83 FR 53347 - Self-Regulatory Organizations; NYSE National, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Its Schedule of Fees To Adopt the Same Billing Dispute Practice as the Exchange's Affiliates and Other Exchanges
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 83, Issue 204 (October 22, 2018)
Federal Register Volume 83, Issue 204 (October 22, 2018)
| Page Range | 53347-53349 | |
| FR Document | 2018-22903 |
[Federal Register Volume 83, Number 204 (Monday, October 22, 2018)] [Notices] [Pages 53347-53349] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2018-22903] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-84430; File No. SR-NYSENAT-2018-23] Self-Regulatory Organizations; NYSE National, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Its Schedule of Fees To Adopt the Same Billing Dispute Practice as the Exchange's Affiliates and Other Exchanges October 16, 2018. Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby given that on October 3, 2018, NYSE National, Inc. (the ``Exchange'' or ``NYSE National'') filed with the Securities and Exchange Commission (the ``Commission'') the proposed rule change as described in Items I and II below, which Items have been prepared by the self-regulatory organization. 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\ 15 U.S.C. 78a. \3\ 17 CFR 240.19b-4. --------------------------------------------------------------------------- I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes to amend its Schedule of Fees and Rebates to adopt the same billing dispute practice as the Exchange's affiliates and other exchanges. The proposed rule change is available on the Exchange's website at www.nyse.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 self-regulatory organization 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 those 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 amend its Schedule of Fees and Rebates to adopt the same billing dispute practice as the Exchange's affiliates and other exchanges. As discussed below, the proposed provision would be identical to provision [sic] in the fee schedules of the Exchange's affiliates the New York Stock Exchange LLC (``NYSE''), NYSE Arca, Inc. (``NYSE Arca''), and NYSE American LLC (``NYSE American'') as well as other equities and options exchanges. Background The Exchange proposes to amend its Schedule of Fees and Rebates to adopt a billing procedure to prevent ETP Holders from contesting their bills long after they have been sent an invoice. The procedure proposed by the Exchange is the same as that in place at the Exchange's equities and options affiliates \4\ and substantially the same as that in place at other equities and options exchanges.\5\ --------------------------------------------------------------------------- \4\ See New York Stock Exchange Price List 2018, available at https://www.nyse.com/publicdocs/nyse/markets/nyse/NYSE_Price_List.pdf (``All fee disputes concerning fees billed by the Exchange must be submitted to the Exchange in writing and must be accompanied by supporting documentation. All fee disputes must be submitted no later than sixty (60) days after receipt of a billing invoice''); NYSE Arca Equities Fees and Charges, available at https://www.nyse.com/publicdocs/nyse/markets/nyse-arca/NYSE_Arca_Marketplace_Fees.pdf (same); NYSE Arca Options Fees and Charges, available at https://www.nyse.com/publicdocs/nyse/markets/arca-options/NYSE_Arca_Options_Fee_Schedule.pdf (same); NYSE American Equities Price List, available at https://www.nyse.com/publicdocs/nyse/markets/nyse-american/NYSE_America_Equities_Price_List.pdf (same); and NYSE American Options Fee Schedule, available at https://www.nyse.com/publicdocs/nyse/markets/american-options/NYSE_American_Options_Fee_Schedule.pdf (same). \5\ See NASDAQ Equity Rule 7007(b) (All pricing disputes concerning fees or rebates, which are listed in paragraph (a), which are billed by the Exchange must be submitted to the Exchange in writing and must be accompanied by supporting documentation and all pricing disputes must be submitted no later than sixty (60) days after receipt of a billing invoice); NASDAQ Options Rules, Chapter XV, Sect. 7 (same); NASDAQ BX Options Rules, Chapter XV (Options Pricing), Sec. 7(b)[sic] (BX Options Fee Disputes) (same); NASDAQ PHLX LLC Pricing Schedule, available at http://nasdaqtrader.com/Micro.aspx?id=PHLXPricing (same); NASDAQ ISE Schedule of Fees Preface, available at http://ise.cchwallstreet.com/tools/PlatformViewer.asp?selectednode=chp_1_1_1&manual=%2Fcontents%2Fise%2Fise-fee%2F (same); NASDAQ GEMX Schedule of Fees, available at http://nasdaqgemx.cchwallstreet.com/tools/PlatformViewer.asp?selectednode=chp_1_1_1&manual=%2Fcontents%2Fgemx%2Fise-fee-gemx%2F (same); NASDAQ MRX Schedule of Fees, available at http://nasdaqmrx.cchwallstreet.com/tools/PlatformViewer.asp?selectednode=chp_1_1_1&manual=%2Fcontents%2Fmrx%2Fise-fee-mrx%2F (same); MIAX Options Fee Schedule, available at https://www.miaxoptions.com/sites/default/files/fee_schedule-files/MIAX_Options_Fee_Schedule_08072018.pdf (same); and MIAX Pearl Fee Schedule, available at https://www.miaxoptions.com/sites/default/files/fee_schedule-files/MIAX_Options_Fee_Schedule_08072018.pdf (same). --------------------------------------------------------------------------- [[Page 53348]] As proposed, all fee disputes concerning fees billed by the Exchange would have to be submitted to the Exchange in writing and accompanied by supporting documentation. Further, all fee disputes would have be [sic] submitted no later than sixty (60) days after receipt of a billing invoice. After sixty days, all fees assessed by the Exchange would be considered final. The Exchange believes that this requirement, which is the same as that in place at the Exchange's equities and options market affiliates,\6\ will streamline the billing dispute process. --------------------------------------------------------------------------- \6\ See note 4, supra. --------------------------------------------------------------------------- The Exchange believes it is reasonable for ETP Holders to become aware of any potential billing errors within sixty calendar days of receiving an invoice. Requiring that ETP Holders dispute an invoice within this time period will encourage ETP Holders to review their invoices promptly so that any disputed charges can be addressed in a timely manner while the information and data underlying those charges (e.g., applicable fees and order information) is still easily and readily available. This practice will avoid issues that may arise when ETP Holders do not dispute an invoice in a timely manner, and will conserve Exchange resources that would have to be expended to resolve untimely billing disputes.\7\ --------------------------------------------------------------------------- \7\ The same rationale has been advanced by the other markets that have adopted the proposed billing procedure. See, e.g., Securities Exchange Act Release No. 71286 [sic] (January 14, 2014), 79 FR 3442, 3442 (January 21, 2014) (SR-ISE-2014-02). --------------------------------------------------------------------------- In order for ETP Holders to be fully aware of this rule regarding fee disputes, the Exchange proposes to include the language proposed for the Schedule of Fees and Rebates in each customer invoice. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with Section 6(b) of the Act,\8\ in general, and furthers the objectives of Sections 6(b)(4) and 6(b)(5) of the Act,\9\ in particular, because it provides for the equitable allocation of reasonable dues, fees, and other charges among its members, issuers and other persons using its facilities and does not unfairly discriminate between customers, issuers, brokers or dealers, and because it is designed to promote just and equitable principles of trade, to remove impediments to and perfect the mechanism of a free and open market and a national market system, and, in general, to protect investors and the public interest. --------------------------------------------------------------------------- \8\ 15 U.S.C. 78f(b). \9\ 15 U.S.C. 78f(b)(4) & (5). --------------------------------------------------------------------------- The Exchange believes the requirement to submit all billing disputes in writing, and with supporting documentation, within sixty days from receipt of the invoice, is reasonable because the Exchange provides ample tools to properly and swiftly monitor and account for various charges incurred in a given month. Also, the proposal is equitable and not unfairly discriminatory because it applies equally to all ETP Holders. The proposed provision regarding fee disputes in the Schedule of Fees and Rebates promotes the protection of investors and the public interest by providing a clear and concise mechanism in Exchange Rules for ETP Holders to dispute fees and for the Exchange to review such disputes in a timely manner. In addition, the proposed 60- day limitation is fair and equitable because it will be implemented prospectively on all ETP Holders, only applying to invoices issued after the proposed rule change becomes operative. Moreover, the proposed billing dispute language, which will lower the Exchange's administrative burden, is the same as the billing dispute language adopted by the NYSE Affiliates as well as other exchanges.\10\ --------------------------------------------------------------------------- \10\ See notes 4-5, supra. --------------------------------------------------------------------------- For the foregoing reasons, the Exchange believes that the proposal is consistent with the Act. B. Self-Regulatory Organization's Statement on Burden on Competition In accordance with Section 6(b)(8) of the Act,\11\ the Exchange believes that the proposed rule change would not impose any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. The proposed rule change, which would apply equally to all ETP Holders, would establish a clear process for billing disputes, and is the same as rules adopted by the Exchange's affiliates as well as other exchanges. Because the market for order execution and routing is extremely competitive, ETP Holders may readily opt to disfavor the Exchange if they believe that alternatives offer them better value. The Exchange does not believe the proposed changes will impair the ability of ETP Holders or competing order execution venues to maintain their competitive standing in the financial markets. Moreover, because the Exchange does not propose to alter or modify specific fees or credits applicable to ETP Holders, the proposal does not impose any burden on competition. --------------------------------------------------------------------------- \11\ 15 U.S.C. 78f(b)(8). --------------------------------------------------------------------------- C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were solicited or received with respect to the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The Exchange has filed the proposed rule change pursuant to Section 19(b)(3)(A)(iii) of the Act \12\ and Rule 19b-4(f)(6) thereunder.\13\ Because the proposed rule change does not: (i) Significantly affect the protection of investors or the public interest; (ii) impose any significant burden on competition; and (iii) become operative prior to 30 days from the date on which it was filed, or such shorter time as the Commission may designate, if consistent with the protection of investors and the public interest, the proposed rule change has become effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b- 4(f)(6)(iii) thereunder.\14\ --------------------------------------------------------------------------- \12\ 15 U.S.C. 78s(b)(3)(A)(iii). \13\ 17 CFR 240.19b-4(f)(6). \14\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6) requires a self-regulatory organization to give the Commission written notice of its intent to file the proposed rule change at least five business days prior to the date of filing of the proposed rule change, or such shorter time as designated by the Commission. The Exchange has satisfied this requirement. --------------------------------------------------------------------------- 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 under Section 19(b)(2)(B) \15\ of the Act to determine whether the proposed rule change should be approved or disapproved. --------------------------------------------------------------------------- \15\ 15 U.S.C. 78s(b)(2)(B). --------------------------------------------------------------------------- IV. Solicitation of Comments Interested persons are invited to submit written data, views, and [[Page 53349]] 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 rule-comments@sec.gov. Please include File Number SR-NYSENAT-2018-23 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-NYSENAT-2018-23. 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 website (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 website 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. Persons submitting comments are cautioned that we do not redact or edit personal identifying information from comment submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR-NYSENAT-2018-23 and should be submitted on or before November 13, 2018. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\16\ --------------------------------------------------------------------------- \16\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2018-22903 Filed 10-19-18; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 83, No. 204 / Monday, October 22, 2018 / Notices 53347
Electronic Comments SECURITIES AND EXCHANGE A. Self-Regulatory Organization’s
COMMISSION Statement of the Purpose of, and the
• Use the Commission’s internet Statutory Basis for, the Proposed Rule
comment form (http://www.sec.gov/ Change
rules/sro.shtml); or [Release No. 34–84430; File No. SR–
NYSENAT–2018–23] 1. Purpose
• Send an email to rule-comments@
sec.gov. Please include File Number SR– Self-Regulatory Organizations; NYSE The Exchange proposes to amend its
CboeBZX–2018–076 on the subject line. National, Inc.; Notice of Filing and Schedule of Fees and Rebates to adopt
Immediate Effectiveness of Proposed the same billing dispute practice as the
Paper Comments Exchange’s affiliates and other
Rule Change To Amend Its Schedule of
exchanges. As discussed below, the
• Send paper comments in triplicate Fees To Adopt the Same Billing
proposed provision would be identical
to Secretary, Securities and Exchange Dispute Practice as the Exchange’s
to provision [sic] in the fee schedules of
Commission, 100 F Street NE, Affiliates and Other Exchanges the Exchange’s affiliates the New York
Washington, DC 20549–1090. Stock Exchange LLC (‘‘NYSE’’), NYSE
October 16, 2018.
All submissions should refer to File Arca, Inc. (‘‘NYSE Arca’’), and NYSE
Pursuant to Section 19(b)(1) 1 of the American LLC (‘‘NYSE American’’) as
Number SR–CboeBZX–2018–076. This
Securities Exchange Act of 1934 (the well as other equities and options
file number should be included on the
‘‘Act’’) 2 and Rule 19b–4 thereunder,3 exchanges.
subject line if email is used. To help the
notice is hereby given that on October
Commission process and review your Background
3, 2018, NYSE National, Inc. (the
comments more efficiently, please use
‘‘Exchange’’ or ‘‘NYSE National’’) filed The Exchange proposes to amend its
only one method. The Commission will
with the Securities and Exchange Schedule of Fees and Rebates to adopt
post all comments on the Commission’s
Commission (the ‘‘Commission’’) the a billing procedure to prevent ETP
internet website (http://www.sec.gov/
proposed rule change as described in Holders from contesting their bills long
rules/sro.shtml). Copies of the
Items I and II below, which Items have after they have been sent an invoice.
submission, all subsequent
been prepared by the self-regulatory The procedure proposed by the
amendments, all written statements Exchange is the same as that in place at
with respect to the proposed rule organization. The Commission is
publishing this notice to solicit the Exchange’s equities and options
change that are filed with the affiliates 4 and substantially the same as
Commission, and all written comments on the proposed rule change
from interested persons. that in place at other equities and
communications relating to the options exchanges.5
proposed rule change between the I. Self-Regulatory Organization’s
Commission and any person, other than Statement of the Terms of Substance of 4 See New York Stock Exchange Price List 2018,
those that may be withheld from the the Proposed Rule Change available at https://www.nyse.com/publicdocs/nyse/
public in accordance with the markets/nyse/NYSE_Price_List.pdf (‘‘All fee
disputes concerning fees billed by the Exchange
provisions of 5 U.S.C. 552, will be The Exchange proposes to amend its must be submitted to the Exchange in writing and
available for website viewing and Schedule of Fees and Rebates to adopt must be accompanied by supporting
printing in the Commission’s Public the same billing dispute practice as the documentation. All fee disputes must be submitted
no later than sixty (60) days after receipt of a billing
Reference Room, 100 F Street NE, Exchange’s affiliates and other invoice’’); NYSE Arca Equities Fees and Charges,
Washington, DC 20549, on official exchanges. The proposed rule change is available at https://www.nyse.com/publicdocs/nyse/
business days between the hours of available on the Exchange’s website at markets/nyse-arca/NYSE_Arca_Marketplace_
10:00 a.m. and 3:00 p.m. Copies of this www.nyse.com, at the principal office of Fees.pdf (same); NYSE Arca Options Fees and
Charges, available at https://www.nyse.com/
filing will also be available for the Exchange, and at the Commission’s publicdocs/nyse/markets/arca-options/NYSE_Arca_
inspection and copying at the principal Public Reference Room. Options_Fee_Schedule.pdf (same); NYSE American
office of the Exchange. All comments Equities Price List, available at https://
II. Self-Regulatory Organization’s www.nyse.com/publicdocs/nyse/markets/nyse-
received will be posted without change. american/NYSE_America_Equities_Price_List.pdf
Statement of the Purpose of, and
Persons submitting comments are (same); and NYSE American Options Fee Schedule,
Statutory Basis for, the Proposed Rule
cautioned that we do not redact or edit available at https://www.nyse.com/publicdocs/nyse/
personal identifying information from Change markets/american-options/NYSE_American_
Options_Fee_Schedule.pdf (same).
comment submissions. You should In its filing with the Commission, the 5 See NASDAQ Equity Rule 7007(b) (All pricing
submit only information that you wish self-regulatory organization included disputes concerning fees or rebates, which are listed
to make available publicly. All statements concerning the purpose of, in paragraph (a), which are billed by the Exchange
submissions should refer to File must be submitted to the Exchange in writing and
and basis for, the proposed rule change must be accompanied by supporting documentation
Number SR–CboeBZX–2018–076 and and discussed any comments it received and all pricing disputes must be submitted no later
should be submitted on or before on the proposed rule change. The text than sixty (60) days after receipt of a billing
November 13, 2018. of those statements may be examined at
invoice); NASDAQ Options Rules, Chapter XV,
Sect. 7 (same); NASDAQ BX Options Rules, Chapter
For the Commission, by the Division of the places specified in Item IV below. XV (Options Pricing), Sec. 7(b)[sic] (BX Options Fee
Trading and Markets, pursuant to delegated The Exchange has prepared summaries, Disputes) (same); NASDAQ PHLX LLC Pricing
authority.33 Schedule, available at http://nasdaqtrader.com/
set forth in sections A, B, and C below, Micro.aspx?id=PHLXPricing (same); NASDAQ ISE
daltland on DSKBBV9HB2PROD with NOTICES
of the most significant parts of such Schedule of Fees Preface, available at http://
Eduardo A. Aleman, statements. ise.cchwallstreet.com/tools/PlatformViewer.asp?
selectednode=chp_1_1_1&manual=%2Fcontents
Assistant Secretary. %2Fise%2Fise-fee%2F (same); NASDAQ GEMX
[FR Doc. 2018–22909 Filed 10–19–18; 8:45 am] Schedule of Fees, available at http://
BILLING CODE 8011–01–P 1 15
nasdaqgemx.cchwallstreet.com/tools/
U.S.C. 78s(b)(1).
PlatformViewer.asp?selectednode=chp_1_1_
2 15 U.S.C. 78a. 1&manual=%2Fcontents%2Fgemx%2Fise-fee-
33 17 CFR 200.30–3(a)(12). 3 17 CFR 240.19b–4. Continued
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![53348 Federal Register / Vol. 83, No. 204 / Monday, October 22, 2018 / Notices
As proposed, all fee disputes using its facilities and does not unfairly Exchange does not believe the proposed
concerning fees billed by the Exchange discriminate between customers, changes will impair the ability of ETP
would have to be submitted to the issuers, brokers or dealers, and because Holders or competing order execution
Exchange in writing and accompanied it is designed to promote just and venues to maintain their competitive
by supporting documentation. Further, equitable principles of trade, to remove standing in the financial markets.
all fee disputes would have be [sic] impediments to and perfect the Moreover, because the Exchange does
submitted no later than sixty (60) days mechanism of a free and open market not propose to alter or modify specific
after receipt of a billing invoice. After and a national market system, and, in fees or credits applicable to ETP
sixty days, all fees assessed by the general, to protect investors and the Holders, the proposal does not impose
Exchange would be considered final. public interest. any burden on competition.
The Exchange believes that this The Exchange believes the
requirement to submit all billing C. Self-Regulatory Organization’s
requirement, which is the same as that Statement on Comments on the
in place at the Exchange’s equities and disputes in writing, and with supporting
documentation, within sixty days from Proposed Rule Change Received From
options market affiliates,6 will Members, Participants, or Others
streamline the billing dispute process. receipt of the invoice, is reasonable
The Exchange believes it is reasonable because the Exchange provides ample No written comments were solicited
for ETP Holders to become aware of any tools to properly and swiftly monitor or received with respect to the proposed
potential billing errors within sixty and account for various charges rule change.
calendar days of receiving an invoice. incurred in a given month. Also, the III. Date of Effectiveness of the
Requiring that ETP Holders dispute an proposal is equitable and not unfairly Proposed Rule Change and Timing for
invoice within this time period will discriminatory because it applies Commission Action
encourage ETP Holders to review their equally to all ETP Holders. The
proposed provision regarding fee The Exchange has filed the proposed
invoices promptly so that any disputed
disputes in the Schedule of Fees and rule change pursuant to Section
charges can be addressed in a timely
Rebates promotes the protection of 19(b)(3)(A)(iii) of the Act 12 and Rule
manner while the information and data
investors and the public interest by 19b–4(f)(6) thereunder.13 Because the
underlying those charges (e.g.,
providing a clear and concise proposed rule change does not: (i)
applicable fees and order information) is
mechanism in Exchange Rules for ETP Significantly affect the protection of
still easily and readily available. This
Holders to dispute fees and for the investors or the public interest; (ii)
practice will avoid issues that may arise
Exchange to review such disputes in a impose any significant burden on
when ETP Holders do not dispute an competition; and (iii) become operative
invoice in a timely manner, and will timely manner. In addition, the
proposed 60-day limitation is fair and prior to 30 days from the date on which
conserve Exchange resources that would it was filed, or such shorter time as the
have to be expended to resolve untimely equitable because it will be
implemented prospectively on all ETP Commission may designate, if
billing disputes.7 consistent with the protection of
In order for ETP Holders to be fully Holders, only applying to invoices
issued after the proposed rule change investors and the public interest, the
aware of this rule regarding fee disputes,
becomes operative. Moreover, the proposed rule change has become
the Exchange proposes to include the
proposed billing dispute language, effective pursuant to Section 19(b)(3)(A)
language proposed for the Schedule of of the Act and Rule 19b–4(f)(6)(iii)
Fees and Rebates in each customer which will lower the Exchange’s
administrative burden, is the same as thereunder.14
invoice. At any time within 60 days of the
the billing dispute language adopted by
2. Statutory Basis the NYSE Affiliates as well as other filing of such proposed rule change, the
Commission summarily may
The Exchange believes that the exchanges.10
For the foregoing reasons, the temporarily suspend such rule change if
proposed rule change is consistent with
Exchange believes that the proposal is it appears to the Commission that such
Section 6(b) of the Act,8 in general, and
consistent with the Act. action is necessary or appropriate in the
furthers the objectives of Sections
public interest, for the protection of
6(b)(4) and 6(b)(5) of the Act,9 in B. Self-Regulatory Organization’s investors, or otherwise in furtherance of
particular, because it provides for the Statement on Burden on Competition the purposes of the Act. If the
equitable allocation of reasonable dues,
In accordance with Section 6(b)(8) of Commission takes such action, the
fees, and other charges among its
the Act,11 the Exchange believes that the Commission shall institute proceedings
members, issuers and other persons
proposed rule change would not impose under Section 19(b)(2)(B) 15 of the Act to
gemx%2F (same); NASDAQ MRX Schedule of Fees, any burden on competition that is not determine whether the proposed rule
available at http://nasdaqmrx.cchwallstreet.com/ necessary or appropriate in furtherance change should be approved or
tools/PlatformViewer.asp?selectednode=chp_1_1_ of the purposes of the Act. The disapproved.
1&manual=%2Fcontents%2Fmrx%2Fise-fee-
mrx%2F (same); MIAX Options Fee Schedule,
proposed rule change, which would IV. Solicitation of Comments
available at https://www.miaxoptions.com/sites/ apply equally to all ETP Holders, would
default/files/fee_schedule-files/MIAX_Options_Fee_ establish a clear process for billing Interested persons are invited to
Schedule_08072018.pdf (same); and MIAX Pearl disputes, and is the same as rules submit written data, views, and
Fee Schedule, available at https://
www.miaxoptions.com/sites/default/files/fee_
adopted by the Exchange’s affiliates as 12 15 U.S.C. 78s(b)(3)(A)(iii).
schedule-files/MIAX_Options_Fee_Schedule_ well as other exchanges. Because the 13 17 CFR 240.19b–4(f)(6).
08072018.pdf (same). market for order execution and routing
daltland on DSKBBV9HB2PROD with NOTICES
14 17 CFR 240.19b–4(f)(6). In addition, Rule 19b–
6 See note 4, supra.
is extremely competitive, ETP Holders 4(f)(6) requires a self-regulatory organization to give
7 The same rationale has been advanced by the
may readily opt to disfavor the the Commission written notice of its intent to file
other markets that have adopted the proposed the proposed rule change at least five business days
billing procedure. See, e.g., Securities Exchange Act
Exchange if they believe that
prior to the date of filing of the proposed rule
Release No. 71286 [sic] (January 14, 2014), 79 FR alternatives offer them better value. The change, or such shorter time as designated by the
3442, 3442 (January 21, 2014) (SR–ISE–2014–02). Commission. The Exchange has satisfied this
8 15 U.S.C. 78f(b). 10 See notes 4–5, supra. requirement.
9 15 U.S.C. 78f(b)(4) & (5). 11 15 U.S.C. 78f(b)(8). 15 15 U.S.C. 78s(b)(2)(B).
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arguments concerning the foregoing, For the Commission, by the Division of concerning the purpose of and basis for
including whether the proposed rule Trading and Markets, pursuant to delegated the proposed rule change and discussed
authority.16 any comments it received on the
change is consistent with the Act.
Comments may be submitted by any of Eduardo A. Aleman, proposed rule change. The text of these
the following methods: Assistant Secretary. statements may be examined at the
[FR Doc. 2018–22903 Filed 10–19–18; 8:45 am] places specified in Item IV below. The
Electronic Comments BILLING CODE 8011–01–P Exchange has prepared summaries, set
forth in Sections A, B, and C below, of
• Use the Commission’s internet
the most significant parts of such
comment form (http://www.sec.gov/ SECURITIES AND EXCHANGE statements.
rules/sro.shtml); or COMMISSION
A. Self-Regulatory Organization’s
• Send an email to rule-comments@ [Release No. 34–84431; File No. SR– Statement of the Purpose of, and the
sec.gov. Please include File Number SR– CboeEDGX–2018–046] Statutory Basis for, the Proposed Rule
NYSENAT–2018–23 on the subject line. Change
Self-Regulatory Organizations; Cboe
Paper Comments EDGX Exchange, Inc.; Notice of Filing 1. Purpose
• Send paper comments in triplicate and Immediate Effectiveness of a The EDGX Equities fee schedule offers
to Secretary, Securities and Exchange Proposed Rule Change Related to Fees seven Add Volume Tiers that provide
for Use on Cboe EDGX Exchange, Inc. enhanced rebates, ranging from of
Commission, 100 F Street NE,
Washington, DC 20549–1090. October 16, 2018. $0.0025 to $0.0032 per share, for
Pursuant to Section 19(b)(1) of the displayed orders that add liquidity in
All submissions should refer to File Tapes A, B, and C and yield fee codes
Securities Exchange Act of 1934 (the
Number SR–NYSENAT–2018–23. This B,5 V,6 Y,7 3 8 and 4.9 The purpose of
‘‘Act’’),1 and Rule 19b–4 thereunder,2
file number should be included on the the proposed rule change is to amend
notice is hereby given that on October
subject line if email is used. To help the 1, 2018, Cboe EDGX Exchange, Inc. (the the EDGX Equities fee schedule to
Commission process and review your ‘‘Exchange’’ or ‘‘EDGX’’) filed with the eliminate the Investor Depth Tier as this
comments more efficiently, please use Securities and Exchange Commission tier has not been successful in attracting
only one method. The Commission will (‘‘Commission’’) the proposed rule the required order flow to the Exchange.
post all comments on the Commission’s change as described in Items I, II and III Currently, under the Investor Depth Tier
internet website (http://www.sec.gov/ below, which Items have been prepared a Member is eligible for an enhanced
rules/sro.shtml). Copies of the by the Exchange. The Exchange has rebate of $0.0031 per share where that
submission, all subsequent designated the proposed rule change as Member: (i) Adds an average daily
amendments, all written statements one establishing or changing a member volume (‘‘ADV’’) 10 greater than or equal
with respect to the proposed rule due, fee, or other charge imposed by the to 0.12% of the total consolidated
change that are filed with the Exchange under Section 19(b)(3)(A)(ii) volume (‘‘TCV’’); 11 (ii) has an ‘‘added
of the Act 3 and Rule 19b–4(f)(2) liquidity’’ as a percentage of ‘‘added
Commission, and all written
thereunder,4 which renders the plus removed liquidity’’ greater than or
communications relating to the
proposed rule change effective upon equal to 85%; and (iii) adds an ADV
proposed rule change between the greater than or equal to 400,000 shares
Commission and any person, other than filing with the Commission. The
Commission is publishing this notice to as non-displayed orders that yield fee
those that may be withheld from the code HA,12 HI,13 and/or MM.14 The
public in accordance with the solicit comments on the proposed rule
change from interested persons. Investor Depth Tier was designed to
provisions of 5 U.S.C. 552, will be encourage Members to bring a
available for website viewing and I. Self-Regulatory Organization’s
printing in the Commission’s Public Statement of the Terms of Substance of 5 ‘‘B’’ is associated with displayed orders that add
Reference Room, 100 F Street NE, the Proposed Rule Change liquidity on EDGX for Tape B.
6 ‘‘V’’ is associated with displayed orders that add
Washington, DC 20549 on official The Exchange filed a proposal to liquidity on EDGX for Tape A.
business days between the hours of amend the Exchange’s fee schedule 7 ‘‘Y’’ is associated with displayed orders that add
10:00 a.m. and 3:00 p.m. Copies of the applicable to its equities trading liquidity on EDGX for Tape C.
filing also will be available for platform (‘‘EDGX Equities’’) to eliminate 8 ‘‘3’’ is associated with displayed orders that add
inspection and copying at the principal the Investor Depth Tier. liquidity on EDGX for Tape A or C during the post-
The text of the proposed rule change market or pre-market trading sessions.
office of the Exchange. All comments 9 ‘‘4’’ is associated with displayed orders that add
received will be posted without change. is available at the Exchange’s website at liquidity on EDGX for Tape B during the post-
Persons submitting comments are www.markets.cboe.com, at the principal market or pre-market trading sessions.
cautioned that we do not redact or edit office of the Exchange, and at the 10 ‘‘ADV’’ means average daily volume calculated
personal identifying information from Commission’s Public Reference Room. as the number of shares added to, removed from,
or routed by, the Exchange, or any combination or
comment submissions. You should II. Self-Regulatory Organization’s subset thereof, per day. ADV is calculated on a
submit only information that you wish Statement of the Purpose of, and monthly basis.
11 ‘‘TCV’’ means total consolidated volume
to make available publicly. All Statutory Basis for, the Proposed Rule
calculated as the volume reported by all exchanges
submissions should refer to File Change and trade reporting facilities to a consolidated
Number SR–NYSENAT–2018–23 and In its filing with the Commission, the transaction reporting plan for the month for which
daltland on DSKBBV9HB2PROD with NOTICES
should be submitted on or before the fees apply.
Exchange included statements 12 ‘‘HA’’ is associated with non-displayed orders
November 13, 2018.
that add liquidity on EDGX.
16 17 CFR 200.30–3(a)(12). 13 ‘‘HI’’ is associated with non-displayed orders
1 15 U.S.C. 78s(b)(1). that add liquidity on EDGX and receive price
2 17 CFR 240.19b–4.
improvement.
3 15 U.S.C. 78s(b)(3)(A)(ii). 14 ‘‘MM’’ is associated with non-displayed orders
4 17 CFR 240.19b–4(f)(2). that add liquidity on EDGX using a Mid-Point Peg.
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Document Created: 2018-10-20 01:50:34
Document Modified: 2018-10-20 01:50:34
| 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 | 83 FR 53347 |
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