Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Schedule of Fees and Charges Relating to the Listing Fees Applicable to Exchange Traded Products, 46865-46867 [2017-21539]
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Federal Register / Vol. 82, No. 193 / Friday, October 6, 2017 / Notices
46865
(ii) as to which the Exchange consents,
the Commission shall: (a) By order
approve or disapprove such proposed
rule change, or (b) institute proceedings
to determine whether the proposed rule
change should be disapproved.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.129
Eduardo A. Aleman,
Assistant Secretary.
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.
[FR Doc. 2017–21538 Filed 10–5–17; 8:45 am]
IV. Solicitation of Comments
BILLING CODE 8011–01–P
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
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–
MRX–2017–18 on the subject line.
asabaliauskas on DSKBBXCHB2PROD 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–MRX–2017–18. 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–MRX–
2017–18 and should be submitted on or
before October 27, 2017.
VerDate Sep<11>2014
18:40 Oct 05, 2017
Jkt 244001
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–81796; File No. SR–
NYSEArca–2017–105]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Amend the Schedule
of Fees and Charges Relating to the
Listing Fees Applicable to Exchange
Traded Products
October 2, 2017.
Pursuant to Section 19(b)(1) 1 of the
Securities Exchange Act of 1934
(‘‘Act’’) 2 and Rule 19b–4 thereunder,3
notice is hereby given that on
September 19, 2017, NYSE Arca, Inc.
(‘‘Exchange’’ or ‘‘NYSE Arca’’) 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 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 the
Exchange’s ‘‘Schedule of Fees and
Charges’’ relating to the Listing Fee
applicable to Exchange Traded
Products, effective September 19, 2017.
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
129 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
PO 00000
Frm 00113
Fmt 4703
Sfmt 4703
1. Purpose
The Exchange proposes to amend the
Exchange’s Schedule of Fees and
Charges (‘‘Schedule’’) relating to the
‘‘Listing Fee’’ applicable to ExchangeTraded Products (‘‘ETPs’’), effective
September 19, 2017, as described
below.4
Currently the Schedule does not
impose a Listing Fee for the following
ETPs listed on the Exchange pursuant to
Rule 19b–4(e) under the Act, and for
which a proposed rule change pursuant
to Section 19(b) of the Act is not
required to be filed with the
Commission: 5 Investment Company
Units; Portfolio Depositary Receipts;
Currency Trust Shares and Managed
Fund Shares (collectively, ‘‘GenericallyListed Exchange Traded Products’’).6
Certain other ETPs—specifically,
Trust Issued Receipts,7 Commodity4 For the purposes of the Schedule, the term
‘‘Exchange Traded Products’’ includes securities
described in NYSE Arca Rules 5.2–E(j)(3)
(Investment Company Units); 8.100–E (Portfolio
Depositary Receipts); 8.200–E (Trust Issued
Receipts); 8.201–E (Commodity-Based Trust
Shares); 8.202–E (Currency Trust Shares); 8.203–E
(Commodity Index Trust Shares); 8.204–E
(Commodity Futures Trust Shares); 8.300–E
(Partnership Units); 8.500–E (Trust Units); 8.600–E
(Managed Fund Shares), and 8.700–E (Managed
Trust Securities).
5 Exchange rules applicable to Trust Issued
Receipts (Commentary .02 to NYSE Arca Rule
8.200–E); Commodity-Based Trust Shares (NYSE
Arca Rule 8.201–E), Commodity Index Trust Shares
(NYSE Arca Rule 8.203–E),, [sic] Commodity
Futures Trust Shares (NYSE Arca Rule 8.204–E),
Partnership Units (NYSE Arca Rule 8.300–E), Trust
Units (NYSE Arca Rule 8.500–E), and Managed
Trust Securities (NYSE Arca Rule 8.700–E) do not
provide for listing pursuant to Rule 19b–4(e) under
the Act.
6 See Securities Exchange Act Release Nos. 77883
(May 23, 2016), 81 FR 33720 (May 27, 2016) (SR–
NYSEArca–2016–69) (Notice of Filing and
Immediate Effectiveness of Proposed Rule Change
Amending the Exchange’s Schedule of Fees and
Charges to Eliminate the Listing Fee in Connection
with Exchange Listing of Certain Exchange Traded
Products); 78633 (August 22, 2016), 81 FR 59025
(August 26, 2016) (SR–NYSEArca–2016–114)
(Notice of Filing and Immediate Effectiveness of
Proposed Rule Change Amending the Exchange’s
Schedule of Fees and Charges to Eliminate the
Listing Fee in Connection with Exchange Listing of
Certain Exchange Traded Products).
7 Commentary .01 to NYSE Arca Rule 8.200–E
provides generic standards for listing Trust Issued
Receipts pursuant to Rule 19b–4(e) under the Act.
However, the Exchange does not currently intend
to list Trust Issued Receipts under Commentary .01,
Continued
E:\FR\FM\06OCN1.SGM
06OCN1
46866
Federal Register / Vol. 82, No. 193 / Friday, October 6, 2017 / Notices
asabaliauskas on DSKBBXCHB2PROD with NOTICES
Based Trust Shares, Commodity Index
Trust Shares, Commodity Futures Trust
Shares, Partnership Units, Trust Units,
and non-generically-listed Investment
Company Units, Portfolio Depositary
Receipts, Managed Fund Shares, and
Currency Trust Shares—are subject to a
Listing Fee of $7,500.8 Under Item 5b of
the Schedule, Managed Trust Securities
are subject to a Listing Fee of $10,000.
The Exchange proposes to amend the
Listing Fee applicable to ETPs in two
respects. First, the Exchange proposes to
reduce the listing fee for Managed Trust
Securities from $10,000 to $7,500. Thus,
under the proposed change, the same
Listing Fee of $7,500 would apply to all
non-generically listed ETPs.
Second, the Exchange proposes to
amend the Schedule to provide that, if
three or more issues of ETPs, other than
Generically-Listed Exchange Traded
Products, are issued by the same issuer
and are listed on the Exchange in the
same calendar year, such issues will be
subject to an aggregate maximum Listing
Fee of $22,500 for all such listed issues
combined.9
The Exchange believes reducing the
Listing Fee for Managed Trust Securities
would result in a uniform Listing Fee
for all non-generically listed ETPs and
would help correlate the Listing Fee to
the resources required to list such issues
on the Exchange. The Exchange believes
it is appropriate to continue to charge a
Listing Fee for ETPs for which a
proposed rule change pursuant to
Section 19(b) of the Act is required to
be filed because of the additional time
and resources required by Exchange
staff to prepare and review such filings
and to communicate with issuers and
the Commission regarding such filings.
With respect to the aggregate
maximum Listing Fee of $22,500 for
three or more ETPs, as described above,
but instead lists Trust Issued Receipts under
Commentary .02 to NYSE Arca Rule 8.200–E, which
does not provide generic standards for listing
pursuant to Rule 19b–4(e) under the Act. Before
listing any Trust Issued Receipts pursuant to
Commentary .01 to NYSE Arca Rule 8.200–E, the
Exchange will first file a proposed rule change with
respect to the Listing Fee applicable to any such
generically-listed securities.
8 Exchange rules applicable to Trust Issued
Receipts (Commentary .02 to NYSE Arca Rule
8.200–E); Commodity-Based Trust Shares (NYSE
Arca Rule 8.201–E), Commodity Index Trust Shares
(NYSE Arca Rule 8.203–E),, [sic] Commodity
Futures Trust Shares (NYSE Arca Rule 8.204–E),
Partnership Units (NYSE Arca Rule 8.300–E), Trust
Units (NYSE Arca Rule 8.500–E), and Managed
Trust Securities (NYSE Arca Rule 8.700–E) do not
provide for listing pursuant to Rule 19b–4(e) under
the Act.
9 With respect to the aggregate maximum Listing
Fee of $22,500, the Exchange would not apply this
provision retroactively, and the Exchange would
not provide a refund of Listing Fees to an issuer that
has listed four or more ETP issues in 2017 or prior
calendar years.
VerDate Sep<11>2014
18:40 Oct 05, 2017
Jkt 244001
the Exchange believes it is appropriate
to provide a cap on the Listing Fee for
multiple ETPs from the same issuer, as
described above, because such a cap
will facilitate the issuance of additional
ETPs, which may provide enhanced
competition among ETP issuers, while
providing a reduction in fees to certain
issuers listing multiple ETPs during a
calendar year. The proposed cap would
apply equally to all issuers listing
multiple ETPs on the Exchange during
a calendar year. The Exchange believes
that a Listing Fee cap, as described
above, is appropriate in such cases
because the Exchange experiences
efficiencies commensurate with the
proposed Listing Fee cap in working
with issuers on a repeated basis in
connection with developing and listing
multiple ETPs.
Annual Fees set forth in the Schedule
applicable to ETPs would remain
unchanged.
Notwithstanding the reduction of the
Listing Fee applicable to Managed Trust
Securities, as well as the cap of $22,500
for multiple listings of ETPs by the same
issuer in a calendar year, as described
above, the Exchange will continue to be
able to fund its regulatory obligations.
2. Statutory Basis
NYSE Arca believes that the proposal
is consistent with Section 6(b) 10 of the
Act, in general, and Section 6(b)(4) 11 of
the Act in particular, in that it provides
for the equitable allocation of reasonable
dues, fees and other charges among its
issuers and other persons using its
facilities. In addition, the Exchange
believes the proposal is consistent with
the requirement under Section 6(b)(5) 12
that an exchange have rules that are
designed to prevent fraudulent and
manipulative acts and practices, to
promote just and equitable principles of
trade, to foster cooperation and
coordination with persons engaged in
regulating, clearing, settling, processing
information with respect to, and
facilitating transactions in securities, to
remove impediments to, and perfect the
mechanism of a free and open market
and, in general, to protect investors and
the public interest; and are not designed
to permit unfair discrimination between
customers, issuers, brokers, or dealers.
The proposed reduction of the Listing
Fee for Managed Trust Securities, as
described above, is equitable and does
not unfairly discriminate among issuers
because it would apply uniformly to all
such issues listed under Exchange rules.
In addition, all ETPs other than
U.S.C. 78f(b).
11 15 U.S.C. 78f(b)(4).
12 15 U.S.C. 78f(b)(5).
Frm 00114
Fmt 4703
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
any burden on competition that is not
necessary or appropriate in furtherance
of the purpose of the Act. The Exchange
believes the proposed rule change
would promote competition because it
will reduce the Listing Fee for Managed
Trust Securities and cap the aggregate
Listing Fee for multiple issues of ETPs
in the same calendar year by the same
issuer at $22,500, thereby encouraging
issuers to develop and list additional
such issues on the Exchange.
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.
10 15
PO 00000
Generically-Listed Exchange Traded
Products would be subject to the same
Listing Fee following the proposed
Listing Fee reduction.
With respect to the aggregate
maximum Listing Fee of $22,500 for
three or more ETPs, as described above,
the Exchange believes it is appropriate
to provide a cap on the Listing Fee for
multiple ETPs from the same issuer
because such a cap will facilitate the
issuance of additional ETPs, which may
provide enhanced competition among
ETP issuers, while providing a
reduction in fees to certain issuers
listing multiple ETPs during a calendar
year. The proposed cap would apply
equally to all issuers listing multiple
ETPs on the Exchange during a calendar
year. The Exchange believes that a
Listing Fee cap, as described above, is
appropriate in such cases because the
Exchange experiences efficiencies
commensurate with the proposed
Listing Fee cap in working with issuers
on a repeated basis in connection with
developing and listing multiple ETPs.
The Exchange believes it is
appropriate to continue to charge a
Listing Fee for ETPs for which a
proposed rule change pursuant to
Section 19(b) of the Act is required to
be filed because of the significant
additional extensive time, legal and
business resources required by
Exchange staff to prepare and review
such filings and to communicate with
issuers and the Commission regarding
such filings.
Sfmt 4703
E:\FR\FM\06OCN1.SGM
06OCN1
Federal Register / Vol. 82, No. 193 / Friday, October 6, 2017 / Notices
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change is effective
upon filing pursuant to Section
19(b)(3)(A) 13 of the Act and
subparagraph (f)(2) of Rule 19b–4 14
thereunder, because it establishes a due,
fee, or other charge imposed by the
Exchange.
At any time within 60 days of the
filing of such proposed rule change, the
Commission summarily may
temporarily suspend such rule change if
it appears to the Commission that such
action is necessary or appropriate in the
public interest, for the protection of
investors, or otherwise in furtherance of
the purposes of the Act. If the
Commission takes such action, the
Commission shall institute proceedings
under Section 19(b)(2)(B) 15 of the Act to
determine whether the proposed rule
change should be approved or
disapproved.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
asabaliauskas on DSKBBXCHB2PROD 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–
NYSEArca–2017–105 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–NYSEArca–2017–105. 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
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(2).
15 15 U.S.C. 78s(b)(2)(B).
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–
NYSEArca–2017–105 and should be
submitted on or before October 27,
2017.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.16
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017–21539 Filed 10–5–17; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–81792; File No. SR–
NYSEArca–2017–113]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Reflect a Change to
the Administrator for the London
Bullion Market Association Silver Price
to ICE Benchmark Administration
October 2, 2017.
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
September 21, 2017, NYSE Arca, Inc.
(‘‘Exchange’’ or ‘‘NYSE Arca’’) filed
with the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change as described in
Items I and II 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.
13 15
16 17
14 17
1 15
VerDate Sep<11>2014
18:40 Oct 05, 2017
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
Jkt 244001
PO 00000
Frm 00115
Fmt 4703
Sfmt 4703
46867
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to reflect a
change to the administrator for the
London Bullion Market Association
(‘‘LBMA’’) Silver Price from CME
Group, Inc. and Thomson Reuters to ICE
Benchmark Administration, effective as
of October 2, 2017. The proposed rule
change is available on the Exchange’s
Web site at www.nyse.com, at the
principal office of the Exchange, and at
the Commission’s Public Reference
Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
self-regulatory organization included
statements concerning the purpose of,
and basis for, the proposed rule change
and discussed any comments it received
on the proposed rule change. The text
of those statements may be examined at
the places specified in Item IV below.
The Exchange has prepared summaries,
set forth in sections A, B, and C below,
of the most significant parts of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to reflect a
change to the administrator for the
LBMA Silver Price from CME Group,
Inc. (‘‘CME’’) and Thomson Reuters to
ICE Benchmark Administration (‘‘IBA’’),
effective as of October 2, 2017, as
described further below.3 The LBMA
Silver Price is the price used with
respect to calculation of the net asset
value for the iShares Silver Trust,4 ETFS
3 See press release dated July 14, 2017 from
Intercontinental Exchange (‘‘ICE’’) and the LBMA
announced [sic] that IBA has been chosen as the
new administrator for the LBMA Silver Price,
which is available here: https://www.lbma.org.uk/_
blog/lbma_media_centre/post/ice-benchmarkadministration-to-take-over-administration-of-thelbma-silver-price/. See also, ICE press release dated
September 21, 2017, ‘‘ICE Benchmark
Administration to Launch LBMA Silver Price on 2
October 2017’’, which is available here: https://
ir.theice.com/press/press-releases/all-categories/
2017/09-21-2017-110006932?=news_promo.
4 See Securities Exchange Act Release Nos. 58956
(November 14, 2008), 73 FR 71074 (November 24,
2008) (SR–NYSEArca 2008–124) (approving listing
on the Exchange of the iShares Silver Trust); 53520
(March 20, 2006), 71 FR 14977 (March 24, 2006)
(SR–PCX–2005–117) (order approving listing and
trading of shares of the iShares Silver Trust
pursuant to unlisted trading privileges); 53521
(March 20, 2006), 71 FR 14967 (March 24, 2006)
Continued
E:\FR\FM\06OCN1.SGM
06OCN1
Agencies
[Federal Register Volume 82, Number 193 (Friday, October 6, 2017)]
[Notices]
[Pages 46865-46867]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-21539]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-81796; File No. SR-NYSEArca-2017-105]
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change To Amend the
Schedule of Fees and Charges Relating to the Listing Fees Applicable to
Exchange Traded Products
October 2, 2017.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby given
that on September 19, 2017, NYSE Arca, Inc. (``Exchange'' or ``NYSE
Arca'') 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
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 the Exchange's ``Schedule of Fees
and Charges'' relating to the Listing Fee applicable to Exchange Traded
Products, effective September 19, 2017. The proposed rule change is
available on the Exchange's Web site at www.nyse.com, at the principal
office of the Exchange, and at the Commission's Public Reference Room.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the self-regulatory organization
included statements concerning the purpose of, and basis for, the
proposed rule change and discussed any comments it received on the
proposed rule change. The text of those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend the Exchange's Schedule of Fees and
Charges (``Schedule'') relating to the ``Listing Fee'' applicable to
Exchange-Traded Products (``ETPs''), effective September 19, 2017, as
described below.\4\
---------------------------------------------------------------------------
\4\ For the purposes of the Schedule, the term ``Exchange Traded
Products'' includes securities described in NYSE Arca Rules 5.2-
E(j)(3) (Investment Company Units); 8.100-E (Portfolio Depositary
Receipts); 8.200-E (Trust Issued Receipts); 8.201-E (Commodity-Based
Trust Shares); 8.202-E (Currency Trust Shares); 8.203-E (Commodity
Index Trust Shares); 8.204-E (Commodity Futures Trust Shares);
8.300-E (Partnership Units); 8.500-E (Trust Units); 8.600-E (Managed
Fund Shares), and 8.700-E (Managed Trust Securities).
---------------------------------------------------------------------------
Currently the Schedule does not impose a Listing Fee for the
following ETPs listed on the Exchange pursuant to Rule 19b-4(e) under
the Act, and for which a proposed rule change pursuant to Section 19(b)
of the Act is not required to be filed with the Commission: \5\
Investment Company Units; Portfolio Depositary Receipts; Currency Trust
Shares and Managed Fund Shares (collectively, ``Generically-Listed
Exchange Traded Products'').\6\
---------------------------------------------------------------------------
\5\ Exchange rules applicable to Trust Issued Receipts
(Commentary .02 to NYSE Arca Rule 8.200-E); Commodity-Based Trust
Shares (NYSE Arca Rule 8.201-E), Commodity Index Trust Shares (NYSE
Arca Rule 8.203-E),, [sic] Commodity Futures Trust Shares (NYSE Arca
Rule 8.204-E), Partnership Units (NYSE Arca Rule 8.300-E), Trust
Units (NYSE Arca Rule 8.500-E), and Managed Trust Securities (NYSE
Arca Rule 8.700-E) do not provide for listing pursuant to Rule 19b-
4(e) under the Act.
\6\ See Securities Exchange Act Release Nos. 77883 (May 23,
2016), 81 FR 33720 (May 27, 2016) (SR-NYSEArca-2016-69) (Notice of
Filing and Immediate Effectiveness of Proposed Rule Change Amending
the Exchange's Schedule of Fees and Charges to Eliminate the Listing
Fee in Connection with Exchange Listing of Certain Exchange Traded
Products); 78633 (August 22, 2016), 81 FR 59025 (August 26, 2016)
(SR-NYSEArca-2016-114) (Notice of Filing and Immediate Effectiveness
of Proposed Rule Change Amending the Exchange's Schedule of Fees and
Charges to Eliminate the Listing Fee in Connection with Exchange
Listing of Certain Exchange Traded Products).
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Certain other ETPs--specifically, Trust Issued Receipts,\7\
Commodity-
[[Page 46866]]
Based Trust Shares, Commodity Index Trust Shares, Commodity Futures
Trust Shares, Partnership Units, Trust Units, and non-generically-
listed Investment Company Units, Portfolio Depositary Receipts, Managed
Fund Shares, and Currency Trust Shares--are subject to a Listing Fee of
$7,500.\8\ Under Item 5b of the Schedule, Managed Trust Securities are
subject to a Listing Fee of $10,000.
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\7\ Commentary .01 to NYSE Arca Rule 8.200-E provides generic
standards for listing Trust Issued Receipts pursuant to Rule 19b-
4(e) under the Act. However, the Exchange does not currently intend
to list Trust Issued Receipts under Commentary .01, but instead
lists Trust Issued Receipts under Commentary .02 to NYSE Arca Rule
8.200-E, which does not provide generic standards for listing
pursuant to Rule 19b-4(e) under the Act. Before listing any Trust
Issued Receipts pursuant to Commentary .01 to NYSE Arca Rule 8.200-
E, the Exchange will first file a proposed rule change with respect
to the Listing Fee applicable to any such generically-listed
securities.
\8\ Exchange rules applicable to Trust Issued Receipts
(Commentary .02 to NYSE Arca Rule 8.200-E); Commodity-Based Trust
Shares (NYSE Arca Rule 8.201-E), Commodity Index Trust Shares (NYSE
Arca Rule 8.203-E),, [sic] Commodity Futures Trust Shares (NYSE Arca
Rule 8.204-E), Partnership Units (NYSE Arca Rule 8.300-E), Trust
Units (NYSE Arca Rule 8.500-E), and Managed Trust Securities (NYSE
Arca Rule 8.700-E) do not provide for listing pursuant to Rule 19b-
4(e) under the Act.
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The Exchange proposes to amend the Listing Fee applicable to ETPs
in two respects. First, the Exchange proposes to reduce the listing fee
for Managed Trust Securities from $10,000 to $7,500. Thus, under the
proposed change, the same Listing Fee of $7,500 would apply to all non-
generically listed ETPs.
Second, the Exchange proposes to amend the Schedule to provide
that, if three or more issues of ETPs, other than Generically-Listed
Exchange Traded Products, are issued by the same issuer and are listed
on the Exchange in the same calendar year, such issues will be subject
to an aggregate maximum Listing Fee of $22,500 for all such listed
issues combined.\9\
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\9\ With respect to the aggregate maximum Listing Fee of
$22,500, the Exchange would not apply this provision retroactively,
and the Exchange would not provide a refund of Listing Fees to an
issuer that has listed four or more ETP issues in 2017 or prior
calendar years.
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The Exchange believes reducing the Listing Fee for Managed Trust
Securities would result in a uniform Listing Fee for all non-
generically listed ETPs and would help correlate the Listing Fee to the
resources required to list such issues on the Exchange. The Exchange
believes it is appropriate to continue to charge a Listing Fee for ETPs
for which a proposed rule change pursuant to Section 19(b) of the Act
is required to be filed because of the additional time and resources
required by Exchange staff to prepare and review such filings and to
communicate with issuers and the Commission regarding such filings.
With respect to the aggregate maximum Listing Fee of $22,500 for
three or more ETPs, as described above, the Exchange believes it is
appropriate to provide a cap on the Listing Fee for multiple ETPs from
the same issuer, as described above, because such a cap will facilitate
the issuance of additional ETPs, which may provide enhanced competition
among ETP issuers, while providing a reduction in fees to certain
issuers listing multiple ETPs during a calendar year. The proposed cap
would apply equally to all issuers listing multiple ETPs on the
Exchange during a calendar year. The Exchange believes that a Listing
Fee cap, as described above, is appropriate in such cases because the
Exchange experiences efficiencies commensurate with the proposed
Listing Fee cap in working with issuers on a repeated basis in
connection with developing and listing multiple ETPs.
Annual Fees set forth in the Schedule applicable to ETPs would
remain unchanged.
Notwithstanding the reduction of the Listing Fee applicable to
Managed Trust Securities, as well as the cap of $22,500 for multiple
listings of ETPs by the same issuer in a calendar year, as described
above, the Exchange will continue to be able to fund its regulatory
obligations.
2. Statutory Basis
NYSE Arca believes that the proposal is consistent with Section
6(b) \10\ of the Act, in general, and Section 6(b)(4) \11\ of the Act
in particular, in that it provides for the equitable allocation of
reasonable dues, fees and other charges among its issuers and other
persons using its facilities. In addition, the Exchange believes the
proposal is consistent with the requirement under Section 6(b)(5) \12\
that an exchange have rules that are designed to prevent fraudulent and
manipulative acts and practices, to promote just and equitable
principles of trade, to foster cooperation and coordination with
persons engaged in regulating, clearing, settling, processing
information with respect to, and facilitating transactions in
securities, to remove impediments to, and perfect the mechanism of a
free and open market and, in general, to protect investors and the
public interest; and are not designed to permit unfair discrimination
between customers, issuers, brokers, or dealers. The proposed reduction
of the Listing Fee for Managed Trust Securities, as described above, is
equitable and does not unfairly discriminate among issuers because it
would apply uniformly to all such issues listed under Exchange rules.
In addition, all ETPs other than Generically-Listed Exchange Traded
Products would be subject to the same Listing Fee following the
proposed Listing Fee reduction.
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\10\ 15 U.S.C. 78f(b).
\11\ 15 U.S.C. 78f(b)(4).
\12\ 15 U.S.C. 78f(b)(5).
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With respect to the aggregate maximum Listing Fee of $22,500 for
three or more ETPs, as described above, the Exchange believes it is
appropriate to provide a cap on the Listing Fee for multiple ETPs from
the same issuer because such a cap will facilitate the issuance of
additional ETPs, which may provide enhanced competition among ETP
issuers, while providing a reduction in fees to certain issuers listing
multiple ETPs during a calendar year. The proposed cap would apply
equally to all issuers listing multiple ETPs on the Exchange during a
calendar year. The Exchange believes that a Listing Fee cap, as
described above, is appropriate in such cases because the Exchange
experiences efficiencies commensurate with the proposed Listing Fee cap
in working with issuers on a repeated basis in connection with
developing and listing multiple ETPs.
The Exchange believes it is appropriate to continue to charge a
Listing Fee for ETPs for which a proposed rule change pursuant to
Section 19(b) of the Act is required to be filed because of the
significant additional extensive time, legal and business resources
required by Exchange staff to prepare and review such filings and to
communicate with issuers and the Commission regarding such filings.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
impose any burden on competition that is not necessary or appropriate
in furtherance of the purpose of the Act. The Exchange believes the
proposed rule change would promote competition because it will reduce
the Listing Fee for Managed Trust Securities and cap the aggregate
Listing Fee for multiple issues of ETPs in the same calendar year by
the same issuer at $22,500, thereby encouraging issuers to develop and
list additional such issues on the Exchange.
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.
[[Page 46867]]
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change is effective upon filing pursuant to
Section 19(b)(3)(A) \13\ of the Act and subparagraph (f)(2) of Rule
19b-4 \14\ thereunder, because it establishes a due, fee, or other
charge imposed by the Exchange.
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\13\ 15 U.S.C. 78s(b)(3)(A).
\14\ 17 CFR 240.19b-4(f)(2).
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At any time within 60 days of the filing of such proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act. If the Commission
takes such action, the Commission shall institute proceedings under
Section 19(b)(2)(B) \15\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
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\15\ 15 U.S.C. 78s(b)(2)(B).
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IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:
Electronic Comments
Use the Commission's Internet comment form (https://www.sec.gov/rules/sro.shtml); or
Send an email to rule-comments@sec.gov. Please include
File Number SR-NYSEArca-2017-105 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-NYSEArca-2017-105. 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-NYSEArca-2017-105 and should
be submitted on or before October 27, 2017.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\16\
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\16\ 17 CFR 200.30-3(a)(12).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-21539 Filed 10-5-17; 8:45 am]
BILLING CODE 8011-01-P