83 FR 58795 - Self-Regulatory Organizations; Cboe EDGA Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Relating To Amend the Exchange's Fee Schedule Applicable to its Equities Trading Platform
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 83, Issue 225 (November 21, 2018)
Federal Register Volume 83, Issue 225 (November 21, 2018)
| Page Range | 58795-58798 | |
| FR Document | 2018-25340 |
[Federal Register Volume 83, Number 225 (Wednesday, November 21, 2018)] [Notices] [Pages 58795-58798] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2018-25340] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-84599; File No. SR-CboeEDGA-2018-017] Self-Regulatory Organizations; Cboe EDGA Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Relating To Amend the Exchange's Fee Schedule Applicable to its Equities Trading Platform November 15, 2018. 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 November 1, 2018, EDGA Exchange, Inc. (the ``Exchange'' or ``EDGA'') 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 Exchange. 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. --------------------------------------------------------------------------- I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change Cboe EDGA Exchange, Inc. (``EDGA'' or the ``Exchange'') is filing with the Securities and Exchange Commission (the ``Commission'') a proposed rule change to amend the Exchange's fee schedule applicable to its equities trading platform. The text of the proposed rule change is also available on the Exchange's website (http://www.cboe.com/AboutCBOE/CBOELegalRegulatoryHome.aspx), at the Exchange's Office of the Secretary, 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 [[Page 58796]] 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 amend its fee schedule, effective November 1, 2018, to (i) amend transaction fee rates, (ii) amend the definition for fee code MT, (iii) adopt new Add and Remove Volume Tiers, (iv) amend the threshold under the RMPT/RMPL Tier, and (v) adopt a new Routing Tier. Transaction Fee Changes Orders That Add Liquidity In securities priced at or above $1.00, the Exchange currently charges a fee of $0.00080 per share for Displayed and Non-Displayed orders that add liquidity. All Displayed and Non-Displayed orders in securities priced below $1.00 that add liquidity are free. The Exchange first proposes to increase this transaction fee and assess a standard rate of $0.0030 per share for Displayed and Non-Displayed orders that add liquidity for securities at or above $1.00 that are appended with fee codes B, V, Y, 3, 4, RP, HA, DA, and DM. The Exchange notes that it is not proposing to increase the fee for Non-Displayed orders that add liquidity using Mid-Point Peg, which orders yield fee code MM. All Displayed and Non-Displayed orders in securities priced below $1.00 that add liquidity would continue to be free. Orders That Remove Liquidity In securities priced at or above $1.00, the Exchange currently provides a rebate of $0.00040 per share for Displayed orders that remove liquidity (i.e., yields fee codes N, W, 6 and BB) and provides free executions for Non-Displayed orders that remove liquidity (i.e., yields fee codes DR, DT, HR, and MT). All Displayed and Non-Displayed orders in securities priced below $1.00 that remove liquidity are currently free, with the exception of orders that yield fee codes HR and MT, which result in a fee of 0.05% of dollar value. With respect to Displayed orders priced at or above $1.00 that remove liquidity, the Exchange proposes to increase the per share rebate from $0.00040 to $0.0024 (i.e., yields fee codes N, W, 6, or BB). All Displayed orders in securities priced below $1.00 would continue to be free. With respect to Non-Displayed orders priced at or above $1.00 that remove liquidity, the Exchange proposes to offer a $0.0024 per share rebate for Non-Displayed orders that remove liquidity using MidPoint Discretionary order not within discretionary range (i.e., yields fee code DR). With respect to the Non-Displayed orders priced below $1.00 that remove liquidity (i.e., yields fee code HR) and removes liquidity using MidPoint Peg (i.e., yields fee code MT \3\), the Exchange proposes to eliminate the current fee of 0.05% of dollar value and make these executions free, which will result in all Non-Displayed orders in securities priced below $1.00 being treated the same (i.e., no fees or rebates assessed). --------------------------------------------------------------------------- \3\ The Exchange is proposing to amend the definition of orders that yield fee code MT, as further described in this rule filing. --------------------------------------------------------------------------- Fee Code MT The Exchange also proposes to modify the definition of fee code MT. Currently, fee code MT is appended to all Non-Displayed orders that remove liquidity using Mid Point Peg order type.\4\ The Exchange proposes to modify the types of orders that yield fee code MT, such that fee code MT will be appended to all orders that remove Mid-Point Peg Order liquidity (``Mid-Point Peg liquidity'') from EDGA, (i.e., any order for which a Mid-Point Peg order that adds liquidity (fee code MM) is the contra). The Exchange notes that the proposed amended definition for the MT fee code is the same as the definition (i.e., configuration) for the same fee code (MT) on its affiliate exchange, Cboe BYX Exchange, Inc.\5\ --------------------------------------------------------------------------- \4\ See Cboe EDGA Rule 11.8(d). Mid-Point Peg Orders are non- displayed Market Orders or Limit Orders with an instruction to execute at the midpoint of the NBBO, or, alternatively, pegged to the less aggressive of the midpoint of the NBBO or one minimum price variation inside the same side of the NBBO as the order. \5\ See Cboe BYX Equities Exchange Fee Schedule, Fee Codes and Associated Fees, fee code MT. --------------------------------------------------------------------------- Add/Remove Volume Tiers The Exchange next proposes to adopt an Add Volume Tier, Tier 1 and Remove Volume Tier, Tier 1 (under new footnote 7). Particularly, proposed Add Volume Tier 1 would provide a reduced fee of $0.0026 per share for members that add an ADAV of greater than or equal to 0.10% of the TCV \6\ for orders that add liquidity yielding fee codes 3, 4, B, v and Y. The Exchange proposes to also add language in its Definitions section defining ``ADAV''. Specifically, ADAV shall mean average daily added volume calculated as the number of shares added per day.\7\ The Exchange notes that the proposed definition of ADAV is similar to definitions at other Exchanges, such as its affiliate Exchange, Cboe BYX Exchange, Inc. (``BYX''). Additionally, BYX has a similar Add Volume Tiers that require members to reach ADAV thresholds of the TCV.\8\ The Exchange believes the proposed change will encourage members to increase their liquidity on the Exchange. --------------------------------------------------------------------------- \6\ TCV means total consolidated volume calculated as the volume reported by all exchanges and trade reporting facilities to a consolidated transaction reporting plan for the month for which the fees apply. See Exchange's fee schedule. \7\ Like ADV (which means average daily volume calculated as the number of shares added to, removed from, or routed by, the Exchange (or any subset thereof), ADAV will be calculated on a monthly basis. Additionally, as with ADV, the Exchange will exclude from its calculation of ADAV shares added, removed, or routed on any day that the Exchange's system experiences a disruption that lasts for more than 60 minutes during Regular Trading Hours, on any day with a scheduled early market close, and on the last Friday in June. A member will be able to aggregate ADAV (and ADV) with other Members that control, are controlled by, or are under common control with such Member). \8\ See Cboe BYX Exchange, Inc. Equities Exchange Fee Schedule, Footnote 1. --------------------------------------------------------------------------- The Exchange proposes to adopt Remove Volume Tier 1, which would provide an enhanced rebate of $0.0026 per share for members that (1) has an ADAV of greater than or equal to 0.20% of the TCV and (2) has a remove ADV \9\ greater than or equal to 0.40% of the TCV for orders that remove liquidity yielding fee codes N, W, 6 and BB. The Exchange believes the proposed tier will encourage members to increase their liquidity on the Exchange. The Exchange also notes that other exchanges have similar volume tiers with similar requirements.\10\ --------------------------------------------------------------------------- \9\ 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. See Exchange's fee schedule. \10\ See Nasdaq BX, Inc. (``BX'') Rule 7018, Nasdaq BX Equities System Order Execution and Routing, which provides a credit for orders that meet thresholds relating to accessing liquidity and adding liquidity. See also Cboe BYX U.S. Equities Exchange Fee Schedule, Volume Tier 8 under Footnote 1. --------------------------------------------------------------------------- The Exchange believes the proposed volume requirements under both Add and Remove Volume Tiers 1 are commensurate with the level of the incentives provided. Amend RMPT/RMPL Tier The Exchange currently offers a tier under footnote 1, the RMPT/ RMPL Tier under which a Member receives a discounted fee of $0.0008 per share for orders yielding fee code PX where that Member meets certain required criteria. [[Page 58797]] Fee code PX is appended to orders that are routed using the RMPL routing strategy to a destination not covered by fee code PL, or are routed using the RMPT routing strategy, and are assessed a fee of $0.00120 per share on securities priced over $1.00, and a fee of 30% of the total dollar value on securities priced below $1.00. Under Tier 1, a Member is charged a discounted fee of $0.0008 per share for orders yielding fee code PX where they add or remove an ADV greater than or equal to 4,000,000 shares using the RMPT or RMPL \11\ routing strategies (i.e., yielding fee codes PA, PL, PT and PX). The Exchange proposes amend the ADV requirement of Tier 1 from greater or equal to 4,000,000 shares to 2,000,000 shares. --------------------------------------------------------------------------- \11\ See Cboe EDGA Rule 11.11(g)(13). --------------------------------------------------------------------------- Adopt ROUT Tier The Exchange proposes to also adopt a new routing tier for orders routed using the ROUT strategy \12\ (``ROUT Tier''), under Footnote 1 of the Fees Schedule. Particularly, the Exchange proposes to offer a discounted fee of $0.0026 per share for orders yielding fee code RT where that Member meets certain required criteria. Fee code RT is appended to orders that are routed using the ROUT routing strategy, and are assessed a fee of $0.00280 per share on securities priced over $1.00, and a fee of 30% of the total dollar value on securities priced below $1.00. The Exchange proposes to provide that under ROUT Tier 1, a Member will be charged a discounted fee of $0.0026 per share for orders yielding fee code RT where the Member routes an ADV than or equal to 3,000,000 shares using routing strategy ROUT (i.e., yielding fee codes RT and RX).\13\ In connection the proposed changes, the Exchange proposes to also change the title of Footnote 1 from ``RMPT/RMPL Tiers'' to ``Routing Tiers'' to address both the RMPT/RMPL Tier and the new proposed ROUT Tier. --------------------------------------------------------------------------- \12\ See Cboe EDGA Rule 11.11(g)(3). \13\ Pursuant to the Fees Schedule, variable rates provided by tiers apply only to executions in securities priced at or above $1.00. --------------------------------------------------------------------------- 2. Statutory Basis The Exchange also believes the proposed rule change is consistent with Section 6(b)(4) of the Act, which requires that Exchange rules provide for the equitable allocation of reasonable dues, fees, and other charges among its members and other persons using its facilities. The Exchange believes its proposal to increase rates for Non- Displayed and Displayed orders that add liquidity (other than orders that yield fee code MM) is reasonable because the Exchange must balance the cost of rebates for orders that remove liquidity (and as described above, the Exchange is increasing the rebates provided for orders that remove liquidity). Additionally, the Exchange notes that the proposed fee is similar to, and in line with, transaction fees assessed on other Exchanges.\14\ Additionally the Exchange notes the proposed fee increase applies uniformly to members. --------------------------------------------------------------------------- \14\ See e.g., NYSE Arca Equities, Fees and Charges, NYSE Arca Marketplace: Trade Related Fees and Credits. --------------------------------------------------------------------------- The Exchange believes the proposed increased rebate for Displayed orders that remove liquidity is reasonable, equitable and not unfairly discriminatory because it provides a higher rebate to members and is designed to further incentivize members to bring additional liquidity to the Exchange, thereby promoting price discovery and enhancing order execution opportunities for members. The Exchange believes the proposed changes are equitable and not unfairly discriminatory because they apply equally to all members. Furthermore, the Exchange's inverted fee structure would continue to incentivize liquidity takers since orders that remove liquidity would remain eligible for better pricing-- including increased rebates for displayed orders and free executions for non-displayed orders--than orders that add liquidity and are charged a fee. The Exchange believes the proposal to adopt a rebate for orders that remove liquidity using MidPoint Discretionary Orders not within discretionary range (i.e., orders yielding fee code DR) is reasonable because it provides a rebate to members for these executions they were not otherwise receiving. Additionally, the Exchange notes the proposed rebate is the same as the rebate offered for Displayed orders that remove liquidity. The Exchange notes the proposed rule change applies uniformly to all members. The Exchange believes the proposal to provide free executions for orders priced below $1.00 and yielding fee codes HR and MT is reasonable, because members will no longer be assessed any fees for these particular transactions. The Exchange also notes the proposed change results in all Non-Displayed orders in securities priced below $1.00 being treated the same (i.e., no fees or rebates assessed). The proposed change also applies equally to all members. The Exchange believes the proposed change to the definition for fee code MT is reasonable because orders that currently yield fee code MT (i.e., Non-Displayed Mid-Point Peg orders that remove liquidity) will continue to receive free executions, as going forward they will be appended with either fee code HR (i.e., Non-displayed orders that remove liquidity), if contra to any order that adds liquidity other than Mid-Point Peg orders, or MT (i.e., an order that removes Mid-Point order liquidity), if contra to a Mid-Point Peg order that adds liquidity. Additionally, the proposed rule change is reasonable because all Displayed and Non-Displayed orders that remove a Non-Displayed Mid- Point Peg Order will also receive a free execution. The proposed rule change is equitable and not unfairly discriminatory because it applies to all members. Additionally, as noted above, the proposed definition of fee code MT is the same as the definition used on another exchange.\15\ --------------------------------------------------------------------------- \15\ See Cboe BYX Equities Exchange Fee Schedule, Fee Codes and Associated Fees, fee code MT. --------------------------------------------------------------------------- The Exchange believes the proposal to adopt an Add and Remove Volume Tier, along with a ROUT Tier, is reasonable because it provides members an opportunity to receive a reduced fee or enhanced rebate, depending on the Tier. The Exchange additionally notes that volume- based discounts have been widely adopted by exchanges and are equitable and non-discriminatory 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 of an exchange's market quality; (ii) associated with higher levels of market activity, such as higher levels of liquidity provision and/or growth patterns; and (iii) introduction of higher volumes of orders into the price and volume discovery processes. The proposed required criteria of the Volume Tiers are intended to incentivize Members to send additional orders to the Exchange in an effort to qualify for the reduce fee and enhanced rebate made available by the respective tiers. The Exchange also notes that increased volume on the Exchange provides greater trading opportunities for all market participants. As noted previously, the Exchange also believes the proposed required criteria under the Add and Remove Volume Tiers 1 and ROUT Tier are commensurate with the level of the incentives provided. The Exchange believe that the amendment to the RMPL/RMPT Tier is reasonable and equitable because the amount of the discounted fee is not changing and because the amendment to the required criteria is designed to make it easier for market participants to [[Page 58798]] satisfy the tier and thus receive a discounted rate. The Exchange also believes notwithstanding the proposed change, RMPL/RMPT Tier 1 still attracts additional midpoint liquidity to the Exchange, resulting in increased price improvement opportunities for orders seeking an execution at the midpoint of the NBBO on the Exchange or elsewhere. The Exchange notes that routing through the Exchange is voluntary. The Exchange also believes that the proposed routing tier change is non- discriminatory because it applies uniformly to all members. B. Self-Regulatory Organization's Statement on Burden on Competition The Exchange does not believe that the proposed rule change will result in any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act, as amended. Particularly, the proposed rates and rebates would apply uniformly to all members, and 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. Further, excessive fees would serve to impair an exchange's ability to compete for order flow and members rather than burdening competition. Moreover, the proposed fee changes are designed to incentivize liquidity, which the Exchange believes will benefit all market participants by encouraging a transparent and competitive market. The Exchange operates in a highly competitive market in which market participants can readily direct their order flow to competing venues. In such an environment, the Exchange must continually review, and consider adjusting, its fees and rebates to remain competitive with other exchanges. For the reasons described above, the Exchange believes that the proposed fee changes reflect this competitive environment. C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were either solicited or received. 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 \16\ and paragraph (f) of Rule 19b-4 thereunder.\17\ 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. --------------------------------------------------------------------------- \16\ 15 U.S.C. 78s(b)(3)(A). \17\ 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 Number SR-CboeEDGA-2018-017 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-CboeEDGA-2018-017. 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 this filing will also 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-CboeEDGA-2018-017 and should be submitted on or before December 12, 2018. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\18\ --------------------------------------------------------------------------- \18\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2018-25340 Filed 11-20-18; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 83, No. 225 / Wednesday, November 21, 2018 / Notices 58795
Schedule, including removing obsolete change should be approved or For the Commission, by the Division of
references to products that the Exchange disapproved. Trading and Markets, pursuant to delegated
no longer offers or licenses, together authority.16
IV. Solicitation of Comments Eduardo A. Aleman,
with their associated fees, are
reasonable, equitable, and not unfairly Interested persons are invited to Assistant Secretary.
discriminatory because the changes submit written data, views, and [FR Doc. 2018–25343 Filed 11–20–18; 8:45 am]
provides clarity to the Fee Schedule, arguments concerning the foregoing, BILLING CODE 8011–01–P
and does not affect any current activity including whether the proposed rule
by any ATP Holder. Relatedly, the change is consistent with the Act.
proposed modifications to streamline Comments may be submitted by any of SECURITIES AND EXCHANGE
the text of the Fee Schedule, including the following methods: COMMISSION
by removing the modifier ‘‘Standard’’ to [Release No. 34–84599; File No. SR–
Electronic Comments
delineate on non-Mini Option, would CboeEDGA–2018–017]
likewise add clarity and transparency to • Use the Commission’s internet
the Fee Schedule making it easier for comment form (http://www.sec.gov/ Self-Regulatory Organizations; Cboe
market participants to navigate and rules/sro.shtml); or EDGA Exchange, Inc.; Notice of Filing
comprehend. • Send an email to rule-comments@ and Immediate Effectiveness of a
sec.gov. Please include File Number SR– Proposed Rule Change Relating To
B. Self-Regulatory Organization’s Amend the Exchange’s Fee Schedule
Statement on Burden on Competition NYSEAMER–2018–48 on the subject
line. Applicable to its Equities Trading
In accordance with Section 6(b)(8) of Platform
Paper Comments
the Act,12 the Exchange does not believe November 15, 2018.
that the proposed rule change would • Send paper comments in triplicate Pursuant to Section 19(b)(1) of the
impose any burden on competition that to Brent J. Fields, Secretary, Securities Securities Exchange Act of 1934 (the
is not necessary or appropriate in and Exchange Commission, 100 F Street ‘‘Act’’),1 and Rule 19b–4 thereunder,2
furtherance of the purposes of the Act. NE, Washington, DC 20549–1090. notice is hereby given that on November
Instead, the proposed change is meant 1, 2018, EDGA Exchange, Inc. (the
All submissions should refer to File
to add clarity and transparency to the ‘‘Exchange’’ or ‘‘EDGA’’) filed with the
Number SR–NYSEAMER–2018–48. This
Fee Schedule to the benefit of all market Securities and Exchange Commission
file number should be included on the
participants that trade on the Exchange. (the ‘‘Commission’’) the proposed rule
subject line if email is used. To help the
C. Self-Regulatory Organization’s Commission process and review your change as described in Items I and II
Statement on Comments on the comments more efficiently, please use below, which Items have been prepared
Proposed Rule Change Received From only one method. The Commission will by the Exchange. The Commission is
Members, Participants, or Others post all comments on the Commission’s publishing this notice to solicit
internet website (http://www.sec.gov/ comments on the proposed rule change
No written comments were solicited rules/sro.shtml). Copies of the from interested persons.
or received with respect to the proposed submission, all subsequent I. Self-Regulatory Organization’s
rule change. amendments, all written statements Statement of the Terms of Substance of
III. Date of Effectiveness of the with respect to the proposed rule the Proposed Rule Change
Proposed Rule Change and Timing for change that are filed with the
Commission, and all written Cboe EDGA Exchange, Inc. (‘‘EDGA’’
Commission Action or the ‘‘Exchange’’) is filing with the
communications relating to the
proposed rule change between the Securities and Exchange Commission
The foregoing rule change is effective
Commission and any person, other than (the ‘‘Commission’’) a proposed rule
upon filing pursuant to Section
those that may be withheld from the change to amend the Exchange’s fee
19(b)(3)(A) 13 of the Act and
public in accordance with the schedule applicable to its equities
subparagraph (f)(2) of Rule 19b–4 14
provisions of 5 U.S.C. 552, will be trading platform.
thereunder, because it establishes a due,
available for website viewing and The text of the proposed rule change
fee, or other charge imposed by the
printing in the Commission’s Public is also available on the Exchange’s
Exchange.
Reference Room, 100 F Street NE, website (http://www.cboe.com/
At any time within 60 days of the AboutCBOE/
filing of such proposed rule change, the Washington, DC 20549 on official
business days between the hours of CBOELegalRegulatoryHome.aspx), at
Commission summarily may the Exchange’s Office of the Secretary,
temporarily suspend such rule change if 10:00 a.m. and 3:00 p.m. Copies of the
filing also will be available for and at the Commission’s Public
it appears to the Commission that such Reference Room.
action is necessary or appropriate in the inspection and copying at the principal
public interest, for the protection of office of the Exchange. All comments II. Self-Regulatory Organization’s
investors, or otherwise in furtherance of received will be posted without change. Statement of the Purpose of, and
the purposes of the Act. If the Persons submitting comments are Statutory Basis for, the Proposed Rule
Commission takes such action, the cautioned that we do not redact or edit Change
personal identifying information from
khammond on DSK30JT082PROD with NOTICES
Commission shall institute proceedings In its filing with the Commission, the
under Section 19(b)(2)(B) 15 of the Act to comment submissions. You should
Exchange included statements
determine whether the proposed rule submit only information that you wish
concerning the purpose of and basis for
to make available publicly. All
the proposed rule change and discussed
12 15
submissions should refer to File
U.S.C. 78f(b)(8).
13 15 U.S.C. 78s(b)(3)(A).
Number SR–NYSEAMER–2018–48 and 16 17 CFR 200.30–3(a)(12).
14 17 CFR 240.19b–4(f)(2). should be submitted on or before 1 15 U.S.C. 78s(b)(1).
15 15 U.S.C. 78s(b)(2)(B). December 12, 2018. 2 17 CFR 240.19b–4.
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![58798 Federal Register / Vol. 83, No. 225 / Wednesday, November 21, 2018 / Notices
satisfy the tier and thus receive a of the Act 16 and paragraph (f) of Rule cautioned that we do not redact or edit
discounted rate. The Exchange also 19b–4 thereunder.17 At any time within personal identifying information from
believes notwithstanding the proposed 60 days of the filing of the proposed rule comment submissions. You should
change, RMPL/RMPT Tier 1 still attracts change, the Commission summarily may submit only information that you wish
additional midpoint liquidity to the temporarily suspend such rule change if to make available publicly. All
Exchange, resulting in increased price it appears to the Commission that such submissions should refer to File
improvement opportunities for orders action is necessary or appropriate in the Number SR–CboeEDGA–2018–017 and
seeking an execution at the midpoint of public interest, for the protection of should be submitted on or before
the NBBO on the Exchange or investors, or otherwise in furtherance of December 12, 2018.
elsewhere. The Exchange notes that the purposes of the Act. For the Commission, by the Division of
routing through the Exchange is IV. Solicitation of Comments Trading and Markets, pursuant to delegated
voluntary. The Exchange also believes authority.18
that the proposed routing tier change is Interested persons are invited to
Eduardo A. Aleman,
non-discriminatory because it applies submit written data, views, and
Assistant Secretary.
uniformly to all members. arguments concerning the foregoing,
including whether the proposed rule [FR Doc. 2018–25340 Filed 11–20–18; 8:45 am]
B. Self-Regulatory Organization’s change is consistent with the Act. BILLING CODE 8011–01–P
Statement on Burden on Competition Comments may be submitted by any of
The Exchange does not believe that the following methods:
SECURITIES AND EXCHANGE
the proposed rule change will result in Electronic Comments COMMISSION
any burden on competition that is not
• Use the Commission’s internet
necessary or appropriate in furtherance
comment form (http://www.sec.gov/ [Release No. 34–84602; File No. SR–LCH
of the purposes of the Act, as amended. SA–2018–005]
rules/sro.shtml); or
Particularly, the proposed rates and • Send an email to rule-comments@
rebates would apply uniformly to all sec.gov. Please include File Number SR– Self-Regulatory Organizations; LCH
members, and members may opt to CboeEDGA–2018–017 on the subject SA; Notice of Filing and Immediate
disfavor the Exchange’s pricing if they line. Effectiveness of Proposed Rule
believe that alternatives offer them Change, as Modified by Amendment
better value. Accordingly, the Exchange Paper Comments No. 1, Relating to a New Fee Incentive
does not believe that the proposed • Send paper comments in triplicate Scheme
changes will impair the ability of to Secretary, Securities and Exchange
members or competing venues to November 15, 2018.
Commission, 100 F Street NE,
maintain their competitive standing in Washington, DC 20549–1090. Pursuant to Section 19(b)(1) of the
the financial markets. Further, excessive All submissions should refer to File Securities Exchange Act of 1934
fees would serve to impair an Number SR–CboeEDGA–2018–017. This (‘‘Act’’),1 and Rule 19b–4 thereunder,2
exchange’s ability to compete for order file number should be included on the notice is hereby given that on October
flow and members rather than subject line if email is used. To help the 31, 2018, Banque Centrale de
burdening competition. Moreover, the Commission process and review your Compensation, which conducts
proposed fee changes are designed to comments more efficiently, please use business under the name LCH SA (‘‘LCH
incentivize liquidity, which the only one method. The Commission will SA’’), filed with the Securities and
Exchange believes will benefit all post all comments on the Commission’s Exchange Commission (‘‘Commission’’)
market participants by encouraging a internet website (http://www.sec.gov/ the proposed rule change described in
transparent and competitive market. rules/sro.shtml). Copies of the Items I, II and III below, which Items
The Exchange operates in a highly submission, all subsequent have been prepared by LCH SA. On
competitive market in which market amendments, all written statements November 15, 2018, LCH SA filed
participants can readily direct their with respect to the proposed rule Amendment No. 1 to the proposed rule
order flow to competing venues. In such change that are filed with the change.3 LCH SA filed the proposal
an environment, the Exchange must Commission, and all written pursuant to Section 19(b)(3)(A) of the
continually review, and consider communications relating to the Act,4 and Rule 19b–4(f)(2) 5 thereunder,
adjusting, its fees and rebates to remain proposed rule change between the so that the proposal was effective upon
competitive with other exchanges. For Commission and any person, other than filing with the Commission. The
the reasons described above, the those that may be withheld from the Commission is publishing this notice to
Exchange believes that the proposed fee public in accordance with the solicit comments on the proposed rule
changes reflect this competitive provisions of 5 U.S.C. 552, will be change, as modified by Amendment No.
environment. available for website viewing and 1, from interested persons.
C. Self-Regulatory Organization’s printing in the Commission’s Public I. Clearing Agency’s Statement of the
Statement on Comments on the Reference Room, 100 F Street NE, Terms of Substance of the Proposed
Proposed Rule Change Received From Washington, DC 20549, on official Rule Change
Members, Participants, or Others business days between the hours of
The proposed rule change will
10:00 a.m. and 3:00 p.m. Copies of this
No written comments were either introduce a new fee incentive scheme
khammond on DSK30JT082PROD with NOTICES
filing will also be available for
solicited or received. inspection and copying at the principal 18 17 CFR 200.30–3(a)(12).
III. Date of Effectiveness of the office of the Exchange. All comments 1 15 U.S.C. 78s(b)(1).
Proposed Rule Change and Timing for received will be posted without change. 2 17 CFR 240.19b–4.
Commission Action Persons submitting comments are 3 In Amendment No. 1, LCH SA added to Item II
an additional description of the proposed fees.
The foregoing rule change has become 16 15 U.S.C. 78s(b)(3)(A). 4 15 U.S.C. 78s(b)(3)(A).
effective pursuant to Section 19(b)(3)(A) 17 17 CFR 240.19b–4(f). 5 17 CFR 240.19b–4(f)(2).
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Document Created: 2018-11-21 03:11:22
Document Modified: 2018-11-21 03:11:22
| 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 58795 |
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