82 FR 10827 - Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Designation of Longer Period for Commission Action on Proceedings To Determine Whether To Approve or Disapprove a Proposed Rule Change, as Modified by Amendment Nos. 1-4, To Amend the Co-Location Services Offered by the Exchange To Add Certain Access and Connectivity Fees

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 82, Issue 30 (February 15, 2017)

Page Range		10827-10828
FR Document		2017-02996

Federal Register, Volume 82 Issue 30 (Wednesday, February 15, 2017)

[Federal Register Volume 82, Number 30 (Wednesday, February 15, 2017)]
[Notices]
[Pages 10827-10828]
From the Federal Register Online [www.thefederalregister.org]
[FR Doc No: 2017-02996]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-80002; File No. SR-NYSE-2016-45]

Self-Regulatory Organizations; New York Stock Exchange LLC;
Notice of Designation of Longer Period for Commission Action on
Proceedings To Determine Whether To Approve or Disapprove a Proposed
Rule Change, as Modified by Amendment Nos. 1-4, To Amend the Co-
Location Services Offered by the Exchange To Add Certain Access and
Connectivity Fees

February 9, 2017.
On July 29, 2016, the New York Stock Exchange LLC (``NYSE'' or the
``Exchange'') filed with the Securities and Exchange Commission
(``Commission''), pursuant to Section 19(b)(1) of the Securities
Exchange Act of 1934 (``Act'') \1\ and Rule 19b-4 thereunder,\2\ a
proposed rule change to (1) provide additional information regarding
access to various NYSE trading and execution services and establish
fees for connectivity to certain NYSE market data feeds; and (2)
provide and establish fees for connectivity to data feeds from third
party markets and other content service providers; access to the
trading and execution services of Third Party markets and other content
service providers; connectivity to Depository Trust & Clearing
Corporation services; connectivity to third party testing and
certification feeds; and the use of virtual control circuits by Users
in the Data Center.
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\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
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The Commission published the proposed rule change for comment in
the Federal Register on August 17, 2016.\3\ The Exchange filed
Amendment No. 1 to the proposed rule change on August 16, 2016.\4\ The
Commission

[[Page 10828]]

published Amendment No. 1 for comment in the Federal Register on
September 26, 2016.\5\ The Commission received one comment in response
to the proposed rule change, as modified by Amendment No. 1, to which
the Exchange responded.\6\ On October 4, 2016, the Commission extended
the time period within which to approve the proposed rule change,
disapprove the proposed rule change, or institute proceedings to
determine whether to approve or disapprove the proposed rule change to
November 15, 2016.\7\
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\3\ See Securities Exchange Act Release No. 34-78556 (August 11,
2016), 81 FR 54877.
\4\ Amendment No. 1 (i) amended the third party data feed MSCI
from 20 Gigabits (``Gb'') to 25 Gb and amended the price from $2000
to $1200; (ii) clarified the costs associated with providing a
greater amount of bandwidth for Premium NYSE Data Products for a
particular market as compared to the bandwidth requirements for the
Included Data Products for that same market; (iii) provided further
details on Premium NYSE Data Products, including their composition,
product release dates, and further detail on the reasonableness of
their applicable fees; (iv) added an explanation for the varying fee
differences for the same Gb usage for third party data feeds, DTCC,
and Virtual Control Circuit.
\5\ See Securities Exchange Act Release No. 34-78887 (September
20, 2016), 81 FR 66095.
\6\ See letter to Brent J. Fields, Secretary, Commission, from
John Ramsay, Chief Market Policy Officer, Investors Exchange LLC
(``IEX Letter I''), dated September 9, 2016.
On September 23, 2016, the NYSE submitted a response to the IEX
letter (``Response Letter I'') which is available at https://www.sec.gov/comments/sr-nyse-2016-45/nyse201645-3.pdf.
\7\ See Securities Exchange Act Release No. 34-78966 (September
28, 2016), 81 FR 68475.
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On November 2, 2016, the Exchange filed Amendment No. 2 to the
proposed rule change.\8\ On November 21, 2016, the Commission
instituted proceedings to determine whether to approve or disapprove
the proposed rule change, as modified by Amendment Nos. 1 and 2.\9\
Following the Order Instituting Proceedings, the Commission received
several additional comment letters.\10\ On December 9, 2016, the
Exchange filed Amendment No. 3 to the proposed rule change.\11\
Amendment No. 3, which supersedes and replaces the proposed rule
change, as modified by Amendment Nos. 1 and 2, in its entirety, was
published for comment in the Federal Register on December 29, 2016.\12\
On January 17, 2017, the Exchange responded to the comment letters
submitted after the OIP and prior to January 17, 2017.\13\ On February
7, 2017, the Exchange filed Amendment No. 4 to the proposed rule
change.\14\
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\8\ Amendment No. 2 is available on the Commission's Web site at
https://www.sec.gov/comments/sr-nyse-2016-45/nyse201645-4.pdf.
\9\ See Securities Exchange Act Release 34-79316 (November 15,
2016), 81 FR 83303.
\10\ See letter to Brent J. Fields, Commission, from Adam C.
Cooper, Senior Managing Director and Chief Legal Officer, Citadel
Securities, dated December 12, 2016 (``Citadel Letter''); letter to
Brent J. Fields, Commission, from Melissa MacGregor, Managing
Director and Associate General Counsel, SIFMA, dated December 12,
2016 (``SIFMA Letter I''); letter to Brent J. Fields, Commission,
from Joe Wald, Chief Executive Officer, Clearpool Group, dated
December 16, 2016 (``Clearpool Letter''); letter to Brent J. Fields,
Secretary, Commission, from John Ramsay, Chief Market Policy
Officer, Investors Exchange LLC (IEX), dated December 21, 2016
(``IEX Letter II''); letter to Brent J. Fields, Commission, from
David L. Cavicke, Chief Legal Officer, Wolverine LLC (``Wolverine
Letter''); letter to Bent J. Fields, Secretary, Commission, from
Stefano Durdic, Managing Director, R2G Services, LLC, dated January
21, 2017 (``R2G Letter''); letter to Brent J. Fields, Commission,
from Melissa MacGregor, Managing Director and Associate General
Counsel, SIFMA, dated February 6, 2017 (``SIFMA Letter II''). All
comments received by the Commission on the proposed rule change are
available on the Commission's Web site at: https://www.sec.gov/comments/sr-nyse-2016-45/nyse201645.shtml.
\11\ Amendment No. 3, as filed by the Exchange, is available at
https://www.sec.gov/comments/sr-nyse-2016-45/nyse201645-5.pdf.
\12\ See Securities Exchange Act Release No. 34-79674 (December
22, 2016), 81 FR 96053 (``Notice of Current Proposal'').
\13\ See NYSE Response Letter II (``Response Letter II''),
available at https://www.sec.gov/comments/sr-nyse-2016-45/nyse201645-1502013-130586.pdf. The R2G and SIFMA II Letters, supra
note 10, were submitted after the Response Letter II.
\14\ Amendment No. 4, as filed by the Exchange, is available at
https://www.sec.gov/comments/sr-nyse-2016-45/nyse201645-1570711-131690.pdf.
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Section 19(b)(2) of the Act\15\ provides that, after initiating
proceedings, the Commission shall issue an order approving or
disapproving the proposed rule change not later than 180 days after the
date of publication of notice of the filing of the proposed rule
change. The Commission may extend the period for issuing an order
approving or disapproving the proposed rule change, however, by not
more than 60 days if the Commission determines that a longer period is
appropriate and publishes the reasons for such determination. The
proposed rule change was published for notice and comment in the
Federal Register on August 17, 2016.\16\ February 13, 2017 is 180 days
from that date, and April 14, 2017 is an additional 60 days from that
date.
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\15\ 15 U.S.C. 78s(b)(2).
\16\ See supra note 3.
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The Commission finds it appropriate to designate a longer period
within which to issue an order approving or disapproving the proposed
rule change so that it has sufficient time to consider the proposed
rule change, as modified by Amendment Nos. 1-4, the issues raised in
the comment letters that have been submitted in connection therewith,
and the Exchange's response to the comments.
Accordingly, the Commission, pursuant to Section 19(b)(2) of the
Act,\17\ designates April 14, 2017 as the date by which the Commission
should either approve or disapprove the proposed rule change, as
modified by Amendments Nos. 1-4.
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\17\ 15 U.S.C. 78s(b)(2).

For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\18\
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\18\ 17 CFR 200.30-3(a)(57).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-02996 Filed 2-14-17; 8:45 am]
BILLING CODE 8011-01-P

10828 Federal Register / Vol. 82, No. 30 / Wednesday, February 15, 2017 / Notices

published Amendment No. 1 for rule change.11 Amendment No. 3, which For the Commission, by the Division of
comment in the Federal Register on supersedes and replaces the proposed Trading and Markets, pursuant to delegated
September 26, 2016.5 The Commission rule change, as modified by Amendment authority.18
received one comment in response to Nos. 1 and 2, in its entirety, was Eduardo A. Aleman,
the proposed rule change, as modified published for comment in the Federal Assistant Secretary.
by Amendment No. 1, to which the Register on December 29, 2016.12 On [FR Doc. 2017–02996 Filed 2–14–17; 8:45 am]
Exchange responded.6 On October 4, January 17, 2017, the Exchange BILLING CODE 8011–01–P
2016, the Commission extended the responded to the comment letters
time period within which to approve submitted after the OIP and prior to
the proposed rule change, disapprove January 17, 2017.13 On February 7, SECURITIES AND EXCHANGE
the proposed rule change, or institute 2017, the Exchange filed Amendment COMMISSION
proceedings to determine whether to No. 4 to the proposed rule change.14 [Release No. 34–79998; File No. SR–
approve or disapprove the proposed NYSEMKT–2017–05]
Section 19(b)(2) of the Act15 provides
rule change to November 15, 2016.7
that, after initiating proceedings, the Self-Regulatory Organizations; NYSE
On November 2, 2016, the Exchange Commission shall issue an order
filed Amendment No. 2 to the proposed MKT LLC; Notice of Filing of Proposed
approving or disapproving the proposed Rule Change Amending Rules 7.29E
rule change.8 On November 21, 2016, rule change not later than 180 days after
the Commission instituted proceedings and 1.1E To Provide for a Delay
the date of publication of notice of the Mechanism
to determine whether to approve or
filing of the proposed rule change. The
disapprove the proposed rule change, as February 9, 2017.
Commission may extend the period for
modified by Amendment Nos. 1 and 2.9 Pursuant to Section 19(b)(1) 1 of the
issuing an order approving or
Following the Order Instituting Securities Exchange Act of 1934 (the
disapproving the proposed rule change,
Proceedings, the Commission received ‘‘Act’’) 2 and Rule 19b–4 thereunder,3
however, by not more than 60 days if
several additional comment letters.10 notice is hereby given that on January
On December 9, 2016, the Exchange the Commission determines that a
longer period is appropriate and 27, 2017, NYSE MKT LLC (the
filed Amendment No. 3 to the proposed ‘‘Exchange’’ or ‘‘NYSE MKT’’) filed with
publishes the reasons for such
determination. The proposed rule the Securities and Exchange
including their composition, product release dates,
change was published for notice and Commission (the ‘‘Commission’’) the
and further detail on the reasonableness of their proposed rule change as described in
applicable fees; (iv) added an explanation for the comment in the Federal Register on
varying fee differences for the same Gb usage for Items I and II below, which Items have
August 17, 2016.16 February 13, 2017 is
third party data feeds, DTCC, and Virtual Control been prepared by the self-regulatory
180 days from that date, and April 14,
Circuit. organization. The Commission is
5 See Securities Exchange Act Release No. 34– 2017 is an additional 60 days from that
publishing this notice to solicit
78887 (September 20, 2016), 81 FR 66095. date. comments on the proposed rule change
6 See letter to Brent J. Fields, Secretary,
The Commission finds it appropriate from interested persons.
Commission, from John Ramsay, Chief Market
Policy Officer, Investors Exchange LLC (‘‘IEX Letter to designate a longer period within
which to issue an order approving or I. Self-Regulatory Organization’s
I’’), dated September 9, 2016.
Statement of the Terms of Substance of
On September 23, 2016, the NYSE submitted a disapproving the proposed rule change
response to the IEX letter (‘‘Response Letter I’’) the Proposed Rule Change
so that it has sufficient time to consider
which is available at https://www.sec.gov/ The Exchange proposes to amend
comments/sr-nyse-2016-45/nyse201645-3.pdf. the proposed rule change, as modified
7 See Securities Exchange Act Release No. 34– by Amendment Nos. 1–4, the issues Rules 7.29E and 1.1E to provide for a
78966 (September 28, 2016), 81 FR 68475. raised in the comment letters that have Delay Mechanism. The proposed rule
8 Amendment No. 2 is available on the
been submitted in connection therewith, change is available on the Exchange’s
Commission’s Web site at https://www.sec.gov/ and the Exchange’s response to the Web site at www.nyse.com, at the
comments/sr-nyse-2016-45/nyse201645-4.pdf. principal office of the Exchange, and at
9 See Securities Exchange Act Release 34–79316 comments.
the Commission’s Public Reference
(November 15, 2016), 81 FR 83303. Accordingly, the Commission, Room.
10 See letter to Brent J. Fields, Commission, from
pursuant to Section 19(b)(2) of the
Adam C. Cooper, Senior Managing Director and II. Self-Regulatory Organization’s
Chief Legal Officer, Citadel Securities, dated Act,17 designates April 14, 2017 as the
December 12, 2016 (‘‘Citadel Letter’’); letter to Brent date by which the Commission should Statement of the Purpose of, and
J. Fields, Commission, from Melissa MacGregor, either approve or disapprove the Statutory Basis for, the Proposed Rule
Managing Director and Associate General Counsel, proposed rule change, as modified by Change
SIFMA, dated December 12, 2016 (‘‘SIFMA Letter
I’’); letter to Brent J. Fields, Commission, from Joe Amendments Nos. 1–4. In its filing with the Commission, the
Wald, Chief Executive Officer, Clearpool Group, self-regulatory organization included
dated December 16, 2016 (‘‘Clearpool Letter’’); letter 11 Amendment No. 3, as filed by the Exchange, is statements concerning the purpose of,
to Brent J. Fields, Secretary, Commission, from John available at https://www.sec.gov/comments/sr-nyse-
Ramsay, Chief Market Policy Officer, Investors
and basis for, the proposed rule change
2016-45/nyse201645-5.pdf.
Exchange LLC (IEX), dated December 21, 2016 12 See Securities Exchange Act Release No. 34–
and discussed any comments it received
(‘‘IEX Letter II’’); letter to Brent J. Fields, 79674 (December 22, 2016), 81 FR 96053 (‘‘Notice on the proposed rule change. The text
Commission, from David L. Cavicke, Chief Legal of Current Proposal’’). of those statements may be examined at
Officer, Wolverine LLC (‘‘Wolverine Letter’’); letter 13 See NYSE Response Letter II (‘‘Response Letter the places specified in Item IV below.
to Bent J. Fields, Secretary, Commission, from
Stefano Durdic, Managing Director, R2G Services,
II’’), available at https://www.sec.gov/comments/sr- The Exchange has prepared summaries,
mstockstill on DSK3G9T082PROD with NOTICES

nyse-2016-45/nyse201645-1502013-130586.pdf. The set forth in sections A, B, and C below,
LLC, dated January 21, 2017 (‘‘R2G Letter’’); letter
R2G and SIFMA II Letters, supra note 10, were
to Brent J. Fields, Commission, from Melissa
submitted after the Response Letter II. of the most significant parts of such
MacGregor, Managing Director and Associate 14 Amendment No. 4, as filed by the Exchange, is statements.
General Counsel, SIFMA, dated February 6, 2017
(‘‘SIFMA Letter II’’). All comments received by the available at https://www.sec.gov/comments/sr-nyse-
Commission on the proposed rule change are 2016-45/nyse201645-1570711-131690.pdf. 18 17 CFR 200.30–3(a)(57).
15 15 U.S.C. 78s(b)(2). 1 15 U.S.C. 78s(b)(1).
available on the Commission’s Web site at: https://
16 See supra note 3. 2 15 U.S.C. 78a.
www.sec.gov/comments/sr-nyse-2016-45/
nyse201645.shtml. 17 15 U.S.C. 78s(b)(2). 3 17 CFR 240.19b–4.

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Document Created: 2017-02-15 00:55:14
Document Modified: 2017-02-15 00:55:14

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		82 FR 10827