Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending the NYSE Arca Options Fee Schedule to Modify Certain of Its Posting Credits, 32638-32640 [2015-13987]

Download as PDF 32638 Federal Register / Vol. 80, No. 110 / Tuesday, June 9, 2015 / Notices RRB’s records of the applicant’s affirmation under penalty of perjury that the information provided is correct and the applicant’s agreement to sign the form by proxy. The RRB proposes no changes to Form G–346sum. ESTIMATE OF ANNUAL RESPONDENT BURDEN Annual responses Form No. Time (min.) Burden (hrs.) G–346 .......................................................................................................................................... G–346sum ................................................................................................................................... 4,830 2,070 5 5 403 172 Total ...................................................................................................................................... 6,900 ........................ 575 Institution and settlement of administrative proceedings; Adjudicatory matter; and Other matters relating to enforcement proceedings. At times, changes in Commission priorities require alterations in the scheduling of meeting items. For further information and to ascertain what, if any, matters have been added, deleted or postponed, please contact the Office of the Secretary at (202) 551–5400. I. Self-Regulatory Organization’s Statement of the Terms of the Substance of the Proposed Rule Change The Exchange proposes to amend the NYSE Arca Options Fee Schedule (‘‘Fee Schedule’’) to modify certain of its posting credits. The Exchange proposes to implement the fee change effective June 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. Charles Mierzwa, Chief of Information Resources Management. Dated: June 4, 2015. Brent J. Fields, Secretary. [FR Doc. 2015–14097 Filed 6–8–15; 8:45 am] [FR Doc. 2015–14137 Filed 6–5–15; 11:15 am] BILLING CODE 7905–01–P BILLING CODE 8011–01–P 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. Additional Information or Comments: To request more information or to obtain a copy of the information collection justification, forms, and/or supporting material, contact Dana Hickman at (312) 751–4981 or Dana.Hickman@RRB.GOV. Comments regarding the information collection should be addressed to Charles Mierzwa, Railroad Retirement Board, 844 North Rush Street, Chicago, Illinois 60611–2092 or emailed to Charles.Mierzwa@RRB.GOV. Written comments should be received within 60 days of this notice. SECURITIES AND EXCHANGE COMMISSION SECURITIES AND EXCHANGE COMMISSION tkelley on DSK3SPTVN1PROD with NOTICES Sunshine Act Meeting Notice is hereby given, pursuant to the provisions of the Government in the Sunshine Act, Public Law 94–409, that the Securities and Exchange Commission will hold a Closed Meeting on Thursday, June 11, 2015 at 2 p.m. Commissioners, Counsel to the Commissioners, the Secretary to the Commission, and recording secretaries will attend the Closed Meeting. Certain staff members who have an interest in the matters also may be present. The General Counsel of the Commission, or her designee, has certified that, in her opinion, one or more of the exemptions set forth in 5 U.S.C. 552b(c)(3), (5), (7), 9(B) and (10) and 17 CFR 200.402(a)(3), (5), (7), (9)(ii), and (10), permit consideration of the scheduled matter at the Closed Meeting. Commissioner Piwowar, as duty officer, voted to consider the items listed for the Closed Meeting in closed session. The subject matter of the Closed Meeting will be: Institution and settlement of injunctive actions; VerDate Sep<11>2014 18:47 Jun 08, 2015 Jkt 235001 [Release No. 34–75102; File No. SR– NYSEArca-2015–48] Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending the NYSE Arca Options Fee Schedule to Modify Certain of Its Posting Credits June 3, 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 May 29, 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). U.S.C. 78a. 3 17 CFR 240.19b–4. 2 15 PO 00000 Frm 00115 Fmt 4703 Sfmt 4703 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 its Fee Schedule to modify certain of its posting credits. The Exchange proposes to implement the fee change effective June 1, 2015. Currently, the Exchange offers Order Flow Providers (each an ‘‘OFP’’) a number of ways to earn posting credits for electronic Customer and Professional Customer executions on the Exchange, provided the OFP meets certain volume thresholds. The purpose of this filing is to modify certain of these posting credits to attract additional order flow to the Exchange. First, the Exchange proposes to modify the Customer and Professional Customer Incentive Program, which E:\FR\FM\09JNN1.SGM 09JNN1 tkelley on DSK3SPTVN1PROD with NOTICES Federal Register / Vol. 80, No. 110 / Tuesday, June 9, 2015 / Notices provides various alternatives to earn credits. One of the current alternatives provides an additional $0.03 credit on Customer and Professional Customer posting credits if an OFP achieves at least 0.75% of total industry Customer equity and ETF option average daily volume (‘‘ADV’’) from Customer and Professional Customer posted orders in both Penny Pilot and non-Penny Pilot issues, of which at least 0.28% of total industry Customer equity and ETF option ADV is from Customer and Professional Customer posted orders in non-Penny Pilot issues. The Exchange proposes to slightly lower the minimum ADV from posted orders in non-Penny Pilot issues from 0.28% to 0.25%. The Exchange believes this proposed change would provide additional incentives to direct Customer and Professional Customer order flow to the Exchange, which benefits all market participants through increased liquidity and enhanced price discovery. Second, the Exchange proposes to modify the Customer and Professional Customer Posting Credit Tiers in Non Penny Pilot Issues, which provides two ways (Tier A or Tier B) to achieve a $0.83 credit if specified volume thresholds have been met. Currently, pursuant to Tier A, the $0.83 credit may be reached by achieving at least 0.80% of total industry Customer equity and ETF option average ADV from Customer and Professional Customer posted orders in all issues, plus an executed ADV of Retail Orders of 0.1% ADV of U.S. equity market share posted and executed on the NYSE Arca Equity Market. Alternatively, the $0.83 credit may be achieved pursuant to Tier B, by achieving a level of at least 1.00% of total industry Customer equity and ETF option ADV from Customer and Professional Customer posted orders in both Penny Pilot and non-Penny Pilot issues. The Exchange proposes to modify both Tiers as follows. • Tier A would require a minimum of 0.70% (rather than 0.80%) of total industry Customer equity and ETF options ADV from Customer and Professional Customer posted orders in all issues.4 • Tier B would require a minimum of 0.80% (rather than 1.00%) of total industry Customer equity and ETF options ADV from Customer and Professional Customer posted orders in all issues. 4 The Commission notes that the Exchange is not proposing to modify the additional Tier A requirement of an additional executed ADV of Retail Orders of 0.1% ADV of U.S. equity market share posted and executed on the NYSE Arca Equity Market. VerDate Sep<11>2014 17:12 Jun 08, 2015 Jkt 235001 In addition, the Exchange proposes to replace the language ‘‘both Penny Pilot and non-Penny Pilot Issues’’ in Tier B with ‘‘all Issues’’ for simplicity and to conform to the language used in Tier A. The Exchange believes the proposed changes to the Customer and Professional Customer Posting Credit Tiers in Non Penny Pilot Issues would encourage market participants to direct a higher rate of Customer and Professional Customer orders to the Exchange. Finally, the Exchange proposes to make a non-substantive change to the Base credit of the Customer and Professional Customer Posting Credit Tiers in Non Penny Pilot Issues by adding a dollar sign before (0.75), so that it accurately reflects the baseline credit of ($0.75), which the Exchange believes would add clarity 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 Act,5 in general, and furthers the objectives of sections 6(b)(4) and (5) of the Act,6 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 the adjustments to qualifications for enhanced posting liquidity credits, are reasonable and not unfairly discriminatory as they are designed to attract increased Customer and Professional Customer business on the Exchange and are achievable in various ways. An increase in Customer and Professional Customer orders executed on the Exchange benefits all participants by offering greater price discovery, increased transparency, and an increased opportunity to trade on the Exchange. The Exchange also believes that the proposed credits are reasonable because they are within a range of similar credits available on other option exchanges.7 Additionally, attracting 5 15 U.S.C. 78f(b). U.S.C. 78f(b)(4) and (5). 7 See, e.g., ISE Gemini, LLC fee schedule, available at, https://www.ise.com/assets/gemini/ documents/OptionsExchange/legal/fee/Topaz_Fee_ Schedule.pdf (providing rebates ranging from $0.75—$0.85 predicated on volume tiers); NASDAQ Options Market—Fees and Rebates, available at, https://www.nasdaqtrader.com/ Micro.aspx?id=optionsPricing (providing a flat rebate of $0.84 with an additional rebate for participants that qualify for Penny Pilot Options Customer or Professional Rebate to Add Liquidity Tiers 7 or 8 in a given month); BATS Options 6 15 PO 00000 Frm 00116 Fmt 4703 Sfmt 4703 32639 posted Customer and Professional Customer order flow is desirable because it encourages liquidity to be present on the Exchange. The Exchange believes that the proposed changes in the Customer Posting Credit Tiers in Non Penny Pilot Issues and the Customer Incentive Program are equitable and not unfairly discriminatory because they will be available to all OTPs that execute posted electronic Customer and Professional Customer orders on the Exchange on an equal and non-discriminatory basis, in particular because they provide alternative means of achieving the same credit. The Exchange believes that providing methods for achieving the credits based on posted electronic Customer and Professional Customer Executions in both Penny Pilot and nonPenny Pilot issues is equitable and not unfairly discriminatory because it would continue to result in more OTPs qualifying for the credits and therefore reducing their overall transaction costs on the Exchange. Further, the Exchange believes the proposed change to the Customer Posting Credit Tiers in Non Penny Pilot Issues and Customer Incentive Program is reasonable because it is designed to continue to bring additional posted order flow to NYSE Arca Equities [sic], so as to provide additional opportunities for all ETP [sic] Holders to trade on NYSE Arca Equities [sic]. The Exchange believes that the proposed a non-substantive, technical change to the Base credit of the Customer and Professional Customer Posting Credit Tiers in Non Penny Pilot Issues by adding a dollar sign before (0.75), so that it accurately reflects the baseline credit of ($0.75), is reasonable, equitable and non-discriminatory because it would add clarity and consistency to the Fee Schedule. For these reasons, the Exchange believes that the proposal is consistent with the Act. B. Self-Regulatory Organization’s Statement on Burden on Competition In accordance with section 6(b)(8) of the Act,8 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. Instead, the Exchange believes that the proposed change would continue to encourage competition, including by Exchange fee schedule, available at, https:// www.batsoptions.com/support/fee_schedule/ (providing flat $0.85 posting credit for Customer orders that is not contingent on any volume requirement). 8 15 U.S.C. 78f(b)(8). E:\FR\FM\09JNN1.SGM 09JNN1 32640 Federal Register / Vol. 80, No. 110 / Tuesday, June 9, 2015 / Notices attracting additional liquidity to the Exchange, which would continue to make the Exchange a more competitive venue for, among other things, order execution and price discovery. The proposed changes to the Customer Posting Credit Tiers in Non Penny Pilot Issues, and the proposed modification to the Customer Incentives are designed to attract additional volume, in particular posted electronic Customer and Professional Customer executions, to the Exchange, which would promote price discovery and transparency in the securities markets thereby benefitting competition in the industry. As stated above, the Exchange believes that the proposed change would impact all similarly situated OTPs that post electronic Customer and Professional Customer executions on the Exchange equally, and as such, the proposed change would not impose a disparate burden on competition either among or between classes of market participants. 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. tkelley on DSK3SPTVN1PROD with NOTICES 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)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 9 15 U.S.C. 78s(b)(3)(A). CFR 240.19b-4(f)(2). 10 17 VerDate Sep<11>2014 17:12 Jun 08, 2015 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 For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.12 Robert W. Errett, Deputy Secretary. 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: [FR Doc. 2015–13987 Filed 6–8–15; 8:45 am] Electronic Comments [Release No. IC–31655] • 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–2015–48 on the subject line. Notice of Applications for Deregistration Under Section 8(f) of the Investment Company Act of 1940 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–NYSEArca–2015–48. 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– 11 15 Jkt 235001 NYSEArca–2015–48, and should be submitted on or before June 30, 2015. PO 00000 U.S.C. 78s(b)(2)(B). Frm 00117 Fmt 4703 BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION May 29, 2015. The following is a notice of applications for deregistration under section 8(f) of the Investment Company Act of 1940 for the month of May 2015. A copy of each application may be obtained via the Commission’s Web site by searching for the file number, or for an applicant using the Company name box, at https://www.sec.gov/search/ search.htm or by calling (202) 551– 8090. An order granting each application will be issued unless the SEC orders a hearing. Interested persons may request a hearing on any application by writing to the SEC’s Secretary at the address below and serving the relevant applicant with a copy of the request, personally or by mail. Hearing requests should be received by the SEC by 5:30 p.m. on June 23, 2015, and should be accompanied by proof of service on applicants, in the form of an affidavit or, for lawyers, a certificate of service. Pursuant to Rule 0–5 under the Act, hearing requests should state the nature of the writer’s interest, any facts bearing upon the desirability of a hearing on the matter, the reason for the request, and the issues contested. Persons who wish to be notified of a hearing may request notification by writing to the Commission’s Secretary. The Commission: Brent J. Fields, Secretary, U.S. Securities and Exchange Commission, 100 F Street NE., Washington, DC 20549–1090. ADDRESSES: FOR FURTHER INFORMATION CONTACT: Diane L. Titus at (202) 551–6810, SEC, Division of Investment Management, Chief Counsel’s Office, 100 F Street NE., Washington, DC 20549–8010. 12 17 Sfmt 4703 E:\FR\FM\09JNN1.SGM CFR 200.30–3(a)(12). 09JNN1

Agencies

[Federal Register Volume 80, Number 110 (Tuesday, June 9, 2015)]
[Notices]
[Pages 32638-32640]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-13987]


-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-75102; File No. SR-NYSEArca-2015-48]


Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change Amending the NYSE 
Arca Options Fee Schedule to Modify Certain of Its Posting Credits

June 3, 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 May 29, 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 the 
Substance of the Proposed Rule Change

    The Exchange proposes to amend the NYSE Arca Options Fee Schedule 
(``Fee Schedule'') to modify certain of its posting credits. The 
Exchange proposes to implement the fee change effective June 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 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The Exchange proposes to amend its Fee Schedule to modify certain 
of its posting credits. The Exchange proposes to implement the fee 
change effective June 1, 2015.
    Currently, the Exchange offers Order Flow Providers (each an 
``OFP'') a number of ways to earn posting credits for electronic 
Customer and Professional Customer executions on the Exchange, provided 
the OFP meets certain volume thresholds. The purpose of this filing is 
to modify certain of these posting credits to attract additional order 
flow to the Exchange.
    First, the Exchange proposes to modify the Customer and 
Professional Customer Incentive Program, which

[[Page 32639]]

provides various alternatives to earn credits. One of the current 
alternatives provides an additional $0.03 credit on Customer and 
Professional Customer posting credits if an OFP achieves at least 0.75% 
of total industry Customer equity and ETF option average daily volume 
(``ADV'') from Customer and Professional Customer posted orders in both 
Penny Pilot and non-Penny Pilot issues, of which at least 0.28% of 
total industry Customer equity and ETF option ADV is from Customer and 
Professional Customer posted orders in non-Penny Pilot issues. The 
Exchange proposes to slightly lower the minimum ADV from posted orders 
in non-Penny Pilot issues from 0.28% to 0.25%. The Exchange believes 
this proposed change would provide additional incentives to direct 
Customer and Professional Customer order flow to the Exchange, which 
benefits all market participants through increased liquidity and 
enhanced price discovery.
    Second, the Exchange proposes to modify the Customer and 
Professional Customer Posting Credit Tiers in Non Penny Pilot Issues, 
which provides two ways (Tier A or Tier B) to achieve a $0.83 credit if 
specified volume thresholds have been met. Currently, pursuant to Tier 
A, the $0.83 credit may be reached by achieving at least 0.80% of total 
industry Customer equity and ETF option average ADV from Customer and 
Professional Customer posted orders in all issues, plus an executed ADV 
of Retail Orders of 0.1% ADV of U.S. equity market share posted and 
executed on the NYSE Arca Equity Market. Alternatively, the $0.83 
credit may be achieved pursuant to Tier B, by achieving a level of at 
least 1.00% of total industry Customer equity and ETF option ADV from 
Customer and Professional Customer posted orders in both Penny Pilot 
and non-Penny Pilot issues.
    The Exchange proposes to modify both Tiers as follows.
     Tier A would require a minimum of 0.70% (rather than 
0.80%) of total industry Customer equity and ETF options ADV from 
Customer and Professional Customer posted orders in all issues.\4\
---------------------------------------------------------------------------

    \4\ The Commission notes that the Exchange is not proposing to 
modify the additional Tier A requirement of an additional executed 
ADV of Retail Orders of 0.1% ADV of U.S. equity market share posted 
and executed on the NYSE Arca Equity Market.
---------------------------------------------------------------------------

     Tier B would require a minimum of 0.80% (rather than 
1.00%) of total industry Customer equity and ETF options ADV from 
Customer and Professional Customer posted orders in all issues.
    In addition, the Exchange proposes to replace the language ``both 
Penny Pilot and non-Penny Pilot Issues'' in Tier B with ``all Issues'' 
for simplicity and to conform to the language used in Tier A. The 
Exchange believes the proposed changes to the Customer and Professional 
Customer Posting Credit Tiers in Non Penny Pilot Issues would encourage 
market participants to direct a higher rate of Customer and 
Professional Customer orders to the Exchange.
    Finally, the Exchange proposes to make a non-substantive change to 
the Base credit of the Customer and Professional Customer Posting 
Credit Tiers in Non Penny Pilot Issues by adding a dollar sign before 
(0.75), so that it accurately reflects the baseline credit of ($0.75), 
which the Exchange believes would add clarity 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 Act,\5\ in general, and furthers the 
objectives of sections 6(b)(4) and (5) of the Act,\6\ 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.
---------------------------------------------------------------------------

    \5\ 15 U.S.C. 78f(b).
    \6\ 15 U.S.C. 78f(b)(4) and (5).
---------------------------------------------------------------------------

    The Exchange believes the adjustments to qualifications for 
enhanced posting liquidity credits, are reasonable and not unfairly 
discriminatory as they are designed to attract increased Customer and 
Professional Customer business on the Exchange and are achievable in 
various ways. An increase in Customer and Professional Customer orders 
executed on the Exchange benefits all participants by offering greater 
price discovery, increased transparency, and an increased opportunity 
to trade on the Exchange. The Exchange also believes that the proposed 
credits are reasonable because they are within a range of similar 
credits available on other option exchanges.\7\ Additionally, 
attracting posted Customer and Professional Customer order flow is 
desirable because it encourages liquidity to be present on the 
Exchange.
---------------------------------------------------------------------------

    \7\ See, e.g., ISE Gemini, LLC fee schedule, available at, 
https://www.ise.com/assets/gemini/documents/OptionsExchange/legal/fee/Topaz_Fee_Schedule.pdf (providing rebates ranging from $0.75--
$0.85 predicated on volume tiers); NASDAQ Options Market--Fees and 
Rebates, available at, https://www.nasdaqtrader.com/Micro.aspx?id=optionsPricing (providing a flat rebate of $0.84 with 
an additional rebate for participants that qualify for Penny Pilot 
Options Customer or Professional Rebate to Add Liquidity Tiers 7 or 
8 in a given month); BATS Options Exchange fee schedule, available 
at, https://www.batsoptions.com/support/fee_schedule/ (providing flat 
$0.85 posting credit for Customer orders that is not contingent on 
any volume requirement).
---------------------------------------------------------------------------

    The Exchange believes that the proposed changes in the Customer 
Posting Credit Tiers in Non Penny Pilot Issues and the Customer 
Incentive Program are equitable and not unfairly discriminatory because 
they will be available to all OTPs that execute posted electronic 
Customer and Professional Customer orders on the Exchange on an equal 
and non-discriminatory basis, in particular because they provide 
alternative means of achieving the same credit. The Exchange believes 
that providing methods for achieving the credits based on posted 
electronic Customer and Professional Customer Executions in both Penny 
Pilot and non-Penny Pilot issues is equitable and not unfairly 
discriminatory because it would continue to result in more OTPs 
qualifying for the credits and therefore reducing their overall 
transaction costs on the Exchange.
    Further, the Exchange believes the proposed change to the Customer 
Posting Credit Tiers in Non Penny Pilot Issues and Customer Incentive 
Program is reasonable because it is designed to continue to bring 
additional posted order flow to NYSE Arca Equities [sic], so as to 
provide additional opportunities for all ETP [sic] Holders to trade on 
NYSE Arca Equities [sic].
    The Exchange believes that the proposed a non-substantive, 
technical change to the Base credit of the Customer and Professional 
Customer Posting Credit Tiers in Non Penny Pilot Issues by adding a 
dollar sign before (0.75), so that it accurately reflects the baseline 
credit of ($0.75), is reasonable, equitable and non-discriminatory 
because it would add clarity and consistency to the Fee Schedule.
    For these reasons, the Exchange believes that the proposal is 
consistent with the Act.

B. Self-Regulatory Organization's Statement on Burden on Competition

    In accordance with section 6(b)(8) of the Act,\8\ 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. Instead, the Exchange believes that the proposed 
change would continue to encourage competition, including by

[[Page 32640]]

attracting additional liquidity to the Exchange, which would continue 
to make the Exchange a more competitive venue for, among other things, 
order execution and price discovery.
---------------------------------------------------------------------------

    \8\ 15 U.S.C. 78f(b)(8).
---------------------------------------------------------------------------

    The proposed changes to the Customer Posting Credit Tiers in Non 
Penny Pilot Issues, and the proposed modification to the Customer 
Incentives are designed to attract additional volume, in particular 
posted electronic Customer and Professional Customer executions, to the 
Exchange, which would promote price discovery and transparency in the 
securities markets thereby benefitting competition in the industry. As 
stated above, the Exchange believes that the proposed change would 
impact all similarly situated OTPs that post electronic Customer and 
Professional Customer executions on the Exchange equally, and as such, 
the proposed change would not impose a disparate burden on competition 
either among or between classes of market participants.
    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.

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.
---------------------------------------------------------------------------

    \9\ 15 U.S.C. 78s(b)(3)(A).
    \10\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

    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.
---------------------------------------------------------------------------

    \11\ 15 U.S.C. 78s(b)(2)(B).
---------------------------------------------------------------------------

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-2015-48 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-NYSEArca-2015-48. 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-NYSEArca-2015-48, and should 
be submitted on or before June 30, 2015.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\12\
Robert W. Errett,
Deputy Secretary.
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    \12\ 17 CFR 200.30-3(a)(12).
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[FR Doc. 2015-13987 Filed 6-8-15; 8:45 am]
 BILLING CODE 8011-01-P
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