Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending the NYSE Arca Options Fee Schedule, 11713-11715 [2015-04422]
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Federal Register / Vol. 80, No. 42 / Wednesday, March 4, 2015 / Notices
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Because the foregoing proposed rule
change does not: (1) Significantly affect
the protection of investors or the public
interest; (2) impose any significant
burden on competition; and (3) by its
terms does not become operative for 30
days after the date of this filing, 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 9 and Rule 19b–
4(f)(6) thereunder.10
A proposed rule change filed under
Rule 19b–4(f)(6) normally does not
become operative for 30 days after the
date of filing. However, Rule 19b–
4(f)(6)(iii) 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 asked the Commission to
waive the 30-day operative delay so that
the proposal may become operative
immediately upon filing. The
Commission believes that waiving the
30-day operative delay is consistent
with the protection of investors and the
public interest as it will allow the
Exchange to avoid potential investor
confusion during the operative delay
period by immediately eliminating
exchange rules that account for a
routing option that the Exchange can no
longer provide due to LavaFlow ECN’s
cessation of operations.11 Accordingly,
the Commission hereby grants the
Exchange’s request and designates the
proposal operative upon filing.
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.
9 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6). In addition, Rule 19b–
4(f)(6)(iii) requires a self-regulatory organization to
provide the Commission with written notice of its
intent to file the proposed rule change, along with
a brief description and text of 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 met this requirement.
11 For purposes only of waiving the 30-day
operative delay, the Commission has also
considered the proposed rule’s impact on
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f).
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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:
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.12
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2015–04420 Filed 3–3–15; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
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–
EDGA–2015–12 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–EDGA–2015–12. 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–EDGA–
2015–12, and should be submitted on or
before March 25, 2015.
PO 00000
[Release No. 34–74382; File No. SR–
NYSEARCA–2015–10]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change Amending the NYSE Arca
Options Fee Schedule
February 26, 2015.
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 February
18, 2015, NYSE Arca, Inc. (the
‘‘Exchange’’ or ‘‘NYSE Arca’’) filed with
the Securities and Exchange
Commission (the ‘‘Commission’’) the
proposed rule change as described in
Items I, II, and III below, which Items
have been prepared by the selfregulatory organization. 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 amend the
NYSE Arca Options Fee Schedule (‘‘Fee
Schedule’’) by adding to the Fee
Schedule information regarding the
number of option issues a Market Maker
may have in their assignment in relation
to the number of OTPs a Market Maker
has. The text of the proposed rule
change is available on the Exchange’s
Web site 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
12 17
CFR 200.30–3(a)(12).
U.S.C.78s(b)(1).
2 15 U.S.C. 78a.
3 17 CFR 240.19b–4.
1 15
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Federal Register / Vol. 80, No. 42 / Wednesday, March 4, 2015 / Notices
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.
mstockstill on DSK4VPTVN1PROD with NOTICES
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to amend the
Fee Schedule by adding to the Fee
Schedule information from Rule
6.35(d)(1)–(4) regarding the number of
options issues a Market Maker may have
in its assignment in relation to the
number of OTPs a Market Maker has.
The Fee Schedule sets forth the fees
and charges that participants on the
Exchange can be expected to pay.
However, NYSE Arca Market Makers
need to refer to Rule 6.35 (d)(1) to (4)
to ascertain the number of OTPs they
are required to have depending on the
number of option issues in their
assignment. The Exchange is proposing
to include this information in the Fee
Schedule so that Market Makers have a
single reference point to ascertain fees
associated with their activities on the
Exchange.4 In particular, because the
Exchange charges a fee for each OTP
assigned to an OTP Holder or OTP Firm
(‘‘OTPs’’), the rule text identifies the fee
structure by setting forth the number of
trading permits that are required of
OTPs acting as Market Makers according
to the number of options issues
included in their appointment.
Rule 6.35 (d)(1) to (4) sets forth the
trading appointments of participants
acting as Market Makers on the
Exchange as follows:
(1) Market Makers with 1 OTP may
have up to 100 option issues included
in their appointment.
(2) Market Makers with 2 OTPs may
have up to 250 option issues included
in their appointment.
(3) Market Makers with 3 OTPs may
have up to 750 option issues included
in their appointment.
(4) Market Makers with 4 OTPs may
have all option issues traded on the
Exchange included in their
appointment.
The Exchange proposes to add the
information from Rule 6.35(d)(1)–(4) to
the Fee Schedule under ‘‘NYSE Arca
4 See e.g., NYSE Amex Options Fee Schedule,
available here [sic], (Section III.A., Monday [sic]
ATP Fees). See also Securities and Exchange Act
Release No. 67505 (July 26, 2012), 77 FR 45292 [sic]
(July 31, 2012) (SR–NYSEMKT–2012–24) (filing for
immediate effectiveness to add information
regarding ATP Fees previously found in NYSE Arca
Rule 923NY(d)(1)-(4) [sic] to Fee Schedule).
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GENERAL OPTIONS and TRADING
PERMIT (OTP) FEES,’’ subsection
‘‘NYSE Arca Market Makers.’’ Because
the current fee schedule sets forth the
monthly OTP Fees for NYSE Arca
Market Makers, the Exchange proposes
to delete this text and add the substance
of the OTP fees back in a table format,
together with the number of option
issues permitted in a Market Maker’s
assignment depending on the OTPs held
by such Market Maker as set forth in
Rule 6.35(d)(1)–(4). The proposed fee
schedule would read as follows:
Number of issues
permitted 5 in Market
Maker’s quoting
assignmentmaker
Monthly fee per
OTP
$6,000 for 1st OTP
$5,000 for the 2nd
OTP.
$4,000 for the 3rd
OTP.
$3,000 for the 4th
OTP.
$1,000 for the 5th
and additional
OTPs.
Up to 100 option
issues.
Up to 250 option
issues.
Up to 750 option
issues.
All option issues traded
on the Exchange.
All option issues traded
on the Exchange.
The Exchange is not proposing any
change in the number of OTPs required
by Market Makers. The Exchange
believes its proposed change would
make the Fee Schedule more
comprehensive, thereby better
informing members.6
For consistency, the Exchange also
proposes to make a non-substantive
formatting change to how it presents
and formats the information related to
OTP fees for Floor Brokers, Office, and
Clearing Firms to align with the
proposed changes to Market Maker OTP
fees. The Exchange believes this
proposed change would add clarify [sic]
and consistency to the Fee Schedule.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
Section 6(b) of the Securities Exchange
Act of 1934 (the ‘‘Act’’),7 in general, and
furthers the objectives of Section 6(b)(4)
5 The Commission notes that the Exhibit 5
submitted with this proposed rule change says
‘‘Number of Options Issues Permitted in Market
Makers Assignment.’’
6 Following effectiveness of this proposal, the
Exchange plans to file an amendment to Rule 6.35
(Market Maker Appointments), which would
include replacing the text of Rule 6.35(d)(1)–(4)
with a reference to the Fee Schedule. The proposed
change to the Fee Schedule is not contingent upon
effectiveness of the changes to Rule 6.35. Until any
changes are made to Rule 6.35, the information
about the number of option issues permitted in a
Market Maker’s assignment in relation to the
number of OTPs it holds will appear in both the Fee
Schedule and Rule 6.35.
7 15 U.S.C. 78f(b).
PO 00000
Frm 00086
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of the Act,8 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.
The Exchange believes that the
proposed change is reasonable,
equitable and not unfairly
discriminatory because including in the
Fee Schedule the number of permits
required of OTP Holders and OTP Firms
acting as Market Makers on the
Exchange from Rule 6.35 (d)(1) through
(4) improves the clarity and
transparency of the Fee Schedule,
which is to the benefit of all market
participants who would be better able to
understand the basis for Exchange fees.
The Exchange believes that the
proposed non-substantive formatting
changes, including to re-organize how it
presents information regarding OTP fees
(e.g., streamlined information from
current rule text, together with
information from Rule 6.35(d)(1)–(4)),
would likewise add to the clarity,
transparency and comprehensibility of
the Fee Schedule to the benefit of all
market participants.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act. As noted
above, the Exchange believes the
proposed change will enhance to [sic]
comprehensibility of the Fee Schedule
to the benefit of all market participants,
which is pro-competitive.
The Exchange notes that it operates in
a highly competitive market in which
market participants can readily favor
competing venues. In such an
environment, the Exchange must
continually review, and consider
adjusting, its fees and credits to remain
competitive with other exchanges. For
the reasons described above, the
Exchange believes that the proposed
rule change reflects 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 solicited
or received with respect to the proposed
rule change.
8 15
U.S.C. 78f(b)(4).
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04MRN1
Federal Register / Vol. 80, No. 42 / Wednesday, March 4, 2015 / Notices
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change is effective
upon filing pursuant to Section
19(b)(3)(A) 9 of the Act and
subparagraph (f)(2) of Rule 19b–410
thereunder, because it establishes a due,
fee, or other charge imposed by the
Exchange.
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) 11 of the Act to
determine whether the proposed rule
change should be approved or
disapproved.
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:
mstockstill on DSK4VPTVN1PROD with NOTICES
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–
NYSEARCA–2015–10 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–NYSEARCA–2015–10. 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 will also be available for
inspection and copying at the NYSE’s
principal office and on its Internet Web
site at www.nyse.com. 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–
NYSEARCA–2015–10, and should be
submitted on or before March 25, 2015.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.12
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2015–04422 Filed 3–3–15; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–74381; File No. SR–EDGX–
2015–11]
Self-Regulatory Organizations; EDGX
Exchange, Inc.; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Amend Rule 11.11,
Routing to Away Trading Centers, To
Delete References to the ROLF
Routing Option, Which Routed Orders
to LavaFlow ECN
February 26, 2015.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on February
23, 2015, EDGX Exchange, Inc. (the
‘‘Exchange’’ or ‘‘EDGX’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been prepared
by the Exchange. The Exchange has
designated this proposal as a ‘‘noncontroversial’’ proposed rule change
pursuant to Section 19(b)(3)(A) of the
Act 3 and Rule 19b–4(f)(6)(iii)
12 17
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).
9 15
U.S.C. 78s(b)(3)(A).
10 17 CFR 240.19b–4(f)(2).
11 15 U.S.C. 78s(b)(2)(B).
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18:11 Mar 03, 2015
1 15
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PO 00000
Frm 00087
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11715
thereunder,4 which renders it effective
upon filing with the Commission. 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 filed a proposal to
amend Rule 11.11, Routing to Away
Trading Centers, to delete references to
the ROLF routing option, which routed
orders to LavaFlow ECN.
The text of the proposed rule change
is available at the Exchange’s Web site
at www.batstrading.com, at the
principal office of the Exchange, and at
the Commission’s Public Reference
Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
Exchange included statements
concerning the purpose of and basis for
the proposed rule change and discussed
any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
Exchange has prepared summaries, set
forth in Sections A, B, and C below, of
the most significant parts of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to amend
Rule 11.11, Routing to Away Trading
Centers, to delete references under
subparagraph (7) to the ROLF routing
option, which routed to LavaFlow ECN.
These changes are being proposed in
response to LavaFlow ECN ceasing
market operations on Friday, January
30, 2015. Under Rule 11.11(g)(7), an
order utilizing the ROLF routing option
first checked the System 5 for available
shares and was then routed to the
LavaFlow ECN. If shares remained
unexecuted after being routed, they
were cancelled, unless otherwise
instructed by the User.6 As of February
4 17
CFR 240.19b–4(f)(6)(iii).
Rule 1.5(cc) defines ‘‘System’’ as ‘‘the
electronic communications and trading facility
designated by the Board through which securities
orders of Users are consolidated for ranking,
execution and, when applicable, routing away.’’
6 The term ‘‘User’’ is defined as ‘‘any Member or
Sponsored Participant who is authorized to obtain
access to the System pursuant to Rule 11.3.’’ See
Exchange Rule 1.5(ee).
5 Exchange
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Agencies
[Federal Register Volume 80, Number 42 (Wednesday, March 4, 2015)]
[Notices]
[Pages 11713-11715]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2015-04422]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-74382; File No. SR-NYSEARCA-2015-10]
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change Amending the NYSE
Arca Options Fee Schedule
February 26, 2015.
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 February 18, 2015, NYSE Arca, Inc. (the ``Exchange'' or
``NYSE Arca'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I, II,
and III 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 the NYSE Arca Options Fee Schedule
(``Fee Schedule'') by adding to the Fee Schedule information regarding
the number of option issues a Market Maker may have in their assignment
in relation to the number of OTPs a Market Maker has. The text of the
proposed rule change is available on the Exchange's Web site 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
[[Page 11714]]
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
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend the Fee Schedule by adding to the
Fee Schedule information from Rule 6.35(d)(1)-(4) regarding the number
of options issues a Market Maker may have in its assignment in relation
to the number of OTPs a Market Maker has.
The Fee Schedule sets forth the fees and charges that participants
on the Exchange can be expected to pay. However, NYSE Arca Market
Makers need to refer to Rule 6.35 (d)(1) to (4) to ascertain the number
of OTPs they are required to have depending on the number of option
issues in their assignment. The Exchange is proposing to include this
information in the Fee Schedule so that Market Makers have a single
reference point to ascertain fees associated with their activities on
the Exchange.\4\ In particular, because the Exchange charges a fee for
each OTP assigned to an OTP Holder or OTP Firm (``OTPs''), the rule
text identifies the fee structure by setting forth the number of
trading permits that are required of OTPs acting as Market Makers
according to the number of options issues included in their
appointment.
---------------------------------------------------------------------------
\4\ See e.g., NYSE Amex Options Fee Schedule, available here
[sic], (Section III.A., Monday [sic] ATP Fees). See also Securities
and Exchange Act Release No. 67505 (July 26, 2012), 77 FR 45292
[sic] (July 31, 2012) (SR-NYSEMKT-2012-24) (filing for immediate
effectiveness to add information regarding ATP Fees previously found
in NYSE Arca Rule 923NY(d)(1)-(4) [sic] to Fee Schedule).
---------------------------------------------------------------------------
Rule 6.35 (d)(1) to (4) sets forth the trading appointments of
participants acting as Market Makers on the Exchange as follows:
(1) Market Makers with 1 OTP may have up to 100 option issues
included in their appointment.
(2) Market Makers with 2 OTPs may have up to 250 option issues
included in their appointment.
(3) Market Makers with 3 OTPs may have up to 750 option issues
included in their appointment.
(4) Market Makers with 4 OTPs may have all option issues traded on
the Exchange included in their appointment.
The Exchange proposes to add the information from Rule 6.35(d)(1)-
(4) to the Fee Schedule under ``NYSE Arca GENERAL OPTIONS and TRADING
PERMIT (OTP) FEES,'' subsection ``NYSE Arca Market Makers.'' Because
the current fee schedule sets forth the monthly OTP Fees for NYSE Arca
Market Makers, the Exchange proposes to delete this text and add the
substance of the OTP fees back in a table format, together with the
number of option issues permitted in a Market Maker's assignment
depending on the OTPs held by such Market Maker as set forth in Rule
6.35(d)(1)-(4). The proposed fee schedule would read as follows:
---------------------------------------------------------------------------
\5\ The Commission notes that the Exhibit 5 submitted with this
proposed rule change says ``Number of Options Issues Permitted in
Market Makers Assignment.''
------------------------------------------------------------------------
Number of issues permitted
Monthly fee per OTP \5\ in Market Maker's
quoting assignmentmaker
------------------------------------------------------------------------
$6,000 for 1st OTP........................ Up to 100 option issues.
$5,000 for the 2nd OTP.................... Up to 250 option issues.
$4,000 for the 3rd OTP.................... Up to 750 option issues.
$3,000 for the 4th OTP.................... All option issues traded on
the Exchange.
$1,000 for the 5th and additional OTPs.... All option issues traded on
the Exchange.
------------------------------------------------------------------------
The Exchange is not proposing any change in the number of OTPs
required by Market Makers. The Exchange believes its proposed change
would make the Fee Schedule more comprehensive, thereby better
informing members.\6\
---------------------------------------------------------------------------
\6\ Following effectiveness of this proposal, the Exchange plans
to file an amendment to Rule 6.35 (Market Maker Appointments), which
would include replacing the text of Rule 6.35(d)(1)-(4) with a
reference to the Fee Schedule. The proposed change to the Fee
Schedule is not contingent upon effectiveness of the changes to Rule
6.35. Until any changes are made to Rule 6.35, the information about
the number of option issues permitted in a Market Maker's assignment
in relation to the number of OTPs it holds will appear in both the
Fee Schedule and Rule 6.35.
---------------------------------------------------------------------------
For consistency, the Exchange also proposes to make a non-
substantive formatting change to how it presents and formats the
information related to OTP fees for Floor Brokers, Office, and Clearing
Firms to align with the proposed changes to Market Maker OTP fees. The
Exchange believes this proposed change would add clarify [sic] and
consistency to the Fee Schedule.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Securities Exchange Act of 1934 (the
``Act''),\7\ in general, and furthers the objectives of Section 6(b)(4)
of the Act,\8\ 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.
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\7\ 15 U.S.C. 78f(b).
\8\ 15 U.S.C. 78f(b)(4).
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The Exchange believes that the proposed change is reasonable,
equitable and not unfairly discriminatory because including in the Fee
Schedule the number of permits required of OTP Holders and OTP Firms
acting as Market Makers on the Exchange from Rule 6.35 (d)(1) through
(4) improves the clarity and transparency of the Fee Schedule, which is
to the benefit of all market participants who would be better able to
understand the basis for Exchange fees.
The Exchange believes that the proposed non-substantive formatting
changes, including to re-organize how it presents information regarding
OTP fees (e.g., streamlined information from current rule text,
together with information from Rule 6.35(d)(1)-(4)), would likewise add
to the clarity, transparency and comprehensibility of the Fee Schedule
to the benefit of all market participants.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
impose any burden on competition that is not necessary or appropriate
in furtherance of the purposes of the Act. As noted above, the Exchange
believes the proposed change will enhance to [sic] comprehensibility of
the Fee Schedule to the benefit of all market participants, which is
pro-competitive.
The Exchange notes that it operates in a highly competitive market
in which market participants can readily favor competing venues. In
such an environment, the Exchange must continually review, and consider
adjusting, its fees and credits to remain competitive with other
exchanges. For the reasons described above, the Exchange believes that
the proposed rule change reflects 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 solicited or received with respect to the
proposed rule change.
[[Page 11715]]
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change is effective upon filing pursuant to
Section 19(b)(3)(A) \9\ of the Act and subparagraph (f)(2) of Rule 19b-
4\10\ thereunder, because it establishes a due, fee, or other charge
imposed by the Exchange.
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\9\ 15 U.S.C. 78s(b)(3)(A).
\10\ 17 CFR 240.19b-4(f)(2).
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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) \11\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
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\11\ 15 U.S.C. 78s(b)(2)(B).
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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-NYSEARCA-2015-10 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-NYSEARCA-2015-10. 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 will also be
available for inspection and copying at the NYSE's principal office and
on its Internet Web site at www.nyse.com. 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-NYSEARCA-2015-10, and should be
submitted on or before March 25, 2015.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\12\
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\12\ 17 CFR 200.30-3(a)(12).
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Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2015-04422 Filed 3-3-15; 8:45 am]
BILLING CODE 8011-01-P