Self-Regulatory Organizations; BOX Options Exchange LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the Fee Schedule To Eliminate Certain Fees Which Relate to the Series 56 Examination and To Include Certain Fees Which Relate to Series 57 Examination and Continuing Education, 9557-9559 [2016-03953]
Download as PDF
Federal Register / Vol. 81, No. 37 / Thursday, February 25, 2016 / Notices
this proposed rule change. The
Exchange has not received any
unsolicited written comments from
Members or other interested parties.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Because the foregoing proposed rule
change does not: (A) Significantly affect
the protection of investors or the public
interest; (B) impose any significant
burden on competition; and (C) become
operative for 30 days from the date on
which it was filed or such shorter time
as the Commission may designate, it has
become effective pursuant to Section
19(b)(3)(A) of the Act 14 and paragraph
(f)(6) of Rule 19b–4 thereunder.15 The
Exchange has given the Commission
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.
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: (1) Necessary or appropriate in
the public interest; (2) for the protection
of investors; or (3) 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 proposal 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 rulecomments@sec.gov. Please include File
Number SR–BYX–2016–04 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–BYX–2016–04. This file
14 15
15 17
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4.
VerDate Sep<11>2014
18:07 Feb 24, 2016
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 will also 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 No. SR–BYX–2016–
04 and should be submitted on or before
March 17, 2016.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.16
Brent J. Fields,
Secretary.
[FR Doc. 2016–03947 Filed 2–24–16; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–77193; File No. SR–BOX–
2016–09]
Self-Regulatory Organizations; BOX
Options Exchange LLC; Notice of
Filing and Immediate Effectiveness of
a Proposed Rule Change To Amend
the Fee Schedule To Eliminate Certain
Fees Which Relate to the Series 56
Examination and To Include Certain
Fees Which Relate to Series 57
Examination and Continuing Education
February 19, 2016.
Pursuant to section 19(b)(1) of the
Securities Exchange Act of 1934 (the
16 17
Jkt 238001
PO 00000
CFR 200.30–3(a)(12).
Frm 00139
Fmt 4703
Sfmt 4703
9557
‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on February
9, 2016, BOX Options Exchange LLC
(the ‘‘Exchange’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I, II, and
III below, which Items have been
prepared by the Exchange. The
Exchange filed the proposed rule change
pursuant to section 19(b)(3)(A)(ii) of the
Act,3 and Rule 19b–4(f)(2) thereunder,4
which renders the proposal 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 the Substance
of the Proposed Rule Change
The Exchange is filing with the
Securities and Exchange Commission
(‘‘Commission’’) a proposed rule change
to amend the Fee Schedule to delete the
Continuing Education Fees and the
Qualification Examination Fee which
relate to the Series 56 registration
category under the Regulatory Fees
section of the BOX Fee Schedule on the
BOX Market LLC (‘‘BOX’’) options
facility. The text of the proposed rule
change is available from the principal
office of the Exchange, at the
Commission’s Public Reference Room
and also on the Exchange’s Internet Web
site at https://boxexchange.com.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
Exchange included statements
concerning the purpose of and basis for
the proposed rule change and discussed
any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
Exchange has prepared summaries, set
forth in sections A, B, and C below, of
the most significant aspects of such
statements.
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 for trading on BOX to
delete the Continuing Education Fees
and the Qualification Examination Fee
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A)(ii).
4 17 CFR 240.19b–4(f)(2).
2 17
E:\FR\FM\25FEN1.SGM
25FEN1
9558
Federal Register / Vol. 81, No. 37 / Thursday, February 25, 2016 / Notices
which relate to the Series 56 registration
category under the Regulatory Fees
section of the BOX Fee Schedule. The
Financial Industry Regulatory Authority
(‘‘FINRA’’) is retiring the Proprietary
Traders Qualification Examination
(Series 56) and the S501 Proprietary
Traders Continuing Education Program
and replacing them with the Securities
Trader Qualification Examination
(Series 57) and the S101 Continuing
Education Program.5
Specifically, the Exchange proposes to
delete the (i) $60.00 S501 Continuing
Education Fee for Series 56 and (ii) the
$195.00 Series 56 Examination Fee. The
Exchange further proposes to add a (i)
$55.00 S101 Continuing Education Fee
and (ii) a $120.00 Series 57 Examination
Fee.
BOX is proposing such Fee Schedule
amendments in consultation with
FINRA and the other exchanges, and
anticipates that the other exchanges will
make corresponding changes to their
respective fee schedules.6
mstockstill on DSK4VPTVN1PROD with NOTICES
Background
BOX has amended its rules to
establish the Securities Trader and
Securities Trader Principal registration
categories to establish the Series 57
examination as the appropriate
qualification examination for Securities
Traders and retire the Series 56
examination for Proprietary Traders,
and to establish S101 as the appropriate
continuing education program for
Securities Traders and retire the S501
continuing education program for
Proprietary Traders starting January 4,
2016.7
In accordance with BOX’s amended
rules relating to the new Securities
Trader registration category, individual
Participants and associated persons of
Participants engaged in proprietary
trading or the direct supervision of
proprietary trading will be required to
register with the Exchange as Securities
Traders and be qualified by passing the
new Securities Trader qualification
examination (Series 57) being
implemented by FINRA, unless
5 See Securities Exchange Act Release Nos. 75783
(August 28, 2015), 80 FR 53369 (September 3, 2015)
(approving SR–FINRA–2015–017) and 75581 (July
31, 2015), 80 FR 47018 (August 6, 2015) (approving
SR–FINRA–2015–015) collectively referred to
herein as the ‘‘FINRA Amendments’’. According to
the approval orders, FINRA’s expected effective
date for the FINRA Amendments is [sic] January 4,
2016.
6 See Securities Exchange Act Release Nos. 76391
(November 9, 2015), 80 FR 70862 (November 16,
2015) (SR–FINRA–2015–044) and 75581 (July 31,
2015), 80 FR 47018 (August 6, 2015) (SR–FINRA–
2015–015).
7 See Securities Exchange Act Release No. 76732
(December 22, 2015), 80 FR 81390 (December 29,
2015) (SR–BOX–2015–38).
VerDate Sep<11>2014
18:07 Feb 24, 2016
Jkt 238001
grandfathered as provided for in the
Rules. In addition, the Series 57
examination replaces the Series 56
examination for those exchange
registration categories, such as the
Proprietary Trader Principal registration
category, where the Series 56
examination was the acceptable
prerequisite.8
The Exchange has further amended its
Rules, in consultation with FINRA and
the other exchanges, to provide for the
Continuing Education Regulatory
Element for registered persons. The
personalized S101 Continuing
Education Program will be the required
Continuing Education Program for all
registered persons including Securities
Traders.
Proposal
The Exchange proposes to amend its
Fee Schedule to delete the (i) $60.00
Continuing Education Fee for Series 56
[sic] and the (ii) $195.00 Series 56
Examination Fee. The Exchange further
proposes to add a $120.00 Series 57
Examination Fee which will be
applicable with respect to the new
Securities Trader Qualification
Examination (Series 57).
The $100.00 fee charged for
administration of the S101 Continuing
Education program applicable to
registrants required to take
examinations other than the Series 56
will remain in effect, and become
applicable to all registrants, if a
continuing education session is
conducted at a testing center from
January 4, 2016 through no later than
six months thereafter when the
Continuing Education program will no
longer be offered at testing centers. A
new $55.00 fee will be applicable to all
registrants from and after January 4,
2016 for the S101 Continuing Education
program. The $195.00 fee currently
charged for the Series 56 examination
will be replaced with a $120.00 fee for
the Series 57 examination starting
January 4, 2016. Therefore, the
Exchange is proposing to add the $55.00
S101 Continuing Education fee and the
$120.00 Series 57 examination fee to the
current BOX Fee Schedule.
Additionally, the $60.00 fee currently
charged for the administration of the
S501 Continuing Education Program
applicable to Series 56 is being retired
starting January 4, 2016. Therefore, the
Exchange is proposing to delete both the
Series 56 examination fee and the
$60.00 S501 Continuing Education fee
from the current BOX Fee Schedule.
Since the Series 57 and the S101
Continuing Education Program will fall
within FINRA’s jurisdiction, the related
fees will be billed directly through
FINRA commencing as of January 4,
2016.9
2. Statutory Basis
The Exchange believes that the
proposal is consistent with the
requirements of section 6(b) of the Act,
in general, and section 6(b)(4) and
6(b)(5)of the Act,10 in particular, in that
it provides for the equitable allocation
of reasonable dues, fees, and other
charges among BOX Participants and
other persons using its facilities and
does not unfairly discriminate between
customers, issuers, brokers or dealers.
The Exchange believes that the
proposal is fair, equitable and not
unreasonably discriminatory because
the fee change applies equally to all
Participants and persons associated
with Participants. The proposed
deletion of the S501 Continuing
Education Fees and Series 56
Qualification Examination Fee is further
reasonable because such Continuing
Education program and exam will be
replaced by the S101 Continuing
Education Program and Series 57
Qualification Examination Program. In
addition, the Exchange believes that the
fees added to the BOX Fee Schedule are
equitably allocated and not unfairly
discriminatory as they will apply
uniformly to all Participants and
persons associated with Participants
who choose to take the Series 57
examination and participate in the
continuing education program through
FINRA.
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 not
necessary or appropriate in furtherance
of the purposes of the Act. The
Exchange further believes that the
proposal does not impose any burden
on competition because it believes that
the other exchanges will also be making
the same changes to their fee
schedules.11
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were either
solicited or received.
9 See
8 See
supra note 7. These amended rule [sic] are
effective as of January 4, 2016.
PO 00000
Frm 00140
Fmt 4703
Sfmt 4703
supra note 6.
U.S.C. 78f(b)(4) and (5).
11 See supra notes 5 and 6.
10 15
E:\FR\FM\25FEN1.SGM
25FEN1
Federal Register / Vol. 81, No. 37 / Thursday, February 25, 2016 / Notices
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)(ii) of the Exchange Act 12
and Rule 19b–4(f)(2) thereunder,13
because it establishes or changes a due,
or fee.
At any time within 60 days of the
filing of the proposed rule change, the
Commission summarily may
temporarily suspend the rule change if
it appears to the Commission that the
action is necessary or appropriate in the
public interest, for the protection of
investors, or would otherwise further
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:
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–
BOX–2016–09 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–BOX–2016–09. 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–BOX–
2016–09, and should be submitted on or
beforeMarch 17, 2016.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.14
Brent J. Fields,
Secretary.
[FR Doc. 2016–03953 Filed 2–24–16; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–77191; File No. SR–
NASDAQ–2016–025]
Self-Regulatory Organizations; The
NASDAQ Stock Market LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change To Amend
Nasdaq Rule 5940 To Adopt Entry and
Annual Fees for NextShares
February 19, 2016.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on February
11, 2016, The NASDAQ Stock Market
LLC (‘‘NASDAQ’’ or the ‘‘Exchange’’)
filed with the Securities and Exchange
Commission (‘‘Commission’’) a
proposed rule change as described in
Items I, II and III below, which Items
have been prepared by the Exchange.
The Commission is publishing this
notice to solicit comments on the
proposed rule change from interested
persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
Nasdaq is proposing to amend certain
fees in Nasdaq Rule 5940 in connection
with listing a type of open-end
management investment company
registered under the Investment
Company Act of 1940, as amended
14 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
12 15
U.S.C. 78s(b)(3)(A)(ii).
13 17 CFR 240.19b–4(f)(2).
VerDate Sep<11>2014
18:07 Feb 24, 2016
1 15
Jkt 238001
PO 00000
Frm 00141
Fmt 4703
Sfmt 4703
9559
(‘‘1940 Act’’), called an exchange-traded
managed fund (‘‘NextShares’’). The
shares are collectively referred to herein
as ‘‘NextShares.’’
The text of the proposed rule change
is available at nasdaq.cchwallstreet.com
at Nasdaq principal office, 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,
Nasdaq 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
certain fees in Nasdaq Rule 5940
(entitled ‘‘Exchange Traded Products’’)
associated with the listing of
NextShares.3 At the time of the
Commission’s approval of Nasdaq Rule
5745, Nasdaq did not specify fees
applicable to NextShares. The Exchange
now proposes to amend Nasdaq Rule
5940 to adopt both the entry fees and
annual fees for NextShares.
Specifically, the proposed entry fee
for when a company submits an
application for listing a series 4 of
NextShares under Nasdaq Rule 5745
will be $20,000 for the first series of
NextShares (which will include a
$1,000 non-refundable application fee)
and an additional entry fee of $7,500 for
each subsequent series of NextShares
(which will include a $1,000 nonrefundable application fee).
3 The Commission approved Nasdaq Rule 5745 in
Securities Exchange Act Release No. 34–73562
(Nov. 7, 2014), 79 FR 68309 (Nov. 14, 2014) (SR–
NASDAQ–2014–020).
4 A series refers to each individual NextShares.
For example, assume an issuer launches four
NextShares (e.g., a Large Cap NextShares, a Large
Cap Value NextShares, a Large Cap Growth
NextShares and a Small Cap NextShares). Under
Nasdaq Rule 5940(a)(2) as it is proposed to be
amended, the issuer would pay a one-time initial
listing fee of $20,000 for the Large Cap NextShares
since it is the first series listed, and pay a separate
$7,500 initial listing fee for each of the Large Cap
Value NextShares, Large Cap Growth NextShares
and Small Cap NextShares since they each would
be considered a subsequent series of NextShares.
E:\FR\FM\25FEN1.SGM
25FEN1
Agencies
[Federal Register Volume 81, Number 37 (Thursday, February 25, 2016)]
[Notices]
[Pages 9557-9559]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-03953]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-77193; File No. SR-BOX-2016-09]
Self-Regulatory Organizations; BOX Options Exchange LLC; Notice
of Filing and Immediate Effectiveness of a Proposed Rule Change To
Amend the Fee Schedule To Eliminate Certain Fees Which Relate to the
Series 56 Examination and To Include Certain Fees Which Relate to
Series 57 Examination and Continuing Education
February 19, 2016.
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 9, 2016, BOX Options Exchange LLC (the ``Exchange'')
filed with the Securities and Exchange Commission (``Commission'') the
proposed rule change as described in Items I, II, and III below, which
Items have been prepared by the Exchange. The Exchange filed the
proposed rule change pursuant to section 19(b)(3)(A)(ii) of the Act,\3\
and Rule 19b-4(f)(2) thereunder,\4\ which renders the proposal
effective upon filing with the Commission. The Commission is publishing
this notice to solicit comments on the proposed rule change from
interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ 15 U.S.C. 78s(b)(3)(A)(ii).
\4\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of the
Substance of the Proposed Rule Change
The Exchange is filing with the Securities and Exchange Commission
(``Commission'') a proposed rule change to amend the Fee Schedule to
delete the Continuing Education Fees and the Qualification Examination
Fee which relate to the Series 56 registration category under the
Regulatory Fees section of the BOX Fee Schedule on the BOX Market LLC
(``BOX'') options facility. The text of the proposed rule change is
available from the principal office of the Exchange, at the
Commission's Public Reference Room and also on the Exchange's Internet
Web site at https://boxexchange.com.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the Exchange included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. The Exchange has prepared summaries, set forth in
sections A, B, and C below, of the most significant aspects of such
statements.
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 for trading on BOX
to delete the Continuing Education Fees and the Qualification
Examination Fee
[[Page 9558]]
which relate to the Series 56 registration category under the
Regulatory Fees section of the BOX Fee Schedule. The Financial Industry
Regulatory Authority (``FINRA'') is retiring the Proprietary Traders
Qualification Examination (Series 56) and the S501 Proprietary Traders
Continuing Education Program and replacing them with the Securities
Trader Qualification Examination (Series 57) and the S101 Continuing
Education Program.\5\
---------------------------------------------------------------------------
\5\ See Securities Exchange Act Release Nos. 75783 (August 28,
2015), 80 FR 53369 (September 3, 2015) (approving SR-FINRA-2015-017)
and 75581 (July 31, 2015), 80 FR 47018 (August 6, 2015) (approving
SR-FINRA-2015-015) collectively referred to herein as the ``FINRA
Amendments''. According to the approval orders, FINRA's expected
effective date for the FINRA Amendments is [sic] January 4, 2016.
---------------------------------------------------------------------------
Specifically, the Exchange proposes to delete the (i) $60.00 S501
Continuing Education Fee for Series 56 and (ii) the $195.00 Series 56
Examination Fee. The Exchange further proposes to add a (i) $55.00 S101
Continuing Education Fee and (ii) a $120.00 Series 57 Examination Fee.
BOX is proposing such Fee Schedule amendments in consultation with
FINRA and the other exchanges, and anticipates that the other exchanges
will make corresponding changes to their respective fee schedules.\6\
---------------------------------------------------------------------------
\6\ See Securities Exchange Act Release Nos. 76391 (November 9,
2015), 80 FR 70862 (November 16, 2015) (SR-FINRA-2015-044) and 75581
(July 31, 2015), 80 FR 47018 (August 6, 2015) (SR-FINRA-2015-015).
---------------------------------------------------------------------------
Background
BOX has amended its rules to establish the Securities Trader and
Securities Trader Principal registration categories to establish the
Series 57 examination as the appropriate qualification examination for
Securities Traders and retire the Series 56 examination for Proprietary
Traders, and to establish S101 as the appropriate continuing education
program for Securities Traders and retire the S501 continuing education
program for Proprietary Traders starting January 4, 2016.\7\
---------------------------------------------------------------------------
\7\ See Securities Exchange Act Release No. 76732 (December 22,
2015), 80 FR 81390 (December 29, 2015) (SR-BOX-2015-38).
---------------------------------------------------------------------------
In accordance with BOX's amended rules relating to the new
Securities Trader registration category, individual Participants and
associated persons of Participants engaged in proprietary trading or
the direct supervision of proprietary trading will be required to
register with the Exchange as Securities Traders and be qualified by
passing the new Securities Trader qualification examination (Series 57)
being implemented by FINRA, unless grandfathered as provided for in the
Rules. In addition, the Series 57 examination replaces the Series 56
examination for those exchange registration categories, such as the
Proprietary Trader Principal registration category, where the Series 56
examination was the acceptable prerequisite.\8\
---------------------------------------------------------------------------
\8\ See supra note 7. These amended rule [sic] are effective as
of January 4, 2016.
---------------------------------------------------------------------------
The Exchange has further amended its Rules, in consultation with
FINRA and the other exchanges, to provide for the Continuing Education
Regulatory Element for registered persons. The personalized S101
Continuing Education Program will be the required Continuing Education
Program for all registered persons including Securities Traders.
Proposal
The Exchange proposes to amend its Fee Schedule to delete the (i)
$60.00 Continuing Education Fee for Series 56 [sic] and the (ii)
$195.00 Series 56 Examination Fee. The Exchange further proposes to add
a $120.00 Series 57 Examination Fee which will be applicable with
respect to the new Securities Trader Qualification Examination (Series
57).
The $100.00 fee charged for administration of the S101 Continuing
Education program applicable to registrants required to take
examinations other than the Series 56 will remain in effect, and become
applicable to all registrants, if a continuing education session is
conducted at a testing center from January 4, 2016 through no later
than six months thereafter when the Continuing Education program will
no longer be offered at testing centers. A new $55.00 fee will be
applicable to all registrants from and after January 4, 2016 for the
S101 Continuing Education program. The $195.00 fee currently charged
for the Series 56 examination will be replaced with a $120.00 fee for
the Series 57 examination starting January 4, 2016. Therefore, the
Exchange is proposing to add the $55.00 S101 Continuing Education fee
and the $120.00 Series 57 examination fee to the current BOX Fee
Schedule. Additionally, the $60.00 fee currently charged for the
administration of the S501 Continuing Education Program applicable to
Series 56 is being retired starting January 4, 2016. Therefore, the
Exchange is proposing to delete both the Series 56 examination fee and
the $60.00 S501 Continuing Education fee from the current BOX Fee
Schedule.
Since the Series 57 and the S101 Continuing Education Program will
fall within FINRA's jurisdiction, the related fees will be billed
directly through FINRA commencing as of January 4, 2016.\9\
---------------------------------------------------------------------------
\9\ See supra note 6.
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that the proposal is consistent with the
requirements of section 6(b) of the Act, in general, and section
6(b)(4) and 6(b)(5)of the Act,\10\ in particular, in that it provides
for the equitable allocation of reasonable dues, fees, and other
charges among BOX Participants and other persons using its facilities
and does not unfairly discriminate between customers, issuers, brokers
or dealers.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78f(b)(4) and (5).
---------------------------------------------------------------------------
The Exchange believes that the proposal is fair, equitable and not
unreasonably discriminatory because the fee change applies equally to
all Participants and persons associated with Participants. The proposed
deletion of the S501 Continuing Education Fees and Series 56
Qualification Examination Fee is further reasonable because such
Continuing Education program and exam will be replaced by the S101
Continuing Education Program and Series 57 Qualification Examination
Program. In addition, the Exchange believes that the fees added to the
BOX Fee Schedule are equitably allocated and not unfairly
discriminatory as they will apply uniformly to all Participants and
persons associated with Participants who choose to take the Series 57
examination and participate in the continuing education program through
FINRA.
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 not necessary or appropriate in
furtherance of the purposes of the Act. The Exchange further believes
that the proposal does not impose any burden on competition because it
believes that the other exchanges will also be making the same changes
to their fee schedules.\11\
---------------------------------------------------------------------------
\11\ See supra notes 5 and 6.
---------------------------------------------------------------------------
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were either solicited or received.
[[Page 9559]]
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)(ii) of the Exchange Act \12\ and Rule 19b-4(f)(2)
thereunder,\13\ because it establishes or changes a due, or fee.
---------------------------------------------------------------------------
\12\ 15 U.S.C. 78s(b)(3)(A)(ii).
\13\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend the rule
change if it appears to the Commission that the action is necessary or
appropriate in the public interest, for the protection of investors, or
would otherwise further 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-BOX-2016-09 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-BOX-2016-09. 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-BOX-2016-09, and should be
submitted on or before March 17, 2016.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\14\
---------------------------------------------------------------------------
\14\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Brent J. Fields,
Secretary.
[FR Doc. 2016-03953 Filed 2-24-16; 8:45 am]
BILLING CODE 8011-01-P