015)

Page Range81640-81642
FR Document2015-32818

Federal Register, Volume 80 Issue 250 (Wednesday, December 30, 2015) 
[Federal Register Volume 80, Number 250 (Wednesday, December 30, 2015)]
[Notices]
[Pages 81640-81642]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-32818]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-76749; File No. SR-NYSEArca-2015-99]


Self-Regulatory Organizations; NYSE Arca, Inc.; Order Approving 
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 Arca Options Fee Schedule and the NYSE Arca 
Equities Schedule of Fees and Charges Related to These Services

December 23, 2015.

I. Introduction

    On October 23, 2015, NYSE Arca, Inc. (the ``Exchange'' or ``NYSE 
Arca'') filed with the Securities and Exchange Commission (the 
``Commission'') pursuant to Section 19(b)(1) \1\ of the Securities 
Exchange Act of 1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ a 
proposed rule change to amend 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. The 
proposed rule change was published in the Federal Register on November 
12, 2015.\4\ No comment letters were received in response to the 
Notice. This order approves the proposed rule change.
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    \1\ 15 U.S.C.78s(b)(1).
    \2\ 15 U.S.C. 78a.
    \3\ 17 CFR 240.19b-4.
    \4\ See Securities Exchange Act Release No. 76364 (November 5, 
2015), 80 FR 70051 (November 12, 2015) (``Notice'').
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II. Description of the Proposed Rule Change

    The Exchange proposes to change the co-location 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, the proposed rule change reflects changes 
to the Exchange's Fee Schedules related to these co-location services.
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    \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. 76010 (September 29, 2015), 80 FR 60197 
(October 5, 2015) (SR-NYSEArca-2015-82). As specified in the Fee 
Schedules, 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 MKT LLC. 
See Securities Exchange Act Release No. 70173 (August 13, 2013), 78 
FR 50459 (August 19, 2013) (SR-NYSEArca-2013-80).
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    The Exchange proposes to offer the wireless connection to provide 
Users with an alternative means of connectivity for Third Party Data. 
As the Exchange notes, wireless connections involve beaming signals 
through the air between antennas that are within sight of one 
another.\6\ 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.\7\
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    \6\ See Notice, supra note 4 at 70051.
    \7\ See id.
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    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.\8\ 
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.\9\
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    \8\ 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 co-located clients).
    \9\ 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.
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    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 MRC for a wireless connection to each

[[Page 81641]]

of BATS Pitch BZX Gig shaped data, DirectEdge EDGX Gig shaped data, and 
NASDAQ BX Totalview-ITCH data will be $6,000; the MRC for a wireless 
connection of NASDAQ Totalview-ITCH data will be $8,500; and the MRC 
for a wireless connection of NASDAQ Totalview-ITCH and BX Totalview-
ITCH data will be $12,000. 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 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,\10\ the Exchange proposes to make such additional 
ports available for a monthly fee per port of $3,000.
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    \10\ 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.
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    The Exchange represents that there is limited bandwidth available 
on the wireless connection for data feeds from third parties. As a 
result, the Exchange has decided to offer as Third Party Data only the 
data feeds that are in high demand from Users. Although constrained by 
bandwidth with respect to the number of feeds it can carry, the 
Exchange represents that the wireless network offered by the Exchange 
can be made available to an unlimited number of Users.
    The wireless connection would provide Users with an alternative 
means of connectivity for Third Party Data. Currently, Users can 
receive Third Party Data through other methods, including, for example, 
from another User, through a telecommunications provider, or over the 
internet protocol (``IP'') network.\11\ In addition, Users can receive 
Third Party Data from wireless networks offered by third party vendors. 
The Exchange represents that there are currently at least four third 
party vendors that offer Users wireless network connections using 
wireless equipment installed on towers and buildings near the data 
center. The Exchange states that its proposed wireless connection would 
traverse wireless connections through a series of towers equipped with 
wireless equipment, including a pole on the grounds of the data 
center.\12\ The Exchange states that access to such pole or the roof is 
not required for third parties to establish wireless networks that can 
compete with Exchange's proposed service and, in particular, represents 
that based on the information available to it, the proposed wireless 
connection would provide data at the same or similar speed, and at the 
same or similar cost, as existing wireless networks, thereby enhancing 
competition.\13\
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    \11\ The IP network is a local area network available in the 
data center. See Securities Exchange Act Release No. 74219 (February 
6, 2015), 80 FR 7899 (February 12, 2015) (SR-NYSEArca-2015-03) 
(notice of filing and immediate effectiveness of proposed rule 
change to include IP network connections).
    \12\ See Notice, supra note 4 at 70053.
    \13\ See Notice, supra note 4 at 70052-54.
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    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.

III. Discussion and Commission Findings

    After careful review, the Commission finds that the proposed rule 
change is consistent with the requirements of the Act and the rules and 
regulations thereunder applicable to a national securities 
exchange.\14\ In particular, the Commission finds that the proposed 
rule change is consistent with Section 6(b)(4) of the Act,\15\ which 
requires that the rules of a national securities exchange provide for 
the equitable allocation of reasonable dues, fees and other charges 
among its members and issuers and other persons using its facilities, 
and with Section 6(b)(5) of the Act,\16\ which requires, among other 
things, that the rules of a national securities exchange be designed to 
promote just and equitable principles of trade, to remove impediments 
to and perfect the mechanism of a free and open market and a national 
market system and, in general, to protect investors and the public 
interest, and not be designed to permit unfair discrimination between 
customers, issuers, brokers, or dealers. In addition, the Commission 
finds that the proposed rule change is consistent with Section 6(b)(8) 
of the Act,\17\ which requires that the rules of the exchange not 
impose any burden on competition not necessary or appropriate in 
furtherance of the purposes of the Act.
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    \14\ In approving this proposed rule change, the Commission 
notes that it has considered the proposed rule's impact on 
efficiency, competition, and capital formation. See 15 U.S.C. 
78c(f).
    \15\ 15 U.S.C. 78f(b)(4).
    \16\ 15 U.S.C. 78f(b)(5).
    \17\ 15 U.S.C. 78f(b)(8).
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    The Commission believes that the Exchange's proposal to provide 
this additional connectivity option is consistent with the requirement 
of Section 6(b)(5) of the Act. The Commission believes that the 
proposal is not designed to permit unfair discrimination between 
customers, issuers, brokers, or dealers because the Exchange makes 
wireless connectivity available to all Users on an equal basis. All 
Users that voluntarily select this service option will be charged the 
same amount for the same services, and there would be no 
differentiation among Users with regard to the fees charged for the 
service. Further, the Exchange represents that Users of the new 
wireless connection would not receive Third Party Data that is not 
available to all Users. In addition, the Exchange represents that Users 
that do not opt to utilize the Exchange's wireless connections would 
still be able to obtain Third Party Data through other methods, such as 
from wireless networks offered by third party vendors, other Users, 
through telecommunications providers, or over the IP network.
    The Commission also believes that the proposed rule change is 
consistent with Section 6(b)(4) of the Act.\18\ All Users that 
voluntarily select this service option will be charged the same amount 
for the same services, and there would be no differentiation among 
Users with regard to the fees charged for the service. The Commission 
notes the Exchange's representation that the fees associated with 
providing the wireless connections are reasonable because the Exchange 
will 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 Exchange states that 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, and that the fees also reflect the benefit received by 
Users in terms of lower latency over the fiber optics option. In 
addition, 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.
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    \18\ 15 U.S.C. 78f(b)(4).
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    The Commission also finds that consistent with Section 6(b)(8) of 
the

[[Page 81642]]

Act the proposed rule change does not impose a burden on competition 
not necessary or appropriate in furtherance of the purposes of the Act. 
The Exchange states that Users currently can receive Third Party Data 
from competing wireless networks offered by third party vendors, 
including at least four third party vendors that offer Users wireless 
network connections using wireless equipment installed on towers and 
buildings near the data center. The Exchange represents, based on the 
information available to it, that the proposed wireless connection 
would provide data at the same or similar speed, and at the same or 
similar cost, as existing wireless networks, thereby enhancing 
competition.\19\ The Exchange also 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. For these reasons, the Commission does not believe that the 
proposed rule change imposes a burden on competition not necessary or 
appropriate in furtherance of the purposes of the Act.
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    \19\ See supra notes 12 and 13 and accompanying text.
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IV. Conclusion

    It is therefore ordered, pursuant to Section 19(b)(2) of the 
Act,\20\ that the proposed rule change (SR-NYSEArca-2015-99) be, and it 
hereby is, approved.
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    \20\ 15 U.S.C. 78s(b)(2).
    \21\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\21\
Brent J. Fields,
Secretary.
[FR Doc. 2015-32818 Filed 12-29-15; 8:45 am]
 BILLING CODE 8011-01-P

81640 Federal Register / Vol. 80, No. 250 / Wednesday, December 30, 2015 / Notices the public interest; (2) for the protection For the Commission, by the Division of addition, the proposed rule change of investors; or (3) otherwise in Trading and Markets, pursuant to delegated reflects changes to the Exchange’s Fee furtherance of the purposes of the Act. authority.13 Schedules related to these co-location If the Commission takes such action, the Brent J. Fields, services. Commission shall institute proceedings Secretary. The Exchange proposes to offer the to determine whether the proposed rule [FR Doc. 2015–32815 Filed 12–29–15; 8:45 am] wireless connection to provide Users should be approved or disapproved. BILLING CODE 8011–01–P with an alternative means of connectivity for Third Party Data. As the IV. Solicitation of Comments Exchange notes, wireless connections Interested persons are invited to SECURITIES AND EXCHANGE involve beaming signals through the air submit written data, views and COMMISSION between antennas that are within sight arguments concerning the foregoing, of one another.6 Because the signals including whether the proposal is [Release No. 34–76749; File No. SR– NYSEArca–2015–99] travel a straight, unimpeded line, and consistent with the Act. Comments may because light waves travel faster through be submitted by any of the following Self-Regulatory Organizations; NYSE air than through glass (fiber optics), methods: Arca, Inc.; Order Approving Proposed wireless messages have lower latency Electronic Comments Rule Change to the Co-Location than messages travelling through fiber Services Offered by the Exchange (the optics.7 • Use the Commission’s Internet Under the proposed rule change, the Offering of a Wireless Connection To comment form (http://www.sec.gov/ Exchange would utilize a network Allow Users To Receive Market Data rules/sro.shtml); or vendor to provide a wireless connection • Send an email to rule-comments@ Feeds From Third Party Markets) and to Reflect Changes to the NYSE Arca to the Third Party Data through wireless sec.gov. Please include File No. SR– connections from the Exchange access EDGX–2015–66 on the subject line. Options Fee Schedule and the NYSE Arca Equities Schedule of Fees and centers in Secaucus and Carteret, New Paper Comments Charges Related to These Services Jersey, to its data center in Mahwah, • Send paper comments in triplicate New Jersey, through a series of towers December 23, 2015. equipped with wireless equipment.8 A to Secretary, Securities and Exchange Commission, 100 F Street NE., I. Introduction User that chooses this optional service Washington, DC 20549–1090. would be able to receive data feeds from On October 23, 2015, NYSE Arca, Inc. NASDAQ and BATS Exchange, Inc. over All submissions should refer to File No. (the ‘‘Exchange’’ or ‘‘NYSE Arca’’) filed a wireless connection. To receive Third SR–EDGX–2015–66. This file number with the Securities and Exchange Party Data, the User would enter into a should be included on the subject line Commission (the ‘‘Commission’’) contract with the relevant third party if email is used. To help the pursuant to Section 19(b)(1) 1 of the market, which would charge the User Commission process and review your Securities Exchange Act of 1934 (the the applicable market data fees for the comments more efficiently, please use ‘‘Act’’) 2 and Rule 19b–4 thereunder,3 a Third Party Data. The Exchange would only one method. The Commission will proposed rule change to amend the co- charge the User fees for the wireless post all comments on the Commission’s location services offered by the connection for the Third Party Data.9 Internet Web site (http://www.sec.gov/ Exchange to include a means for co- A User would be charged a $5,000 rules/sro.shtml). Copies of the located Users to receive market data non-recurring initial charge for each submission, all subsequent feeds from third party markets through wireless connection and a monthly amendments, all written statements a wireless connection. The proposed recurring charge (‘‘MRC’’) that would with respect to the proposed rule rule change was published in the vary depending upon the feed that the change that are filed with the Federal Register on November 12, User opts to receive. If a User purchased Commission, and all written 2015.4 No comment letters were two wireless connections, it would pay communications relating to the received in response to the Notice. This two non-recurring initial charges. The proposed rule change between the order approves the proposed rule MRC for a wireless connection to each Commission and any person, other than change. those that may be withheld from the As specified in the Fee Schedules, a User that public in accordance with the II. Description of the Proposed Rule incurs co-location fees for a particular co-location provisions of 5 U.S.C. 552, will be Change service pursuant thereto would not be subject to co- available for Web site viewing and The Exchange proposes to change the location fees for the same co-location service charged by the Exchange’s affiliates New York printing in the Commission’s Public co-location services offered by the Stock Exchange LLC and NYSE MKT LLC. See Reference Room, 100 F Street NE., Exchange to include a means for Users Securities Exchange Act Release No. 70173 (August Washington, DC 20549, on official to receive market data feeds from third 13, 2013), 78 FR 50459 (August 19, 2013) (SR– business days between the hours of party markets (the ‘‘Third Party Data’’) NYSEArca–2013–80). 6 See Notice, supra note 4 at 70051. 10:00 a.m. and 3:00 p.m. Copies of such through a wireless connection.5 In 7 See id. filing will also be available for 8 The NASDAQ Stock Market LLC (‘‘NASDAQ’’) inspection and copying at the principal 13 17 CFR 200.30–3(a)(12). offers a similar wireless service. See Securities 1 15 U.S.C.78s(b)(1). office of the Exchange. All comments Exchange Act Release No. 68735 (January 25, 2013), 2 15 U.S.C. 78a. received will be posted without change; 3 17 CFR 240.19b–4. 78 FR 6842 (January 31, 2013) (SR–NASDAQ–2012– 119) (approving a proposed rule change to establish mstockstill on DSK4VPTVN1PROD with NOTICES the Commission does not edit personal 4 See Securities Exchange Act Release No. 76364 a new optional wireless connectivity for co-located identifying information from (November 5, 2015), 80 FR 70051 (November 12, clients). submissions. You should submit only 2015) (‘‘Notice’’). 9 A User would only receive the Third Party Data information that you wish to make 5 For purposes of the Exchange’s co-location for which it had entered into a contract. For available publicly. All submissions services, a ‘‘User’’ means any market participant example, a User that contracted with NASDAQ for that requests to receive co-location services directly the NASDAQ Totalview-ITCH data feed but did not should refer to File No. SR–EDGX– from the Exchange. See Securities Exchange Act contract to receive any other Third Party Data 2015–66 and should be submitted on or Release No. 76010 (September 29, 2015), 80 FR would receive only the NASDAQ Totalview-ITCH before January 20, 2016. 60197 (October 5, 2015) (SR–NYSEArca–2015–82). data feed through its wireless connection. VerDate Sep<11>2014 17:59 Dec 29, 2015 Jkt 238001 PO 00000 Frm 00134 Fmt 4703 Sfmt 4703 E:\FR\FM\30DEN1.SGM 30DEN1

Federal Register / Vol. 80, No. 250 / Wednesday, December 30, 2015 / Notices 81641 of BATS Pitch BZX Gig shaped data, wireless connections through a series of The Commission believes that the DirectEdge EDGX Gig shaped data, and towers equipped with wireless Exchange’s proposal to provide this NASDAQ BX Totalview-ITCH data will equipment, including a pole on the additional connectivity option is be $6,000; the MRC for a wireless grounds of the data center.12 The consistent with the requirement of connection of NASDAQ Totalview-ITCH Exchange states that access to such pole Section 6(b)(5) of the Act. The data will be $8,500; and the MRC for a or the roof is not required for third Commission believes that the proposal wireless connection of NASDAQ parties to establish wireless networks is not designed to permit unfair Totalview-ITCH and BX Totalview- that can compete with Exchange’s discrimination between customers, ITCH data will be $12,000. The proposed service and, in particular, issuers, brokers, or dealers because the Exchange proposes to waive the first represents that based on the information Exchange makes wireless connectivity month’s MRC, to allow Users to test the available to it, the proposed wireless available to all Users on an equal basis. receipt of the feed(s) for a month before connection would provide data at the All Users that voluntarily select this incurring any MRCs. same or similar speed, and at the same service option will be charged the same The wireless connections would or similar cost, as existing wireless amount for the same services, and there include the use of one port for networks, thereby enhancing would be no differentiation among connectivity to the Third Party Data. A competition.13 Users with regard to the fees charged for User will only require one port to The wireless connection to the Third the service. Further, the Exchange connect to the Third Party Data, Party Data is expected to be available no represents that Users of the new irrespective of how many of the five later than March 1, 2016. The Exchange wireless connection would not receive wireless connections it orders. If a User will announce the date that the wireless Third Party Data that is not available to that has more than one wireless connection to the Third Party Data will all Users. In addition, the Exchange connection wishes to use more than one be available through a customer notice. represents that Users that do not opt to port to connect to the Third Party utilize the Exchange’s wireless Data,10 the Exchange proposes to make III. Discussion and Commission connections would still be able to obtain such additional ports available for a Findings Third Party Data through other methods, monthly fee per port of $3,000. such as from wireless networks offered The Exchange represents that there is After careful review, the Commission by third party vendors, other Users, limited bandwidth available on the finds that the proposed rule change is through telecommunications providers, wireless connection for data feeds from consistent with the requirements of the or over the IP network. third parties. As a result, the Exchange Act and the rules and regulations The Commission also believes that the has decided to offer as Third Party Data thereunder applicable to a national proposed rule change is consistent with only the data feeds that are in high securities exchange.14 In particular, the Section 6(b)(4) of the Act.18 All Users demand from Users. Although Commission finds that the proposed that voluntarily select this service constrained by bandwidth with respect rule change is consistent with Section option will be charged the same amount to the number of feeds it can carry, the 6(b)(4) of the Act,15 which requires that for the same services, and there would Exchange represents that the wireless the rules of a national securities be no differentiation among Users with network offered by the Exchange can be exchange provide for the equitable regard to the fees charged for the made available to an unlimited number allocation of reasonable dues, fees and service. The Commission notes the of Users. other charges among its members and Exchange’s representation that the fees The wireless connection would issuers and other persons using its associated with providing the wireless provide Users with an alternative means facilities, and with Section 6(b)(5) of the connections are reasonable because the of connectivity for Third Party Data. Act,16 which requires, among other Exchange will incur certain costs, Currently, Users can receive Third Party things, that the rules of a national including costs related to the data center Data through other methods, including, securities exchange be designed to facility, hardware and equipment and for example, from another User, through promote just and equitable principles of costs related to personnel required for a telecommunications provider, or over trade, to remove impediments to and initial installation and monitoring, the internet protocol (‘‘IP’’) network.11 perfect the mechanism of a free and support and maintenance of such In addition, Users can receive Third open market and a national market services. The Exchange states that the Party Data from wireless networks system and, in general, to protect costs associated with the wireless offered by third party vendors. The investors and the public interest, and connections are incrementally higher Exchange represents that there are not be designed to permit unfair than fiber optics-based solutions due to currently at least four third party discrimination between customers, the expense of the wireless equipment, vendors that offer Users wireless issuers, brokers, or dealers. In addition, cost of installation and testing and network connections using wireless the Commission finds that the proposed ongoing maintenance of the network, equipment installed on towers and rule change is consistent with Section and that the fees also reflect the benefit buildings near the data center. The 6(b)(8) of the Act,17 which requires that received by Users in terms of lower Exchange states that its proposed the rules of the exchange not impose latency over the fiber optics option. In wireless connection would traverse any burden on competition not addition, the Exchange believes that the necessary or appropriate in furtherance proposed waiver of the first month’s 10 For example, a User with two wireless of the purposes of the Act. MRC is reasonable as it would allow connections for Third Party Data may opt to Users to test the receipt of the feed(s) for purchase an additional port in order to route the mstockstill on DSK4VPTVN1PROD with NOTICES options and equity data it receives to different 12 See Notice, supra note 4 at 70053. a month before incurring any monthly cabinets. 13 See Notice, supra note 4 at 70052–54. recurring fees and may act as an 14 In approving this proposed rule change, the 11 The IP network is a local area network available incentive to Users to utilize the new Commission notes that it has considered the in the data center. See Securities Exchange Act proposed rule’s impact on efficiency, competition, service. Release No. 74219 (February 6, 2015), 80 FR 7899 The Commission also finds that (February 12, 2015) (SR–NYSEArca–2015–03) and capital formation. See 15 U.S.C. 78c(f). (notice of filing and immediate effectiveness of 15 15 U.S.C. 78f(b)(4). consistent with Section 6(b)(8) of the 16 15 U.S.C. 78f(b)(5). proposed rule change to include IP network connections). 17 15 U.S.C. 78f(b)(8). 18 15 U.S.C. 78f(b)(4). VerDate Sep<11>2014 17:59 Dec 29, 2015 Jkt 238001 PO 00000 Frm 00135 Fmt 4703 Sfmt 4703 E:\FR\FM\30DEN1.SGM 30DEN1

81642 Federal Register / Vol. 80, No. 250 / Wednesday, December 30, 2015 / Notices Act the proposed rule change does not ‘‘Act’’),1 and Rule 19b–4 thereunder,2 (A) Self-Regulatory Organization’s impose a burden on competition not notice is hereby given that on December Statement of the Purpose of, and necessary or appropriate in furtherance 22, 2015, EDGA Exchange, Inc. (the Statutory Basis for, the Proposed Rule of the purposes of the Act. The ‘‘Exchange’’ or ‘‘EDGA’’) filed with the Change Exchange states that Users currently can Securities and Exchange Commission 1. Purpose receive Third Party Data from (‘‘Commission’’) the proposed rule competing wireless networks offered by change as described in Items I and II The Exchange is proposing herein to third party vendors, including at least below, which Items have been prepared replace the Series 56 with the Series 57 four third party vendors that offer Users by the Exchange. The Exchange has examination and to make various wireless network connections using designated this proposal as a ‘‘non- related changes to its registration rules. wireless equipment installed on towers controversial’’ proposed rule change Specifically, in response to the FINRA and buildings near the data center. The pursuant to Section 19(b)(3)(A) of the Amendments (defined below), the Exchange represents, based on the Act 3 and Rule 19b–4(f)(6)(iii) Exchange is proposing to retire the information available to it, that the thereunder,4 which renders it effective Proprietary Trader 5 registration proposed wireless connection would categories from its own registration upon filing with the Commission. The provide data at the same or similar rules relating to securities trading Commission is publishing this notice to speed, and at the same or similar cost, activity. It is also therefore retiring its solicit comments on the proposed rule as existing wireless networks, thereby Proprietary Trader Principal 6 change from interested persons. enhancing competition.19 The Exchange registration category. To take the place also notes that the proposed wireless I. Self-Regulatory Organization’s of the retired registration categories, the connection would compete not just with Statement of the Terms of Substance of Exchange is establishing new Securities other wireless connections, but also the Proposed Rule Change Trader and Securities Trader Principal with fiber optic networks, which may be registration categories. This filing is more attractive to some Users as they The Exchange filed a proposal to based upon and in response to SR– are more reliable and less susceptible to retire the Proprietary Trader and FINRA–2015–017, which was recently weather conditions. For these reasons, Proprietary Trader Principal registration approved by the Commission.7 the Commission does not believe that categories and to establish the Securities the proposed rule change imposes a Trader and Securities Trader Principal New Securities Trader Registration burden on competition not necessary or registration categories. The Exchange is Category appropriate in furtherance of the also amending its rules to establish the Currently, under Exchange Rule purposes of the Act. Series 57 examination as the 11.4(e), each person associated with a IV. Conclusion appropriate qualification examination member who is included within the for Securities Traders and deleting the definition of an ‘‘Authorized Trader’’ in It is therefore ordered, pursuant to rule referring to the S501 continuing Rule 1.5(d) is required to register with Section 19(b)(2) of the Act,20 that the education program currently applicable the Exchange and to pass an appropriate proposed rule change (SR–NYSEArca– qualification examination before such to Proprietary Traders. The Exchange 2015–99) be, and it hereby is, approved. registration may become effective. The will announce the effective date of the For the Commission, by the Division of proposed rule change in a circular Exchange recognizes the following Trading and Markets, pursuant to delegated distributed to Members. qualification examinations as acceptable authority.21 for purposes of registration as an Brent J. Fields, The text of the proposed rule change Authorized Trader: Series 7, Series 56, Secretary. is available at the Exchange’s Web site or one of several foreign securities [FR Doc. 2015–32818 Filed 12–29–15; 8:45 am] at www.batstrading.com, at the examination modules. principal office of the Exchange, and at BILLING CODE 8011–01–P Interpretation and Policy .01(f) of the Commission’s Public Reference Exchange Rule 2.5 currently provides Room. that a person may register with the SECURITIES AND EXCHANGE II. Self-Regulatory Organization’s Exchange as a Proprietary Trader if such COMMISSION Statement of the Purpose of, and person engages solely in proprietary [Release No. 34–76759; File No. SR–EDGA– Statutory Basis for, the Proposed Rule trading, passes the Series 56 2015–48] Change examination and is an associated person of a proprietary trading firm as defined Self-Regulatory Organizations; EDGA In its filing with the Commission, the in Interpretation and Policy .01(g) of Exchange, Inc.; Notice of Filing and Exchange included statements Exchange Rule 2.5. Therefore, pursuant Immediate Effectiveness of Proposed concerning the purpose of and basis for to Interpretation and Policy .01 to Rule Change Relating to Proprietary the proposed rule change and discussed Exchange Rule 2.5, an individual Trader and Proprietary Trader Principal any comments it received on the meeting these criteria may register in Registration Categories, Securities proposed rule change. The text of these the Proprietary Trader category after Trader and Securities Trader Principal statements may be examined at the passing the Series 56 examination rather Registration Categories, and places specified in Item IV below. The than as a General Securities Establishing the Series 57 Examination Exchange has prepared summaries, set Representative after passing the Series 7 mstockstill on DSK4VPTVN1PROD with NOTICES December 23, 2015. forth in Sections A, B, and C below, of Pursuant to Section 19(b)(1) of the the most significant parts of such 5 Rule 2.5, Interpretation and Policy .01(f). Securities Exchange Act of 1934 (the statements. 6 Rule 2.5, Interpretation and Policy .01(d). 7 See Securities Exchange Act Release No. 75783 1 15 (August 28, 2015), 80 FR 53369 (September 3, 2015) 19 See supra notes 12 and 13 and accompanying U.S.C. 78s(b)(1). (approving SR–FINRA–2015–017) referred to herein text. 2 17 CFR 240.19b–4. as the ‘‘FINRA Amendments.’’ According to the 20 15 U.S.C. 78s(b)(2). 3 15 U.S.C. 78s(b)(3)(A). release, FINRA’s expected effective date for the 21 17 CFR 200.30–3(a)(12). 4 17 CFR 240.19b–4(f)(6)(iii). FINRA Amendments is January 4, 2016. VerDate Sep<11>2014 17:59 Dec 29, 2015 Jkt 238001 PO 00000 Frm 00136 Fmt 4703 Sfmt 4703 E:\FR\FM\30DEN1.SGM 30DEN1


Document Created: 2015-12-30 03:16:02
Document Modified: 2015-12-30 03:16:02
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 81640 
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