Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Clarify Rule 7018(a) with Respect to Execution and Routing of Orders in Securities Priced at $1 or More Per Share, 70256-70258 [2014-27844]
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70256
Federal Register / Vol. 79, No. 227 / Tuesday, November 25, 2014 / Notices
competitors are free to modify their own
fees in response, and because market
participants may readily adjust their
order routing practices, NASDAQ
believes that the degree to which fee
changes in this market may impose any
burden on competition is extremely
limited. In this instance, the changes to
routing fees and credits do not impose
a burden on competition because
NASDAQ’s routing services are optional
and are the subject of competition from
other exchanges and broker-dealers that
offer routing services, as well as the
ability of members to develop their own
routing capabilities. The slightly
increased fees for execution in the
NASDAQ crosses are reflective of a need
to support and improve NASDAQ
systems, which in turn benefit market
quality and ultimately, competition. In
sum, if the changes proposed herein are
unattractive to market participants, it is
likely that NASDAQ will lose market
share as a result.
Accordingly, NASDAQ does not
believe that the proposed changes will
impair the ability of members or
competing order execution venues to
maintain their competitive standing in
the financial markets.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants or Others
Written comments were neither
solicited nor received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing change has become
effective pursuant to Section
19(b)(3)(A)(ii) of the Act.7 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.
wreier-aviles on DSK4TPTVN1PROD with NOTICES
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 Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an email to rulecomments@sec.gov. Please include File
Number SR–NASDAQ–2014–108 on the
subject line.
Paper Comments
• Send paper comments in triplicate
to Brent J. Fields, Secretary, Securities
and Exchange Commission, 100 F Street
NE., Washington, DC 20549.
All submissions should refer to File
Number SR–NASDAQ–2014–108. This
file number should be included on the
subject line if email is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for Web site viewing and
printing in the Commission’s Public
Reference Room, 100 F Street NE.,
Washington, DC 20549, on official
business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of such
filing also will be available for
inspection and copying at the principal
office of the Exchange. All comments
received will be posted without change;
the Commission does not edit personal
identifying information from
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File Number SR–
NASDAQ–2014–108 and should be
submitted on or before December 16,
2014.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.8
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2014–27845 Filed 11–24–14; 8:45 am]
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–73646; File No. SR–BX–
2014–056]
Self-Regulatory Organizations;
NASDAQ OMX BX, Inc.; Notice of Filing
and Immediate Effectiveness of
Proposed Rule Change To Clarify Rule
7018(a) with Respect to Execution and
Routing of Orders in Securities Priced
at $1 or More Per Share
November 19, 2014.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on November
12, 2014, NASDAQ OMX BX, Inc. (‘‘BX’’
or ‘‘Exchange’’) filed with the Securities
and Exchange Commission (‘‘SEC’’ or
‘‘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.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to make
minor clarifying changes to Rule 7018(a)
with respect to execution and routing of
orders in securities priced at $1 or more
per share.
The text of the proposed rule change
is available on the Exchange’s Web site
at https://nasdaqomxbx.
cchwallstreet.com, at the principal
office of the Exchange, and at the
Commission’s Public Reference Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
Exchange included statements
concerning the purpose of and basis for
the proposed rule change and discussed
any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
Exchange has prepared summaries, set
forth in sections A, B, and C below, of
the most significant aspects of such
statements.
BILLING CODE 8011–01–P
1 15
7 15
U.S.C. 78s(b)(3)(A)(ii).
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14:41 Nov 24, 2014
8 17
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CFR 200.30–3(a)(12).
Frm 00101
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2 17
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U.S.C. 78s(b)(1).
CFR 240.19b–4.
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wreier-aviles on DSK4TPTVN1PROD with NOTICES
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The purpose of the proposed rule
change is to make minor clarifying
changes concerning the use and
definition of the term ‘‘Consolidated
Volume’’ provided in Rule 7018(a).
Consolidated Volume is currently
defined as the total consolidated volume
reported to all consolidated transaction
reporting plans by all exchanges and
trade reporting facilities during a
month, excluding executed orders with
a size of less than one round lot.3
Consolidated Volume is used as a
measure in determining member firm
liability for certain charges, and
eligibility for certain credits, for
participation in BX. The Exchange
compares a member firm’s equity
transactions in BX to Consolidated
Volume to determine how impactful its
particular order activity in BX is in
relation to overall equity market
volume. The definition of Consolidated
Volume is currently provided under the
QMM Tier 1 eligibility requirements of
Rule 7018(a), although the term is used
in preceding portions of the rule. In an
effort to make the rule clearer, the
Exchange is proposing to move the
definition of Consolidated Volume to
the beginning of Rule 7018(a). The
Exchange is also capitalizing the term in
certain fees and credits, which currently
precede the definition of Consolidated
Volume under the rule, to make clear
that they reference the defined term.
Lastly, the Exchange is proposing to
delete duplicative language from Rule
7018(a)(2) under the QMM Tier 1
eligibility requirements that concerns
the exclusion of the day of the annual
Russell Investments Indexes. The
Exchange notes that the language is
included in the definition of
Consolidated Volume and is therefore
redundant.
The Exchange is also proposing to
clarify the definition of Consolidated
Volume. The current definition of
Consolidated Volume does not
expressly state that it encompasses
transactions in equity securities only.
As noted above, Consolidated Volume is
used to determine how impactful a
member firm’s order activity in BX is in
relation to overall equity market
3 For purposes of calculating Consolidated
Volume and the extent of a member’s trading
activity, expressed as a percentage of or ratio to
Consolidated Volume, the Exchange excludes the
date of the annual reconstitution of the Russell
Investments Indexes from both total Consolidated
Volume and the member’s trading activity.
VerDate Sep<11>2014
14:41 Nov 24, 2014
Jkt 235001
volume, thus allowing the Exchange to
consider the member firm’s contribution
to BX as compared to what market
participants provide to the larger equity
markets. The Exchange believes that
adding language to make clear that the
Consolidated Volume includes only
equities volume will serve to avoid
possible misinterpretation that the rule
may include volume outside of the
equities markets. Accordingly, the
Exchange is proposing to add language
to the definition of Consolidated
Volume under Rule 7018(a) to clarify
that it applies only to equity securities.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
Section 6 of the Act,4 in general, and
furthers the objectives of Sections
6(b)(4) and 6(b)(5) of the Act,5 in
particular, in that it provides for the
equitable allocation of reasonable dues,
fees and other charges among members
and issuers and other persons using any
facility or system which the Exchange
operates or controls, and is designed to
prevent fraudulent and manipulative
acts and practices, to promote just and
equitable principles of trade, to foster
cooperation and coordination with
persons engaged in regulating, clearing,
settling, processing information with
respect to, and facilitating transactions
in securities, 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; and
are not designed to permit unfair
discrimination between customers,
issuers, brokers, or dealers. Specifically,
the proposed changes further these
objectives because they make the rule
more clear, thereby helping avoid
potential investor confusion on how the
credits and charges that use the
definition are applied. The Exchange
notes that it is not changing how the
rule is applied in any way, and therefore
the fees and credits thereunder continue
to be reasonable and equitably allocated
among member firms.
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.
Specifically, the proposed changes do
not alter the meaning or application of
the fees and credits provided under
4 15
5 15
PO 00000
U.S.C. 78f.
U.S.C. 78f(b)(4) and (5).
Frm 00102
Fmt 4703
Sfmt 4703
70257
Rule 7018(a), and therefore do not affect
competition in any respect.
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
Because the foregoing 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 for 30 days from the date on
which it was filed, or such shorter time
as the Commission may designate, it has
become effective pursuant to Section
19(b)(3)(A)(ii) of the Act 6 and Rule 19b–
4(f)(6) 7 thereunder.
A proposed rule change filed under
Rule 19b–4(f)(6) normally may not
become operative prior to 30 days after
the date of filing. However, Rule 19b–
4(f)(6)(iii) 8 permits the Commission to
designate a shorter time if such action
is consistent with the protection of
investors and the public interest. The
Exchange has requested that the
Commission waive the 30-day operative
delay period to allow the Exchange to
immediately implement changes to rule
language that will serve to enhance the
clarity concerning the application of
fees assessed and credits provided
under the rule. The Commission
believes that the proposed rule change
will enhance clarity and avoid possible
misinterpretation of the rule. For these
reasons, the Commission believes that
the proposed rule change presents no
novel issues and that waiver of the 30day operative delay is consistent with
the protection of investors and the
public interest. Therefore, the
Commission designates the proposed
rule change to be operative upon filing.9
At any time within 60 days of the
filing of the proposed rule change, the
Commission summarily may
temporarily suspend such rule change if
6 15
U.S.C. 78s(b)(3)(a)(ii).
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.
8 17 CFR 240.19b–4(f)(6)(iii).
9 For purposes only of waiving the operative
delay for this proposal, the Commission has
considered the proposed rule’s impact on
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f).
7 17
E:\FR\FM\25NON1.SGM
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70258
Federal Register / Vol. 79, No. 227 / Tuesday, November 25, 2014 / Notices
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.10
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 Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an email to rulecomments@sec.gov. Please include File
Number SR–BX–2014–056 on the
subject line.
wreier-aviles on DSK4TPTVN1PROD with NOTICES
Paper Comments
• Send paper comments in triplicate
to Brent J. Fields, Secretary, Securities
and Exchange Commission, 100 F Street
NE., Washington, DC 20549–1090.
All submissions should refer to File
Number SR–BX–2014–056. This file
number should be included on the
subject line if email is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for Web site viewing and
printing in the Commission’s Public
Reference Room, 100 F Street NE.,
Washington, DC 20549, on official
business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of the
filing also will be available for
inspection and copying at the principal
office of the Exchange. All comments
received will be posted without change;
the Commission does not edit personal
identifying information from
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File Number SR–BX–
10 15
U.S.C. 78s(b)(3)(C).
VerDate Sep<11>2014
14:41 Nov 24, 2014
Jkt 235001
2014–056 and should be submitted on
or before December 16, 2014.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.11
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2014–27844 Filed 11–24–14; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–73642; File No. SR–FICC–
2014–08]
Self-Regulatory Organizations; Fixed
Income Clearing Corporation; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change To Clarify That
Federal Reserve Banks, Central
Counterparties, and Central Securities
Depositories Shall Not Be Considered
Either ‘‘Mandatory Purchaser
Participants’’ or ‘‘Voluntary Purchaser
Participants’’ and Registered
Investment Companies Shall Be
Considered ‘‘Voluntary Purchaser
Participants’’
November 19, 2014.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2
notice is hereby given that on November
12, 2014, Fixed Income Clearing
Corporation (‘‘FICC’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I, II and III
below, which Items have been prepared
by FICC. FICC filed the proposed rule
change pursuant to Section 19(b)(3)(A)
of the Act 3 and Rule 19b–4(f)(1)
thereunder.4 The proposed rule change
was effective upon filing with the
Commission. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
I. Clearing Agency’s Statement of the
Terms of Substance of the Proposed
Rule Change
The proposed rule change consists of
amendments to Rule 49 of the Rulebook
of the Government Securities Division
(‘‘GSD’’ and its Rulebook, ‘‘GSD Rules’’)
of FICC, and Rule 39 of the Clearing
Rules of the Mortgage-Backed Securities
Division (‘‘MBSD’’ and its Clearing
Rules, ‘‘MBSD Rules’’) of FICC in order
to clarify that Federal Reserve Banks,
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A).
4 17 CFR 240.19b–4(f)(1).
central counterparties, and central
securities depositories shall not be
considered either ‘‘Mandatory Purchaser
Participants’’ or ‘‘Voluntary Purchaser
Participants,’’ and further to clarify that
Registered Investment Companies shall
be considered ‘‘Voluntary Purchaser
Participants,’’ as more fully described
below.
II. Clearing Agency’s Statement of the
Purpose of, and Statutory Basis for, the
Proposed Rule Change
In its filing with the Commission,
FICC included statements concerning
the purpose of and basis for the
proposed rule change and discussed any
comments it received on the proposed
rule change. The text of these statements
may be examined at the places specified
in Item IV below. FICC has prepared
summaries, set forth in sections A, B
and C below, of the most significant
aspects of such statements.
(A) Clearing Agency’s Statement of the
Purpose of, and Statutory Basis for, the
Proposed Rule Change
1. Purpose
Pursuant to the Third Amended and
Restated Shareholders Agreement, dated
as of December 7, 2005 (‘‘Shareholders
Agreement’’), by and among The
Depository Trust & Clearing Corporation
(‘‘DTCC’’), The Depository Trust
Company (‘‘DTC’’), National Securities
Clearing Corporation (‘‘NSCC’’), FICC,
and the other parties thereto, and MBSD
Rule 39, Clearing Members (as such
term is defined in the MBSD Rules 5)
other than non-U.S. based central
securities depositories are required to be
‘‘Mandatory Purchaser Participants’’ (as
such term is defined in MBSD Rule 39)
and be parties to the Shareholders
Agreement, and all other users are not
permitted to purchase and own shares
of DTCC common stock (‘‘Common
Shares’’) or be parties to the
Shareholders Agreement. Further,
pursuant to the Shareholders Agreement
and GSD Rule 49: (1) Netting Members
(as such term is defined in the GSD
Rules 6) other than non-U.S. based
central securities depositories are
required to be ‘‘Mandatory Purchaser
Participants’’ (as such term is defined in
the GSD Rules) and be parties to the
Shareholders Agreement; (2)
Comparison-Only Members (as such
term is defined in the GSD Rules) are
permitted, but not required to purchase
and own Common Shares and be parties
to the Shareholders Agreement; and (3)
11 17
1 15
PO 00000
Frm 00103
Fmt 4703
Sfmt 4703
5 MBSD Rules are available at https://dtcc.com/
legal/rules-and-procedures.aspx.
6 GSD Rules are available at https://dtcc.com/
legal/rules-and-procedures.aspx.
E:\FR\FM\25NON1.SGM
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Agencies
[Federal Register Volume 79, Number 227 (Tuesday, November 25, 2014)]
[Notices]
[Pages 70256-70258]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-27844]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-73646; File No. SR-BX-2014-056]
Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Clarify
Rule 7018(a) with Respect to Execution and Routing of Orders in
Securities Priced at $1 or More Per Share
November 19, 2014.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on November 12, 2014, NASDAQ OMX BX, Inc. (``BX'' or ``Exchange'')
filed with the Securities and Exchange Commission (``SEC'' or
``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
The Exchange proposes to make minor clarifying changes to Rule
7018(a) with respect to execution and routing of orders in securities
priced at $1 or more per share.
The text of the proposed rule change is available on the Exchange's
Web site at https://nasdaqomxbx.cchwallstreet.com, at the principal
office of the Exchange, and at the Commission's Public Reference Room.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the Exchange included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. The Exchange has prepared summaries, set forth in
sections A, B, and C below, of the most significant aspects of such
statements.
[[Page 70257]]
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The purpose of the proposed rule change is to make minor clarifying
changes concerning the use and definition of the term ``Consolidated
Volume'' provided in Rule 7018(a). Consolidated Volume is currently
defined as the total consolidated volume reported to all consolidated
transaction reporting plans by all exchanges and trade reporting
facilities during a month, excluding executed orders with a size of
less than one round lot.\3\ Consolidated Volume is used as a measure in
determining member firm liability for certain charges, and eligibility
for certain credits, for participation in BX. The Exchange compares a
member firm's equity transactions in BX to Consolidated Volume to
determine how impactful its particular order activity in BX is in
relation to overall equity market volume. The definition of
Consolidated Volume is currently provided under the QMM Tier 1
eligibility requirements of Rule 7018(a), although the term is used in
preceding portions of the rule. In an effort to make the rule clearer,
the Exchange is proposing to move the definition of Consolidated Volume
to the beginning of Rule 7018(a). The Exchange is also capitalizing the
term in certain fees and credits, which currently precede the
definition of Consolidated Volume under the rule, to make clear that
they reference the defined term. Lastly, the Exchange is proposing to
delete duplicative language from Rule 7018(a)(2) under the QMM Tier 1
eligibility requirements that concerns the exclusion of the day of the
annual Russell Investments Indexes. The Exchange notes that the
language is included in the definition of Consolidated Volume and is
therefore redundant.
---------------------------------------------------------------------------
\3\ For purposes of calculating Consolidated Volume and the
extent of a member's trading activity, expressed as a percentage of
or ratio to Consolidated Volume, the Exchange excludes the date of
the annual reconstitution of the Russell Investments Indexes from
both total Consolidated Volume and the member's trading activity.
---------------------------------------------------------------------------
The Exchange is also proposing to clarify the definition of
Consolidated Volume. The current definition of Consolidated Volume does
not expressly state that it encompasses transactions in equity
securities only. As noted above, Consolidated Volume is used to
determine how impactful a member firm's order activity in BX is in
relation to overall equity market volume, thus allowing the Exchange to
consider the member firm's contribution to BX as compared to what
market participants provide to the larger equity markets. The Exchange
believes that adding language to make clear that the Consolidated
Volume includes only equities volume will serve to avoid possible
misinterpretation that the rule may include volume outside of the
equities markets. Accordingly, the Exchange is proposing to add
language to the definition of Consolidated Volume under Rule 7018(a) to
clarify that it applies only to equity securities.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6 of the Act,\4\ in general, and furthers the objectives
of Sections 6(b)(4) and 6(b)(5) of the Act,\5\ in particular, in that
it provides for the equitable allocation of reasonable dues, fees and
other charges among members and issuers and other persons using any
facility or system which the Exchange operates or controls, and is
designed to prevent fraudulent and manipulative acts and practices, to
promote just and equitable principles of trade, to foster cooperation
and coordination with persons engaged in regulating, clearing,
settling, processing information with respect to, and facilitating
transactions in securities, 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; and are not
designed to permit unfair discrimination between customers, issuers,
brokers, or dealers. Specifically, the proposed changes further these
objectives because they make the rule more clear, thereby helping avoid
potential investor confusion on how the credits and charges that use
the definition are applied. The Exchange notes that it is not changing
how the rule is applied in any way, and therefore the fees and credits
thereunder continue to be reasonable and equitably allocated among
member firms.
---------------------------------------------------------------------------
\4\ 15 U.S.C. 78f.
\5\ 15 U.S.C. 78f(b)(4) and (5).
---------------------------------------------------------------------------
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.
Specifically, the proposed changes do not alter the meaning or
application of the fees and credits provided under Rule 7018(a), and
therefore do not affect competition in any respect.
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
Because the foregoing 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 for 30 days from the date on which it was filed, or
such shorter time as the Commission may designate, it has become
effective pursuant to Section 19(b)(3)(A)(ii) of the Act \6\ and Rule
19b-4(f)(6) \7\ thereunder.
---------------------------------------------------------------------------
\6\ 15 U.S.C. 78s(b)(3)(a)(ii).
\7\ 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.
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A proposed rule change filed under Rule 19b-4(f)(6) normally may
not become operative prior to 30 days after the date of filing.
However, Rule 19b-4(f)(6)(iii) \8\ permits the Commission to designate
a shorter time if such action is consistent with the protection of
investors and the public interest. The Exchange has requested that the
Commission waive the 30-day operative delay period to allow the
Exchange to immediately implement changes to rule language that will
serve to enhance the clarity concerning the application of fees
assessed and credits provided under the rule. The Commission believes
that the proposed rule change will enhance clarity and avoid possible
misinterpretation of the rule. For these reasons, the Commission
believes that the proposed rule change presents no novel issues and
that waiver of the 30-day operative delay is consistent with the
protection of investors and the public interest. Therefore, the
Commission designates the proposed rule change to be operative upon
filing.\9\
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\8\ 17 CFR 240.19b-4(f)(6)(iii).
\9\ For purposes only of waiving the operative delay for this
proposal, the Commission has considered the proposed rule's impact
on efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
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At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend such rule
change if
[[Page 70258]]
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.\10\
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\10\ 15 U.S.C. 78s(b)(3)(C).
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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 Comments
Use the Commission's Internet comment form (https://www.sec.gov/rules/sro.shtml); or
Send an email to rule-comments@sec.gov. Please include
File Number SR-BX-2014-056 on the subject line.
Paper Comments
Send paper comments in triplicate to Brent J. Fields,
Secretary, Securities and Exchange Commission, 100 F Street NE.,
Washington, DC 20549-1090.
All submissions should refer to File Number SR-BX-2014-056. This file
number should be included on the subject line if email is used. To help
the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (https://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for Web site viewing and
printing in the Commission's Public Reference Room, 100 F Street NE.,
Washington, DC 20549, on official business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of the filing also will be available
for inspection and copying at the principal office of the Exchange. All
comments received will be posted without change; the Commission does
not edit personal identifying information from submissions. You should
submit only information that you wish to make available publicly. All
submissions should refer to File Number SR-BX-2014-056 and should be
submitted on or before December 16, 2014.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\11\
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\11\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2014-27844 Filed 11-24-14; 8:45 am]
BILLING CODE 8011-01-P