82 FR 58458 - Self-Regulatory Organizations; New York Stock Exchange LLC; Order Granting an Extension to Limited Exemption From Rule 612(c) of Regulation NMS In Connection With the Exchange's Retail Liquidity Program Until June 30, 2018
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 82, Issue 237 (December 12, 2017)
Federal Register Volume 82, Issue 237 (December 12, 2017)
| Page Range | 58458-58459 | |
| FR Document | 2017-26727 |
[Federal Register Volume 82, Number 237 (Tuesday, December 12, 2017)] [Notices] [Pages 58458-58459] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-26727] ======================================================================= ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-82228; File No. SR-NYSE-2011-55] Self-Regulatory Organizations; New York Stock Exchange LLC; Order Granting an Extension to Limited Exemption From Rule 612(c) of Regulation NMS In Connection With the Exchange's Retail Liquidity Program Until June 30, 2018 December 7, 2017. On July 3, 2012, the Securities and Exchange Commission (``Commission'') issued an order pursuant to its authority under Rule 612(c) of Regulation NMS (``Sub-Penny Rule'') \1\ that granted the New York Stock Exchange LLC (``NYSE'' or ``Exchange'') a limited exemption from the Sub-Penny Rule in connection with the operation of the Exchange's Retail Liquidity Program (``Program'').\2\ The limited exemption was granted concurrently with the Commission's approval of the Exchange's proposal to adopt the Program for a one-year pilot term.\3\ The exemption was granted coterminous with the effectiveness of the pilot Program; both the pilot Program and exemption, as previously extended, are scheduled to expire on December 31, 2017.\4\ --------------------------------------------------------------------------- \1\ 17 CFR 242.612(c) \2\ See Securities Exchange Act Release No. 67347 (July 3, 2012), 77 FR 40673 (July 10, 2012) (SR-NYSE-2011-55) (``RLP Approval Order''). \3\ See id. The Sub-Penny Exemption was originally granted by the Commission concurrently with the approval of the Program. See id. On July 30, 2013, the Exchange requested an extension of the exemption for the Program. See Letter from Janet McGinness, SVP and Corporate Secretary, NYSE Euronext, to Elizabeth M. Murphy, Secretary, Commission, dated July 30, 2013. The pilot period for the Program was extended until July 31, 2014. See Securities Exchange Act Release No. 70096 (August 2, 2013), 78 FR 48520 (August 8, 2013) (NYSE-2013-48). On July 30, 2014, the Exchange requested a second extension of the exemption for the Program. See Letter from Martha Redding, Chief Counsel, NYSE, to Kevin M. O'Neill, Deputy Secretary, Commission, dated July 30, 2014. The pilot period for the Program was extended until March 31, 2015. See Securities Exchange Act Release No. 72629 (July 16, 2014), 79 FR 42564 (July 22, 2014) (NYSE-2014-35). On February 27, 2015, the Exchange requested a third extension of the exemption for the Program. See Letter from Martha Redding, Senior Counsel, NYSE, to Brent J. Fields, Secretary, Commission, dated February 27, 2015. The pilot period for the Program was extended until September 30, 2015. See Securities Exchange Act Release No. 74454 (March 6, 2015), 80 FR 13054 (March 12, 2015) (SR-NYSE-2015-10). On September 17, 2015, the Exchange requested a fourth extension of the exemption for the Program. See Letter from Martha Redding, Senior Counsel, NYSE, to Brent J. Fields, Secretary, Commission, dated September 17, 2015. The pilot period for the Program was extended until March 31, 2016. See Securities Exchange Act Release No. 75993 (September 28, 2015), 80 FR 59844 (October 2, 2015) (SR-NYSE-2015-41). On March 17, 2016, the Exchange requested a fifth extension of the exemption for the Program. See Letter from Martha Redding, Senior Counsel, NYSE, to Brent J. Fields, Secretary, Commission, dated March 17, 2016. The pilot period for the Program was extended until August 31, 2016. See Securities Exchange Act Release No. 77426 (March 23, 2016), 81 FR 17533 (March 29, 2016) (SR-NYSE-2016-25). On August 8, 2016, the Exchange requested a sixth extension of the exemption for the Program. See Letter from Martha Redding, Associate General Counsel, NYSE, to Brent J. Fields, Secretary, Commission, dated August 8, 2016. The pilot period for the Program was extended until December 31, 2016. See Securities Exchange Act Release No. 78600 (August 17, 2016), 81 FR 57642 (August 23, 2016) (SR-NYSE-2016-54). On November 28, 2016, the Exchange requested a seventh extension of the exemption for the Program. See Letter from Martha Redding, Associate General Counsel, NYSE, to Brent J. Fields, Secretary, Commission, dated November 28, 2016. The pilot period for the Program was extended until June 30, 2017. See Securities Exchange Act Release No. 79493 (December 7, 2016), 81 FR 90019 (December 13, 2016) (SR- NYSE-2016-82). On May 23, 2017, the Exchange requested an eighth extension of the exemption for the Program. See Letter from Martha Redding, Associate General Counsel, NYSE, to Brent J. Fields, Secretary, Commission, dated May 23, 2017. The pilot period for the Program was extended until December 31, 2017. See Securities Exchange Act Release No. 80844 (June 1, 2017), 82 FR 26562 (June 7, 2017) (SR-NYSE-2017-26). \4\ See Securities Exchange Act Release No. 80844 (June 1, 2017), 82 FR 26562 (June 7, 2017) (SR-NYSE-2017-26). --------------------------------------------------------------------------- The Exchange now seeks to further extend the exemption until June 30, 2018.\5\ The Exchange's request was made in conjunction with an immediately effective filing that extends the operation of the Program through the same date.\6\ In its request to extend the exemption, the Exchange notes that participation in the program has increased recently.\7\ Accordingly, the Exchange has asked for additional time to allow the Exchange and the Commission to analyze more data concerning the Program, which the Exchange committed to provide to the Commission.\8\ For this reason and the reasons stated in the Order originally granting the limited exemption, the Commission finds, pursuant to its authority under Rule 612(c) of Regulation NMS, that extending the exemption is appropriate in the public interest and consistent with the protection of investors. --------------------------------------------------------------------------- \5\ See Letter from Martha Redding, Assistant Secretary, NYSE, to Brent J. Fields, Secretary, Commission, dated November 30, 2017 (``NYSE Letter''). \6\ See SR-NYSE-2017-64. \7\ See NYSE Letter, supra note 5 at 3. \8\ See RLP Approval Order, supra note 2, 77 FR at 40681. --------------------------------------------------------------------------- Therefore, it is hereby ordered that, pursuant to Rule 612(c) of Regulation NMS, the Exchange is granted a limited exemption from Rule 612 of Regulation NMS that allows it to accept and rank orders priced equal to or greater than $1.00 per share in increments of $0.001, [[Page 58459]] in connection with the operation of its Retail Liquidity Program, until June 30, 2018. The limited and temporary exemption extended by this Order are subject to modification or revocation if at any time the Commission determines that such action is necessary or appropriate in furtherance of the purposes of the Securities Exchange Act of 1934. Responsibility for compliance with any applicable provisions of the Federal securities laws must rest with the persons relying on the exemptions that are the subject of this Order. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\9\ --------------------------------------------------------------------------- \9\ 17 CFR 200.30-3(a)(83). --------------------------------------------------------------------------- Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2017-26727 Filed 12-11-17; 8:45 am] BILLING CODE 8011-01-P
![58458 Federal Register / Vol. 82, No. 237 / Tuesday, December 12, 2017 / Notices
Filing Authority: 39 U.S.C. 3642 and 39 SECURITIES AND EXCHANGE exemption was granted coterminous
CFR 3020.30 et seq.; Public COMMISSION with the effectiveness of the pilot
Representative: Timothy J. Schwuchow; Program; both the pilot Program and
[Release No. 34–82228; File No. SR–NYSE–
Comments Due: December 14, 2017. 2011–55]
exemption, as previously extended, are
scheduled to expire on December 31,
This notice will be published in the
Self-Regulatory Organizations; New 2017.4
Federal Register. The Exchange now seeks to further
York Stock Exchange LLC; Order
Stacy L. Ruble, Granting an Extension to Limited extend the exemption until June 30,
Secretary. Exemption From Rule 612(c) of 2018.5 The Exchange’s request was
Regulation NMS In Connection With made in conjunction with an
[FR Doc. 2017–26720 Filed 12–11–17; 8:45 am]
the Exchange’s Retail Liquidity immediately effective filing that extends
BILLING CODE 7710–FW–P
Program Until June 30, 2018 the operation of the Program through
the same date.6 In its request to extend
December 7, 2017. the exemption, the Exchange notes that
On July 3, 2012, the Securities and participation in the program has
RAILROAD RETIREMENT BOARD Exchange Commission (‘‘Commission’’) increased recently.7 Accordingly, the
issued an order pursuant to its authority Exchange has asked for additional time
Actuarial Advisory Committee With under Rule 612(c) of Regulation NMS to allow the Exchange and the
Respect to the Railroad Retirement (‘‘Sub-Penny Rule’’) 1 that granted the Commission to analyze more data
Account; Notice of Public Meeting New York Stock Exchange LLC concerning the Program, which the
(‘‘NYSE’’ or ‘‘Exchange’’) a limited Exchange committed to provide to the
Notice is hereby given in accordance exemption from the Sub-Penny Rule in Commission.8 For this reason and the
with Public Law 92–463 that the connection with the operation of the reasons stated in the Order originally
Actuarial Advisory Committee will hold Exchange’s Retail Liquidity Program granting the limited exemption, the
a meeting on December 20, 2017 at (‘‘Program’’).2 The limited exemption Commission finds, pursuant to its
10:00 a.m. at the office of the Chief was granted concurrently with the authority under Rule 612(c) of
Actuary of the U. S. Railroad Retirement Commission’s approval of the Regulation NMS, that extending the
Board, 844 North Rush Street, Chicago, Exchange’s proposal to adopt the exemption is appropriate in the public
Illinois, on the conduct of the 27th Program for a one-year pilot term.3 The interest and consistent with the
Actuarial Valuation of the Railroad protection of investors.
Retirement System. The agenda for this 1 17 CFR 242.612(c) Therefore, it is hereby ordered that,
meeting will include a discussion of the
2 See Securities Exchange Act Release No. 67347 pursuant to Rule 612(c) of Regulation
(July 3, 2012), 77 FR 40673 (July 10, 2012) (SR– NMS, the Exchange is granted a limited
assumptions to be used in the 27th NYSE–2011–55) (‘‘RLP Approval Order’’).
Actuarial Valuation. A report containing 3 See id. The Sub-Penny Exemption was exemption from Rule 612 of Regulation
recommended assumptions and the originally granted by the Commission concurrently NMS that allows it to accept and rank
experience on which the
with the approval of the Program. See id. On July orders priced equal to or greater than
30, 2013, the Exchange requested an extension of $1.00 per share in increments of $0.001,
recommendations are based will have the exemption for the Program. See Letter from
been sent by the Chief Actuary to the Janet McGinness, SVP and Corporate Secretary,
NYSE Euronext, to Elizabeth M. Murphy, Secretary, (March 29, 2016) (SR–NYSE–2016–25). On August
Committee before the meeting. Commission, dated July 30, 2013. The pilot period 8, 2016, the Exchange requested a sixth extension
for the Program was extended until July 31, 2014. of the exemption for the Program. See Letter from
The meeting will be open to the Martha Redding, Associate General Counsel, NYSE,
See Securities Exchange Act Release No. 70096
public. Persons wishing to submit (August 2, 2013), 78 FR 48520 (August 8, 2013) to Brent J. Fields, Secretary, Commission, dated
written statements or make oral (NYSE–2013–48). On July 30, 2014, the Exchange August 8, 2016. The pilot period for the Program
presentations should address their requested a second extension of the exemption for was extended until December 31, 2016. See
the Program. See Letter from Martha Redding, Chief Securities Exchange Act Release No. 78600 (August
communications or notices to the 17, 2016), 81 FR 57642 (August 23, 2016) (SR–
Counsel, NYSE, to Kevin M. O’Neill, Deputy
Actuarial Advisory Committee, c/o Secretary, Commission, dated July 30, 2014. The NYSE–2016–54). On November 28, 2016, the
Chief Actuary, U.S. Railroad Retirement pilot period for the Program was extended until Exchange requested a seventh extension of the
March 31, 2015. See Securities Exchange Act exemption for the Program. See Letter from Martha
Board, 844 North Rush Street, Chicago, Redding, Associate General Counsel, NYSE, to
Release No. 72629 (July 16, 2014), 79 FR 42564
Illinois 60611–1275. (July 22, 2014) (NYSE–2014–35). On February 27, Brent J. Fields, Secretary, Commission, dated
2015, the Exchange requested a third extension of November 28, 2016. The pilot period for the
For the Board. Program was extended until June 30, 2017. See
the exemption for the Program. See Letter from
Dated: December 6, 2017. Martha Redding, Senior Counsel, NYSE, to Brent J. Securities Exchange Act Release No. 79493
Fields, Secretary, Commission, dated February 27, (December 7, 2016), 81 FR 90019 (December 13,
Martha P. Rico, 2016) (SR–NYSE–2016–82). On May 23, 2017, the
2015. The pilot period for the Program was
Secretary to the Board. extended until September 30, 2015. See Securities Exchange requested an eighth extension of the
Exchange Act Release No. 74454 (March 6, 2015), exemption for the Program. See Letter from Martha
[FR Doc. 2017–26683 Filed 12–11–17; 8:45 am] Redding, Associate General Counsel, NYSE, to
80 FR 13054 (March 12, 2015) (SR–NYSE–2015–10).
BILLING CODE 7905–01–P Brent J. Fields, Secretary, Commission, dated May
On September 17, 2015, the Exchange requested a
23, 2017. The pilot period for the Program was
fourth extension of the exemption for the Program.
extended until December 31, 2017. See Securities
See Letter from Martha Redding, Senior Counsel,
Exchange Act Release No. 80844 (June 1, 2017), 82
NYSE, to Brent J. Fields, Secretary, Commission,
FR 26562 (June 7, 2017) (SR–NYSE–2017–26).
dated September 17, 2015. The pilot period for the 4 See Securities Exchange Act Release No. 80844
Program was extended until March 31, 2016. See
Securities Exchange Act Release No. 75993 (June 1, 2017), 82 FR 26562 (June 7, 2017) (SR–
NYSE–2017–26).
ethrower on DSK3G9T082PROD with NOTICES
(September 28, 2015), 80 FR 59844 (October 2,
5 See Letter from Martha Redding, Assistant
2015) (SR–NYSE–2015–41). On March 17, 2016, the
Exchange requested a fifth extension of the Secretary, NYSE, to Brent J. Fields, Secretary,
exemption for the Program. See Letter from Martha Commission, dated November 30, 2017 (‘‘NYSE
Redding, Senior Counsel, NYSE, to Brent J. Fields, Letter’’).
6 See SR–NYSE–2017–64.
Secretary, Commission, dated March 17, 2016. The
7 See NYSE Letter, supra note 5 at 3.
pilot period for the Program was extended until
August 31, 2016. See Securities Exchange Act 8 See RLP Approval Order, supra note 2, 77 FR
Release No. 77426 (March 23, 2016), 81 FR 17533 at 40681.
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![Federal Register / Vol. 82, No. 237 / Tuesday, December 12, 2017 / Notices 58459
in connection with the operation of its Exchange LLC (‘‘NYSE’’ or the A. Self-Regulatory Organization’s
Retail Liquidity Program, until June 30, ‘‘Exchange’’) filed with the Securities Statement of the Purpose of, and the
2018. and Exchange Commission Statutory Basis for, the Proposed Rule
The limited and temporary exemption (‘‘Commission’’) the proposed rule Change
extended by this Order are subject to change as described in Items I and II
modification or revocation if at any time 1. Purpose
below, which Items have been prepared
the Commission determines that such by the self-regulatory organization. The The Exchange proposes to amend the
action is necessary or appropriate in Commission is publishing this notice to Exchange’s Price List to modify the fees
furtherance of the purposes of the solicit comments on the proposed rule related to Partial Cabinet Solution
Securities Exchange Act of 1934. change from interested persons. bundles in connection with the
Responsibility for compliance with Exchange’s co-location services.4
any applicable provisions of the Federal I. Self-Regulatory Organization’s The Exchange offers the four Partial
securities laws must rest with the Statement of the Terms of Substance of Cabinet Solution bundles in order to
persons relying on the exemptions that the Proposed Rule Change attract smaller Users, including those
are the subject of this Order. The Exchange proposes to amend the with minimal power or cabinet space
For the Commission, by the Division of Exchange’s Price List to modify the fees demands or those for which the costs
Trading and Markets, pursuant to delegated related to four bundles of co-location attendant with having a dedicated
authority.9 services (‘‘Partial Cabinet Solution cabinet or greater network connection
Eduardo A. Aleman, bundles’’) in connection with the bandwidth are too burdensome.5
Assistant Secretary. Exchange’s co-location services. The Currently, the Exchange offers Users 6
[FR Doc. 2017–26727 Filed 12–11–17; 8:45 am] Exchange proposes to implement the fee that purchase a Partial Cabinet Solution
BILLING CODE 8011–01–P
changes effective January 1, 2018. The bundle on or before December 31, 2017,
proposed rule change is available on the a 50% reduction in the monthly
Exchange’s website at www.nyse.com, at recurring charges (‘‘MRC’’) for the first
SECURITIES AND EXCHANGE the principal office of the Exchange, and 12 months.7 The Exchange now
COMMISSION at the Commission’s Public Reference proposes to:
Room. • Extend the 50% reduction to those
[Release No. 34–82223; File No. SR–NYSE– Users that purchase a Partial Cabinet
2017–62] II. Self-Regulatory Organization’s
Solution bundle on or before December
Statement of the Purpose of, and
Self-Regulatory Organizations; New 31, 2018; and
Statutory Basis for, the Proposed Rule
York Stock Exchange LLC; Notice of • increase the duration of the
Change
Filing and Immediate Effectiveness of reduction from 12 months to 24 months.
Proposed Rule Change To Amend the In its filing with the Commission, the The Exchange also proposes that
Exchange’s Price List To Modify the self-regulatory organization included Users that already purchased a Partial
Fees Related to Four Bundles of Co- statements concerning the purpose of, Cabinet Solution bundle have the
Location Services in Connection With and basis for, the proposed rule change duration of their 50% reduction
the Exchange’s Co-Location Services and discussed any comments it received increased from 12 months to 24 months
on the proposed rule change. The text as well.8
December 6, 2017. of those statements may be examined at The Exchange proposes to implement
Pursuant to Section 19(b)(1) 1 of the the places specified in Item IV below. the fee changes effective January 1,
Securities Exchange Act of 1934 The Exchange has prepared summaries, 2018.
(‘‘Act’’) 2 and Rule 19b–4 thereunder,3 set forth in sections A, B, and C below, Specifically, the Exchange proposes to
notice is hereby given that, on of the most significant parts of such modify its Price List so that it reads as
November 22, 2017, New York Stock statements. follows:
Type of service Description Amount of charge
Partial Cabinet Solution bundles ....................... Option A: .......................................................... $7,500 initial charge per bundle plus monthly
Note: A User and its Affiliates are limited to 1 kW partial cabinet, 1 LCN connection (1 charge per bundle as follows:
one Partial Cabinet Solution bundle at a Gb), 1 IP network connection (1 Gb), 2 fiber • For Users that order on or before December
time. A User and its Affiliates must have an cross connections and either the Network 31, 2018: $3,000 monthly for first 24 months
Aggregate Cabinet Footprint of 2 kW or less Time Protocol Feed or Precision Timing of service, and $6,000 monthly thereafter
to qualify for a Partial Cabinet Solution bun- Protocol. • For Users that order after December 31,
dle. See Note 2 under ‘‘General Notes.’’. 2018: $6,000 monthly.
9 17 CFR 200.30–3(a)(83). 5 See Securities Exchange Act Release No. 77072 Securities Exchange Act Release No. 70206 (Aug.
1 15 U.S.C. 78s(b)(1). (Feb. 5, 2016), 81 FR 7394 (Feb. 11, 2016) (SR– 15, 2013), 78 FR 51765 (Aug. 21, 2013) (SR–NYSE–
2 15 U.S.C. 78a. NYSE–2015–53). 2013–59).
3 17 CFR 240.19b–4. 6 For purposes of the Exchange’s co-location 7 See Securities Exchange Act Release No. 79715
4 The Exchange initially filed rule changes services, a ‘‘User’’ means any market participant (Dec. 30, 2016), 82 FR 1777 (Jan. 6, 2017) (SR–
ethrower on DSK3G9T082PROD with NOTICES
relating to its co-location services with the that requests to receive co-location services directly NYSE–2016–91).
Securities and Exchange Commission from the Exchange. See Securities Exchange Act 8 For each User that is currently benefitting from
(‘‘Commission’’) in 2010. See Securities Exchange Release No. 76008 (Sept. 29, 2015), 80 FR 60190 the 50% reduction, the additional 12 month period
Act Release No. 62960 (Sept. 21, 2010), 75 FR 59310 (Oct. 5, 2015) (SR–NYSE–2015–40). As specified in with the reduced price would begin when its
(Sept. 27, 2010) (SR–NYSE–2010–56) (the ‘‘Original the Price List, a User that incurs co-location fees for current 12-month period ended. For each User
Co-location Filing’’). The Exchange operates a data a particular co-location service pursuant thereto whose 12-month period with the reduced price has
center in Mahwah, New Jersey (the ‘‘data center’’) would not be subject to co-location fees for the ended, the additional 12-month period would begin
from which it provides co-location services to same co-location service charged by the Exchange’s upon the implementation of the proposed fee
Users. affiliates NYSE MKT LLC and NYSE Arca, Inc. See changes.
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Document Created: 2018-10-25 10:47:26
Document Modified: 2018-10-25 10:47:26
| 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 58458 |
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