Proposed Collection; Comment Request, 2254-2255 [2018-00492]

Download as PDF 2254 Federal Register / Vol. 83, No. 10 / Tuesday, January 16, 2018 / Notices at or below the prices that competing exchanges charge for their data feeds. The Exchange notes that although fees for external distribution of data feeds are typically higher than internal distribution fees, the Exchange proposes to charge the same price for both internal and external distribution of the ISE Trade Feed as a means of incentivizing external distribution. The Exchange also notes that it proposes to price its Trade Feed higher than that of the Nasdaq GEMX product. The Exchange believes that this price differential is reasonable given the fact that the Exchange has more listings, strike volume, and market makers than does Nasdaq GEMX, such that the Exchange’s Trade Feed product has greater potential value to customers than does the Nasdaq GEMX product. The Exchange believes that the proposal is an equitable allocation and is not unfairly discriminatory because the Exchange will apply the same fee to all, regardless of membership. daltland on DSKBBV9HB2PROD with NOTICES B. Self-Regulatory Organization’s Statement on Burden on Competition The Exchange does not believe that the proposed rule change will impose any burden on competition not necessary or appropriate in furtherance of the purposes of the Act. In terms of inter-market competition, the Exchange notes that it operates in a highly competitive market in which market participants can readily favor competing venues if they deem fee levels at a particular venue to be excessive, or rebate opportunities available at other venues to be more favorable. In such an environment, the Exchange must continually adjust its fees to remain competitive with other exchanges. Because competitors are free to modify their own fees in response, and because market participants may readily adjust their order routing practices, the Exchange believes that the degree to which fee changes in this market may impose any burden on competition is extremely limited. In this instance, the proposed establishment of the Nasdaq ISE Trade Feed fee does not impose an undue burden on competition because a subscription to the Nasdaq ISE Trade Feed is completely voluntary and subject to extensive competition from other exchanges. In sum, if the change proposed herein is unattractive to market participants, it is likely that the Exchange will lose market share as a result. Accordingly, the Exchange does not believe that the proposed change will impair the ability of members or competing order execution venues to VerDate Sep<11>2014 22:48 Jan 12, 2018 Jkt 244001 maintain their competitive standing in the financial markets. C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were either solicited or received. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing rule change has become effective pursuant to Section 19(b)(3)(A)(ii) of the Act.11 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: (i) Necessary or appropriate in the public interest; (ii) for the protection of investors; or (iii) 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– ISE–2017–113 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–ISE–2017–113. 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 website (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 11 15 PO 00000 U.S.C. 78s(b)(3)(A)(ii). Frm 00124 Fmt 4703 Sfmt 4703 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 website 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. 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–ISE–2017–113 and should be submitted on or before February 6, 2018. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.12 Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2018–00522 Filed 1–12–18; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [SEC File No. 270–614, OMB Control No. 3235–0682] Proposed Collection; Comment Request Upon Written Request, Copies Available From: Securities and Exchange Commission, Office of FOIA Services, 100 F Street NE, Washington, DC 20549–2736 Extension: Rule 13h–1 and Form 13H Notice is hereby given that pursuant to the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) (‘‘PRA’’), the Securities and Exchange Commission (‘‘Commission’’) is soliciting comments on the existing collection of information provided for Rule 13h–1 (17 CFR 240.13h–1) and Form 13H—registration of large traders 1 submitted pursuant to 12 17 CFR 200.30–3(a)(12). 13h–1(a)(1) defines ‘‘large trader’’ as any person that directly or indirectly, including through other persons controlled by such person, exercises investment discretion over one or more accounts and effects transactions for the purchase or sale of any NMS security for or on behalf of such accounts, by or through one or more registered broker-dealers, in an aggregate amount equal to or greater than the 1 Rule E:\FR\FM\16JAN1.SGM 16JAN1 Federal Register / Vol. 83, No. 10 / Tuesday, January 16, 2018 / Notices daltland on DSKBBV9HB2PROD with NOTICES Section 13(h) of the Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.) (‘‘Exchange Act’’). The Commission plans to submit this existing collection of information to the Office of Management and Budget for extension and approval. Rule 13h–1 and Form 13H under Section 13(h) of the Exchange Act established a large trader reporting framework.2 The framework assists the Commission in identifying and obtaining certain baseline information about traders that conduct a substantial amount of trading activity, as measured by volume or market value, in the U.S. securities markets. The identification, recordkeeping, and reporting framework provides the Commission with a mechanism to identify large traders and obtain additional information on their trading activity. Specifically, the system requires large traders to identify themselves to the Commission and make certain disclosures to the Commission on Form 13H. Upon receipt of Form 13H, the Commission issues a unique identification number to the large trader, which the large trader then provides to its registered broker-dealers. Certain registered broker-dealers are required to maintain transaction records for each large trader, and are required to report that information to the Commission upon request.3 In addition, certain registered broker-dealers are required to adopt procedures to monitor their customers for activity that would trigger the identification requirements of the rule. The respondents to the collection of information are large traders. There are currently approximately 6,300 large traders and 300 registered brokerdealers. Based on its experience collecting initial Forms 13H in previous years, the Commission estimates that approximately 600 new large traders will register each year and thus be subject to quarterly and annual reporting requirements over the next three years. Each new large trader respondent files one response, which takes approximately 20 hours to complete. The average internal cost of compliance identifying activity level or voluntarily registers as a large trader by filing electronically with the Commission Form 13H. 2 See Securities Exchange Act Release No. 64976 (July 27, 2011), 76 FR 46959 (August 3, 2011). 3 The Commission, pursuant to Rule 17a–25 (17 CFR 240.17a–25), currently collects transaction data from registered broker-dealers through the Electronic Blue Sheets (‘‘EBS’’) system to support its regulatory and enforcement activities. The large trader framework added two new fields, the time of the trade and the identity of the trader, to the EBS system. VerDate Sep<11>2014 22:48 Jan 12, 2018 Jkt 244001 per response is $5,615, calculated as follows: (3 hours of compliance manager time at $307 per hour) + (7 hours of legal time at $362 per hour) + (10 hours of paralegal time at $212 per hour) = $5,615. Additionally, on average, each large trader respondent (including new respondents) files 2 responses per year, which take approximately 6 hours to complete. The average internal cost of compliance per response is $1,770, calculated as follows: (2 hours of compliance manager time at $307 per hour) + (2 hours of legal time at $362 per hour) + (2 hours of paralegal time at $212 per hour) = $1,770. Each registered broker-dealer’s monitoring requirement takes approximately 15 hours per year. The average internal cost of compliance is $5,430, calculated as follows: 15 hours of legal time at $362 per hour = $5,430. The Commission estimates that it may send 100 requests specifically seeking large trader data per year to each registered broker-dealer subject to the rule, and it would take each registered broker-dealer 2 hours to comply with each request. Accordingly, the annual reporting hour burden for a brokerdealer is estimated to be 200 burden hours (100 requests × 2 burden hours/ request = 200 burden hours). The average internal cost of compliance per response is $432, calculated as follows: 2 hours of paralegal time at $212 per hour = $432. Compliance with Rule 13h–1 is mandatory. The information collection under proposed Rule 13h–1 is considered confidential subject to the limited exceptions provided by the Freedom of Information Act.4 Written comments are invited on: (a) Whether the proposed collection of information is necessary for the proper performance of the functions of the Commission, including whether the information shall have practical utility; (b) the accuracy of the Commission’s estimates of the burden of the proposed collection of information; (c) ways to enhance the quality, utility, and clarity of the information collected; and (d) ways to minimize the burden of the collection of information on respondents, including through the use of automated collection techniques or other forms of information technology. Consideration will be given to comments and suggestions submitted in writing within 60 days of this publication. An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information 4 See PO 00000 5 U.S.C. 552 and 15 U.S.C. 78m(h)(7). Frm 00125 Fmt 4703 Sfmt 4703 2255 under the PRA unless it displays a currently valid OMB control number. Please direct your written comments to: Pamela C. Dyson, Director/Chief Information Officer, Securities and Exchange Commission, c/o Remi PavlikSimon, 100 F Street NE, Washington, DC 20549, or send an email to: PRA_ Mailbox@sec.gov. Dated: January 9, 2018. Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2018–00492 Filed 1–12–18; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–82468; File No. SR– CboeEDGA–2017–003] Self-Regulatory Organizations; Cboe EDGA Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Related to Fees for the EDGA Depth Market Data Product January 9, 2018. 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 December 27, 2017, Cboe EDGA Exchange, Inc. (the ‘‘Exchange’’ or ‘‘EDGA’’) filed with the Securities and Exchange Commission (the ‘‘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 The Exchange filed a proposal to amend the Market Data section of its fee schedule to introduce new fees for NonDisplay Usage of EDGA Depth. The text of the proposed rule change is available at the Exchange’s website at www.markets.cboe.com, at the principal 1 15 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 15 U.S.C. 78s(b)(3)(A)(ii). 4 17 CFR 240.19b–4(f)(2). 2 17 E:\FR\FM\16JAN1.SGM 16JAN1

Agencies

SECURITIES AND EXCHANGE COMMISSION

[Federal Register Volume 83, Number 10 (Tuesday, January 16, 2018)]
[Notices]
[Pages 2254-2255]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-00492]


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SECURITIES AND EXCHANGE COMMISSION

[SEC File No. 270-614, OMB Control No. 3235-0682]


Proposed Collection; Comment Request

Upon Written Request, Copies Available From: Securities and Exchange 
Commission, Office of FOIA Services, 100 F Street NE, Washington, DC 
20549-2736

Extension:
    Rule 13h-1 and Form 13H

    Notice is hereby given that pursuant to the Paperwork Reduction Act 
of 1995 (44 U.S.C. 3501 et seq.) (``PRA''), the Securities and Exchange 
Commission (``Commission'') is soliciting comments on the existing 
collection of information provided for Rule 13h-1 (17 CFR 240.13h-1) 
and Form 13H--registration of large traders \1\ submitted pursuant to

[[Page 2255]]

Section 13(h) of the Securities Exchange Act of 1934 (15 U.S.C. 78a et 
seq.) (``Exchange Act''). The Commission plans to submit this existing 
collection of information to the Office of Management and Budget for 
extension and approval.
---------------------------------------------------------------------------

    \1\ Rule 13h-1(a)(1) defines ``large trader'' as any person that 
directly or indirectly, including through other persons controlled 
by such person, exercises investment discretion over one or more 
accounts and effects transactions for the purchase or sale of any 
NMS security for or on behalf of such accounts, by or through one or 
more registered broker-dealers, in an aggregate amount equal to or 
greater than the identifying activity level or voluntarily registers 
as a large trader by filing electronically with the Commission Form 
13H.
---------------------------------------------------------------------------

    Rule 13h-1 and Form 13H under Section 13(h) of the Exchange Act 
established a large trader reporting framework.\2\ The framework 
assists the Commission in identifying and obtaining certain baseline 
information about traders that conduct a substantial amount of trading 
activity, as measured by volume or market value, in the U.S. securities 
markets.
---------------------------------------------------------------------------

    \2\ See Securities Exchange Act Release No. 64976 (July 27, 
2011), 76 FR 46959 (August 3, 2011).
---------------------------------------------------------------------------

    The identification, recordkeeping, and reporting framework provides 
the Commission with a mechanism to identify large traders and obtain 
additional information on their trading activity. Specifically, the 
system requires large traders to identify themselves to the Commission 
and make certain disclosures to the Commission on Form 13H. Upon 
receipt of Form 13H, the Commission issues a unique identification 
number to the large trader, which the large trader then provides to its 
registered broker-dealers. Certain registered broker-dealers are 
required to maintain transaction records for each large trader, and are 
required to report that information to the Commission upon request.\3\ 
In addition, certain registered broker-dealers are required to adopt 
procedures to monitor their customers for activity that would trigger 
the identification requirements of the rule.
---------------------------------------------------------------------------

    \3\ The Commission, pursuant to Rule 17a-25 (17 CFR 240.17a-25), 
currently collects transaction data from registered broker-dealers 
through the Electronic Blue Sheets (``EBS'') system to support its 
regulatory and enforcement activities. The large trader framework 
added two new fields, the time of the trade and the identity of the 
trader, to the EBS system.
---------------------------------------------------------------------------

    The respondents to the collection of information are large traders. 
There are currently approximately 6,300 large traders and 300 
registered broker-dealers. Based on its experience collecting initial 
Forms 13H in previous years, the Commission estimates that 
approximately 600 new large traders will register each year and thus be 
subject to quarterly and annual reporting requirements over the next 
three years.
    Each new large trader respondent files one response, which takes 
approximately 20 hours to complete. The average internal cost of 
compliance per response is $5,615, calculated as follows: (3 hours of 
compliance manager time at $307 per hour) + (7 hours of legal time at 
$362 per hour) + (10 hours of paralegal time at $212 per hour) = 
$5,615. Additionally, on average, each large trader respondent 
(including new respondents) files 2 responses per year, which take 
approximately 6 hours to complete. The average internal cost of 
compliance per response is $1,770, calculated as follows: (2 hours of 
compliance manager time at $307 per hour) + (2 hours of legal time at 
$362 per hour) + (2 hours of paralegal time at $212 per hour) = $1,770.
    Each registered broker-dealer's monitoring requirement takes 
approximately 15 hours per year. The average internal cost of 
compliance is $5,430, calculated as follows: 15 hours of legal time at 
$362 per hour = $5,430. The Commission estimates that it may send 100 
requests specifically seeking large trader data per year to each 
registered broker-dealer subject to the rule, and it would take each 
registered broker-dealer 2 hours to comply with each request. 
Accordingly, the annual reporting hour burden for a broker-dealer is 
estimated to be 200 burden hours (100 requests x 2 burden hours/request 
= 200 burden hours). The average internal cost of compliance per 
response is $432, calculated as follows: 2 hours of paralegal time at 
$212 per hour = $432.
    Compliance with Rule 13h-1 is mandatory. The information collection 
under proposed Rule 13h-1 is considered confidential subject to the 
limited exceptions provided by the Freedom of Information Act.\4\
---------------------------------------------------------------------------

    \4\ See 5 U.S.C. 552 and 15 U.S.C. 78m(h)(7).
---------------------------------------------------------------------------

    Written comments are invited on: (a) Whether the proposed 
collection of information is necessary for the proper performance of 
the functions of the Commission, including whether the information 
shall have practical utility; (b) the accuracy of the Commission's 
estimates of the burden of the proposed collection of information; (c) 
ways to enhance the quality, utility, and clarity of the information 
collected; and (d) ways to minimize the burden of the collection of 
information on respondents, including through the use of automated 
collection techniques or other forms of information technology. 
Consideration will be given to comments and suggestions submitted in 
writing within 60 days of this publication.
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information under the PRA unless it 
displays a currently valid OMB control number.
    Please direct your written comments to: Pamela C. Dyson, Director/
Chief Information Officer, Securities and Exchange Commission, c/o Remi 
Pavlik-Simon, 100 F Street NE, Washington, DC 20549, or send an email 
to: [email protected].

    Dated: January 9, 2018.
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018-00492 Filed 1-12-18; 8:45 am]
 BILLING CODE 8011-01-P

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