Self-Regulatory Organizations; Financial Industry Regulatory Authority, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend FINRA Rule 7730 To Establish a Fee for the Academic Corporate Bond TRACE Data Product, 76683-76685 [2016-26509]

Download as PDF Federal Register / Vol. 81, No. 213 / Thursday, November 3, 2016 / Notices The individual firm benefits of enhanced risk protections flow downstream to counterparties both at the Exchange and at other options exchanges, which increases systemic protections as well. The Exchange believes these risk protections will allow TPHs to enter orders and quotes with reduced fear of inadvertent exposure to excessive risk, which will benefit investors through increased liquidity for the execution of their orders. Without adequate risk management tools, such as those proposed in this filing, TPHs could reduce the amount of order flow and liquidity they provide. Such actions may undermine the quality of the markets available to customers and other market participants. Accordingly, the proposed rule change is designed to encourage TPHs to submit additional order flow and liquidity to the Exchange, which may ultimately promote competition. In addition, providing TPHs with more tools for managing risk will facilitate transactions in securities because, as noted above, TPHs will have more confidence protections are in place that reduce the risks from potential system errors and market events. Based on discussions with TPHs regarding its current and proposed package of risk controls and price protection mechanisms, the Exchange understands TPHs support the implementation of price protection mechanisms such as these and expects TPHs to input settings that are meaningful so they can take full advantage of the benefits these mechanisms are intended to provide. mstockstill on DSK3G9T082PROD with NOTICES C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others The Exchange neither solicited nor received comments on the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Within 45 days of the date of publication of this notice in the Federal Register or within such longer period up to 90 days (i) as the Commission may designate if it finds such longer period to be appropriate and publishes its reasons for so finding or (ii) as to which the Exchange consents, the Commission will: A. By order approve or disapprove such proposed rule change, or B. institute proceedings to determine whether the proposed rule change should be disapproved. VerDate Sep<11>2014 17:54 Nov 02, 2016 Jkt 241001 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– C2–2016–020 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–C2–2016–020. This file number should be included on the subject line if email is used. To help the Commission process and review your comments more efficiently, please use only one method. The Commission will post all comments on the Commission’s Internet Web site (https://www.sec.gov/ rules/sro.shtml). Copies of the submission, all subsequent amendments, all written statements with respect to the proposed rule change that are filed with the Commission, and all written communications relating to the proposed rule change between the Commission and any person, other than those that may be withheld from the public in accordance with the provisions of 5 U.S.C. 552, will be available for Web site viewing and printing in the Commission’s Public Reference Room, 100 F Street NE., Washington, DC 20549, on official business days between the hours of 10:00 a.m. and 3:00 p.m. Copies of the filing also will be available for inspection and copying at the principal office of the Exchange. All comments received will be posted without change; the Commission does not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR–C2– 2016–020, and should be submitted on or before November 25, 2016. PO 00000 Frm 00131 Fmt 4703 Sfmt 4703 76683 For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.61 Brent J. Fields, Secretary. [FR Doc. 2016–26510 Filed 11–2–16; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–79190; File No. SR–FINRA– 2016–040] Self-Regulatory Organizations; Financial Industry Regulatory Authority, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend FINRA Rule 7730 To Establish a Fee for the Academic Corporate Bond TRACE Data Product October 28, 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 October 25, 2016, Financial Industry Regulatory Authority, Inc. (‘‘FINRA’’) filed with the Securities and Exchange Commission (‘‘SEC’’ or ‘‘Commission’’) the proposed rule change as described in Items I, II, and III below, which Items have been prepared by FINRA. FINRA has designated the proposed rule change as ‘‘establishing or changing a due, fee or other charge’’ under Section 19(b)(3)(A)(ii) of the Act 3 and Rule 19b– 4(f)(2) thereunder,4 which renders the proposal effective upon receipt of this filing by the Commission. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change FINRA is proposing to amend FINRA Rule 7730 to establish a fee for the Academic Corporate Bond TRACE Data product. The text of the proposed rule change is available on FINRA’s Web site at https://www.finra.org, at the principal office of FINRA and at the Commission’s Public Reference Room. 61 17 CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. 3 15 U.S.C. 78s(b)(3)(A)(ii). 4 17 CFR 240.19b–4(f)(2). 1 15 E:\FR\FM\03NON1.SGM 03NON1 76684 Federal Register / Vol. 81, No. 213 / Thursday, November 3, 2016 / Notices II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, FINRA 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. FINRA 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 the Statutory Basis for, the Proposed Rule Change mstockstill on DSK3G9T082PROD with NOTICES 1. Purpose FINRA’s TRACE data product offerings, set forth in Rule 7730 (Trade Reporting and Compliance Engine (TRACE)), include both real-time as well as historic data for most TRACE-eligible securities. The SEC recently approved a new TRACE data product composed of enhanced historic data available solely to academics (i.e., requests originating from an institution of higher education).5 The new TRACE data product—Academic Corporate Bond TRACE Data — will contain transactionlevel data on historic transactions in corporate bonds and will include masked counterparty information.6 Specifically, ‘‘Academic Corporate Bond TRACE Data’’ means historic transaction-level data on all transactions in corporate bonds reported to TRACE (except a transaction that is a List or Fixed Offering Price Transaction, as defined in Rule 6710(q), or a Takedown Transaction, as defined in Rule 6710(r)), including Rule 144A transactions in corporate bonds, with elements to be determined from time to time by FINRA in its discretion and as stated in a Regulatory Notice or other equivalent publication.7 The Academic Corporate Bond TRACE Data will be delayed a minimum of 36 months and will not include Market Participant Identifiers (‘‘MPIDs’’), but will substitute a masked dealer identifier for each MPID included in the data.8 Applicants for Academic Corporate Bond TRACE Data will be required to execute appropriate agreements with FINRA.9 FINRA is now proposing to amend FINRA Rule 7730 (Trade Reporting and Compliance Engine (TRACE)) to establish fees for the Academic Corporate Bond TRACE Data product. FINRA is proposing to establish a data fee of $500 per calendar year (with a single set-up fee of $500) for receipt of the Academic Corporate Bond TRACE Data product. FINRA believes that this fee is reasonable, and notes that the subscription fee for the Historic TRACE Data Sets is $500 per year (per data set), with a single fee of $1,000 for development and set-up to receive Historic TRACE Data for qualifying taxexempt organizations. FINRA has filed the proposed rule change for immediate effectiveness. The effective date of the proposed rule change will be the date of effectiveness of the Academic Corporate Bond TRACE Data product.10 2. Statutory Basis FINRA believes that the proposed rule change is consistent with the provisions of Section 15A(b)(5) of the Act,11 which requires, among other things, that FINRA rules provide for the equitable allocation of reasonable dues, fees and other charges among members and issuers and other persons using any facility or system that FINRA operates or controls. Pursuant to the proposal, FINRA will establish fees to make available to institutions of higher education an enhanced historic TRACE data product that will include transaction-level data on corporate bonds on a 36-month delayed basis with masked MPIDs. Academic Corporate Bond TRACE Data will be made available only to institutions of higher education for a fee of $500 per calendar year (with a single set-up fee of $500). FINRA believes that the proposed fees are reasonable, and notes that the fees will be applied equally to all institutions of higher education that choose to subscribe to the data product. Thus, FINRA believes that the proposed rule change is consistent with the Act. B. Self-Regulatory Organization’s Statement on Burden on Competition FINRA does not believe that the proposed rule change will result in any 9 See 5 See Securities Exchange Act Release No. 78759 (September 2, 2016), 81 FR 62222 (September 8, 2016) (‘‘Order Approving File No. SR–FINRA– 2016–024’’). 6 See Rule 7730(g)(5). 7 See supra note 6. 8 See supra note 6. VerDate Sep<11>2014 17:54 Nov 02, 2016 Jkt 241001 Rule 7730(e). Order Approving File No. SR–FINRA– 2016–024. FINRA will announce the effective date of the Academic Corporate Bond TRACE Data product in a Regulatory Notice to be published no later than 90 days following Commission approval. The effective date will be no later than 270 days following publication of that Regulatory Notice. 11 15 U.S.C. 78o–3(b)(5). 10 See PO 00000 Frm 00132 Fmt 4703 Sfmt 4703 burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. The proposal to create a new Academic Corporate Bond TRACE Data product would not impose any additional reporting requirements or costs on firms and, as a result, would have no direct impact on firms. The proposal to establish fees in connection with the new Academic Corporate Bond TRACE Data product applies only to institutions of higher education that choose to subscribe to the data product, and the proposed fees will apply equally to all such subscribers. C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others FINRA solicited comment on a proposal to establish an enhanced historic data product with masked dealer identifiers in Regulatory Notice 15–26, including the proposal of a $500 fee per data set and a one-time initial set-up fee of $500. FINRA received four comment letters in response to the Regulatory Notice.12 A copy of the Regulatory Notice is attached as Exhibit 2a. A list of comment letters received in response to the Regulatory Notice is attached as Exhibit 2b. Copies of the comment letters received in response to the Regulatory Notice are attached as Exhibit 2c. Of the four comment letters received, none of the commenters discussed the $500 fee per data set or the single set-up fee of $500. 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 paragraph (f)(2) of Rule 19b–4 thereunder.14 At any time within 60 days of the filing of the proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is necessary or appropriate in the 12 See Letter from Michael Nicholas, Chief Executive Officer, Bond Dealers of America, to Marcia E. Asquith, Corporate Secretary, FINRA, dated August 24, 2015 (‘‘BDA’’), letter from Luis Palacios, Director of Research Services, The Wharton School, to Marcia E. Asquith, Corporate Secretary, FINRA, dated September 10, 2015 (‘‘Wharton’’), letter from David L. Cohen, Managing Director & Associate General Counsel, and Sean Davy, Managing Director, Securities Industry and Financial Markets Association, to Marcia E. Asquith, Corporate Secretary, FINRA, dated September 11, 2015 (‘‘SIFMA’’), and letter from Carrie Devorah, Founder, The Center for Copyrights Integrity, to Marcia E. Asquith, Corporate Secretary, FINRA, dated September 14, 2015 (‘‘CCI’’). 13 15 U.S.C. 78s(b)(3)(A). 14 17 CFR 240.19b–4(f)(2). E:\FR\FM\03NON1.SGM 03NON1 Federal Register / Vol. 81, No. 213 / Thursday, November 3, 2016 / Notices 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 to determine whether the proposed rule should be approved or disapproved. IV. Solicitation of Comments 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– FINRA–2016–040 on the subject line. mstockstill on DSK3G9T082PROD with NOTICES Paper Comments • Send paper comments in triplicate to Brent J. Fields, Secretary, Securities and Exchange Commission, 100 F Street NE., Washington, DC 20549–1090. All submissions should refer to File Number SR–FINRA–2016–040. 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 FINRA. 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–FINRA– 17:54 Nov 02, 2016 Jkt 241001 For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.15 Brent J. Fields, Secretary. [FR Doc. 2016–26509 Filed 11–2–16; 8:45 am] 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: VerDate Sep<11>2014 2016–040, and should be submitted on or before November 25, 2016. BILLING CODE 8011–01–P [Public Notice 9781] E.O. 13224 Designation of Abu Ali Tabatabai, aka Abu Ali Tabtabai, aka Abu ‘Ali Al-Tabataba’i, aka Haytham ‘Ali Tabataba’i, as a Specially Designated Global Terrorist Acting under the authority of and in accordance with section 1(b) of Executive Order 13224 of September 23, 2001, as amended by Executive Order13268 of July 2, 2002, and Executive Order 13284 of January 23, 2003, I hereby determine that the individual known as Abu Ali Tabatabai, aka Abu Ali Tabtabai, aka Abu ‘Ali AlTabataba’i, aka Haytham ‘Ali Tabataba’i,, committed, or poses a significant risk of committing, acts of terrorism that threaten the security of U.S. nationals or the national security, foreign policy, or economy of the United States. Consistent with the determination in section 10 of Executive Order 13224 that prior notice to persons determined to be subject to the Order who might have a constitutional presence in the United States would render ineffectual the blocking and other measures authorized in the Order because of the ability to transfer funds instantaneously, I determine that no prior notice needs to be provided to any person subject to this determination who might have a constitutional presence in the United States, because to do so would render ineffectual the measures authorized in the Order. This notice shall be published in the Federal Register. Dated: September 12, 2016. John F. Kerry, Secretary of State. [FR Doc. 2016–26596 Filed 11–2–16; 8:45 am] BILLING CODE 4710–AD–P PO 00000 CFR 200.30–3(a)(12). Frm 00133 Fmt 4703 DEPARTMENT OF STATE [Public Notice: 9783] 60-Day Notice of Proposed Information Collection: Exchange Programs Alumni Web Site Registration Notice of request for public comment. ACTION: The Department of State is seeking Office of Management and Budget (OMB) approval for the information collection described below. In accordance with the Paperwork Reduction Act of 1995, we are requesting comments on this collection from all interested individuals and organizations. The purpose of this notice is to allow 60 days for public comment preceding submission of the collection to OMB. DATES: The Department will accept comments from the public up to January 3, 2017. ADDRESSES: You may submit comments by any of the following methods: • Web: Persons with access to the Internet may use the Federal Docket Management System (FDMS) to comment on this notice by going to www.Regulations.gov. You can search for the document by entering the docket number (DOS–2016–0052) in the Search bar. • Email: MessingerCB@state.gov. • Mail: Bureau of Educational and Cultural Affairs; U.S. Department of State; SA–5, Room C2–C20; Washington, DC 20522–0503. You must include the DS form number, information collection title, and the OMB control number in any correspondence. SUMMARY: DEPARTMENT OF STATE 15 17 76685 Sfmt 4703 FOR FURTHER INFORMATION CONTACT: Direct requests for additional information regarding the collection listed in this notice, including requests for copies of the proposed collection instrument and supporting documents, to Carlyn Messinger, Alumni Outreach Specialist, Bureau of Educational and Cultural Affairs; U.S. Department of State; SA–5, Room C2–C20; Washington, DC 20522–0503, who may be reached on 202–632–6183 or at MessingerCB@state.gov. SUPPLEMENTARY INFORMATION: • Title of Information Collection: Exchange Programs Alumni Web site Registration. • OMB Control Number: 1405–0192. • Type of Request: Revision of an Approved Request. • Originating Office: Bureau of Educational and Cultural Affairs, ECA/ P/A. • Form Number: DS–7006. E:\FR\FM\03NON1.SGM 03NON1

Agencies

[Federal Register Volume 81, Number 213 (Thursday, November 3, 2016)]
[Notices]
[Pages 76683-76685]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-26509]


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

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-79190; File No. SR-FINRA-2016-040]


Self-Regulatory Organizations; Financial Industry Regulatory 
Authority, Inc.; Notice of Filing and Immediate Effectiveness of a 
Proposed Rule Change To Amend FINRA Rule 7730 To Establish a Fee for 
the Academic Corporate Bond TRACE Data Product

October 28, 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 October 25, 2016, Financial Industry Regulatory Authority, Inc. 
(``FINRA'') filed with the Securities and Exchange Commission (``SEC'' 
or ``Commission'') the proposed rule change as described in Items I, 
II, and III below, which Items have been prepared by FINRA. FINRA has 
designated the proposed rule change as ``establishing or changing a 
due, fee or other charge'' under Section 19(b)(3)(A)(ii) of the Act \3\ 
and Rule 19b-4(f)(2) thereunder,\4\ which renders the proposal 
effective upon receipt of this filing by 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 Substance 
of the Proposed Rule Change

    FINRA is proposing to amend FINRA Rule 7730 to establish a fee for 
the Academic Corporate Bond TRACE Data product.
    The text of the proposed rule change is available on FINRA's Web 
site at https://www.finra.org, at the principal office of FINRA and at 
the Commission's Public Reference Room.

[[Page 76684]]

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, FINRA 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. FINRA 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 the 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    FINRA's TRACE data product offerings, set forth in Rule 7730 (Trade 
Reporting and Compliance Engine (TRACE)), include both real-time as 
well as historic data for most TRACE-eligible securities. The SEC 
recently approved a new TRACE data product composed of enhanced 
historic data available solely to academics (i.e., requests originating 
from an institution of higher education).\5\ The new TRACE data 
product--Academic Corporate Bond TRACE Data -- will contain 
transaction-level data on historic transactions in corporate bonds and 
will include masked counterparty information.\6\ Specifically, 
``Academic Corporate Bond TRACE Data'' means historic transaction-level 
data on all transactions in corporate bonds reported to TRACE (except a 
transaction that is a List or Fixed Offering Price Transaction, as 
defined in Rule 6710(q), or a Takedown Transaction, as defined in Rule 
6710(r)), including Rule 144A transactions in corporate bonds, with 
elements to be determined from time to time by FINRA in its discretion 
and as stated in a Regulatory Notice or other equivalent 
publication.\7\
---------------------------------------------------------------------------

    \5\ See Securities Exchange Act Release No. 78759 (September 2, 
2016), 81 FR 62222 (September 8, 2016) (``Order Approving File No. 
SR-FINRA-2016-024'').
    \6\ See Rule 7730(g)(5).
    \7\ See supra note 6.
---------------------------------------------------------------------------

    The Academic Corporate Bond TRACE Data will be delayed a minimum of 
36 months and will not include Market Participant Identifiers 
(``MPIDs''), but will substitute a masked dealer identifier for each 
MPID included in the data.\8\ Applicants for Academic Corporate Bond 
TRACE Data will be required to execute appropriate agreements with 
FINRA.\9\
---------------------------------------------------------------------------

    \8\ See supra note 6.
    \9\ See Rule 7730(e).
---------------------------------------------------------------------------

    FINRA is now proposing to amend FINRA Rule 7730 (Trade Reporting 
and Compliance Engine (TRACE)) to establish fees for the Academic 
Corporate Bond TRACE Data product. FINRA is proposing to establish a 
data fee of $500 per calendar year (with a single set-up fee of $500) 
for receipt of the Academic Corporate Bond TRACE Data product. FINRA 
believes that this fee is reasonable, and notes that the subscription 
fee for the Historic TRACE Data Sets is $500 per year (per data set), 
with a single fee of $1,000 for development and set-up to receive 
Historic TRACE Data for qualifying tax-exempt organizations.
    FINRA has filed the proposed rule change for immediate 
effectiveness. The effective date of the proposed rule change will be 
the date of effectiveness of the Academic Corporate Bond TRACE Data 
product.\10\
---------------------------------------------------------------------------

    \10\ See Order Approving File No. SR-FINRA-2016-024. FINRA will 
announce the effective date of the Academic Corporate Bond TRACE 
Data product in a Regulatory Notice to be published no later than 90 
days following Commission approval. The effective date will be no 
later than 270 days following publication of that Regulatory Notice.
---------------------------------------------------------------------------

2. Statutory Basis
    FINRA believes that the proposed rule change is consistent with the 
provisions of Section 15A(b)(5) of the Act,\11\ which requires, among 
other things, that FINRA rules provide for the equitable allocation of 
reasonable dues, fees and other charges among members and issuers and 
other persons using any facility or system that FINRA operates or 
controls.
---------------------------------------------------------------------------

    \11\ 15 U.S.C. 78o-3(b)(5).
---------------------------------------------------------------------------

    Pursuant to the proposal, FINRA will establish fees to make 
available to institutions of higher education an enhanced historic 
TRACE data product that will include transaction-level data on 
corporate bonds on a 36-month delayed basis with masked MPIDs. Academic 
Corporate Bond TRACE Data will be made available only to institutions 
of higher education for a fee of $500 per calendar year (with a single 
set-up fee of $500). FINRA believes that the proposed fees are 
reasonable, and notes that the fees will be applied equally to all 
institutions of higher education that choose to subscribe to the data 
product. Thus, FINRA believes that the proposed rule change is 
consistent with the Act.

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

    FINRA does not believe that the proposed rule change will result in 
any burden on competition that is not necessary or appropriate in 
furtherance of the purposes of the Act. The proposal to create a new 
Academic Corporate Bond TRACE Data product would not impose any 
additional reporting requirements or costs on firms and, as a result, 
would have no direct impact on firms. The proposal to establish fees in 
connection with the new Academic Corporate Bond TRACE Data product 
applies only to institutions of higher education that choose to 
subscribe to the data product, and the proposed fees will apply equally 
to all such subscribers.
C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others
    FINRA solicited comment on a proposal to establish an enhanced 
historic data product with masked dealer identifiers in Regulatory 
Notice 15-26, including the proposal of a $500 fee per data set and a 
one-time initial set-up fee of $500. FINRA received four comment 
letters in response to the Regulatory Notice.\12\ A copy of the 
Regulatory Notice is attached as Exhibit 2a. A list of comment letters 
received in response to the Regulatory Notice is attached as Exhibit 
2b. Copies of the comment letters received in response to the 
Regulatory Notice are attached as Exhibit 2c. Of the four comment 
letters received, none of the commenters discussed the $500 fee per 
data set or the single set-up fee of $500.
---------------------------------------------------------------------------

    \12\ See Letter from Michael Nicholas, Chief Executive Officer, 
Bond Dealers of America, to Marcia E. Asquith, Corporate Secretary, 
FINRA, dated August 24, 2015 (``BDA''), letter from Luis Palacios, 
Director of Research Services, The Wharton School, to Marcia E. 
Asquith, Corporate Secretary, FINRA, dated September 10, 2015 
(``Wharton''), letter from David L. Cohen, Managing Director & 
Associate General Counsel, and Sean Davy, Managing Director, 
Securities Industry and Financial Markets Association, to Marcia E. 
Asquith, Corporate Secretary, FINRA, dated September 11, 2015 
(``SIFMA''), and letter from Carrie Devorah, Founder, The Center for 
Copyrights Integrity, to Marcia E. Asquith, Corporate Secretary, 
FINRA, dated September 14, 2015 (``CCI'').
---------------------------------------------------------------------------

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 paragraph (f)(2) of Rule 19b-4 
thereunder.\14\ At any time within 60 days of the filing of the 
proposed rule change, the Commission summarily may temporarily suspend 
such rule change if it appears to the Commission that such action is 
necessary or appropriate in the

[[Page 76685]]

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 to determine whether 
the proposed rule should be approved or disapproved.
---------------------------------------------------------------------------

    \13\ 15 U.S.C. 78s(b)(3)(A).
    \14\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

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-FINRA-2016-040 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-FINRA-2016-040. 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 FINRA. 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-FINRA-2016-040, and should 
be submitted on or before November 25, 2016.
---------------------------------------------------------------------------

    \15\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\15\
Brent J. Fields,
Secretary.
[FR Doc. 2016-26509 Filed 11-2-16; 8:45 am]
 BILLING CODE 8011-01-P
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