81 FR 27486 - Self-Regulatory Organizations; ISE Gemini, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Schedule of Fees

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 81, Issue 88 (May 6, 2016)

[Federal Register Volume 81, Number 88 (Friday, May 6, 2016)]
[Notices]
[Pages 27486-27488]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-10607]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-77752; File No. SR-ISE Gemini-2016-04]


Self-Regulatory Organizations; ISE Gemini, LLC; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change To Amend the 
Schedule of Fees

May 2, 2016.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given 
that on April 18, 2016, ISE Gemini, LLC (the ''Exchange'' or ''ISE 
Gemini'') filed with the Securities and Exchange Commission the 
proposed rule change, as described in Items I, II, and III below, which 
items have been prepared by the self-regulatory organization. The 
Commission is publishing this notice to

[[Page 27487]]

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

    ISE Gemini proposes to change its billing cycle for FIX Session/API 
Session Fees to correspond to the calendar month. The text of the 
proposed rule change is available on the Exchange's Internet Web site 
at http://www.ise.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 self-regulatory organization 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 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    On April 18, 2016, the Exchange's affiliate, the International 
Securities Exchange, LLC (``ISE''), filed a proposed rule change to 
reduce application programming interface (``API'') fees charged to 
Market Makers that meet specified performance criteria.\3\ In order to 
effect that change, the ISE is moving its billing cycle for these API 
fees, and certain other fees, to coincide with the calendar month 
instead of billing those fees mid-month. The Exchange notes that API 
fees for Electronic Access Members (``EAMs'') provide connectivity to 
both ISE and ISE Gemini. As such, the Exchange is also proposing to 
move its billing cycle for FIX Session/API Session Fees, as described 
in Section IV., E. of the Schedule of Fees, to correspond to the 
calendar month. The Exchange notes that the fees charged for FIX and 
API sessions on ISE Gemini will remain unchanged.\4\ Each member's next 
monthly bill for FIX Session/API Session Fees will cover the full month 
of May. Members will not be billed for the period of April 18, 2016 to 
April 30, 2016.
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    \3\ See ISE-2016-10.
    \4\ ISE Gemini only sessions are billed at a rate of 100 per 
month for each API session provided to a Market Maker or EAM, and 
$50 per month for each FIX session provided to an EAM. For sessions 
that provide access to both ISE Gemini and ISE, EAMs are billed for 
API sessions at a rate of $250 per month for the first five sessions 
and $100 per month for each additional session, and for FIX sessions 
at a rate of $250 per month for the first and second session and $50 
per month for each additional session.
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2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with the provisions of Section 6 of the Act,\5\ in general, and Section 
6(b)(4) of the Act,\6\ in particular, in that it is designed to provide 
for the equitable allocation of reasonable dues, fees, and other 
charges among its members and other persons using its facilities. In 
particular, the Exchange believes that the proposed fee change is 
reasonable, equitable, and not unfairly discriminatory as it merely 
moves the Exchange's billing cycle to coincide with the calendar month. 
As explained above, EAM FIX and API sessions provide connectivity to 
both ISE and ISE Gemini. The Exchange is making this change to its 
billing cycle so that the billing cycle for these fees on ISE Gemini 
will be the same as the billing cycle being implemented on ISE. The 
fees will remain at their current rates.
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    \5\ 15 U.S.C. 78f.
    \6\ 15 U.S.C. 78f(b)(4).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    In accordance with Section 6(b)(8) of the Act,\7\ the Exchange does 
not believe that the proposed rule change will impose any burden on 
intermarket or intramarket competition that is not necessary or 
appropriate in furtherance of the purposes of the Act. The proposed fee 
change merely changes the Exchange's billing cycle for FIX Session/API 
Session Fees to correspond to the billing cycle being implemented on 
ISE. The Exchange is not proposing any substantive changes to these 
fees.
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    \7\ 15 U.S.C. 78f(b)(8).
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C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants or Others

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

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

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A)(ii) of the Act,\8\ and subparagraph (f)(2) of Rule 19b-4 
thereunder,\9\ because it establishes a due, fee, or other charge 
imposed by ISE Gemini.
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    \8\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \9\ 17 CFR 240.19b-4(f)(2).
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    At any time within 60 days of the filing of such proposed rule 
change, the Commission summarily may temporarily suspend such rule 
change if it appears to the Commission that such action is necessary or 
appropriate in the public interest, for the protection of investors, or 
otherwise in furtherance of the purposes of the Act. If the 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 No. SR-ISE Gemini-2016-04 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-ISE Gemini-2016-04. 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

[[Page 27488]]

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-ISE Gemini-2016-04 and 
should be submitted by May 27, 2016.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\10\
Robert W. Errett,
Deputy Secretary.
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    \10\ 17 CFR 200.30-3(a)(12).
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[FR Doc. 2016-10607 Filed 5-5-16; 8:45 am]
 BILLING CODE 8011-01-P