81 FR 10693 - Self-Regulatory Organizations; NASDAQ PHLX LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Section II of the Exchange's Pricing Schedule

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 81, Issue 40 (March 1, 2016)

Page Range		10693-10698
FR Document		2016-04357
Federal Register, Volume 81 Issue 40 (Tuesday, March 1, 2016)
[Federal Register Volume 81, Number 40 (Tuesday, March 1, 2016)]
[Notices]
[Pages 10693-10698]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-04357]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-77221; File No. SR-Phlx-2016-26]


Self-Regulatory Organizations; NASDAQ PHLX LLC; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change To Amend Section II 
of the Exchange's Pricing Schedule

February 24, 2016.
    Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that 
on February 10, 2016, NASDAQ PHLX LLC (``Phlx'' or the ``Exchange'') 
filed with the Securities and Exchange Commission (``SEC'' or 
``Commission'') the proposed rule change as described in Items I, II, 
and III below, which Items have been prepared by the Exchange. The 
Commission is publishing this notice to solicit comments on the 
proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to amend the Exchange's Pricing Schedule 
(``Pricing Schedule'') at section II, entitled ``Multiply Listed 
Options Fees,'' \3\ to: (1) Exclude floor volume from the Monthly 
Market Maker Cap; (2) increase the assessment for select Firm 
electronic simple orders; and (3) state that Phlx members that have 
executed MARS Eligible Contracts may receive the MARS Payment.\4\
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    \3\ Multiply Listed Options Fees include options overlying 
equities, exchange traded funds (``ETFs''), exchange traded notes 
(``ETNs'') and indexes which are Multiply Listed.
    \4\ Monthly Market Maker Cap and MARS are discussed below.
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    The text of the proposed rule change is available on the Exchange's 
Web site at http://nasdaqomxphlx.cchwallstreet.com, at the principal 
office of the Exchange, and at the Commission's Public Reference Room.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, the Exchange included statements 
concerning the purpose of and basis for the proposed rule change and 
discussed any comments it received on the proposed rule change. The 
text of these statements may be examined at the places specified in 
Item IV below. The Exchange has prepared summaries, set forth in 
sections A, B, and C below, of the most significant aspects of such 
statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and the 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The purpose of this filing is to amend the Exchange's Pricing 
Schedule at section II to: (1) Exclude floor volume from the Monthly 
Market Maker Cap; (2) increase the assessment for select Firm 
electronic simple orders; and (3) state

[[Page 10694]]

that Phlx members that have executed MARS Eligible Contracts may 
receive the MARS Payment.
Change 1--Multiply Listed Options Fees--Monthly Market Maker Cap
    In Change 1 the Exchange proposes to exclude floor volume from the 
calculation of the Monthly Market Maker Cap. Offering the Monthly 
Market Maker Cap as proposed, and as discussed below, will continue to 
incentivize market participants to bring liquidity and order flow to 
the Exchange for the benefit of all market participants. Liquidity 
benefits all market participants by providing more trading 
opportunities, which attracts Specialists and Market Makers. An 
increase in the activity of these market participants in turn 
facilitates tighter spreads, which may cause an additional 
corresponding increase in order flow from other market participants.
    Currently, the Monthly Market Maker Cap in section II in the 
Pricing Schedule states:
     Specialists and Market Makers are subject to a ``Monthly 
Market Maker Cap'' of $500,000 for: (i) Electronic and floor Option 
Transaction Charges; and (ii) QCC Transaction Fees (as defined in 
Exchange Rule 1080(o) and Floor QCC Orders, as defined in 1064(e)). The 
trading activity of separate Specialist and Market Maker member 
organizations will be aggregated in calculating the Monthly Market 
Maker Cap if there is Common Ownership between the member 
organizations. All dividend, merger, short stock interest, reversal and 
conversion, jelly roll and box spread strategy executions (as defined 
in this section II) will be excluded from the Monthly Market Maker Cap. 
Specialists or Market Makers that (i) are on the contra-side of an 
electronically-delivered and executed Customer order, excluding 
responses to a PIXL auction; and (ii) have reached the Monthly Market 
Maker Cap will be assessed fees as follows:
Fee per contract
    $0.05 per contract Fee for Adding Liquidity in Penny Pilot Options.
    $0.18 per contract Fee for Removing Liquidity in Penny Pilot 
Options.
    $0.18 per contract in Non-Penny Pilot Options.
    $0.18 per contract in a non-Complex electronic auction, including 
the Quote Exhaust auction and, for purposes of this fee, the opening 
process. A Complex electronic auction includes, but is not limited to, 
the Complex Order Live Auction (``COLA''). Transactions which execute 
against an order for which the Exchange broadcast an order exposure 
alert in an electronic auction will be subject to this fee.
    Today, the Exchange applies certain caps \5\ on Multiply Listed 
Option Fees assessed to Customer,\6\ Professional,\7\ Specialist,\8\ 
Market Maker,\9\ Broker-Dealer,\10\ and Firm.\11\ Today, Specialists 
and Market Makers are subject to a ``Monthly Market Maker Cap'' of 
$500,000 for: (i) electronic and floor Option Transaction Charges; and 
(ii) qualified contingent cross (``QCC'') Transaction Fees (as defined 
in Exchange Rule 1080(o) and Floor QCC Orders,\12\ as defined in 
1064(e)).\13\ The trading activity of separate Specialist and Market 
Maker member organizations is aggregated in calculating the Monthly 
Market Maker Cap if there is Common Ownership \14\ between the member 
organizations. All dividend, merger, short stock interest, reversal and 
conversion, jelly roll,\15\ and box spread strategy executions (as 
defined in Section II in the Pricing Schedule) are excluded from the 
Monthly Market Maker Cap (together the ``excluded strategies'').\16\ 
The Exchange proposes to exclude floor volume from the Monthly Market 
Maker Cap.
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    \5\ These caps reflect different levels for different 
strategies. For example, there is a $1,500 cap for certain dividend, 
merger and short stock interest strategies; and there is a $700 cap 
for certain reversal and conversion, jelly roll and box spread floor 
option transaction strategies. The Exchange further separately caps 
each member organization for dividend, merger, short stock interest, 
reversal and conversion, jelly roll and box spread strategy 
executions in Multiply Listed Options, combined in a month when 
trading in their own proprietary accounts (``Monthly Strategy Cap'') 
at $65,000 per member organization, per month.
    \6\ The term ``Customer'' applies to any transaction that is 
identified by a member or member organization for clearing in the 
Customer range at The Options Clearing Corporation (``OCC'') which 
is not for the account of broker or dealer or for the account of a 
``Professional'' (as that term is defined in Rule 1000(b)(14).
    \7\ The term ``Professional'' means any person or entity that 
(i) is not a broker or dealer in securities, and (ii) places more 
than 390 orders in listed options per day on average during a 
calendar month for its own beneficial account(s). See Rule 
1000(b)(14).
    \8\ A ``Specialist'' is an Exchange member who is registered as 
an options specialist pursuant to Rule 1020(a).
    \9\ A ``Market Maker'' includes Registered Options Traders (Rule 
1014(b)(i) and (ii)), which includes Streaming Quote Traders (see 
Rule 1014(b)(ii)(A)) and Remote Streaming Quote Traders (see Rule 
1014(b)(ii)(B)). Directed Participants are also Market Makers.
    \10\ The term ``Broker-Dealer'' applies to any transaction which 
is not subject to any of the other transaction fees applicable 
within a particular category.
    \11\ The term ``Firm'' applies to any transaction that is 
identified by a member or member organization for clearing in the 
Firm range at OCC.
    \12\ A QCC Order is comprised of an order to buy or sell at 
least 1000 contracts that is identified as being part of a qualified 
contingent trade, as that term is defined in Rule 1080(o)(3), 
coupled with a contra-side order to buy or sell an equal number of 
contracts. A Floor QCC Order must: (i) Be for at least 1,000 
contracts, (ii) meet the six requirements of Rule 1080(o)(3) which 
are modeled on the Qualified Contingent Trade (``QCT'') Exemption, 
(iii) be executed at a price at or between the National Best Bid and 
Offer (``NBBO''); and (iv) be rejected if a Customer order is 
resting on the Exchange book at the same price. See Rule 1064(e). 
See also Securities Exchange Act Release No. 64688 (June 16, 2011), 
76 FR 36606 (June 22, 2011) (SR-Phlx-2011-56).
    \13\ Certain strategy executions, discussed below, will be 
excluded from the Monthly Market Maker Cap.
    \14\ The term ``Common Ownership'' means members or member 
organizations under 75% common ownership or control.
    \15\ A dividend strategy is defined as transactions done to 
achieve a dividend arbitrage involving the purchase, sale and 
exercise of in-the-money options of the same class, executed the 
first business day prior to the date on which the underlying stock 
goes ex-dividend. A merger strategy is defined as transactions done 
to achieve a merger arbitrage involving the purchase, sale and 
exercise of options of the same class and expiration date, executed 
the first business day prior to the date on which shareholders of 
record are required to elect their respective form of consideration, 
i.e., cash or stock. A short stock interest strategy is defined as 
transactions done to achieve a short stock interest arbitrage 
involving the purchase, sale and exercise of in-the-money options of 
the same class. A reversal or conversion strategies is a transaction 
that employ calls and puts of the same strike price and the 
underlying stock.
    \16\ Specialists or Market Makers that (i) are on the contra-
side of an electronically-delivered and executed Customer order, 
excluding responses to a PIXL auction; and (ii) have reached the 
Monthly Market Maker Cap will be assessed separately. A member may 
electronically submit for execution an order it represents as agent 
on behalf of a public customer, broker-dealer, or any other entity 
(``PIXL Order'') against principal interest or against any other 
order (except as provided in Rule 1080(n)(i)(F)) it represents as 
agent (``Initiating Order'') provided it submits the PIXL order for 
electronic execution into the PIXL Auction (``Auction'') pursuant to 
Rule 1080. See Exchange Rule 1080(n). Non-Initiating Order interest 
could be a PIXL Auction Responder or a resting order or quote that 
was on the Phlx book prior to the auction. PIXL is the Exchange's 
price improvement mechanism known as Price Improvement XL or PIXL. 
See Rule 1080(n).
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    The Exchange's proposal to exclude floor volume from the 
calculation of the Monthly Market Maker Cap is reasonable and proper 
because, despite the change, the Exchange will, through the Monthly 
Market Maker Cap, continue to offer members an opportunity to pay lower 
fees. The trading activity of separate Specialist and Market Maker 
member organizations will continue to be aggregated in calculating the 
Monthly Market Maker Cap if there is Common Ownership between the 
member organizations. Specialists and Market Makers will continue to be 
subject to the Monthly Market Maker Cap, and once the Monthly Market 
Maker Cap of $500,000 is reached, the members to whom the cap applies 
will not have to pay for additional strategy executions

[[Page 10695]]

(sans excluded strategies) for the remainder of that month as a result 
of the fee cap.
    The Exchange is making the proposal to exclude floor volume from 
the calculation of the Monthly Market Maker Cap because the Exchange 
floor incurs additional costs (e.g., personnel, equipment, 
surveillance) related to a business model that includes floor-based 
trading. This proposal helps the Exchange to recover such costs while 
continuing to offer the Monthly Market Cap, which incentivizes market 
participants to bring liquidity and order flow to the Exchange.
Change 2--Multiply Listed Options Fees--Firm Electronic Simple Orders
    In Change 2 the Exchange proposes to increase the assessment for 
select Firm electronic simple (non-complex) \17\ orders because the 
Exchange is trying to keep up with rising expenses and this modest fee 
increase will help the Exchange to defray them.
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    \17\ A complex order is any order involving the simultaneous 
purchase and/or sale of two or more different options series in the 
same underlying security, priced at a net debit or credit based on 
the relative prices of the individual components, for the same 
account, for the purpose of executing a particular investment 
strategy. A complex order can also be a stock-option order. See 
Exchange Rule 1080, Commentary .07(a)(i).
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    The select symbols AAPL, BAC, EEM, FB, FXI, IWM, QQQ, TWTR, VXX and 
XLF are high volume Penny Pilot \18\ Options listed on the Exchange. 
The Exchange is proposing a modest increase in the assessment from 
$0.34 to $0.37, so that as proposed Note 12 will read as follows:
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    \18\ The Penny Pilot was established in January 2007 and was 
last extended in 2015. See Securities Exchange Act Release Nos. 
55153 (January 23, 2007), 72 FR 4553 (January 31, 2007) (SR-Phlx-
2006-74) (notice of filing and approval order establishing Penny 
Pilot); and 75286 (June 24, 2015), 80 FR 37333 (June 30, 2015) (SR-
Phlx-2015-54) (notice of filing and immediate effectiveness 
extending the Penny Pilot through June 30, 2016). Penny Pilot 
Options listed on the Exchange can be found at http://www.nasdaqtrader.com/Micro.aspx?id=phlx.

    ``\12\Firm electronic simple orders in AAPL, BAC, EEM, FB, FXI, 
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IWM, QQQ, TWTR, VXX and XLF will be assessed $0.37.''

    The proposed increase for the Firm electronic simple orders in the 
noted options is not an outlier; rather, it is similar to and 
competitive with what is offered by other options markets.\19\ The 
Exchange believes that the Multiply Listed Options Fees schedule 
continues as constructed to be competitive and encourage market 
participants to bring liquidity to the Exchange.
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    \19\ See, e.g., the pricing schedule of NYSE AMEX OPTIONS (AMEX) 
at https://www.nyse.com/publicdocs/nyse/markets/amex-options/NYSE_Amex_Options_Fee_Schedule.pdf, and of MIAX OPTIONS (MIAX) at 
http://www.miaxoptions.com/content/fees. See also, e.g., the pricing 
schedule of NASDAQ PHLX LLC (``Phlx'') and NASDAQ Options Market 
(``NOM'').
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Change 3--Other Transaction Fees--MARS Payment
    The Exchange proposes to state that Phlx members that have executed 
the required MARS Eligible Contracts may receive the Market Access and 
Routing Subsidy (``MARS'') Payment on all their MARS Eligible 
Contracts. The Exchange believes that, as discussed below, expanding 
who is eligible to receive MARS Payment will incentivize market 
participants to bring liquidity and order flow to the Exchange for the 
benefit of all market participants. Liquidity benefits all market 
participants by providing more trading opportunities.
    Currently, section IV E. in the Pricing Schedule states:

MARS Payment

    Phlx members that have System Eligibility and have executed the 
Eligible Contracts in a month may receive the MARS Payment of $0.10 
per contract. This MARS Payment will be paid only on executed Firm 
orders routed to Phlx through a participating Phlx member's System. 
No payment will be made with respect to orders that are routed to 
Phlx, but not executed.

    Currently, a MARS Payment will be paid only on executed Firm orders 
routed to Phlx through a participating Phlx member's System.
    Today, to qualify for MARS, a Phlx member's routing system 
(``System'') would be required to: (1) enable the electronic routing of 
orders to all of the U.S. options exchanges, including Phlx; (2) 
provide current consolidated market data from the U.S. options 
exchanges; and (3) be capable of interfacing with Phlx's application 
program interface (``API'') to access current Phlx match engine 
functionality. Further, the member's System would also need to cause 
Phlx to be the one of the top three default destination exchanges for 
individually executed marketable orders if Phlx is at the NBBO, 
regardless of size or time, but allow any user to manually override 
Phlx as a default destination on an order-by-order basis.\20\ Today, 
MARS Payment is only on Firm orders routed to Phlx through a 
participating Phlx member's System. The Exchange proposes to expand the 
participant types besides Firm (BD, JBO, Professional) that are 
eligible for MARS Payment.\21\
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    \20\ Notwithstanding the above, complex orders would not be 
required to enable the electronic routing of orders to all of the 
U.S. options exchanges or provide current consolidated market data 
from the U.S. options exchanges. Any Phlx member would be permitted 
to avail itself of this arrangement, provided that its order routing 
functionality incorporates the features described above and 
satisfies Phlx that it appears to be robust and reliable. The member 
remains solely responsible for implementing and operating its 
system. Section IV E. in the Pricing Schedule.
    \21\ To be eligible, as discussed, Eligible Contracts must be 
routed through a participating Phlx member's System.
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    The Exchange proposes to indicate what qualifying volume will be 
eligible for MARS Payment (no longer only Firm) and to state that Phlx 
members that have executed the prerequisite MARS Eligible Contracts may 
receive the MARS Payment of $0.10 per contract. For the purpose of 
qualifying for the MARS Payment, Eligible Contracts include the 
following: Firm, Broker-Dealer, Joint Back Office or ``JBO'' or 
Professional equity option orders that are electronically delivered and 
executed.\22\ A MARS Payment will be made to Phlx members that have 
System Eligibility and have routed at least 30,000 Eligible Contracts 
daily in a month, which were executed on Phlx.
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    \22\ The Exchange is removing the word ``may'' to tighten up the 
language regarding what Eligible Contracts qualify for MARS Payment. 
Eligible Contracts do not include floor-based orders, qualified 
contingent cross or ``QCC'' orders, price improvement or ``PIXL'' 
orders, Mini Option orders or Singly Listed Orders.
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    As proposed Section IV E. in the Pricing Schedule will read as 
follows:

MARS Payment

    Phlx members that have System Eligibility and have executed the 
Eligible Contracts in a month may receive the MARS Payment of $0.10 
per contract for all Eligible Contracts routed to Phlx through a 
participating Phlx member's System. No payment will be made with 
respect to orders that are routed to Phlx, but not executed.

    The Exchange believes that the fees and rebates in its Pricing 
Schedule are structured to attract liquidity. Despite the proposed 
changes, Phlx members and the Phlx market will continue to be 
encouraged to transact greater liquidity on the Exchange.
2. Statutory Basis
    The Exchange believes that its proposal to amend its Pricing 
Schedule is consistent with section 6(b) of the Act \23\ in general, 
and furthers the objectives of section 6(b)(4) and (b)(5) of the Act 
\24\ in particular, in that it provides for the equitable allocation of 
reasonable dues, fees and other charges among members and issuers and 
other persons using any facility or system which Phlx operates or 
controls, and is not designed to permit unfair discrimination between 
customers, issuers, brokers, or dealers.
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    \23\ 15 U.S.C. 78f(b).
    \24\ 15 U.S.C. 78f(b)(4), (5).
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    The Commission and the courts have repeatedly expressed their 
preference

[[Page 10696]]

for competition over regulatory intervention in determining prices, 
products, and services in the securities markets. In Regulation NMS, 
while adopting a series of steps to improve the current market model, 
the Commission highlighted the importance of market forces in 
determining prices and SRO revenues and, also, recognized that current 
regulation of the market system ``has been remarkably successful in 
promoting market competition in its broader forms that are most 
important to investors and listed companies.'' \25\ Likewise, in 
NetCoalition v. Securities and Exchange Commission \26\ 
(``NetCoalition'') the D.C. Circuit upheld the Commission's use of a 
market-based approach in evaluating the fairness of market data fees 
against a challenge claiming that Congress mandated a cost-based 
approach. \27\ As the court emphasized, the Commission ``intended in 
Regulation NMS that `market forces, rather than regulatory 
requirements' play a role in determining the market data . . . to be 
made available to investors and at what cost.'' \28\
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    \25\ Securities Exchange Act Release No. 51808 at 37499 (June 9, 
2005) (``Regulation NMS Adopting Release'').
    \26\ NetCoalition v. SEC, 615 F.3d 525 (D.C. Cir. 2010).
    \27\ See id. at 534-535.
    \28\ See id. at 537.
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    Further, ``[n]o one disputes that competition for order flow is 
`fierce.' . . . As the SEC explained, `[i]n the U.S. national market 
system, buyers and sellers of securities, and the broker-dealers that 
act as their order-routing agents, have a wide range of choices of 
where to route orders for execution'; [and] `no exchange can afford to 
take its market share percentages for granted' because `no exchange 
possesses a monopoly, regulatory or otherwise, in the execution of 
order flow from broker dealers'. . . .'' \29\ Although the court and 
the SEC were discussing the cash equities markets, the Exchange 
believes that these views apply with equal force to the options 
markets.
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    \29\ Id. at 539 (quoting Securities Exchange Release No. 59039 
(December 2, 2008), 73 FR 74770 (December 9, 2008) (SR-NYSEArca-
2006-21) at 73 FR at 74782-74783).
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Change 1--Multiply Listed Options Fees--Monthly Market Maker Cap
    In Change 1 the Exchange proposes to exclude floor volume from the 
calculation of the Monthly Market Maker Cap that applies to Specialists 
and Market Makers when calculating the Monthly Market Maker Cap.
    The Exchange believes that the proposed change is reasonable, 
equitable and not unfairly discriminatory for the following reasons.
    The Exchange's proposal to exclude floor volume from the 
calculation of the Monthly Market Maker Cap is reasonable because, 
despite the change, the Exchange will continue to offer members an 
opportunity to pay lower fees. The trading activity of separate 
Specialist and Market Maker member organizations will continue to be 
aggregated in calculating the Monthly Market Maker Cap if there is 
Common Ownership between the member organizations. Specialists and 
Market Makers \30\ will continue to be subject to the Monthly Market 
Maker Cap, and once the Monthly Market Maker Cap of $500,000 is 
reached, the members to whom the cap applies will not have to pay for 
additional strategy executions for the remainder of that month as a 
result of the fee cap.
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    \30\ Specialists and Market Makers on the Exchange are valuable 
market participants that provide liquidity in the marketplace. They 
also have obligations to the market and regulatory requirements, 
which normally do not apply to other market participants. These 
obligations include: to make continuous markets, engage in a course 
of dealings reasonably calculated to contribute to the maintenance 
of a fair and orderly market, and not make bids or offers or enter 
into transactions that are inconsistent with a course of dealings. 
See Rule 1014 titled ``Obligations and Restrictions Applicable to 
Specialists and Registered Options Traders.''
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    Excluding floor Options Transaction Charges from the Monthly Market 
Maker Cap is reasonable, equitable and not unfairly discriminatory 
because electronic Options Transaction Charges would continue to be 
capped as part of the Monthly Market Maker Cap, which applies only to 
Specialists and Market Makers. The Exchange would include floor option 
transaction charges related to reversal and conversion, jelly roll and 
box spread strategies in the Monthly Strategy Cap for Professionals, 
and Broker Dealers, when such members are trading in their own 
proprietary accounts, because these market participants are not subject 
to the Monthly Firm Fee Cap or other similar cap. While Specialists and 
Market Makers are subject to a Monthly Market Maker Cap on electronic 
options transaction charges, reversal and conversion, jelly roll and 
box spread transactions, which are included in the Monthly Strategy 
Cap, are excluded from the Monthly Market Maker Cap. The Exchange 
believes also that its proposal to exclude floor transactions from the 
Monthly Market Maker Cap is reasonable because the Exchange floor 
incurs additional costs (e.g., personnel, equipment, surveillance) 
related to a business model that includes floor-based trading.
    For the reasons described above, the Exchange believes that 
continuing to offer the Monthly Market Maker Cap as proposed will 
continue to incentivize market participants to bring liquidity and 
order flow to the Exchange for the benefit of all market participants. 
Liquidity benefits all market participants by providing more trading 
opportunities, which attracts Specialists and Market Makers. An 
increase in the activity of these market participants in turn 
facilitates tighter spreads, which may cause an additional 
corresponding increase in order flow from other market participants. 
Specialists and Market Makers have obligations to make continuous 
markets, engage in a course of dealings reasonably calculated to 
contribute to the maintenance of a fair and orderly market, and not 
make bids or offers or enter into transactions that are inconsistent 
with a course of dealings. Moreover, the proposed change to the fee 
structure and rebate structure will be applied uniformly to all.
Change 2--Multiply Listed Options Fees--Firm Electronic Simple Orders
    In Change 2 the Exchange proposes to increase the assessment from 
$0.34 to $0.37 per contract for select Firm electronic simple orders in 
AAPL, BAC, EEM, FB, FXI, IWM, QQQ, TWTR, VXX, and XLF. The assessment 
for the noted simple orders is in the Multiply Listed Options Fees 
schedule for options overlying equities, ETFs, ETNs, and certain 
indexes.
    The Exchange believes that the proposed change for the Firm 
electronic simple orders in the noted options, which are high volume 
Penny Pilot Options listed on the Exchange,\31\ is reasonable. This is 
because the proposed change is very modest and is not an outlier; 
rather, it is similar to and competitive with what is offered by other 
options markets.\32\ The the [sic] Multiply Listed Options Fees 
schedule continues as constructed to be competitive and encourage 
market participants to bring liquidity to the Exchange. The Exchange 
believes that despite the proposed increase, which will help the 
Exchange to recover costs, Firms will continue to be incentivized

[[Page 10697]]

to transact electronic simple orders in AAPL, BAC, EEM, FB, FXI, IWM, 
QQQ, TWTR, VXX, and XLF on the Exchange.
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    \31\ The high volume in the noted options is present across 
other options exchanges.
    \32\ See, e.g., the pricing schedule of NYSE AMEX OPTIONS (AMEX) 
at https://www.nyse.com/publicdocs/nyse/markets/amex-options/NYSE_Amex_Options_Fee_Schedule.pdf, and of MIAX OPTIONS (MIAX) at 
http://www.miaxoptions.com/content/fees. See also, e.g., the pricing 
schedule of NASDAQ PHLX LLC (``Phlx'') and NASDAQ Options Market 
(``NOM'').
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    The Exchange believes that the modest change from $0.34 to $0.37 in 
Note 12 is equitable and not unfairly discriminatory because the 
assessment is modest and will be applied uniformly to all Firms that 
send in electronic simple orders in AAPL, BAC, EEM, FB, FXI, IWM, QQQ, 
TWTR, VXX, and XLF.\33\
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    \33\ The Exchange notes that, as discussed, Note 12 continues to 
apply only to certain Firm orders. Note 12 does not apply to other 
fee liable members (e.g., Broker Dealer, Specialist and Market 
Maker, Professional, Customer), and as such the proposed change does 
not effectively change the fee relationship between Firms and such 
members.
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Change 3--Other Transaction Fees--MARS Payment
    In Change 3 the Exchange proposes to state that Phlx members that 
have executed MARS Eligible Contracts may receive the MARS Payment.
    The Exchange believes that the proposed change is reasonable, 
equitable and not unfairly discriminatory.
    Where currently a MARS Payment will be paid only on executed Firm 
orders, the proposed change would allow all qualifying MARS volume to 
receive a MARS Payment. With the proposed change, all Phlx members that 
have executed MARS Eligible Contracts may receive the MARS Payment of 
$0.10 per contract. The Exchange believes that this is reasonable 
because it incentivizes more Phlx members to rout Eligible Contracts 
for execution on the Exchange.
    The Exchange believes that the proposed change is equitable and not 
unfairly discriminatory because the increased ability to receive MARS 
Payment will be applied uniformly to all. Thus, a MARS Payment will be 
made to Phlx members that have System Eligibility and have routed at 
least 30,000 Eligible Contracts daily in a month, which were executed 
on Phlx.\34\
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    \34\ For the purpose of qualifying for the MARS Payment, 
Eligible Contracts include the following: Firm, Broker-Dealer, Joint 
Back Office or ``JBO'' or Professional equity option orders that are 
electronically delivered and executed. Eligible Contracts must be 
routed through a participating Phlx member's System and do not 
include floor-based orders, qualified contingent cross or ``QCC'' 
orders, price improvement or ``PIXL'' orders, Mini Option orders or 
Singly Listed Orders.
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    The Exchange desires to continue to incentivize members and member 
organizations, through the Exchange's rebate and fee structure, to 
select Phlx as a venue for bringing liquidity and trading by offering 
competitive pricing. Such competitive, differentiated pricing exists 
today on other options exchanges. The Exchange's goal is creating and 
increasing incentives to attract orders to the Exchange that will, in 
turn, benefit all market participants through increased liquidity at 
the Exchange.

B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed rule change will 
impose any burden on competition not necessary or appropriate in 
furtherance of the purposes of the Act. The Exchange believes that its 
proposal to exclude floor volume from the Monthly Market Maker Cap, 
increase the assessment for select Firm electronic simple orders, and 
state that all Phlx members that have executed MARS Eligible Contracts 
may receive the MARS Payment does not impose a burden on competition. 
The Exchange's proposal will continue to encourage eligible market 
participants to transact orders on the Exchange in order to obtain the 
Monthly Market Maker Cap and MARS Payments.
    The Exchange operates in a highly competitive market, comprised of 
at least twelve options exchanges, in which market participants can 
easily and readily direct order flow to competing venues if they deem 
fee levels at a particular venue to be excessive or rebates to be 
inadequate. Accordingly, the fees that are assessed and the rebates 
paid by the Exchange described in the above proposal are influenced by 
these robust market forces and therefore must remain competitive with 
fees charged and rebates paid by other venues and therefore must 
continue to be reasonable and equitably allocated to those members that 
opt to direct orders to the Exchange rather than competing venues.

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

    No written comments were either solicited or received.

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

    The foregoing rule change has become effective pursuant to section 
19(b)(3)(A)(ii) of the Act.\35\
---------------------------------------------------------------------------

    \35\ 15 U.S.C. 78s(b)(3)(A)(ii).
---------------------------------------------------------------------------

    At any time within 60 days of the filing of the proposed rule 
change, the Commission summarily may temporarily suspend such rule 
change if it appears to the Commission that such action is: (i) 
Necessary or appropriate in the public interest; (ii) for the 
protection of investors; or (iii) otherwise in furtherance of the 
purposes of the Act. If the Commission takes such action, the 
Commission shall institute proceedings to determine whether the 
proposed rule should be approved or 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 comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include 
File Number SR-Phlx-2016-26 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-Phlx-2016-26. This file 
number should be included on the subject line if email is used. To help 
the Commission process and review your comments more efficiently, 
please use only one method. The Commission will post all comments on 
the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all 
written statements with respect to the proposed rule change that are 
filed with the Commission, and all written communications relating to 
the proposed rule change between the Commission and any person, other 
than those that may be withheld from the public in accordance with the 
provisions of 5 U.S.C. 552, will be available for Web site viewing and 
printing in the Commission's Public Reference Room, 100 F Street NE., 
Washington, DC 20549 on official business days between the hours of 
10:00 a.m. and 3:00 p.m. Copies of such filing 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-Phlx-

[[Page 10698]]

2016-26, and should be submitted on or before March 22, 2016.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\36\
Robert W. Errett,
Deputy Secretary.
---------------------------------------------------------------------------

    \36\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

[FR Doc. 2016-04357 Filed 2-29-16; 8:45 am]
 BILLING CODE 8011-01-P
Federal Register / Vol. 81, No. 40 / Tuesday, March 1, 2016 / Notices 10693

Summary of the Application any fees paid to the Affiliated Sub- notice is hereby given that on February
Adviser. 10, 2016, NASDAQ PHLX LLC (‘‘Phlx’’
1. The Adviser will serve as the 3. Applicants agree that any order or the ‘‘Exchange’’) filed with the
investment adviser to the Funds granting the requested relief will be Securities and Exchange Commission
pursuant to an investment advisory subject to the terms and conditions (‘‘SEC’’ or ‘‘Commission’’) the proposed
agreement with the Trust (the ‘‘Advisory stated in the Application. Such terms rule change as described in Items I, II,
Agreement’’).2 The Adviser will provide and conditions provide for, among other and III below, which Items have been
the Funds with continuous and safeguards, appropriate disclosure to prepared by the Exchange. The
comprehensive investment management Fund shareholders and notification Commission is publishing this notice to
services subject to the supervision of, about sub-advisory changes and solicit comments on the proposed rule
and policies established by, each Fund’s enhanced Board oversight to protect the change from interested persons.
board of trustees (‘‘Board’’). The interests of the Funds’ shareholders.
Advisory Agreement permits the 4. Section 6(c) of the Act provides that I. Self-Regulatory Organization’s
Adviser, subject to the approval of the the Commission may exempt any Statement of the Terms of Substance of
Board, to delegate to one or more sub- person, security, or transaction or any the Proposed Rule Change
advisers (each, a ‘‘Sub-Adviser’’ and class or classes of persons, securities, or The Exchange proposes to amend the
collectively, the ‘‘Sub-Advisers’’) the transactions from any provisions of the Exchange’s Pricing Schedule (‘‘Pricing
responsibility to provide the day-to-day Act, or any rule thereunder, if such Schedule’’) at section II, entitled
portfolio investment management of relief is necessary or appropriate in the ‘‘Multiply Listed Options Fees,’’ 3 to: (1)
each Fund, subject to the supervision public interest and consistent with the Exclude floor volume from the Monthly
and direction of the Adviser. The protection of investors and purposes Market Maker Cap; (2) increase the
primary responsibility for managing the fairly intended by the policy and assessment for select Firm electronic
Funds will remain vested in the provisions of the Act. Applicants simple orders; and (3) state that Phlx
Adviser. The Adviser will hire, believe that the requested relief meets members that have executed MARS
evaluate, allocate assets to and oversee this standard because, as further Eligible Contracts may receive the
the Sub-Advisers, including explained in the Application, the MARS Payment.4
determining whether a Sub-Adviser Advisory Agreements will remain The text of the proposed rule change
should be terminated, at all times subject to shareholder approval, while is available on the Exchange’s Web site
subject to the authority of the Board. the role of the Sub-Advisers is at http://
2. Applicants request an exemption to substantially similar to that of nasdaqomxphlx.cchwallstreet.com, at
permit the Adviser, subject to Board individual portfolio managers, so that the principal office of the Exchange, and
approval, to hire certain Sub-Advisers requiring shareholder approval of Sub- at the Commission’s Public Reference
Advisory Agreements would impose Room.
pursuant to Sub-Advisory Agreements
unnecessary delays and expenses on the
and materially amend existing Sub- II. Self-Regulatory Organization’s
Funds. Applicants believe that the
Advisory Agreements without obtaining Statement of the Purpose of, and
requested relief from the Disclosure
the shareholder approval required under Statutory Basis for, the Proposed Rule
Requirements meets this standard
section 15(a) of the Act and rule 18f–2 Change
because it will improve the Adviser’s
under the Act.3 Applicants also seek an
ability to negotiate fees paid to the Sub- In its filing with the Commission, the
exemption from the Disclosure
Advisers that are more advantageous for Exchange included statements
Requirements to permit a Fund to
the Funds. concerning the purpose of and basis for
disclose (as both a dollar amount and a
percentage of the Fund’s net assets): (a) For the Commission, by the Division of the proposed rule change and discussed
The aggregate fees paid to the Adviser Investment Management, under delegated any comments it received on the
authority. proposed rule change. The text of these
and any Affiliated Sub-Adviser; and (b)
Robert W. Errett, statements may be examined at the
the aggregate fees paid to Sub-Advisers
other than Affiliated Sub-Advisers Deputy Secretary. places specified in Item IV below. The
(collectively, ‘‘Aggregate Fee [FR Doc. 2016–04352 Filed 2–29–16; 8:45 am] Exchange has prepared summaries, set
Disclosure’’). For any Fund that BILLING CODE 8011–01–P forth in sections A, B, and C below, of
employs an Affiliated Sub-Adviser, the the most significant aspects of such
Fund will provide separate disclosure of statements.
SECURITIES AND EXCHANGE
COMMISSION A. Self-Regulatory Organization’s
2 Applicants request relief with respect to any Statement of the Purpose of, and the
existing and any future series of the Trust and any [Release No. 34–77221; File No. SR–Phlx–
other registered open-end management company or
Statutory Basis for, the Proposed Rule
2016–26] Change
series thereof that: (a) Is advised by LoCorr or its
successor or by a person controlling, controlled by,
or under common control with LoCorr or its Self-Regulatory Organizations; 1. Purpose
successor (each, also an ‘‘Adviser’’); (b) uses the NASDAQ PHLX LLC; Notice of Filing The purpose of this filing is to amend
manager of managers structure described in the and Immediate Effectiveness of the Exchange’s Pricing Schedule at
application; and (c) complies with the terms and Proposed Rule Change To Amend
conditions of the application (any such series, a section II to: (1) Exclude floor volume
‘‘Fund’’ and collectively, the ‘‘Funds’’). For Section II of the Exchange’s Pricing from the Monthly Market Maker Cap; (2)
asabaliauskas on DSK5VPTVN1PROD with NOTICES

purposes of the requested order, ‘‘successor’’ is Schedule increase the assessment for select Firm
limited to an entity that results from a
reorganization into another jurisdiction or a change February 24, 2016. electronic simple orders; and (3) state
in the type of business organization. Pursuant to section 19(b)(1) of the
3 The requested relief will not extend to any Sub- 3 Multiply Listed Options Fees include options
Securities Exchange Act of 1934
Adviser that is an affiliated person, as defined in overlying equities, exchange traded funds (‘‘ETFs’’),
section 2(a)(3) of the Act, of a Fund or the Adviser,
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2 exchange traded notes (‘‘ETNs’’) and indexes which
other than by reason of serving as a sub-adviser to are Multiply Listed.
1 15 U.S.C. 78s(b)(1).
one or more of the Funds (‘‘Affiliated Sub- 4 Monthly Market Maker Cap and MARS are

Adviser’’). 2 17 CFR 240.19b–4. discussed below.

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Federal Register / Vol. 81, No. 40 / Tuesday, March 1, 2016 / Notices 10697

to transact electronic simple orders in The Exchange’s goal is creating and of investors; or (iii) otherwise in
AAPL, BAC, EEM, FB, FXI, IWM, QQQ, increasing incentives to attract orders to furtherance of the purposes of the Act.
TWTR, VXX, and XLF on the Exchange. the Exchange that will, in turn, benefit If the Commission takes such action, the
The Exchange believes that the all market participants through Commission shall institute proceedings
modest change from $0.34 to $0.37 in increased liquidity at the Exchange. to determine whether the proposed rule
Note 12 is equitable and not unfairly should be approved or disapproved.
discriminatory because the assessment B. Self-Regulatory Organization’s
is modest and will be applied uniformly Statement on Burden on Competition IV. Solicitation of Comments
to all Firms that send in electronic The Exchange does not believe that
the proposed rule change will impose Interested persons are invited to
simple orders in AAPL, BAC, EEM, FB,
any burden on competition not submit written data, views, and
FXI, IWM, QQQ, TWTR, VXX, and
necessary or appropriate in furtherance arguments concerning the foregoing,
XLF.33
of the purposes of the Act. The including whether the proposed rule
Change 3—Other Transaction Fees— Exchange believes that its proposal to change is consistent with the Act.
MARS Payment exclude floor volume from the Monthly Comments may be submitted by any of
In Change 3 the Exchange proposes to Market Maker Cap, increase the the following methods:
state that Phlx members that have assessment for select Firm electronic Electronic comments
executed MARS Eligible Contracts may simple orders, and state that all Phlx
receive the MARS Payment. members that have executed MARS • Use the Commission’s Internet
The Exchange believes that the Eligible Contracts may receive the comment form (http://www.sec.gov/
proposed change is reasonable, MARS Payment does not impose a rules/sro.shtml); or
equitable and not unfairly burden on competition. The Exchange’s • Send an email to rule-comments@
discriminatory. proposal will continue to encourage sec.gov. Please include File Number SR–
Where currently a MARS Payment eligible market participants to transact
will be paid only on executed Firm Phlx–2016–26 on the subject line.
orders on the Exchange in order to
orders, the proposed change would obtain the Monthly Market Maker Cap Paper comments
allow all qualifying MARS volume to and MARS Payments.
receive a MARS Payment. With the The Exchange operates in a highly • Send paper comments in triplicate
proposed change, all Phlx members that competitive market, comprised of at to Brent J. Fields, Secretary, Securities
have executed MARS Eligible Contracts least twelve options exchanges, in and Exchange Commission, 100 F Street
may receive the MARS Payment of which market participants can easily NE., Washington, DC 20549–1090.
$0.10 per contract. The Exchange and readily direct order flow to All submissions should refer to File
believes that this is reasonable because competing venues if they deem fee Number SR–Phlx–2016–26. This file
it incentivizes more Phlx members to levels at a particular venue to be number should be included on the
rout Eligible Contracts for execution on excessive or rebates to be inadequate. subject line if email is used. To help the
the Exchange. Accordingly, the fees that are assessed Commission process and review your
The Exchange believes that the and the rebates paid by the Exchange comments more efficiently, please use
proposed change is equitable and not described in the above proposal are only one method. The Commission will
unfairly discriminatory because the influenced by these robust market forces
increased ability to receive MARS post all comments on the Commission’s
and therefore must remain competitive Internet Web site (http://www.sec.gov/
Payment will be applied uniformly to with fees charged and rebates paid by
all. Thus, a MARS Payment will be rules/sro.shtml). Copies of the
other venues and therefore must submission, all subsequent
made to Phlx members that have System continue to be reasonable and equitably
Eligibility and have routed at least amendments, all written statements
allocated to those members that opt to with respect to the proposed rule
30,000 Eligible Contracts daily in a direct orders to the Exchange rather
month, which were executed on Phlx.34 change that are filed with the
than competing venues. Commission, and all written
The Exchange desires to continue to
incentivize members and member C. Self-Regulatory Organization’s communications relating to the
organizations, through the Exchange’s Statement on Comments on the proposed rule change between the
rebate and fee structure, to select Phlx Proposed Rule Change Received From Commission and any person, other than
as a venue for bringing liquidity and Members, Participants, or Others those that may be withheld from the
trading by offering competitive pricing. public in accordance with the
No written comments were either
Such competitive, differentiated pricing provisions of 5 U.S.C. 552, will be
solicited or received.
exists today on other options exchanges. available for Web site viewing and
III. Date of Effectiveness of the printing in the Commission’s Public
33 The Exchange notes that, as discussed, Note 12 Proposed Rule Change and Timing for Reference Room, 100 F Street NE.,
continues to apply only to certain Firm orders. Note Commission Action Washington, DC 20549 on official
12 does not apply to other fee liable members (e.g.,
The foregoing rule change has become business days between the hours of
Broker Dealer, Specialist and Market Maker, 10:00 a.m. and 3:00 p.m. Copies of such
Professional, Customer), and as such the proposed effective pursuant to section
change does not effectively change the fee 19(b)(3)(A)(ii) of the Act.35 filing also will be available for
relationship between Firms and such members. At any time within 60 days of the inspection and copying at the principal
asabaliauskas on DSK5VPTVN1PROD with NOTICES

34 For the purpose of qualifying for the MARS
filing of the proposed rule change, the office of the Exchange. All comments
Payment, Eligible Contracts include the following: received will be posted without change;
Firm, Broker-Dealer, Joint Back Office or ‘‘JBO’’ or Commission summarily may
Professional equity option orders that are temporarily suspend such rule change if the Commission does not edit personal
electronically delivered and executed. Eligible it appears to the Commission that such identifying information from
Contracts must be routed through a participating action is: (i) Necessary or appropriate in submissions. You should submit only
Phlx member’s System and do not include floor- information that you wish to make
based orders, qualified contingent cross or ‘‘QCC’’ the public interest; (ii) for the protection
orders, price improvement or ‘‘PIXL’’ orders, Mini
available publicly. All submissions
Option orders or Singly Listed Orders. 35 15 U.S.C. 78s(b)(3)(A)(ii). should refer to File Number SR–Phlx–

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10698 Federal Register / Vol. 81, No. 40 / Tuesday, March 1, 2016 / Notices

2016–26, and should be submitted on or Budget, Room 10102, New Executive submissions. This figure is based upon
before March 22, 2016. Office Building, Washington, DC 20503, past submissions. It is estimated that
For the Commission, by the Division of or by sending an email to: Shagufta_ each respondent will submit
Trading and Markets, pursuant to delegated Ahmed@omb.eop.gov; and (ii) Pamela approximately one response. The staff
authority.36 Dyson, Director/Chief Information estimates that the average number of
Robert W. Errett, Officer, Securities and Exchange hours necessary to comply with the
Deputy Secretary. Commission, c/o Remi Pavlik-Simon, requirements of Rule 19d–3 will be
[FR Doc. 2016–04357 Filed 2–29–16; 8:45 am] 100 F Street NE., Washington, DC 20549 approximately eighteen hours. The
BILLING CODE 8011–01–P
or send an email to: PRA_Mailbox@ average cost per hour, to complete each
sec.gov. Comments must be submitted to submission, is approximately $101.
OMB within 30 days of this notice. Therefore, it is estimated the internal
SECURITIES AND EXCHANGE Dated: February 24, 2016. labor cost of compliance for all
COMMISSION Robert W. Errett, respondents is approximately $10,908 (6
submissions × 18 hours per response ×
Deputy Secretary.
Submission for OMB Review; $101 per hour).
[FR Doc. 2016–04441 Filed 2–29–16; 8:45 am] Written comments are invited on: (a)
Comment Request
BILLING CODE 8011–01–P Whether the proposed collection of
Upon Written Request Copies Available
information is necessary for the proper
From: Securities and Exchange
performance of the functions of the
Commission, Office of FOIA Services, SECURITIES AND EXCHANGE Commission, including whether the
100 F Street NE., Washington, DC COMMISSION information shall have practical utility;
20549–2736.
Proposed Collection; Comment (b) the accuracy of the Commission’s
Extension: estimates of the burden of the proposed
Form S–1, SEC File No. 270–058, OMB Request
collection of information; (c) ways to
Control No. 3235–0065. Upon Written Request, Copies Available enhance the quality, utility and clarity
Notice is hereby given that, pursuant From: Securities and Exchange of the information collected; and (d)
to the Paperwork Reduction Act of 1995 Commission, Office of FOIA Services, ways to minimize the burden of the
(44 U.S.C. 3501 et seq.), the Securities 100 F Street NE., Washington, DC collection of information on
and Exchange Commission 20549–2736. respondents, including through the use
(‘‘Commission’’) has submitted to the Extension: Rule 19d–3, SEC File No. 270– of automated collection techniques or
Office of Management and Budget 245, OMB Control No. 3235–0204. other forms of information technology.
(‘‘OMB’’) this request for an extension of Consideration will be given to
the previously approved collection of Notice is hereby given that pursuant
to the Paperwork Reduction Act of 1995 comments and suggestions submitted in
information discussed below. writing within 60 days of this
Form S–1 (17 CFR 239.11) is the form (44 U.S.C. 3501 et seq.) (‘‘PRA’’), the
Securities and Exchange Commission publication.
used by issuers to register the offer and An agency may not conduct or
sale of securities under the Securities (‘‘Commission’’) is soliciting comments
sponsor, and a person is not required to
Act of 1933 (15 U.S.C. 77a et seq.) when on the existing collection of information
respond to, a collection of information
no other form is authorized or provided for in Rule 19d–3 (17 CFR
under the PRA unless it displays a
prescribed. The information collected is 240.19d–3) under the Securities
currently valid OMB control number.
intended to ensure that the information Exchange Act of 1934 (17 U.S.C. 78a et
Please direct your written comments
required to be filed by the Commission seq.) (‘‘Exchange Act’’). The
to: Pamela C. Dyson, Director/Chief
permits verification of compliance with Commission plans to submit this
Information Officer, Securities and
securities law requirements and assures existing collection of information to the
Exchange Commission, c/o Remi Pavlik-
the public availability of such Office of Management and Budget
Simon, 100 F Street NE., Washington,
information. Form S–1 takes (‘‘OMB’’) for extension and approval.
Rule 19d–3 prescribes the form and DC 20549 or send an email to: PRA_
approximately 667 hours per response Mailbox@sec.gov.
and is filed by approximately 901 content of applications to the
respondents. We estimate that 25% of Commission by persons seeking Dated: February 24, 2016.
the 667 hours per response (166.75 Commission review of final disciplinary Robert W. Errett,
hours) is prepared by the registrant for actions against them taken by self- Deputy Secretary.
a total annual reporting burden of regulatory organizations (‘‘SROs’’) for [FR Doc. 2016–04349 Filed 2–29–16; 8:45 am]
150,242 hours (166.75 hours per which the Commission is the BILLING CODE 8011–01–P
response × 901 responses). appropriate regulatory agency. The
An agency may not conduct or Commission uses the information
sponsor, and a person is not required to provided in the application filed SMALL BUSINESS ADMINISTRATION
respond to, a collection of information pursuant to Rule 19d–3 to review final
unless it displays a currently valid OMB actions taken by SROs including: (1) [Disaster Declaration #14639 and #14640]
control number. Final disciplinary sanctions; (2) denial
The public may view the background or conditioning of membership, New Jersey Disaster #NJ–00045
documentation for this information participation or association; and (3)
asabaliauskas on DSK5VPTVN1PROD with NOTICES

AGENCY: U.S. Small Business
collection at the following Web site, prohibitions or limitations of access to Administration.
www.reginfo.gov. Comments should be services offered by a SRO or member ACTION: Notice.
directed to: (i) Desk Officer for the thereof.
Securities and Exchange Commission, It is estimated that approximately six SUMMARY: This is a notice of an
Office of Information and Regulatory respondents will utilize this application Administrative declaration of a disaster
Affairs, Office of Management and procedure annually, with a total burden for the State of NEW JERSEY dated 02/
of approximately 108 hours, for all 22/2016.
36 17 CFR 200.30–3(a)(12). respondents to complete all Incident: Severe Winter Snow Storm.

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Document Created: 2018-02-02 14:59:57
Document Modified: 2018-02-02 14:59:57
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		81 FR 10693