Options Price Reporting Authority; Notice of Filing and Immediate Effectiveness of Proposed Amendment To Modify the OPRA Fee Schedule To Amend the Professional Subscriber Device-Based Fee, 49429-49431 [2017-23114]
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Federal Register / Vol. 82, No. 205 / Wednesday, October 25, 2017 / Notices
in the short term the Vendor that has
had the benefit of the Enterprise Rate
Nonpro Fee may reduce its distribution
of OPRA data to Nonprofessional
Subscribers and that these changes may
therefore result in a decrease in OPRA’s
annual revenues. In the longer term,
OPRA anticipates that it is possible that
the tiered Nonprofessional Subscriber
fees may accomplish OPRA’s original
expectation for the Enterprise Rate
Nonpro Fee by providing an incentive
for Vendors to increase the number of
Nonprofessional Subscribers to whom
they distribute OPRA data in view of the
reduced fees in the higher tiers.
The text of the amendment to the
OPRA Plan is available at OPRA, the
Commission’s Public Reference Room,
the OPRA Web site at https://
opradata.com, and on the Commission’s
Web site at www.sec.gov.
Pursuant to paragraph (b)(3)(i) of Rule
608 of Regulation NMS under the Act,
OPRA designated this amendment as
establishing or changing fees or other
charges collected on behalf of all of the
OPRA participant exchanges in
connection with access to or use of
OPRA facilities. In order to give persons
subject to these fees advance notice of
the changes, OPRA proposes that they
go into effect on January 1, 2018.
(c) Phases of Development and
Implementation
Not applicable.
(d) Impact on Competition
OPRA believes that the proposed
amendment will impose no burdens on
competition that are not justified in
light of the purposes of the Act.
(e) Written Understandings or
Agreements Among the Plan
Participants
Not applicable.
sradovich on DSK3GMQ082PROD with NOTICES
(f) Approval of the Proposed
Amendment
OPRA represents that the proposed
amendments to the OPRA Fee Schedule
were approved in accordance with the
provisions of the OPRA Plan.
The Commission may summarily
abrogate the amendment within sixty
days of its filing and require refiling and
approval of the amendment by
Commission order pursuant to Rule
608(b)(2) under the Act 9 if it appears to
the Commission that such action is
necessary or appropriate in the public
interest, for the protection of investors,
9 See
17 CFR 242.608(b)(2).
VerDate Sep<11>2014
22:06 Oct 24, 2017
or the maintenance of fair and orderly
markets, to remove impediments to, and
perfect the mechanisms of, a national
market system, or otherwise in
furtherance of the purposes of the Act.10
2017–02 and should be submitted on or
before November 15, 2017.
II. Solicitation of Comments
[FR Doc. 2017–23115 Filed 10–24–17; 8:45 am]
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the OPRA Plan
amendment is consistent with the Act.
Comments may be submitted by any of
the following methods:
BILLING CODE 8011–01–P
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 No. SR–
OPRA–2017–02 on the subject line.
• 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–OPRA–2017–02. 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 OPRA Plan
amendment that are filed with the
Commission, and all written
communications relating to the OPRA
Plan amendment 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 OPRA. All comments received
will be posted without change. Persons
submitting comments are cautioned that
we do not redact or edit personal
identifying information from comment
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File Number SR–OPRA–
10 See
Jkt 244001
PO 00000
17 CFR 242.608(b)(3)(iii).
Frm 00119
Fmt 4703
By the Commission.
Eduardo A. Aleman,
Assistant Secretary.
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–81899; File No. SR–OPRA–
2017–01]
Options Price Reporting Authority;
Notice of Filing and Immediate
Effectiveness of Proposed Amendment
To Modify the OPRA Fee Schedule To
Amend the Professional Subscriber
Device-Based Fee
October 19, 2017.
Paper Comments
(b) Implementation of the OPRA Plan
Amendment
49429
Sfmt 4703
Pursuant to Section 11A of the
Securities Exchange Act of 1934
(‘‘Act’’) 1 and Rule 608 thereunder,2
notice is hereby given that on
September 27, 2017, the Options Price
Reporting Authority (‘‘OPRA’’)
submitted to the Securities and
Exchange Commission (‘‘Commission’’)
an amendment to the Plan for Reporting
of Consolidated Options Last Sale
Reports and Quotation Information
(‘‘OPRA Plan’’).3 The OPRA Plan
amendment would implement changes
to the Professional Subscriber DeviceBased Fee effective January 1, 2018. The
Commission is publishing this notice to
provide interested persons an
opportunity to submit written
comments on the OPRA Plan
amendment.
I. Description and Purpose of the Plan
Amendment
(a) Fee Schedule Amendments
The purpose of the proposed Fee
Schedule amendments is to specify
OPRA’s Professional Subscriber DeviceBased Fee effective January 1, 2018 and
make conforming changes in OPRA’s
Enterprise Rate Professional Subscriber
Fee. OPRA’s Enterprise Rate
Professional Subscriber Fee is available
to those Professional Subscribers that
1 15
U.S.C. 78k–1.
CFR 242.608.
3 The OPRA Plan is a national market system plan
approved by the Commission pursuant to Section
11A of the Act and Rule 608 thereunder. See
Securities Exchange Act Release No. 17638 (March
18, 1981), 22 S.E.C. Docket 484 (March 31, 1981).
The full text of the OPRA Plan and a list of its
fifteen participants are available at https://
www.opradata.com. The OPRA Plan provides for
the collection and dissemination of last sale and
quotation information on options that are traded on
the participant exchanges.
2 17
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Federal Register / Vol. 82, No. 205 / Wednesday, October 25, 2017 / Notices
sradovich on DSK3GMQ082PROD with NOTICES
elect that rate in place of the regular
OPRA device-based fees.4
Specifically, it is proposed, effective
January 1, 2018: To increase the current
$30.50 monthly per device fee by $1.00;
to increase the Enterprise Rate,
currently a monthly fee of $30.50 times
the number of a Professional
Subscriber’s U.S.-based registered
representatives, to be a monthly fee of
$31.50 times the number of the
Subscriber’s U.S.-based registered
representatives; and to make conforming
changes to the minimum monthly fee
under the Enterprise Rate. ‘‘Professional
Subscribers’’ are persons who subscribe
to OPRA data, do not qualify for the
reduced fees charged to
‘‘Nonprofessional Subscribers,’’ and do
not redistribute the OPRA data to third
parties. OPRA permits the counting of
‘‘User IDs’’ as a surrogate for counting
‘‘devices’’ for purposes of its
Professional Subscriber Device-based
Fees.5
The number of devices reported to
OPRA as subject to Professional
Subscriber Device-Based Fees has been
steadily trending downwards over many
years. In 2008, OPRA received devicebased fees, including enterprise fees,
with respect to approximately 210,500
devices. In 2015, OPRA received devicebased fees, including enterprise fees,
with respect to approximately 141,300
devices, and in 2016 OPRA received
device-based fees, including enterprise
fees, with respect to approximately
137,100 devices. OPRA is receiving
device-based fees in the third calendar
quarter of 2017 with respect to
approximately 128,500 devices—already
a reduction of approximately 6.3% from
2016. OPRA believes that this long-term
downward trend is the result of the
increasing use of trading algorithms and
automated trading platforms and other
fundamental changes in the securities
industry, and OPRA anticipates that this
trend is likely to continue.
The proposed increase in the
Professional Subscriber Device-Based
Fees is consistent with OPRA’s past
practice of making incremental $1.00
increases in its monthly Professional
Subscriber Device-Based Fees,6 and
4 OPRA’s Enterprise Rate is based on the number
of a Professional Subscriber’s U.S. registered
representatives and independent investment
advisers who contract with the Subscriber to
provide advisory services to the Subscriber’s
customers.
5 See footnote 2 in the OPRA Fee Schedule and
OPRA’s Policies with respect to Device-based Fees.
6 The year 2015 was an exception: For 2015,
OPRA implemented an increase of $1.50 in its
Professional Subscriber Device-Based Fee, because
during 2015 one of OPRA’s member exchanges
initiated after-hours trading, causing OPRA to incur
additional expenses associated with data
VerDate Sep<11>2014
22:06 Oct 24, 2017
Jkt 244001
OPRA believes that OPRA’s Professional
Subscribers should not be surprised by
the increase. The proposed increase in
the Professional Subscriber DeviceBased Fee—which is an increase of
approximately 3.3%—will partially
offset the impact on revenue of the
reduction in the number of devices in
2017 as compared to 2016.
The text of the amendment to the
OPRA Plan is available at OPRA, the
Commission’s Public Reference Room,
the OPRA Web site at https://
opradata.com, and on the Commission’s
Web site at www.sec.gov.
(b) Implementation of the OPRA Plan
Amendment
Pursuant to paragraph (b)(3)(i) of Rule
608 of Regulation NMS under the Act,
OPRA designated this amendment as
establishing or changing fees or other
charges collected on behalf of all of the
OPRA participant exchanges in
connection with access to or use of
OPRA facilities. OPRA proposes to put
the changes in the Professional
Subscriber Device-Based Fee into effect
as of January 1, 2018. Implementation of
the changes in the Professional
Subscriber Device-Based Fee on January
1 is consistent with OPRA’s prior
practice with respect to changes in this
fee, and OPRA represents that this will
provide ample opportunity to give
persons subject to this fee advance
notice of the change.
(c) Phases of Development and
Implementation
Not applicable.
(d) Impact on Competition
OPRA believes that the proposed
amendment will impose no burdens on
competition that are not justified in
light of the purposes of the Act.
(e) Written Understanding or
Agreements Among the Plan
Participants
Not applicable.
(f) Approval of the Proposed
Amendment
OPRA represents that the proposed
amendments to the OPRA Fee Schedule
were approved in accordance with the
provisions of the OPRA Plan.
dissemination during expanded trading hours.
OPRA implemented $1.00/month increases in its
Professional Subscriber Device-Based Fee for each
of the years 2008–2014 and for the years 2016 and
2017. See Securities Exchange Act Release Nos.
72826, 79 FR 48777 (August 18, 2014) (File No. SR–
OPRA–2014–06), 77585, 81 FR 22668 (April 18,
2016) (File No. SR–OPRA–2015–02), and 79152, 81
FR 75462 (October 31, 2016) (File No. SR–OPRA–
2016–01).
PO 00000
Frm 00120
Fmt 4703
Sfmt 4703
The Commission may summarily
abrogate the amendment within sixty
days of its filing and require refiling and
approval of the amendment by
Commission order pursuant to Rule
608(b)(2) under the Act 7 if it appears to
the Commission that such action is
necessary or appropriate in the public
interest, for the protection of investors,
or the maintenance of fair and orderly
markets, to remove impediments to, and
perfect the mechanisms of, a national
market system, or otherwise in
furtherance of the purposes of the Act.8
II. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the OPRA Plan
amendment 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 No. SR–
OPRA–2017–01 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–OPRA–2017–01. 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 OPRA Plan
amendment that are filed with the
Commission, and all written
communications relating to the OPRA
Plan amendment 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
7 See
8 See
E:\FR\FM\25OCN1.SGM
17 CFR 242.608(b)(2).
17 CFR 242.608(b)(3)(iii).
25OCN1
Federal Register / Vol. 82, No. 205 / Wednesday, October 25, 2017 / Notices
office of OPRA. All comments received
will be posted without change. Persons
submitting comments are cautioned that
we do not redact or edit personal
identifying information from comment
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File Number SR–OPRA–
2017–01 and should be submitted on or
before November 15, 2017.
By the Commission.
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017–23114 Filed 10–24–17; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–81906; File No. SR–
BatsBZX–2017–67]
Self-Regulatory Organizations; Bats
BZX Exchange, Inc.; Notice of Filing
and Immediate Effectiveness of a
Proposed Rule Change Related to
Transaction Fees for the Exchange’s
Equity Platform
October 19, 2017.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on October
10, 2017, Bats BZX Exchange, Inc. (the
‘‘Exchange’’ or ‘‘BZX’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I, II and III
below, which Items have been prepared
by the Exchange. The Exchange has
designated the proposed rule change as
one establishing or changing a member
due, fee, or other charge imposed by the
Exchange under Section 19(b)(3)(A)(ii)
of the Act 3 and Rule 19b–4(f)(2)
thereunder,4 which renders the
proposed rule change effective upon
filing with the Commission. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
sradovich on DSK3GMQ082PROD with NOTICES
The Exchange filed a proposal to
amend the fee schedule applicable to
Members 5 and non-Members of the
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A)(ii).
4 17 CFR 240.19b–4(f)(2).
5 The term ‘‘Member’’ is defined as ‘‘any
registered broker or dealer that has been admitted
to membership in the Exchange.’’ See Exchange
Rule 1.5(n).
2 17
VerDate Sep<11>2014
22:06 Oct 24, 2017
Jkt 244001
Exchange pursuant to BZX Rules 15.1(a)
and (c).
The text of the proposed rule change
is available at the Exchange’s Web site
at www.bats.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
Exchange included statements
concerning the purpose of and basis for
the proposed rule change and discussed
any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
Exchange has prepared summaries, set
forth in Sections A, B, and C below, of
the most significant parts of such
statements.
(A) Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to amend its
fee schedule applicable to its equities
trading platform (‘‘BZX Equities’’) to
amend the criteria for Cross-Asset Add
Volume Tier 3 under footnote 1. The
Exchange currently offers four CrossAsset Add Volume tiers under footnote
1 that provide an enhanced rebate
ranging from $0.0028 to $0.0030 per
share for orders that yield fee codes B,6
V,7 and Y 8 upon a Member achieving
each tier’s required criteria. Currently,
under Cross-Asset Add Volume Tier 3,
Members receives an enhanced rebate of
$0.0028 per share where they have on
the Exchange’s equity options platform
(‘‘BZX Options’’) an ADAV greater than
or equal to 2.00% of average OCV.9 The
6 Fee code B is appended to displayed orders that
add liquidity to BZX (Tape B) and is provided a
standard rebate of $0.0025 per share. See the
Exchange’s fee schedule available at https://
www.bats.com/us/equities/membership/fee_
schedule/bzx/.
7 Fee code V is appended to displayed orders that
add liquidity to BZX (Tape A) and is provided a
standard rebate of $0.0020 per share. Id.
8 Fee code Y is appended to displayed orders that
add liquidity to BZX (Tape C) and is provided a
standard rebate of $0.0020 per share. Id.
9 ‘‘OCV’’, for purposes of equities pricing means
the total equity and ETF options volume that clears
in the Customer range at the Options Clearing
Corporation (‘‘OCC’’) for the month for which the
fees apply, excluding volume on any day that the
Exchange experiences an Exchange System
Disruption and on any day with a scheduled early
market close, using the definition of Customer as
provided under the Exchange’s fee schedule for
BZX Options. See the Exchange’s fee schedule
available at https://www.bats.com/us/equities/
membership/fee_schedule/bzx/.
PO 00000
Frm 00121
Fmt 4703
Sfmt 4703
49431
Exchange now proposes to amend the
criteria necessary to receive the
enhanced rebate provided by CrossAsset Tier 3. As amended, Cross-Asset
Add Volume Tier 3 would require that
the Member have on BZX Options an
Options Market Maker Add OCV 10
equal to or greater than 1.85% of
average OCV and that Member must also
add an ADV 11 equal to or greater than
0.10% of TCV.12 The Exchange
proposes to implement these
amendments to its fee schedule
immediately.13
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the objectives of Section 6 of the Act,14
in general, and furthers the objectives of
Section 6(b)(4),15 in particular, as it is
designed to provide for the equitable
allocation of reasonable dues, fees and
other charges among its Members and
other persons using its facilities. The
Exchange also notes that it operates in
a highly-competitive market in which
market participants can readily direct
order flow to competing venues if they
deem fee levels at a particular venue to
be excessive. The proposed rule change
reflects a competitive pricing structure
designed to incent market participants
to direct their order flow to the
Exchange. The Exchange believes the
rates remain competitive with those
charged by other venues and, therefore,
reasonable and equitably allocated to
Members.
Volume-based rebates and fees such
as the proposed Cross-Asset Add
Volume Tier have been widely adopted
by equities and options exchanges and
are equitable because they are open to
all Members on an equal basis and
provide additional benefits or discounts
that are reasonably related to the value
to an exchange’s market quality
associated with higher levels of market
activity, such as higher levels of
liquidity provision and/or growth
10 ‘‘Options Market Maker Add OCV’’ for
purposes of equities pricing means ADAV resulting
from Market Maker orders as a percentage of OCV,
using the definitions of ADAV, Market Maker and
OCV as provided under the Exchange’s fee schedule
for BZX Options. Id.
11 ‘‘ADV’’ means average daily volume calculated
as the number of shares added or removed,
combined, per day. Id.
12 ‘‘TCV’’ means total consolidated volume
calculated as the volume reported by all exchanges
and trade reporting facilities to a consolidated
transaction reporting plan for the month for which
the fees apply. Id.
13 The Exchange initially filed the proposed rule
change on September 29, 2017 (SR–BatsBZX–2017–
64). On October 10, 2017, the Exchange withdrew
SR–BatsBZX–2017–64 and submitted this filing.
14 15 U.S.C. 78f.
15 15 U.S.C. 78f(b)(4).
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]]>Agencies
[Federal Register Volume 82, Number 205 (Wednesday, October 25, 2017)]
[Notices]
[Pages 49429-49431]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-23114]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-81899; File No. SR-OPRA-2017-01]
Options Price Reporting Authority; Notice of Filing and Immediate
Effectiveness of Proposed Amendment To Modify the OPRA Fee Schedule To
Amend the Professional Subscriber Device-Based Fee
October 19, 2017.
Pursuant to Section 11A of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 608 thereunder,\2\ notice is hereby given that
on September 27, 2017, the Options Price Reporting Authority (``OPRA'')
submitted to the Securities and Exchange Commission (``Commission'') an
amendment to the Plan for Reporting of Consolidated Options Last Sale
Reports and Quotation Information (``OPRA Plan'').\3\ The OPRA Plan
amendment would implement changes to the Professional Subscriber
Device-Based Fee effective January 1, 2018. The Commission is
publishing this notice to provide interested persons an opportunity to
submit written comments on the OPRA Plan amendment.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78k-1.
\2\ 17 CFR 242.608.
\3\ The OPRA Plan is a national market system plan approved by
the Commission pursuant to Section 11A of the Act and Rule 608
thereunder. See Securities Exchange Act Release No. 17638 (March 18,
1981), 22 S.E.C. Docket 484 (March 31, 1981). The full text of the
OPRA Plan and a list of its fifteen participants are available at
https://www.opradata.com. The OPRA Plan provides for the collection
and dissemination of last sale and quotation information on options
that are traded on the participant exchanges.
---------------------------------------------------------------------------
I. Description and Purpose of the Plan Amendment
(a) Fee Schedule Amendments
The purpose of the proposed Fee Schedule amendments is to specify
OPRA's Professional Subscriber Device-Based Fee effective January 1,
2018 and make conforming changes in OPRA's Enterprise Rate Professional
Subscriber Fee. OPRA's Enterprise Rate Professional Subscriber Fee is
available to those Professional Subscribers that
[[Page 49430]]
elect that rate in place of the regular OPRA device-based fees.\4\
---------------------------------------------------------------------------
\4\ OPRA's Enterprise Rate is based on the number of a
Professional Subscriber's U.S. registered representatives and
independent investment advisers who contract with the Subscriber to
provide advisory services to the Subscriber's customers.
---------------------------------------------------------------------------
Specifically, it is proposed, effective January 1, 2018: To
increase the current $30.50 monthly per device fee by $1.00; to
increase the Enterprise Rate, currently a monthly fee of $30.50 times
the number of a Professional Subscriber's U.S.-based registered
representatives, to be a monthly fee of $31.50 times the number of the
Subscriber's U.S.-based registered representatives; and to make
conforming changes to the minimum monthly fee under the Enterprise
Rate. ``Professional Subscribers'' are persons who subscribe to OPRA
data, do not qualify for the reduced fees charged to ``Nonprofessional
Subscribers,'' and do not redistribute the OPRA data to third parties.
OPRA permits the counting of ``User IDs'' as a surrogate for counting
``devices'' for purposes of its Professional Subscriber Device-based
Fees.\5\
---------------------------------------------------------------------------
\5\ See footnote 2 in the OPRA Fee Schedule and OPRA's Policies
with respect to Device-based Fees.
---------------------------------------------------------------------------
The number of devices reported to OPRA as subject to Professional
Subscriber Device-Based Fees has been steadily trending downwards over
many years. In 2008, OPRA received device-based fees, including
enterprise fees, with respect to approximately 210,500 devices. In
2015, OPRA received device-based fees, including enterprise fees, with
respect to approximately 141,300 devices, and in 2016 OPRA received
device-based fees, including enterprise fees, with respect to
approximately 137,100 devices. OPRA is receiving device-based fees in
the third calendar quarter of 2017 with respect to approximately
128,500 devices--already a reduction of approximately 6.3% from 2016.
OPRA believes that this long-term downward trend is the result of the
increasing use of trading algorithms and automated trading platforms
and other fundamental changes in the securities industry, and OPRA
anticipates that this trend is likely to continue.
The proposed increase in the Professional Subscriber Device-Based
Fees is consistent with OPRA's past practice of making incremental
$1.00 increases in its monthly Professional Subscriber Device-Based
Fees,\6\ and OPRA believes that OPRA's Professional Subscribers should
not be surprised by the increase. The proposed increase in the
Professional Subscriber Device-Based Fee--which is an increase of
approximately 3.3%--will partially offset the impact on revenue of the
reduction in the number of devices in 2017 as compared to 2016.
---------------------------------------------------------------------------
\6\ The year 2015 was an exception: For 2015, OPRA implemented
an increase of $1.50 in its Professional Subscriber Device-Based
Fee, because during 2015 one of OPRA's member exchanges initiated
after-hours trading, causing OPRA to incur additional expenses
associated with data dissemination during expanded trading hours.
OPRA implemented $1.00/month increases in its Professional
Subscriber Device-Based Fee for each of the years 2008-2014 and for
the years 2016 and 2017. See Securities Exchange Act Release Nos.
72826, 79 FR 48777 (August 18, 2014) (File No. SR-OPRA-2014-06),
77585, 81 FR 22668 (April 18, 2016) (File No. SR-OPRA-2015-02), and
79152, 81 FR 75462 (October 31, 2016) (File No. SR-OPRA-2016-01).
---------------------------------------------------------------------------
The text of the amendment to the OPRA Plan is available at OPRA,
the Commission's Public Reference Room, the OPRA Web site at https://opradata.com, and on the Commission's Web site at www.sec.gov.
(b) Implementation of the OPRA Plan Amendment
Pursuant to paragraph (b)(3)(i) of Rule 608 of Regulation NMS under
the Act, OPRA designated this amendment as establishing or changing
fees or other charges collected on behalf of all of the OPRA
participant exchanges in connection with access to or use of OPRA
facilities. OPRA proposes to put the changes in the Professional
Subscriber Device-Based Fee into effect as of January 1, 2018.
Implementation of the changes in the Professional Subscriber Device-
Based Fee on January 1 is consistent with OPRA's prior practice with
respect to changes in this fee, and OPRA represents that this will
provide ample opportunity to give persons subject to this fee advance
notice of the change.
(c) Phases of Development and Implementation
Not applicable.
(d) Impact on Competition
OPRA believes that the proposed amendment will impose no burdens on
competition that are not justified in light of the purposes of the Act.
(e) Written Understanding or Agreements Among the Plan Participants
Not applicable.
(f) Approval of the Proposed Amendment
OPRA represents that the proposed amendments to the OPRA Fee
Schedule were approved in accordance with the provisions of the OPRA
Plan.
The Commission may summarily abrogate the amendment within sixty
days of its filing and require refiling and approval of the amendment
by Commission order pursuant to Rule 608(b)(2) under the Act \7\ if it
appears to the Commission that such action is necessary or appropriate
in the public interest, for the protection of investors, or the
maintenance of fair and orderly markets, to remove impediments to, and
perfect the mechanisms of, a national market system, or otherwise in
furtherance of the purposes of the Act.\8\
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\7\ See 17 CFR 242.608(b)(2).
\8\ See 17 CFR 242.608(b)(3)(iii).
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II. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the OPRA Plan
amendment 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 [email protected]. Please include
File No. SR-OPRA-2017-01 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-OPRA-2017-01. 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 OPRA Plan amendment that are
filed with the Commission, and all written communications relating to
the OPRA Plan amendment 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
[[Page 49431]]
office of OPRA. All comments received will be posted without change.
Persons submitting comments are cautioned that we do not redact or edit
personal identifying information from comment submissions. You should
submit only information that you wish to make available publicly. All
submissions should refer to File Number SR-OPRA-2017-01 and should be
submitted on or before November 15, 2017.
By the Commission.
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-23114 Filed 10-24-17; 8:45 am]
BILLING CODE 8011-01-P
