82 FR 13887 - Self-Regulatory Organizations; Bats EDGA Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Related to Fees
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 82, Issue 49 (March 15, 2017)
Federal Register Volume 82, Issue 49 (March 15, 2017)
| Page Range | 13887-13889 | |
| FR Document | 2017-05088 |
[Federal Register Volume 82, Number 49 (Wednesday, March 15, 2017)] [Notices] [Pages 13887-13889] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-05088] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-80187; File No. SR-BatsEDGA-2017-04] Self-Regulatory Organizations; Bats EDGA Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Related to Fees March 9, 2017. 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 February 28, 2017, Bats EDGA Exchange, Inc. (the ``Exchange'' or ``EDGA'') filed with the Securities and Exchange Commission (``Commission'') the proposed rule change as described in Items I, II and III below, which Items have been prepared by the Exchange. The Exchange has designated the proposed rule change as one establishing or changing a member due, fee, or other charge imposed by the Exchange under Section 19(b)(3)(A)(ii) of the Act \3\ and Rule 19b-4(f)(2) thereunder,\4\ which renders the proposed rule change effective upon filing with the Commission. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. --------------------------------------------------------------------------- \1\ 15 U.S.C. 78s(b)(1). \2\ 17 CFR 240.19b-4. \3\ 15 U.S.C. 78s(b)(3)(A)(ii). \4\ 17 CFR 240.19b-4(f)(2). --------------------------------------------------------------------------- I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change The Exchange filed a proposal to amend the fee schedule applicable to Members \5\ and non-members of the Exchange pursuant to EDGA Rules 15.1(a) and (c). --------------------------------------------------------------------------- \5\ The term ``Member'' is defined as ``any registered broker or dealer that has been admitted to membership in the Exchange.'' See Exchange Rule 1.5(n). --------------------------------------------------------------------------- The text of the proposed rule change is available at the Exchange's Web site at www.bats.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 parts 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 Exchange proposes to modify its fee schedule to enhance its pricing for orders executed at the midpoint of the National Best Bid and Offer (``NBBO'') by: (i) Adopting new fee codes MM and MT; (ii) modifying footnote 2 to reflect new fee codes MM and MT; and (iii) adding two new tiers under new footnote 13, entitled ``Midpoint Add and Remove Tiers.'' Fee Codes MM and MT The Exchange proposes to amend its fee schedule to add two new fee codes, MM and MT. Fee code MM would be appended to non-displayed orders that add liquidity at the midpoint of the NBBO. Fee code MT would be [[Page 13888]] appended to non-displayed orders that remove liquidity at the midpoint of the NBBO. Orders that yield fee code MT [sic] or MT would be charged a reduced fee of $0.0008 per share in securities priced at or above $1.00 and 0.08% of the total dollar value of the order for securities priced below $1.00 per share. In addition, the Exchange proposes to expand the volume requirements for fee codes HA \6\ and HR \7\ under footnote 2 of the fee schedule to include proposed fee codes MM an MT. Footnote 2 currently states that rates for fee codes HA and HR are contingent upon Member adding or removing an ADV of at least 1,000,000 shares non- displayed (hidden) (yields fee codes HA, HR, DM, DT and RP) or Member adding an ADV of at least 8,000,000 shares (displayed and non- displayed). Footnote 2 further states that for securities priced at or above $1.00, Members not meeting either minimum will be charged $0.0030 per share for fee codes HA and HR. For securities priced below $1.00, Members not meeting either minimum will be charged 0.30% of the dollar value of the transaction. --------------------------------------------------------------------------- \6\ Fee code HA is appended to non-displayed orders that add liquidity and provided a reduced fee of $0.0010 per share for orders in securities priced at or above $1.00 and $0.10 of the trades dollar value in securities priced below $1.00. See the Exchange's fee schedule available at http://www.bats.com/us/equities/membership/fee_schedule/edga/. \7\ Fee code HR is appended to non-displayed orders that remove liquidity and provided a reduced fee of $0.0010 per share for orders in securities priced at or above $1.00 and $0.10 of the trades dollar value in securities priced below $1.00. See the Exchange's fee schedule available at http://www.bats.com/us/equities/membership/fee_schedule/edga/. --------------------------------------------------------------------------- The Exchange proposes to amend footnote 2 of the fee schedule to state that the Exchange will assess a charge of $0.0030 per share for Member' orders that yield fee codes MM or MT in securities over $1.00 and a fee of 0.30% of the dollar value of the transaction for Members' orders that yield Flags MM or MT in securities priced below $1.00 where Members do not satisfy the volume requirement of the footnote 2. Therefore, the Exchange proposes to revise footnote 2 to state, ``[r]ates for fee codes HA and HR, MM and MT are contingent upon Member adding or removing an ADV of at least 1,000,000 shares non-displayed (hidden) (yields fee codes HA, HR, DM, DT, MM, MT and RP) or Member adding an ADV of at least 8,000,000 shares (displayed and non- displayed). For securities priced at or above $1.00, Members not meeting either minimum will be charged $0.0030 per share for fee codes HA, and HR, MM and MT. For securities priced below $1.00, Members not meeting either minimum will be charged 0.30% of the dollar value of the transaction.'' New Midpoint Add and Remove Tiers The Exchange proposes to offer two additional tiers under a new footnote 13 of the fee schedule, entitled ``Midpoint Add and Remove Tiers.'' Under proposed Tier 1, orders that yield new fee codes MM or MT would be charged a reduced fee of $0.0006 per share where the Member has an ADV \8\ equal to or greater than 1,200,000 shares in orders that yield fee codes MM or MT. Under proposed Tier 2, orders that yield new fee codes MM or MT would be charged a reduced fee of $0.0004 per share where the Member has an ADV equal to or greater than 2,500,000 shares in orders that yield fee codes MM or MT. --------------------------------------------------------------------------- \8\ ADV means average daily volume calculated as the number of shares added to, removed from, or routed by, the Exchange, or any combination or subset thereof, per day. ADV is calculated on a monthly basis. Id. --------------------------------------------------------------------------- Implementation Date The Exchange proposes to implement these amendments to its fee schedule March 1, 2017. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with the objectives of Section 6 of the Act,\9\ in general, and furthers the objectives of Section 6(b)(4),\10\ in particular, as 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. The Exchange believes proposed rule change represents an equitable allocation of reasonable dues, fees, and other charges because the reduced fee provided by fee codes MM and MT as well as the proposed tiers are intended to encourage Members to add liquidity at the midpoint of the NBBO. The Exchange believes that Members that add liquidity at the midpoint of the NBBO may receive the benefit of price improvement, and its associated lower rate would be a reasonable means by which to encourage the use of such orders. In addition, the Exchange believes that by encouraging the use of orders yielding MM and MT, Members seeking price improvement would be more motivated to direct their orders to the Exchange because they would have a heightened expectation of the availability of liquidity at the midpoint of the NBBO. In addition, the Exchange also believes that the proposed fee changes are non-discriminatory because they would apply uniformly to all Members. --------------------------------------------------------------------------- \9\ 15 U.S.C. 78f. \10\ 15 U.S.C. 78f(b)(4). --------------------------------------------------------------------------- Lastly, the Exchange further believes that the proposed Midpoint Add and Remove tiers which would provide a reduced fee for orders that yield fee codes MM or MT where that Member satisfies certain ADV requirements in orders yielding fee codes MM or MT will further incentivize Members entering orders seeking an execution at the midpoint of the NBBO. In sum, the proposed tiers are designed to promote functionality and, in particular, to attract liquidity, which benefits all market participants by providing additional trading opportunities at the midpoint of the NBBO and increased price improvement opportunities. In addition, volume-based rebates such as that proposed herein have been widely adopted by equities and options exchanges and are equitable because they are open to all Members on an equal basis and provide additional benefits or discounts that are reasonably related to: (i) The value to an exchange's market quality; (ii) associated higher levels of market activity, such as higher levels of liquidity provision and/or growth patterns; and (iii) the introduction of higher volumes of orders into the price and volume discovery processes. The Exchange believes that the proposed tier is a reasonable, fair and equitable, and not an unfairly discriminatory allocation of fees and rebates, because it will provide Members with an additional incentive to reach certain thresholds on the Exchange. B. Self-Regulatory Organization's Statement on Burden on Competition This proposed rule change does not impose any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. Rather, the Exchange believes the proposed rule change provides pricing incentives that will enhance competition amongst exchange [sic] for orders eligible to execute at the midpoint of the NBBO. The Exchange does not believe that the proposed changes represent a significant departure from previous pricing offered by the Exchange or from pricing offered by the Exchange's competitors. Additionally, Members may opt to disfavor the Exchange's pricing if they believe that alternatives offer them better value. Accordingly, the Exchange does not believe that the proposed changes will impair the ability of Members or competing venues to maintain their competitive standing in the financial markets. The Exchange believes that its proposal would not [[Page 13889]] burden intramarket competition because the proposed rates would apply uniformly to all Members. 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 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) of the Act \11\ and paragraph (f) of Rule 19b-4 thereunder.\12\ 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 necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. --------------------------------------------------------------------------- \11\ 15 U.S.C. 78s(b)(3)(A). \12\ 17 CFR 240.19b-4(f). --------------------------------------------------------------------------- IV. Solicitation of Comments Interested persons are invited to submit written data, views, and arguments concerning the foregoing, including whether the proposed rule change is consistent with the Act. Comments may be submitted by any of the following methods: Electronic CommentsUse the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or Send an email to [email protected]. Please include File No. SR-BatsEDGA-2017-04 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 No. SR-BatsEDGA-2017-04. 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 provisions of 5 U.S.C. 552, will be available for Web site viewing and printing in the Commission's Public Reference Room, 100 F Street, NE., Washington, DC 20549, on official business days between the hours of 10:00 a.m. and 3:00 p.m. Copies of the filing also will be available for inspection and copying at the principal office of the Exchange. All comments received will be posted without change; the Commission does not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File No. SR-BatsEDGA-2017-04, and should be submitted on or before April 5, 2017. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\13\ --------------------------------------------------------------------------- \13\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2017-05088 Filed 3-14-17; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 82, No. 49 / Wednesday, March 15, 2017 / Notices 13887
Exchange will lose market share as a submission, all subsequent of the Act 3 and Rule 19b–4(f)(2)
result. Accordingly, the Exchange does amendments, all written statements thereunder,4 which renders the
not believe that the proposed changes with respect to the proposed rule proposed rule change effective upon
will impair the ability of members or change that are filed with the filing with the Commission. The
competing order execution venues to Commission, and all written Commission is publishing this notice to
maintain their competitive standing in communications relating to the solicit comments on the proposed rule
the financial markets. proposed rule change between the change from interested persons.
Commission and any person, other than
C. Self-Regulatory Organization’s I. Self-Regulatory Organization’s
those that may be withheld from the
Statement on Comments on the Statement of the Terms of Substance of
public in accordance with the
Proposed Rule Change Received From the Proposed Rule Change
provisions of 5 U.S.C. 552, will be
Members, Participants, or Others The Exchange filed a proposal to
available for Web site viewing and
No written comments were either printing in the Commission’s Public amend the fee schedule applicable to
solicited or received. Reference Room, 100 F Street NE., Members 5 and non-members of the
III. Date of Effectiveness of the Washington, DC 20549 on official Exchange pursuant to EDGA Rules
Proposed Rule Change and Timing for business days between the hours of 15.1(a) and (c).
Commission Action 10:00 a.m. and 3:00 p.m. Copies of the The text of the proposed rule change
filing also will be available for is available at the Exchange’s Web site
The foregoing rule change has become inspection and copying at the principal at www.bats.com, at the principal office
effective pursuant to Section office of the Exchange. All comments of the Exchange, and at the
19(b)(3)(A)(ii) of the Act.9 received will be posted without change; Commission’s Public Reference Room.
At any time within 60 days of the the Commission does not edit personal
filing of the proposed rule change, the II. Self-Regulatory Organization’s
identifying information from Statement of the Purpose of, and
Commission summarily may submissions. You should submit only
temporarily suspend such rule change if Statutory Basis for, the Proposed Rule
information that you wish to make Change
it appears to the Commission that such available publicly. All submissions
action is: (i) Necessary or appropriate in should refer to File Number SR– In its filing with the Commission, the
the public interest; (ii) for the protection NASDAQ–2017–026, and should be Exchange included statements
of investors; or (iii) otherwise in submitted on or before April 5, 2017. concerning the purpose of and basis for
furtherance of the purposes of the Act. the proposed rule change and discussed
If the Commission takes such action, the For the Commission, by the Division of
Trading and Markets, pursuant to delegated
any comments it received on the
Commission shall institute proceedings proposed rule change. The text of these
authority.10
to determine whether the proposed rule statements may be examined at the
Eduardo A. Aleman,
should be approved or disapproved. places specified in Item IV below. The
Assistant Secretary.
IV. Solicitation of Comments Exchange has prepared summaries, set
[FR Doc. 2017–05081 Filed 3–14–17; 8:45 am]
forth in Sections A, B, and C below, of
Interested persons are invited to BILLING CODE 8011–01–P the most significant parts of such
submit written data, views, and statements.
arguments concerning the foregoing,
including whether the proposed rule SECURITIES AND EXCHANGE A. Self-Regulatory Organization’s
change is consistent with the Act. COMMISSION Statement of the Purpose of, and the
Comments may be submitted by any of Statutory Basis for, the Proposed Rule
[Release No. 34–80187; File No. SR- Change
the following methods: BatsEDGA–2017–04]
Electronic Comments 1. Purpose
Self-Regulatory Organizations; Bats
• Use the Commission’s Internet EDGA Exchange, Inc.; Notice of Filing The Exchange proposes to modify its
comment form (http://www.sec.gov/ and Immediate Effectiveness of a fee schedule to enhance its pricing for
rules/sro.shtml); or Proposed Rule Change Related to Fees orders executed at the midpoint of the
• Send an email to rule-comments@ National Best Bid and Offer (‘‘NBBO’’)
sec.gov. Please include File Number SR– March 9, 2017. by: (i) Adopting new fee codes MM and
NASDAQ–2017–026 on the subject line. Pursuant to Section 19(b)(1) of the MT; (ii) modifying footnote 2 to reflect
Securities Exchange Act of 1934 (the new fee codes MM and MT; and (iii)
Paper Comments adding two new tiers under new
‘‘Act’’),1 and Rule 19b–4 thereunder,2
• Send paper comments in triplicate notice is hereby given that on February footnote 13, entitled ‘‘Midpoint Add
to Secretary, Securities and Exchange 28, 2017, Bats EDGA Exchange, Inc. (the and Remove Tiers.’’
Commission, 100 F Street NE., ‘‘Exchange’’ or ‘‘EDGA’’) filed with the
Washington, DC 20549–1090. Fee Codes MM and MT
Securities and Exchange Commission
All submissions should refer to File (‘‘Commission’’) the proposed rule The Exchange proposes to amend its
Number SR–NASDAQ–2017–026. This change as described in Items I, II and III fee schedule to add two new fee codes,
file number should be included on the below, which Items have been prepared MM and MT. Fee code MM would be
asabaliauskas on DSK3SPTVN1PROD with NOTICES2
subject line if email is used. To help the by the Exchange. The Exchange has appended to non-displayed orders that
Commission process and review your designated the proposed rule change as add liquidity at the midpoint of the
comments more efficiently, please use one establishing or changing a member NBBO. Fee code MT would be
only one method. The Commission will due, fee, or other charge imposed by the
3 15 U.S.C. 78s(b)(3)(A)(ii).
post all comments on the Commission’s Exchange under Section 19(b)(3)(A)(ii) 4 17 CFR 240.19b–4(f)(2).
Internet Web site (http://www.sec.gov/ 5 The term ‘‘Member’’ is defined as ‘‘any
rules/sro.shtml). Copies of the 10 17 CFR 200.30–3(a)(12). registered broker or dealer that has been admitted
1 15 U.S.C. 78s(b)(1). to membership in the Exchange.’’ See Exchange
9 15 U.S.C. 78s(b)(3)(A)(ii). 2 17 CFR 240.19b–4. Rule 1.5(n).
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![13888 Federal Register / Vol. 82, No. 49 / Wednesday, March 15, 2017 / Notices
appended to non-displayed orders that either minimum will be charged 0.30% they would apply uniformly to all
remove liquidity at the midpoint of the of the dollar value of the transaction.’’ Members.
NBBO. Orders that yield fee code MT Lastly, the Exchange further believes
New Midpoint Add and Remove Tiers that the proposed Midpoint Add and
[sic] or MT would be charged a reduced
fee of $0.0008 per share in securities The Exchange proposes to offer two Remove tiers which would provide a
priced at or above $1.00 and 0.08% of additional tiers under a new footnote 13 reduced fee for orders that yield fee
the total dollar value of the order for of the fee schedule, entitled ‘‘Midpoint codes MM or MT where that Member
securities priced below $1.00 per share. Add and Remove Tiers.’’ Under satisfies certain ADV requirements in
In addition, the Exchange proposes to proposed Tier 1, orders that yield new orders yielding fee codes MM or MT
expand the volume requirements for fee fee codes MM or MT would be charged will further incentivize Members
codes HA 6 and HR 7 under footnote 2 of a reduced fee of $0.0006 per share entering orders seeking an execution at
the fee schedule to include proposed fee where the Member has an ADV 8 equal the midpoint of the NBBO. In sum, the
codes MM an MT. Footnote 2 currently to or greater than 1,200,000 shares in proposed tiers are designed to promote
states that rates for fee codes HA and HR orders that yield fee codes MM or MT. functionality and, in particular, to
are contingent upon Member adding or Under proposed Tier 2, orders that yield attract liquidity, which benefits all
removing an ADV of at least 1,000,000 new fee codes MM or MT would be market participants by providing
shares non-displayed (hidden) (yields charged a reduced fee of $0.0004 per additional trading opportunities at the
fee codes HA, HR, DM, DT and RP) or share where the Member has an ADV midpoint of the NBBO and increased
Member adding an ADV of at least equal to or greater than 2,500,000 shares price improvement opportunities.
8,000,000 shares (displayed and non- in orders that yield fee codes MM or In addition, volume-based rebates
displayed). Footnote 2 further states that MT. such as that proposed herein have been
for securities priced at or above $1.00, widely adopted by equities and options
Implementation Date
Members not meeting either minimum exchanges and are equitable because
The Exchange proposes to implement they are open to all Members on an
will be charged $0.0030 per share for fee
these amendments to its fee schedule equal basis and provide additional
codes HA and HR. For securities priced
March 1, 2017. benefits or discounts that are reasonably
below $1.00, Members not meeting
either minimum will be charged 0.30% 2. Statutory Basis related to: (i) The value to an exchange’s
of the dollar value of the transaction. market quality; (ii) associated higher
The Exchange believes that the levels of market activity, such as higher
The Exchange proposes to amend proposed rule change is consistent with
footnote 2 of the fee schedule to state levels of liquidity provision and/or
the objectives of Section 6 of the Act,9 growth patterns; and (iii) the
that the Exchange will assess a charge in general, and furthers the objectives of introduction of higher volumes of orders
of $0.0030 per share for Member’ orders Section 6(b)(4),10 in particular, as it is into the price and volume discovery
that yield fee codes MM or MT in designed to provide for the equitable processes. The Exchange believes that
securities over $1.00 and a fee of 0.30% allocation of reasonable dues, fees and the proposed tier is a reasonable, fair
of the dollar value of the transaction for other charges among its Members and and equitable, and not an unfairly
Members’ orders that yield Flags MM or other persons using its facilities. The discriminatory allocation of fees and
MT in securities priced below $1.00 Exchange believes proposed rule change rebates, because it will provide
where Members do not satisfy the represents an equitable allocation of Members with an additional incentive
volume requirement of the footnote 2. reasonable dues, fees, and other charges to reach certain thresholds on the
Therefore, the Exchange proposes to because the reduced fee provided by fee Exchange.
revise footnote 2 to state, ‘‘[r]ates for fee codes MM and MT as well as the
codes HA and HR, MM and MT are proposed tiers are intended to B. Self-Regulatory Organization’s
contingent upon Member adding or encourage Members to add liquidity at Statement on Burden on Competition
removing an ADV of at least 1,000,000 the midpoint of the NBBO. The This proposed rule change does not
shares non-displayed (hidden) (yields Exchange believes that Members that impose any burden on competition that
fee codes HA, HR, DM, DT, MM, MT add liquidity at the midpoint of the is not necessary or appropriate in
and RP) or Member adding an ADV of NBBO may receive the benefit of price furtherance of the purposes of the Act.
at least 8,000,000 shares (displayed and improvement, and its associated lower Rather, the Exchange believes the
non-displayed). For securities priced at rate would be a reasonable means by proposed rule change provides pricing
or above $1.00, Members not meeting which to encourage the use of such incentives that will enhance
either minimum will be charged orders. In addition, the Exchange competition amongst exchange [sic] for
$0.0030 per share for fee codes HA, and believes that by encouraging the use of orders eligible to execute at the
HR, MM and MT. For securities priced orders yielding MM and MT, Members midpoint of the NBBO. The Exchange
below $1.00, Members not meeting seeking price improvement would be does not believe that the proposed
more motivated to direct their orders to changes represent a significant
6 Fee code HA is appended to non-displayed
the Exchange because they would have departure from previous pricing offered
orders that add liquidity and provided a reduced by the Exchange or from pricing offered
fee of $0.0010 per share for orders in securities
a heightened expectation of the
priced at or above $1.00 and $0.10 of the trades availability of liquidity at the midpoint by the Exchange’s competitors.
dollar value in securities priced below $1.00. See of the NBBO. In addition, the Exchange Additionally, Members may opt to
asabaliauskas on DSK3SPTVN1PROD with NOTICES2
the Exchange’s fee schedule available at http:// also believes that the proposed fee disfavor the Exchange’s pricing if they
www.bats.com/us/equities/membership/fee_ believe that alternatives offer them
schedule/edga/.
changes are non-discriminatory because
7 Fee code HR is appended to non-displayed better value. Accordingly, the Exchange
orders that remove liquidity and provided a
8 ADV means average daily volume calculated as does not believe that the proposed
reduced fee of $0.0010 per share for orders in the number of shares added to, removed from, or changes will impair the ability of
securities priced at or above $1.00 and $0.10 of the routed by, the Exchange, or any combination or
subset thereof, per day. ADV is calculated on a
Members or competing venues to
trades dollar value in securities priced below $1.00.
See the Exchange’s fee schedule available at http:// monthly basis. Id. maintain their competitive standing in
www.bats.com/us/equities/membership/fee_ 9 15 U.S.C. 78f. the financial markets. The Exchange
schedule/edga/. 10 15 U.S.C. 78f(b)(4). believes that its proposal would not
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![Federal Register / Vol. 82, No. 49 / Wednesday, March 15, 2017 / Notices 13889
burden intramarket competition because change that are filed with the change was published for comment in
the proposed rates would apply Commission, and all written the Federal Register on January 25,
uniformly to all Members. communications relating to the 2017.3 On February 10, 2017, the
proposed rule change between the Exchange filed Amendment No. 1 to the
C. Self-Regulatory Organization’s
Commission and any person, other than proposed rule change, which amended
Statement on Comments on the those that may be withheld from the
Proposed Rule Change Received From and replaced the original proposal. On
public in accordance with the March 6, 2017, the Exchange filed
Members, Participants, or Others provisions of 5 U.S.C. 552, will be Amendment No. 2 to the proposed rule
The Exchange has not solicited, and available for Web site viewing and change, which amended and replaced
does not intend to solicit, comments on printing in the Commission’s Public the original proposal, as modified by
this proposed rule change. The Reference Room, 100 F Street, NE.,
Amendment No. 1.4 The Commission
Exchange has not received any written Washington, DC 20549, on official
comments from members or other business days between the hours of received nine comment letters on the
interested parties. 10:00 a.m. and 3:00 p.m. Copies of the proposed rule change.5 The Commission
filing also will be available for is publishing this notice to solicit
III. Date of Effectiveness of the comments on Amendment No. 2 from
inspection and copying at the principal
Proposed Rule Change and Timing for interested persons, and is approving the
office of the Exchange. All comments
Commission Action proposed rule change, as modified by
received will be posted without change;
The foregoing rule change has become the Commission does not edit personal Amendment No. 2, on an accelerated
effective pursuant to Section 19(b)(3)(A) identifying information from basis.
of the Act 11 and paragraph (f) of Rule submissions. You should submit only
19b–4 thereunder.12 At any time within information that you wish to make 3 See Securities Exchange Act Release No. 79834
60 days of the filing of the proposed rule available publicly. All submissions (January 18, 2017), 82 FR 8444.
change, the Commission summarily may should refer to File No. SR–BatsEDGA– 4 In Amendment No. 2, the Exchange: (i) Further
temporarily suspend such rule change if amended rules within the Rule 5 and Rule 8 Series
2017–04, and should be submitted on or
to reflect that certain listing requirements
it appears to the Commission that such before April 5, 2017. (including certain statements or representations in
action is necessary or appropriate in the For the Commission, by the Division of rule filings for the listing and trading of specific
public interest, for the protection of Trading and Markets, pursuant to delegated products) apply on an initial and ongoing basis; (ii)
investors, or otherwise in furtherance of authority.13 further amended rules within the Rule 5 and Rule
the purposes of the Act. 8 Series to consistently state that the Exchange will
Eduardo A. Aleman, maintain surveillance procedures for listed
IV. Solicitation of Comments Assistant Secretary. products and will initiate delisting proceedings if
[FR Doc. 2017–05088 Filed 3–14–17; 8:45 am] continued listing requirements are not maintained;
Interested persons are invited to (iii) further amended rules within the Rule 5 and
BILLING CODE 8011–01–P
submit written data, views, and Rule 8 Series to provide that, in a rule filing to list
arguments concerning the foregoing, and trade a product, all statements or
representations regarding the applicability of
including whether the proposed rule SECURITIES AND EXCHANGE Exchange listing rules (including, for example,
change is consistent with the Act. COMMISSION statements and representations related to the
Comments may be submitted by any of dissemination of the intraday indicative value and
the following methods: [Release No. 34–80189; File No. SR– index value, as applicable) specified in such rule
NYSEArca–2017–01] filing constitute continued listing requirements; (iv)
Electronic Comments specified an implementation date for the proposed
• Use the Commission’s Internet Self-Regulatory Organizations; NYSE changes; and (v) made other technical, clarifying,
Arca, Inc.; Notice of Filing of and conforming changes throughout the Rule 5 and
comment form (http://www.sec.gov/ Rule 8 Series. Amendment No. 2 is available at
rules/sro.shtml); or Amendment No. 2 and Order Granting https://www.sec.gov/comments/sr-nysearca-2017-
• Send an email to rule-comments@ Accelerated Approval of a Proposed 01/nysearca201701-1618319-137048.pdf.
sec.gov. Please include File No. SR- Rule Change, as Modified by 5 See Letters to Brent J. Fields, Secretary,
BatsEDGA–2017–04 on the subject line. Amendment No. 2, Amending the Commission, from David W. Blass, General
NYSE Arca Equities Rule 5 and Rule 8 Counsel, Investment Company Institute, dated
Paper Comments January 12, 2017 (‘‘ICI Letter’’); Anna Paglia, Head
Series of Legal, Invesco PowerShares Capital Management
• Send paper comments in triplicate LLC, dated February 10, 2017 (‘‘PowerShares
March 9, 2017.
to Secretary, Securities and Exchange Letter’’); Steven Price, SVP, Director of Distribution
Commission, 100 F Street NE., I. Introduction Services and Chief Compliance Officer, ALPS
Distributors, Inc., ALPS Portfolio Solutions
Washington, DC 20549–1090. On January 6, 2017, NYSE Arca, Inc. Distributor, Inc., dated February 10, 2017 (‘‘ALPS
All submissions should refer to File No. (‘‘Exchange’’ or ‘‘Arca’’) filed with the Letter’’); James E. Ross, Executive Vice President
SR–BatsEDGA–2017–04. This file Securities and Exchange Commission and Chairman, Global SPDR Business, State Street
number should be included on the Global Advisors, dated February 13, 2017 (‘‘SSGA
(‘‘Commission’’), pursuant to Section Letter’’); Samara Cohen, Managing Director, U.S.
subject line if email is used. To help the 19(b)(1) of the Securities Exchange Act Head of iShares Capital Markets, Joanne Medero,
Commission process and review your of 1934 (‘‘Act’’) 1 and Rule 19b–4 Managing Director, Government Relations & Public
comments more efficiently, please use thereunder,2 a proposed rule change to Policy, and Deepa Damre, Managing Director, Legal
only one method. The Commission will amend the NYSE Arca Equities Rule & Compliance, BlackRock, Inc., dated February 14,
asabaliauskas on DSK3SPTVN1PROD with NOTICES2
2017 (‘‘BlackRock Letter’’); Peter K. Ewing, Senior
post all comments on the Commission’s (‘‘Rule’’) 5 and Rule 8 Series to add Vice President, Northern Trust Investments, Inc.,
Internet Web site (http://www.sec.gov/ specific continued listing standards for dated February 14, 2017 (‘‘NTI Letter’’); Ryan
rules/sro.shtml). Copies of the exchange-traded products (‘‘ETPs’’) and Louvar, General Counsel, WisdomTree Asset
submission, all subsequent to specify the delisting procedures for Management, Inc., dated February 15, 2017
amendments, all written statements (‘‘WisdomTree Letter’’); Kevin McCarthy, Senior
these products. The proposed rule
Managing Director, Nuveen Fund Advisors, LLC,
with respect to the proposed rule dated February 15, 2017 (‘‘Nuveen Letter’’); and
13 17 CFR 200.30–3(a)(12). Matthew B. Farber, Assistant General Counsel, First
11 15 U.S.C. 78s(b)(3)(A). 1 15 U.S.C. 78s(b)(1). Trust Advisors L.P., dated February 23, 2017 (‘‘First
12 17 CFR 240.19b–4(f). 2 17 CFR 240.19b–4. Trust Letter’’).
VerDate Sep<11>2014 18:19 Mar 14, 2017 Jkt 241001 PO 00000 Frm 00102 Fmt 4703 Sfmt 4703 E:\FR\FM\15MRN1.SGM 15MRN1](https://thefederalregister.org/doc/82_FR_13936/page/3.svg)
Document Created: 2017-03-15 06:04:44
Document Modified: 2017-03-15 06:04:44
| 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 13887 |
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