Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending the Fees NYSE Amex Options Market Data To Add a Late Fee in Connection With Failure To Submit the Non-Display Use Declaration, 26972-26974 [2015-11274]
Download as PDF
26972
Federal Register / Vol. 80, No. 90 / Monday, May 11, 2015 / Notices
The proposed rule change is designed
to perfect the mechanism of a free and
open market and, in general, to protect
investors and the public interest. As
noted above, the additional flexibility to
be afforded to the Adviser under the
proposed rule change is intended to
enhance the Adviser’s ability to meet
the Fund’s investment objectives.
Further, as noted above, the Exchange
represents that trading in the Shares
would continue to be subject to the
existing trading surveillances,
administered by both NASDAQ and also
FINRA on behalf of the Exchange,
which are designed to detect violations
of Exchange rules and applicable federal
securities laws. In addition, as indicated
in the Prior Release, investors would
continue to have ready access to
information regarding the Fund’s
holdings, the Intraday Indicative Value,
the Disclosed Portfolio, and quotation
and last sale information for the Shares.
The Adviser represents that the
proposed rule change, as described
above, is consistent with the Fund’s
investment objectives, and would
further assist the Adviser in achieving
such investment objectives.
For the above reasons, the Exchange
believes the proposed rule change is
consistent with the requirements of
Section 6(b)(5) of the Act.
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. The
Exchange believes the proposed rule
change will permit the Adviser
additional flexibility, thereby helping
the Fund to achieve its investment
objectives and enhancing competition
among issues of Managed Fund Shares.
tkelley on DSK3SPTVN1PROD with NOTICES
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 rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act 13 and Rule 19b–4(f)(6) 14
13 15
U.S.C. 78s(b)(3)(A).
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
14 17
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thereunder in that it effects a change
that: (i) Does not significantly affect the
protection of investors or the public
interest; (ii) does not impose any
significant burden on competition; and
(iii) by its terms, does not become
operative for 30 days after the date of
the filing, or such shorter time as the
Commission may designate if consistent
with the protection of investors and the
public interest.
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: (i) Necessary or appropriate in
the public interest; (ii) for the protection
of investors; or (iii) otherwise in
furtherance of the purposes of the Act.
If the Commission takes such action, the
Commission shall institute proceedings
to determine whether the proposed rule
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:
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–
NASDAQ–2015–044 on the subject line.
Paper Comments
• Send paper comments in triplicate
to Brent J. Fields, Secretary, Securities
and Exchange Commission, Station
Place, 100 F Street NE., Washington, DC
20549–1090.
All submissions should refer to File
Number SR–NASDAQ–2015–044. 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 Nasdaq. 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–2015–044 and
should be submitted on or before June
1, 2015.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.15
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2015–11272 Filed 5–8–15; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–74875; File No. SR–
NYSEMKT–2015–37]
Self-Regulatory Organizations; NYSE
MKT LLC; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change Amending the Fees NYSE
Amex Options Market Data To Add a
Late Fee in Connection With Failure To
Submit the Non-Display Use
Declaration
May 5, 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 April 27,
2015, NYSE MKT LLC (the ‘‘Exchange’’
or ‘‘NYSE MKT’’) 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.
15 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
Commission. The Exchange has satisfied this
requirement.
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Federal Register / Vol. 80, No. 90 / Monday, May 11, 2015 / Notices
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend the
fees for NYSE Amex Options market
data to add a late fee in connection with
failure to submit the non-display use
declaration, operative on May 1, 2015.
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
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.
tkelley on DSK3SPTVN1PROD with NOTICES
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 the
fees for NYSE Amex Options market
data, as set forth on the NYSE Amex
Options Proprietary Market Data Fee
Schedule (‘‘Fee Schedule’’), to add a late
fee in connection with failure to submit
an updated non-display use declaration.
The proposed change to the Fee
Schedule would be operative on May 1,
2015.
The Exchange established the current
fees for non-display services for
ArcaBook for Amex Options, which
consists of ArcaBook for Amex
Options—Trades, ArcaBook for Amex
Options—Top of Book, ArcaBook for
Amex Options—Depth of Book,
ArcaBook for Amex Options—Complex,
ArcaBook for Amex Options—Series
Status, and ArcaBook for Amex
Options—Order Imbalance, in May 2013
and amended those fees in September
2014.4 In November 2014, the Exchange
established the current fees, including
non-display use fees, for ArcaBook for
Amex Options—Complex on a
4 See Securities Exchange Act Release Nos. 69553
(May 10, 2013), 78 FR 28926 (May 16, 2013) (SR–
NYSEMKT–2013–40) (‘‘2013 Non-Display Filing’’)
and 73008 (Sept. 5, 2014), 79 FR 54325 (Sept. 11,
2014) (SR–NYSEMKT–2014–73) (‘‘2014 NonDisplay Filing’’).
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17:00 May 08, 2015
Jkt 235001
standalone basis.5 The 2013 NonDisplay Filing established a requirement
that data recipients that receive realtime NYSE Amex Options market data
subject to Non-Display Use fees submit
a declaration with respect to their use of
non-display data. In connection with
the fee changes in the 2014 Non-Display
Filing, the Exchange required data
recipients that receive real-time NYSE
Amex Options market data subject to
Non-Display Use fees to complete and
submit an updated Non-Display Use
Declaration by September 1, 2014.6 The
2014 Non-Display Filing also
established that data recipients are
required to submit an updated annual
Non-Display Use Declaration by January
31st of each year beginning in 2016. In
addition, if a data recipient’s use of realtime NYSE Amex Options market data
changes at any time after the data
recipient submits a Non-Display Use
Declaration, the data recipient must
inform the Exchange of the change by
completing and submitting at the time
of the change an updated declaration
reflecting the change of use.
The Exchange notes that if a data
recipient does not timely submit a NonDisplay Use Declaration, the Exchange
does not have up-to-date information
about the data recipient’s data use and
therefore may not be charging the
correct fees to the data recipient. In
order to correctly assess fees for the
non-display use of NYSE Amex Options
market data, the Exchange needs to have
current and accurate information about
the use of NYSE Amex Options market
data. The failure of data recipients to
submit the Non-Display Use Declaration
on time leads to potentially incorrect
billing and administrative burdens,
including tracking and obtaining late
Non-Display Use Declarations and
correcting customer records in
connection with late Non-Display Use
Declarations. The purpose of the
proposed late fee is to incent data
recipients to submit the Non-Display
Use Declaration promptly to avoid the
administrative burdens associated with
the late submission of Non-Display Use
Declarations.
The Exchange proposes to establish a
Non-Display Declaration Late Fee of
$1,000 per month. The proposed fee
would be charged to any data recipient
that pays an Access Fee for NYSE
5 See Securities Exchange Act Release No. 73589
(Nov. 13, 2014), 79 FR 68933 (Nov. 19, 2014) (SR–
NYSEMKT–2014–94).
6 The current form of the Non-Display Use
Declaration reflected the changes to the non-display
fees set forth in the 2014 Non-Display Filing and
replaced the NYSE Euronext Non-Display Use
Declaration established in connection with the 2013
Non-Display Filing.
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26973
ArcaBook for Amex Options or NYSE
ArcaBook for Amex Options—Complex
that has failed to timely complete and
submit a Non-Display Use Declaration.
With respect to the Non-Display Use
Declaration that was due by September
1, 2014, the Non-Display Declaration
Late Fee would apply to NYSE Amex
Options market data recipients that have
not submitted the Non-Display Use
Declaration by June 30, 2015, and would
apply beginning July 1, 2015 and for
each month thereafter until the data
recipient has completed and submitted
the Non-Display Use Declaration. With
respect to the annual Non-Display Use
Declaration due by January 31st of each
year beginning in 2016, the Non-Display
Declaration Late Fee would apply to
data recipients that fail to complete and
submit the annual Non-Display Use
Declaration by the January 31st due
date, and would apply beginning
February 1st and for each month
thereafter until the data recipient has
completed and submitted the annual
Non-Display Use Declaration. A NonDisplay Use Declaration that is clearly
incomplete would not be considered to
have been completed and submitted to
the Exchange on time.
In addition to adding the Non-Display
Declaration Late Fee for NYSE Amex
Options market data to the Fee
Schedule, the Exchange proposes to add
an endnote to the Fee Schedule that
would specify the effective dates for the
Non-Display Declaration Late Fee as
described above, and to change the
numbering for the existing endnotes as
needed.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the provisions of Section 6 of the Act,7
in general, and Sections 6(b)(4) and
6(b)(5) of the Act,8 in particular, in that
it provides an equitable allocation of
reasonable fees among users and
recipients of the data and is not
designed to permit unfair
discrimination among customers,
issuers, and brokers.
The Exchange believes that it is
reasonable to impose a late fee in
connection with the submission of the
Non-Display Use Declaration. In order
to correctly assess fees for the nondisplay use of NYSE Amex Options
market data, the Exchange needs to have
current and accurate information about
the use of NYSE Amex Options market
data. The failure of data recipients to
submit the Non-Display Use Declaration
on time leads to potentially incorrect
7 15
8 15
U.S.C. 78f(b).
U.S.C. 78f(b)(4), (5).
E:\FR\FM\11MYN1.SGM
11MYN1
26974
Federal Register / Vol. 80, No. 90 / Monday, May 11, 2015 / Notices
tkelley on DSK3SPTVN1PROD with NOTICES
billing and administrative burdens,
including tracking and obtaining late
Non-Display Use Declarations and
correcting and following up on
payments owed in connection with late
Non-Display Use Declarations. The
purpose of the late fee is to incent data
recipients to submit the Non-Display
Use Declaration promptly to avoid the
administrative burdens associated with
the late submission of Non-Display Use
Declarations. The Non-Display
Declaration Late Fee is equitable and
not unfairly discriminatory because it
will apply to all data recipients that
choose to subscribe to the NYSE Amex
Options market data feeds.
The Non-Display Declaration Late Fee
is also consistent with similar pricing
adopted in 2013 by the Consolidated
Tape Association (‘‘CTA’’).9 The CTA
imposes a monthly fee of $2,500 for
each of Network A and Network B for
firms that fail to comply with their
reporting obligations in a timely
manner.
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. An
exchange’s ability to price its
proprietary market data feed products is
constrained by actual competition for
the sale of proprietary market data
products, the joint product nature of
exchange platforms, and the existence of
alternatives to the Exchange’s
proprietary data. In addition to being
able to choose which proprietary data
products (if any) to use and how to use
them, a user can avoid the late fees that
are the subject of this filing entirely by
simply complying with the requisite
deadlines.
In setting the proposed fees, the
Exchange considered the
competitiveness of the market for
proprietary data and all of the
implications of that competition. The
Exchange believes that it has considered
all relevant factors and has not
considered irrelevant factors in order to
establish fair, reasonable, and not
unreasonably discriminatory fees and an
equitable allocation of fees among all
users. The existence of fierce
competition to sell proprietary data
products and for order flow, as well as
numerous alternatives to the Exchange’s
products, including proprietary data
from other sources, ensures that the
9 See Securities Exchange Act Release No. 70010
(July 19, 2013), 78 FR 44984 (July 25, 2013) (SR–
CTA/CQ–2013–04).
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17:00 May 08, 2015
Jkt 235001
Exchange cannot set unreasonable fees,
or fees that are unreasonably
discriminatory, when vendors and
subscribers can elect these alternatives
or choose not to purchase a specific
proprietary data product if the attendant
fees are not justified by the returns that
any particular vendor or data recipient
would achieve through the purchase
(the returns on use being a particularly
important aspect of non-display uses of
proprietary data).
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were solicited
or received with respect to the proposed
rule change.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change is effective
upon filing pursuant to Section
19(b)(3)(A) 10 of the Act and
subparagraph (f)(2) of Rule 19b–4 11
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) 12 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:
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–NYSEMKT–2015–37. 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–
NYSEMKT–2015–37 and should be
submitted on or before June 1, 2015.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.13
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2015–11274 Filed 5–8–15; 8:45 am]
BILLING CODE 8011–01–P
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–
NYSEMKT–2015–37 on the subject line.
10 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(2).
12 15 U.S.C. 78s(b)(2)(B).
11 17
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13 17
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E:\FR\FM\11MYN1.SGM
CFR 200.30–3(a)(12).
11MYN1
Agencies
[Federal Register Volume 80, Number 90 (Monday, May 11, 2015)]
[Notices]
[Pages 26972-26974]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-11274]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-74875; File No. SR-NYSEMKT-2015-37]
Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and
Immediate Effectiveness of Proposed Rule Change Amending the Fees NYSE
Amex Options Market Data To Add a Late Fee in Connection With Failure
To Submit the Non-Display Use Declaration
May 5, 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 April 27, 2015, NYSE MKT LLC (the ``Exchange'' or ``NYSE
MKT'') 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.
---------------------------------------------------------------------------
[[Page 26973]]
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to amend the fees for NYSE Amex Options
market data to add a late fee in connection with failure to submit the
non-display use declaration, operative on May 1, 2015. 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 of those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend the fees for NYSE Amex Options
market data, as set forth on the NYSE Amex Options Proprietary Market
Data Fee Schedule (``Fee Schedule''), to add a late fee in connection
with failure to submit an updated non-display use declaration. The
proposed change to the Fee Schedule would be operative on May 1, 2015.
The Exchange established the current fees for non-display services
for ArcaBook for Amex Options, which consists of ArcaBook for Amex
Options--Trades, ArcaBook for Amex Options--Top of Book, ArcaBook for
Amex Options--Depth of Book, ArcaBook for Amex Options--Complex,
ArcaBook for Amex Options--Series Status, and ArcaBook for Amex
Options--Order Imbalance, in May 2013 and amended those fees in
September 2014.\4\ In November 2014, the Exchange established the
current fees, including non-display use fees, for ArcaBook for Amex
Options--Complex on a standalone basis.\5\ The 2013 Non-Display Filing
established a requirement that data recipients that receive real-time
NYSE Amex Options market data subject to Non-Display Use fees submit a
declaration with respect to their use of non-display data. In
connection with the fee changes in the 2014 Non-Display Filing, the
Exchange required data recipients that receive real-time NYSE Amex
Options market data subject to Non-Display Use fees to complete and
submit an updated Non-Display Use Declaration by September 1, 2014.\6\
The 2014 Non-Display Filing also established that data recipients are
required to submit an updated annual Non-Display Use Declaration by
January 31st of each year beginning in 2016. In addition, if a data
recipient's use of real-time NYSE Amex Options market data changes at
any time after the data recipient submits a Non-Display Use
Declaration, the data recipient must inform the Exchange of the change
by completing and submitting at the time of the change an updated
declaration reflecting the change of use.
---------------------------------------------------------------------------
\4\ See Securities Exchange Act Release Nos. 69553 (May 10,
2013), 78 FR 28926 (May 16, 2013) (SR-NYSEMKT-2013-40) (``2013 Non-
Display Filing'') and 73008 (Sept. 5, 2014), 79 FR 54325 (Sept. 11,
2014) (SR-NYSEMKT-2014-73) (``2014 Non-Display Filing'').
\5\ See Securities Exchange Act Release No. 73589 (Nov. 13,
2014), 79 FR 68933 (Nov. 19, 2014) (SR-NYSEMKT-2014-94).
\6\ The current form of the Non-Display Use Declaration
reflected the changes to the non-display fees set forth in the 2014
Non-Display Filing and replaced the NYSE Euronext Non-Display Use
Declaration established in connection with the 2013 Non-Display
Filing.
---------------------------------------------------------------------------
The Exchange notes that if a data recipient does not timely submit
a Non-Display Use Declaration, the Exchange does not have up-to-date
information about the data recipient's data use and therefore may not
be charging the correct fees to the data recipient. In order to
correctly assess fees for the non-display use of NYSE Amex Options
market data, the Exchange needs to have current and accurate
information about the use of NYSE Amex Options market data. The failure
of data recipients to submit the Non-Display Use Declaration on time
leads to potentially incorrect billing and administrative burdens,
including tracking and obtaining late Non-Display Use Declarations and
correcting customer records in connection with late Non-Display Use
Declarations. The purpose of the proposed late fee is to incent data
recipients to submit the Non-Display Use Declaration promptly to avoid
the administrative burdens associated with the late submission of Non-
Display Use Declarations.
The Exchange proposes to establish a Non-Display Declaration Late
Fee of $1,000 per month. The proposed fee would be charged to any data
recipient that pays an Access Fee for NYSE ArcaBook for Amex Options or
NYSE ArcaBook for Amex Options--Complex that has failed to timely
complete and submit a Non-Display Use Declaration.
With respect to the Non-Display Use Declaration that was due by
September 1, 2014, the Non-Display Declaration Late Fee would apply to
NYSE Amex Options market data recipients that have not submitted the
Non-Display Use Declaration by June 30, 2015, and would apply beginning
July 1, 2015 and for each month thereafter until the data recipient has
completed and submitted the Non-Display Use Declaration. With respect
to the annual Non-Display Use Declaration due by January 31st of each
year beginning in 2016, the Non-Display Declaration Late Fee would
apply to data recipients that fail to complete and submit the annual
Non-Display Use Declaration by the January 31st due date, and would
apply beginning February 1st and for each month thereafter until the
data recipient has completed and submitted the annual Non-Display Use
Declaration. A Non-Display Use Declaration that is clearly incomplete
would not be considered to have been completed and submitted to the
Exchange on time.
In addition to adding the Non-Display Declaration Late Fee for NYSE
Amex Options market data to the Fee Schedule, the Exchange proposes to
add an endnote to the Fee Schedule that would specify the effective
dates for the Non-Display Declaration Late Fee as described above, and
to change the numbering for the existing endnotes as needed.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the provisions of Section 6 of the Act,\7\ in general, and
Sections 6(b)(4) and 6(b)(5) of the Act,\8\ in particular, in that it
provides an equitable allocation of reasonable fees among users and
recipients of the data and is not designed to permit unfair
discrimination among customers, issuers, and brokers.
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\7\ 15 U.S.C. 78f(b).
\8\ 15 U.S.C. 78f(b)(4), (5).
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The Exchange believes that it is reasonable to impose a late fee in
connection with the submission of the Non-Display Use Declaration. In
order to correctly assess fees for the non-display use of NYSE Amex
Options market data, the Exchange needs to have current and accurate
information about the use of NYSE Amex Options market data. The failure
of data recipients to submit the Non-Display Use Declaration on time
leads to potentially incorrect
[[Page 26974]]
billing and administrative burdens, including tracking and obtaining
late Non-Display Use Declarations and correcting and following up on
payments owed in connection with late Non-Display Use Declarations. The
purpose of the late fee is to incent data recipients to submit the Non-
Display Use Declaration promptly to avoid the administrative burdens
associated with the late submission of Non-Display Use Declarations.
The Non-Display Declaration Late Fee is equitable and not unfairly
discriminatory because it will apply to all data recipients that choose
to subscribe to the NYSE Amex Options market data feeds.
The Non-Display Declaration Late Fee is also consistent with
similar pricing adopted in 2013 by the Consolidated Tape Association
(``CTA'').\9\ The CTA imposes a monthly fee of $2,500 for each of
Network A and Network B for firms that fail to comply with their
reporting obligations in a timely manner.
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\9\ See Securities Exchange Act Release No. 70010 (July 19,
2013), 78 FR 44984 (July 25, 2013) (SR-CTA/CQ-2013-04).
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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. An exchange's ability to
price its proprietary market data feed products is constrained by
actual competition for the sale of proprietary market data products,
the joint product nature of exchange platforms, and the existence of
alternatives to the Exchange's proprietary data. In addition to being
able to choose which proprietary data products (if any) to use and how
to use them, a user can avoid the late fees that are the subject of
this filing entirely by simply complying with the requisite deadlines.
In setting the proposed fees, the Exchange considered the
competitiveness of the market for proprietary data and all of the
implications of that competition. The Exchange believes that it has
considered all relevant factors and has not considered irrelevant
factors in order to establish fair, reasonable, and not unreasonably
discriminatory fees and an equitable allocation of fees among all
users. The existence of fierce competition to sell proprietary data
products and for order flow, as well as numerous alternatives to the
Exchange's products, including proprietary data from other sources,
ensures that the Exchange cannot set unreasonable fees, or fees that
are unreasonably discriminatory, when vendors and subscribers can elect
these alternatives or choose not to purchase a specific proprietary
data product if the attendant fees are not justified by the returns
that any particular vendor or data recipient would achieve through the
purchase (the returns on use being a particularly important aspect of
non-display uses of proprietary data).
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were solicited or received with respect to the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change is effective upon filing pursuant to
Section 19(b)(3)(A) \10\ of the Act and subparagraph (f)(2) of Rule
19b-4 \11\ thereunder, because it establishes a due, fee, or other
charge imposed by the Exchange.
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\10\ 15 U.S.C. 78s(b)(3)(A).
\11\ 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) \12\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
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\12\ 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-NYSEMKT-2015-37 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-NYSEMKT-2015-37. 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-NYSEMKT-2015-37 and should be submitted on or before
June 1, 2015.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\13\
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\13\ 17 CFR 200.30-3(a)(12).
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Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2015-11274 Filed 5-8-15; 8:45 am]
BILLING CODE 8011-01-P