Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amend Rule 67-Equities To Modify the Date of Appendix B Web Site Data Publication Pursuant to the Regulation NMS Plan To Implement a Tick Size Pilot Program, 22590-22592 [2017-09820]
Download as PDF
22590
Federal Register / Vol. 82, No. 93 / Tuesday, May 16, 2017 / Notices
of the purposes of the Act. FINRA notes
that the proposed rule change
implements the provisions of the Plan.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
Written comments were neither
solicited nor received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Because the foregoing proposed rule
change does not: (i) Significantly affect
the protection of investors or the public
interest; (ii) impose any significant
burden on competition; and (iii) 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 12 and Rule 19b–
4(f)(6) thereunder.13
A proposed rule change filed under
Rule 19(b)–4(f)(6) normally does not
become operative prior to 30 days after
the date of the filing. However, pursuant
to Rule 19b–4(f)(6)(iii), the Commission
may designate a shorter time if such
action is consistent with the protection
of investors and the public interest.
FINRA has filed the proposed rule
change for immediate effectiveness and
has requested that the Commission
waive the requirement that the proposed
rule change not become operative for 30
days after the date of the filing so that
it may become operative on the date of
filing.
FINRA notes that the proposed rule
change is intended to mitigate
confidentiality concerns raised in
connection with Section VII(A) of the
Plan, which provides that the data made
publicly available will not identify the
Trading Center that generated the data.
FINRA states that the additional time
would allow consideration of a
methodology to mitigate concerns
related to the publication of Appendix
B data.14
The commission believes that waiving
the 30-day operative delay is consistent
with the protection of investors and the
public interest because it will provide
FINRA with additional time to develop
12 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6).
14 The Commission recently approved a FINRA
proposal to implement an aggregated, anonymous
grouped masking methodology for the publication
of Appendix B data related to OTC trading activity.
See Securities Exchange Release No. 80551, (April
28, 2017), 82 FR 20948 (May 4, 2017). See also
Letter from David S. Shillman, Associate Director,
Division of Trading and Markets, Commission, to
Marcia E. Asquith, Executive Vice President FINRA,
dated April 28, 2017.
sradovich on DSK3GMQ082PROD with NOTICES
13 17
VerDate Sep<11>2014
16:42 May 15, 2017
Jkt 241001
the necessary systems changes to
implement the anonymous, grouped
masking methodology for Appendix B
data related to OTC trading activity.15
Therefore, the Commission hereby
waives the 30-day operative delay and
designates the proposed rule change to
be operative on the date of filing.16
At any time within 60 days of the
filing of the proposed rule change, the
Commission summarily may
temporarily suspend such rule change if
it appears to the Commission that such
action is necessary or appropriate in the
public interest, for the protection of
investors, or otherwise in furtherance of
the purposes of the Act. 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–
FINRA–2017–010 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–FINRA–2017–010. 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
15 The Commission recently granted exemptive
relief to the Participants to delay the publication of
their Appendix B data until August 31, 2017. See
Letter from David S. Shillman, Associate Director,
Division of Trading and Markets, Commission, to
Jennifer Piorko Mitchell, Vice President and Deputy
Corporate Secretary, FINRA, dated April 28, 2017.
The Commission notes that other Participants have
submitted proposed rule changes to delay the
publication of Appendix B data until August 31,
2017. See e.g., SR–BatsBYX–2017–10; SR–
BatsBZX–2017–31; SR–BatsEDGA–2017–10; SR–
BatsEDGX–2017–19; SR–BX–2017–022; SR–CHX–
2017–07; SR–IEX–2017–12; SR–NASDAQ–2017–
044; SR–Phlx–2017–33; SR–NYSE–2017–19; SR–
NYSEArca–2017–49; SR–NYSEMKT–2017–24.
16 For purposes only of waiving the operative
delay for this proposal, the Commission has
considered the proposed rule’s impact on
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f).
PO 00000
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Fmt 4703
Sfmt 4703
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 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–
2017–010 and should be submitted on
or before June 6, 2017.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.17
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017–09818 Filed 5–15–17; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–80648; File No. SR–
NYSEMKT–2017–24]
Self-Regulatory Organizations; NYSE
MKT LLC; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change Amend Rule 67-Equities
To Modify the Date of Appendix B Web
Site Data Publication Pursuant to the
Regulation NMS Plan To Implement a
Tick Size Pilot Program
May 10, 2017.
Pursuant to Section 19(b)(1) 1 of the
Securities Exchange Act of 1934 (the
‘‘Act’’) 2 and Rule 19b–4 thereunder,3
notice is hereby given that on April 27,
2017, NYSE MKT LLC (the ‘‘Exchange’’
or ‘‘NYSE MKT’’) filed with the
Securities and Exchange Commission
(the ‘‘Commission’’) the proposed rule
17 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 15 U.S.C. 78a.
3 17 CFR 240.19b–4.
1 15
E:\FR\FM\16MYN1.SGM
16MYN1
Federal Register / Vol. 82, No. 93 / Tuesday, May 16, 2017 / Notices
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.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend
Rule 67-Equities to modify the date of
Appendix B Web site data publication
pursuant to the Regulation NMS Plan to
Implement a Tick Size Pilot Program
(‘‘Plan’’). The proposed rule change is
available on the Exchange’s Web site at
www.nyse.com, at the principal office of
the Exchange, and at the Commission’s
Public Reference Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
self-regulatory organization included
statements concerning the purpose of,
and basis for, the proposed rule change
and discussed any comments it received
on the proposed rule change. The text
of those statements may be examined at
the places specified in Item IV below.
The Exchange has prepared summaries,
set forth in sections A, B, and C below,
of the most significant parts of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
Rule 67(b)-Equities (Compliance with
Data Collection Requirements) 4
implements the data collection and Web
site publication requirements of the
Plan.5 Supplementary Material .70 to
sradovich on DSK3GMQ082PROD with NOTICES
4 See
Securities Exchange Act Release No. 77478
(March 30, 2016), 81 FR 19665 (April 5, 2016)
(Immediate Effectiveness of Proposed Rule Change
Adopting Requirements for the Collection and
Transmission of Data Pursuant to Appendices B and
C of Regulation NMS Plan to Implement a Tick Size
Pilot Program) (SR–NYSEMKT–2016–40); see also
Securities Exchange Act Release No. 78817
(September 12, 2016), 81 FR 63811 (September 16,
2016) (Immediate Effectiveness of Proposed Rule
Change to Amend Rule 67-Equities to Modify
Certain Data Collection Requirements of the
Regulation NMS Plan to Implement a Tick Size
Pilot Program) (SR–NYSEMKT–2016–84); see also
Letter from John C. Roeser, Associate Director,
Division of Trading and Markets, Commission, to
Sherry Sandler, Associate General Counsel, NYSE
MKT, dated April 4, 2016.
5 The Participants filed the Plan to comply with
an order issued by the Commission on June 24,
2014. See Letter from Brendon J. Weiss, Vice
President, Intercontinental Exchange, Inc., to
Secretary, Commission, dated August 25, 2014
VerDate Sep<11>2014
16:42 May 15, 2017
Jkt 241001
Rule 67-Equities provides, among other
things, that the requirement that the
Exchange or their DEA make certain
data for the Pre-Pilot Period and Pilot
Period 6 publicly available on the
Exchange’s or DEA’s Web site pursuant
to Appendix B to the Plan shall
commence on April 28, 2017.7 The
Exchange is proposing to amend
Supplementary Material .70 to Rule 67Equities to delay the Appendix B data
Web site publication date until August
31, 2017. The Exchange is proposing to
further delay the Web site publication of
Appendix B data until August 31, 2017
to permit additional time to consider a
methodology to mitigate concerns raised
in connection with the publication of
Appendix B data.8
Pursuant to this proposed
amendment, the Exchange would
publish the required Appendix B data
for the Pre-Pilot Period through April
30, 2017, by August 31, 2017.
Thereafter, Appendix B data for a given
month would be published within 120
calendar days following month end.9
Thus, for example, Appendix B data for
May 2017 would be made available on
the Exchange’s or DEA’s Web site by
September 28, 2017, and data for the
month of June 2017 would be made
available on the Exchange’s or DEA’s
Web site by October 28, 2017.
As noted in Item 2 of this filing, the
Exchange has filed the proposed rule
change for immediate effectiveness and
has requested that the Commission
waive the 30-day operative delay. If the
Commission waives the 30-day
operative delay, the operative date of
the proposed rule change will be the
date of filing.
(‘‘SRO Tick Size Plan Proposal’’). See Securities
Exchange Act Release No 72460 (June 24, 2014), 79
FR 36840 (June 30, 2014); see also Securities
Exchange Act Release No. 74892 (May 6, 2015), 80
FR 27513 (May 13, 2015).
6 Unless otherwise defined herein, capitalized
terms have the meaning ascribed to them in the
Plan.
7 See Supplementary Material .70 to Rule 67Equities. See also Securities Exchange Act Release
No. 80178 (March 8, 2017), 82 FR 13700 (March 14,
2017). See also Letter from David S. Shillman,
Associate Director, Division of Trading and
Markets, Commission, to Robert L.D. Colby,
Executive Vice President and Chief Legal Officer,
FINRA, dated February 28, 2017.
8 On March 3, 2017, FINRA filed a proposed rule
change to implement an anonymous, grouped
masking methodology for Appendix B.I, B.II. and
B.IV. data. The comment period ended on April 5,
2017, and the Commission received three comment
letters. See Securities Exchange Act Release No.
80193 (March 9, 2017) 82 FR 13901 (March 15,
2017).
9 FINRA also submitted an exemptive request, on
behalf of all Participants, to the SEC in connection
with the instant filing.
PO 00000
Frm 00115
Fmt 4703
Sfmt 4703
22591
2. Statutory Basis
The Exchange believes that its
proposal is consistent with Section 6(b)
of the Act,10 in general, and furthers the
objectives of Section 6(b)(5) of the Act,11
in particular, in that it is designed to
prevent fraudulent and manipulative
acts and practices, to promote just and
equitable principles of trade, to remove
impediments to and perfect the
mechanism of a free and open market
and a national market system, and, in
general, to protect investors and the
public interest.
The Plan is designed to allow the
Commission, market participants, and
the public to study and assess the
impact of increment conventions on the
liquidity and trading of the common
stock of small-capitalization companies.
The Exchange believes that this
proposal is consistent with the Act
because it is in furtherance of the
objectives of Section VII(A) of the Plan
in that it is designed to provide the
Exchange with additional time to
consider a methodology to mitigate
concerns raised in connection with the
publication of Appendix B data.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange 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
Exchange notes that the proposed rule
change implements the provisions of the
Plan, and is designed to assist the
Participants in meeting their regulatory
obligations pursuant to the Plan.
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
Because the foregoing proposed rule
change does not: (i) Significantly affect
the protection of investors or the public
interest; (ii) impose any significant
burden on competition; and (iii) 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
10 15
11 15
E:\FR\FM\16MYN1.SGM
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
16MYN1
22592
Federal Register / Vol. 82, No. 93 / Tuesday, May 16, 2017 / Notices
19(b)(3)(A) of the Act 12 and Rule 19b–
4(f)(6) thereunder.13
A proposed rule change filed under
Rule 19(b)–4(f)(6) normally does not
become operative prior to 30 days after
the date of the filing. However, pursuant
to Rule 19b–4(f)(6)(iii), the Commission
may designate a shorter time if such
action is consistent with the protection
of investors and the public interest. The
Exchange has filed the proposed rule
change for immediate effectiveness and
has requested that the Commission
waive the requirement that the proposed
rule change not become operative for 30
days after the date of the filing so that
it may become operative on the date of
filing.
The Exchange notes that the proposed
rule change is intended to mitigate
confidentiality concerns raised in
connection with Section VII(A) of the
Plan, which provides that the data made
publicly available will not identify the
Trading Center that generated the data.
The Exchange states that the additional
time would allow consideration of a
methodology to mitigate concerns
related to the publication of Appendix
B data.14
The Commission believes that
waiving the 30-day operative delay is
consistent with the protection of
investors and the public interest
because it will synchronize the timing
for publication of Appendix B data for
all Participants, which should enhance
the consistency and usefulness of the
data.15 Therefore, the Commission
hereby waives the 30-day operative
delay and designates the proposed rule
change to be operative on the date of
filing.16
12 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6).
14 The Commission recently approved a FINRA
proposal to implement an aggregated, anonymous
grouped masking methodology for the publication
of Appendix B data related to OTC trading activity.
See Securities Exchange Release No. 80551, (April
28, 2017), 82 FR 20948 (May 4, 2017). See also
Letter from David S. Shillman, Associate Director,
Division of Trading and Markets, Commission, to
Marcia E. Asquith, Executive Vice President FINRA,
dated April 28, 2017.
15 The Commission recently granted exemptive
relief to the Participants delay the publication of
their Appendix B data until August 31, 2017. See
Letter from David S. Shillman, Associate Director,
Division of Trading and Markets, Commission, to
Jennifer Piorko Mitchell, Vice President and Deputy
Corporate Secretary, FINRA, dated April 27, 2017.
The Commission notes that other Participants have
submitted proposed rule changes to delay the
publication of Appendix B data until August 31,
2017. See e.g., SR–BatsBYX–2017–10; SR–
BatsEDGA–2017–10; SR–BatsEDGX–2017–19; SR–
BX–2017–022; SR–CHX–2017–07; SR–FINRA–
2017–010; SR–IEX–2017–12; SR–NASDAQ–2017–
044; SR–Phlx–2017–33; SR–NYSE–2017–19; SR–
NYSEArca–2017–49.
16 For purposes only of waiving the operative
delay for this proposal, the Commission has
sradovich on DSK3GMQ082PROD with NOTICES
13 17
VerDate Sep<11>2014
16:42 May 15, 2017
Jkt 241001
At any time within 60 days of the
filing of the proposed rule change, the
Commission summarily may
temporarily suspend such rule change if
it appears to the Commission that such
action is necessary or appropriate in the
public interest, for the protection of
investors, or otherwise in furtherance of
the purposes of the Act. 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–
NYSEMKT–2017–24 on the subject line.
Paper Comments
• Send paper comments in triplicate
to Brent J. Fields, Secretary, Securities
and Exchange Commission, 100 F Street
NE., Washington, DC 20549–1090.
All submissions should refer to File
Number SR–NYSEMKT–2017–24. 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
considered the proposed rule’s impact on
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f).
PO 00000
Frm 00116
Fmt 4703
Sfmt 4703
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–
NYSEMKT–2017–24 and should be
submitted on or before June 6, 2017.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.17
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017–09820 Filed 5–15–17; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Investment Company Act Release No.
32632; 812–14713]
Sierra Total Return Fund, et al.
May 10, 2017.
Securities and Exchange
Commission (‘‘Commission’’).
ACTION: Notice.
AGENCY:
Notice of an application under section
6(c) of the Investment Company Act of
1940 (the ‘‘Act’’) for an exemption from
sections 18(a)(2), 18(c) and 18(i) of the
Act, under sections 6(c) and 23(c)(3) of
the Act for an exemption from rule 23c–
3 under the Act, and for an order
pursuant to section 17(d) of the Act and
rule 17d–1 under the Act.
Summary of Application: Applicants
request an order to permit certain
registered closed-end management
investment companies to issue multiple
classes of shares and to impose assetbased distribution and shareholder
service fees and early withdrawal
charges.
Applicants: Sierra Total Return Fund
(‘‘STRF’’), STRF Advisors LLC (‘‘STRF
Advisors’’), Sierra Opportunity Fund
(‘‘SOF’’), and SOF Advisors LLC (‘‘SOF
Advisors’’).
Filing Dates: The application was
filed on October 31, 2016 and amended
on March 8, 2017 and April 18, 2017.
Hearing or Notification of Hearing: An
order granting the requested relief will
be issued unless the Commission orders
a hearing. Interested persons may
request a hearing by writing to the
Commission’s Secretary and serving
applicants with a copy of the request,
personally or by mail. Hearing requests
should be received by the Commission
by 5:30 p.m. on June 5, 2017, and
should be accompanied by proof of
17 17
E:\FR\FM\16MYN1.SGM
CFR 200.30–3(a)(12).
16MYN1
Agencies
[Federal Register Volume 82, Number 93 (Tuesday, May 16, 2017)]
[Notices]
[Pages 22590-22592]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-09820]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-80648; File No. SR-NYSEMKT-2017-24]
Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing and
Immediate Effectiveness of Proposed Rule Change Amend Rule 67-Equities
To Modify the Date of Appendix B Web Site Data Publication Pursuant to
the Regulation NMS Plan To Implement a Tick Size Pilot Program
May 10, 2017.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby
given that on April 27, 2017, NYSE MKT LLC (the ``Exchange'' or ``NYSE
MKT'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule
[[Page 22591]]
change as described in Items I, II, and III below, which Items have
been prepared by the self-regulatory organization. The Commission is
publishing this notice to solicit comments on the proposed rule change
from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 15 U.S.C. 78a.
\3\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to amend Rule 67-Equities to modify the date
of Appendix B Web site data publication pursuant to the Regulation NMS
Plan to Implement a Tick Size Pilot Program (``Plan''). The proposed
rule change is available on the Exchange's Web site at www.nyse.com, at
the principal office of the Exchange, and at the Commission's Public
Reference Room.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the self-regulatory organization
included statements concerning the purpose of, and basis for, the
proposed rule change and discussed any comments it received on the
proposed rule change. The text of those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule Change
1. Purpose
Rule 67(b)-Equities (Compliance with Data Collection Requirements)
\4\ implements the data collection and Web site publication
requirements of the Plan.\5\ Supplementary Material .70 to Rule 67-
Equities provides, among other things, that the requirement that the
Exchange or their DEA make certain data for the Pre-Pilot Period and
Pilot Period \6\ publicly available on the Exchange's or DEA's Web site
pursuant to Appendix B to the Plan shall commence on April 28, 2017.\7\
The Exchange is proposing to amend Supplementary Material .70 to Rule
67-Equities to delay the Appendix B data Web site publication date
until August 31, 2017. The Exchange is proposing to further delay the
Web site publication of Appendix B data until August 31, 2017 to permit
additional time to consider a methodology to mitigate concerns raised
in connection with the publication of Appendix B data.\8\
---------------------------------------------------------------------------
\4\ See Securities Exchange Act Release No. 77478 (March 30,
2016), 81 FR 19665 (April 5, 2016) (Immediate Effectiveness of
Proposed Rule Change Adopting Requirements for the Collection and
Transmission of Data Pursuant to Appendices B and C of Regulation
NMS Plan to Implement a Tick Size Pilot Program) (SR-NYSEMKT-2016-
40); see also Securities Exchange Act Release No. 78817 (September
12, 2016), 81 FR 63811 (September 16, 2016) (Immediate Effectiveness
of Proposed Rule Change to Amend Rule 67-Equities to Modify Certain
Data Collection Requirements of the Regulation NMS Plan to Implement
a Tick Size Pilot Program) (SR-NYSEMKT-2016-84); see also Letter
from John C. Roeser, Associate Director, Division of Trading and
Markets, Commission, to Sherry Sandler, Associate General Counsel,
NYSE MKT, dated April 4, 2016.
\5\ The Participants filed the Plan to comply with an order
issued by the Commission on June 24, 2014. See Letter from Brendon
J. Weiss, Vice President, Intercontinental Exchange, Inc., to
Secretary, Commission, dated August 25, 2014 (``SRO Tick Size Plan
Proposal''). See Securities Exchange Act Release No 72460 (June 24,
2014), 79 FR 36840 (June 30, 2014); see also Securities Exchange Act
Release No. 74892 (May 6, 2015), 80 FR 27513 (May 13, 2015).
\6\ Unless otherwise defined herein, capitalized terms have the
meaning ascribed to them in the Plan.
\7\ See Supplementary Material .70 to Rule 67-Equities. See also
Securities Exchange Act Release No. 80178 (March 8, 2017), 82 FR
13700 (March 14, 2017). See also Letter from David S. Shillman,
Associate Director, Division of Trading and Markets, Commission, to
Robert L.D. Colby, Executive Vice President and Chief Legal Officer,
FINRA, dated February 28, 2017.
\8\ On March 3, 2017, FINRA filed a proposed rule change to
implement an anonymous, grouped masking methodology for Appendix
B.I, B.II. and B.IV. data. The comment period ended on April 5,
2017, and the Commission received three comment letters. See
Securities Exchange Act Release No. 80193 (March 9, 2017) 82 FR
13901 (March 15, 2017).
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Pursuant to this proposed amendment, the Exchange would publish the
required Appendix B data for the Pre-Pilot Period through April 30,
2017, by August 31, 2017. Thereafter, Appendix B data for a given month
would be published within 120 calendar days following month end.\9\
Thus, for example, Appendix B data for May 2017 would be made available
on the Exchange's or DEA's Web site by September 28, 2017, and data for
the month of June 2017 would be made available on the Exchange's or
DEA's Web site by October 28, 2017.
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\9\ FINRA also submitted an exemptive request, on behalf of all
Participants, to the SEC in connection with the instant filing.
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As noted in Item 2 of this filing, the Exchange has filed the
proposed rule change for immediate effectiveness and has requested that
the Commission waive the 30-day operative delay. If the Commission
waives the 30-day operative delay, the operative date of the proposed
rule change will be the date of filing.
2. Statutory Basis
The Exchange believes that its proposal is consistent with Section
6(b) of the Act,\10\ in general, and furthers the objectives of Section
6(b)(5) of the Act,\11\ in particular, in that it is designed to
prevent fraudulent and manipulative acts and practices, to promote just
and equitable principles of trade, to remove impediments to and perfect
the mechanism of a free and open market and a national market system,
and, in general, to protect investors and the public interest.
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\10\ 15 U.S.C. 78f(b).
\11\ 15 U.S.C. 78f(b)(5).
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The Plan is designed to allow the Commission, market participants,
and the public to study and assess the impact of increment conventions
on the liquidity and trading of the common stock of small-
capitalization companies. The Exchange believes that this proposal is
consistent with the Act because it is in furtherance of the objectives
of Section VII(A) of the Plan in that it is designed to provide the
Exchange with additional time to consider a methodology to mitigate
concerns raised in connection with the publication of Appendix B data.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange 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 Exchange
notes that the proposed rule change implements the provisions of the
Plan, and is designed to assist the Participants in meeting their
regulatory obligations pursuant to the Plan.
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
Because the foregoing proposed rule change does not: (i)
Significantly affect the protection of investors or the public
interest; (ii) impose any significant burden on competition; and (iii)
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
[[Page 22592]]
19(b)(3)(A) of the Act \12\ and Rule 19b-4(f)(6) thereunder.\13\
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\12\ 15 U.S.C. 78s(b)(3)(A).
\13\ 17 CFR 240.19b-4(f)(6).
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A proposed rule change filed under Rule 19(b)-4(f)(6) normally does
not become operative prior to 30 days after the date of the filing.
However, pursuant to Rule 19b-4(f)(6)(iii), the Commission may
designate a shorter time if such action is consistent with the
protection of investors and the public interest. The Exchange has filed
the proposed rule change for immediate effectiveness and has requested
that the Commission waive the requirement that the proposed rule change
not become operative for 30 days after the date of the filing so that
it may become operative on the date of filing.
The Exchange notes that the proposed rule change is intended to
mitigate confidentiality concerns raised in connection with Section
VII(A) of the Plan, which provides that the data made publicly
available will not identify the Trading Center that generated the data.
The Exchange states that the additional time would allow consideration
of a methodology to mitigate concerns related to the publication of
Appendix B data.\14\
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\14\ The Commission recently approved a FINRA proposal to
implement an aggregated, anonymous grouped masking methodology for
the publication of Appendix B data related to OTC trading activity.
See Securities Exchange Release No. 80551, (April 28, 2017), 82 FR
20948 (May 4, 2017). See also Letter from David S. Shillman,
Associate Director, Division of Trading and Markets, Commission, to
Marcia E. Asquith, Executive Vice President FINRA, dated April 28,
2017.
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The Commission believes that waiving the 30-day operative delay is
consistent with the protection of investors and the public interest
because it will synchronize the timing for publication of Appendix B
data for all Participants, which should enhance the consistency and
usefulness of the data.\15\ Therefore, the Commission hereby waives the
30-day operative delay and designates the proposed rule change to be
operative on the date of filing.\16\
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\15\ The Commission recently granted exemptive relief to the
Participants delay the publication of their Appendix B data until
August 31, 2017. See Letter from David S. Shillman, Associate
Director, Division of Trading and Markets, Commission, to Jennifer
Piorko Mitchell, Vice President and Deputy Corporate Secretary,
FINRA, dated April 27, 2017. The Commission notes that other
Participants have submitted proposed rule changes to delay the
publication of Appendix B data until August 31, 2017. See e.g., SR-
BatsBYX-2017-10; SR-BatsEDGA-2017-10; SR-BatsEDGX-2017-19; SR-BX-
2017-022; SR-CHX-2017-07; SR-FINRA-2017-010; SR-IEX-2017-12; SR-
NASDAQ-2017-044; SR-Phlx-2017-33; SR-NYSE-2017-19; SR-NYSEArca-2017-
49.
\16\ For purposes only of waiving the operative delay for this
proposal, the Commission has considered the proposed rule's impact
on efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
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At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act. 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-NYSEMKT-2017-24 on the subject line.
Paper Comments
Send paper comments in triplicate to Brent J. Fields,
Secretary, Securities and Exchange Commission, 100 F Street NE.,
Washington, DC 20549-1090.
All submissions should refer to File Number SR-NYSEMKT-2017-24. 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-NYSEMKT-2017-24 and should
be submitted on or before June 6, 2017.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\17\
Eduardo A. Aleman,
Assistant Secretary.
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\17\ 17 CFR 200.30-3(a)(12).
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[FR Doc. 2017-09820 Filed 5-15-17; 8:45 am]
BILLING CODE 8011-01-P