Self-Regulatory Organizations; Cboe EDGX Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Related to Fees for Use on Cboe EDGX Exchange, Inc., 53522-53524 [2018-23038]
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53522
Federal Register / Vol. 83, No. 205 / Tuesday, October 23, 2018 / Notices
khammond on DSK30JT082PROD with NOTICES
during a scheduled Sunday, October 28,
2018 session to be held from 2:00 p.m.
to 4:00 p.m. Mountain Time (MT) at the
Scottsbluff Room, Chadron State College
Student Center, 1000 Main Street,
Chadron, Nebraska. In addition, the
Board stated it was reserving the right
to cancel that session if by mid-October
2018 sufficient expressions of interest
from the public had not been received.
The Board wishes to confirm that,
because a sufficient number of written
requests to make an oral statement have
been received, the oral limited
appearance session will be conducted as
scheduled.
In addition, the Board encourages
anyone interested in making an oral
limited appearance statement at the
October 28, 2018 session to provide a
written request to do so. Those
submitting a timely written request to
make an oral statement, i.e., a request
received by 5:00 p.m. Eastern Time (ET)
on Friday, October 26, 2018, will be
given priority over those who have not
provided such a request.
Written requests to make an oral
statement should be submitted to: Mail:
Administrative Judge G. Paul Bollwerk,
III, Atomic Safety and Licensing Board
Panel, Mail Stop T–3A02, U.S. Nuclear
Regulatory Commission, Washington,
DC 20555–0001; Fax: (301) 415–5206
(verification (301) 415–5277); Email:
paul.bollwerk@nrc.gov and
sarah.ladin@nrc.gov.
B. Evidentiary Hearing Start Time
In section B of the notice, the Board
indicated that the evidentiary hearing
would convene at 8:30 a.m. MT on
Tuesday, October 30, 2018. As a result
of recent developments concerning
witness availability, see Licensing Board
Memorandum and Order (Scheduling
Prehearing Conference and Providing
Teleconference Agenda and Hearing
Presentation Order) (Oct. 3, 2018) at 4
& n.2 (unpublished), the Board has
decided to begin the hearing one-half
hour earlier, i.e., at 8:00 a.m. MT on
October 30, 2018. The hearing location
at the Crawford Community Building,
1005 1st Street, Crawford, Nebraska,
remains the same.
Although the start times for the
additional two days that the hearing
currently is anticipated to last will be
set by the Board based on the progress
of the proceeding, if the Board decides
to start the hearing at a time other than
8:00 a.m. MT on any given day, it will
provide an information update that will
be available by 6:00 a.m. MT on that day
by calling (800) 368–5642, extension
5036 (available between 7:00 a.m. and
9:00 p.m. ET, Monday through Friday,
except federal holidays), or by calling
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20:20 Oct 22, 2018
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(301) 415–5036 (available seven days a
week, twenty-four hours a day).
It is so ordered.
SECURITIES AND EXCHANGE
COMMISSION
For the Atomic Safety and Licensing
Board.
Dated: Rockville, Maryland, October 18,
2018.
George P. Bollwerk III,
Chairman, Administrative Judge.
Sunshine Act Meetings
[FR Doc. 2018–23085 Filed 10–22–18; 8:45 am]
BILLING CODE 7590–01–P
SECURITIES AND EXCHANGE
COMMISSION
Sunshine Act Meetings
Notice is hereby given,
pursuant to the provisions of the
Government in the Sunshine Act, Public
Law 94–409, that the Securities and
Exchange Commission staff will hold a
public roundtable on Thursday, October
25, 2018 at 10:30 a.m. and Friday,
October 26, 2018 at 9:00 a.m.
PLACE: The roundtable will be held in
the Auditorium at the Commission’s
headquarters, 100 F Street NE,
Washington, DC.
STATUS: The meeting will begin at 10:30
a.m. on October 25 and 9:00 a.m. on
October 26 and will be open to the
public. To ensure sufficient seating for
members of the public wishing to attend
in-person, registration is encouraged.
Doors will open at 9:30 a.m. on October
25 and 8:00 a.m. on October 26. Visitors
will be subject to security checks. The
meeting will be webcast on the
Commission’s website at www.sec.gov.
MATTERS TO BE CONSIDERED: The
Commission staff will host a two-day
roundtable on market data and market
access. The roundtable is open to the
public and the public may submit
written comments here. This Sunshine
Act notice is being issued because a
majority of the Commission may attend
the roundtable.
The roundtable will focus on
assessing current market data products,
market access services, and their
associated fees, and assessing the
elements, governance and funding of
core data infrastructure, as well as
public transparency to improve such
products and services.
CONTACT PERSON FOR MORE INFORMATION:
For further information, please contact
Brent J. Fields from the Office of the
Secretary at (202) 551–5400.
TIME AND DATE:
Dated: October 18, 2018.
Brent J. Fields,
Secretary.
Notice is hereby given,
pursuant to the provisions of the
Government in the Sunshine Act, Public
Law 94–409, that the Securities and
Exchange Commission Fixed Income
Market Structure Advisory Committee
will hold a public meeting on Monday,
October 29, 2018 at 9:30 a.m.
PLACE: The meeting will be held in
Multi-Purpose Room LL–006 at the
Commission’s headquarters, 100 F
Street NE, Washington, DC.
STATUS: The meeting will begin at 9:30
a.m. and will be open to the public.
Seating will be on a first-come, firstserved basis. Doors will open at 9:00
a.m. Visitors will be subject to security
checks. The meeting will be webcast on
the Commission’s website at
www.sec.gov.
MATTERS TO BE CONSIDERED: On October
3, 2018, the Commission published
notice of the Committee meeting
(Release No. 34–84356), indicating that
the meeting is open to the public and
inviting the public to submit written
comments to the Committee. This
Sunshine Act notice is being issued
because a majority of the Commission
may attend the meeting.
The agenda for the meeting will
include updates and presentations from
the FIMSAC subcommittees.
CONTACT PERSON FOR MORE INFORMATION:
For further information, please contact
Brent J. Fields from the Office of the
Secretary at (202) 551–5400.
TIME AND DATE:
Dated: October 18, 2018.
Brent J. Fields,
Secretary.
[FR Doc. 2018–23178 Filed 10–19–18; 11:15 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–84442; File No. SR–
CboeEDGX–2018–047]
Self-Regulatory Organizations; Cboe
EDGX Exchange, Inc.; Notice of Filing
and Immediate Effectiveness of a
Proposed Rule Change Related to Fees
for Use on Cboe EDGX Exchange, Inc.
October 17, 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 October
[FR Doc. 2018–23179 Filed 10–19–18; 11:15 am]
1 15
BILLING CODE 8011–01–P
2 17
PO 00000
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U.S.C. 78s(b)(1).
CFR 240.19b–4.
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Federal Register / Vol. 83, No. 205 / Tuesday, October 23, 2018 / Notices
3, 2018, Cboe EDGX Exchange, Inc. (the
‘‘Exchange’’ or ‘‘EDGX’’) 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
The Exchange filed a proposal to
amend the fee schedule applicable to
Members 5 and non-Members of the
Exchange pursuant to Exchange Rules
15.1(a) and (c).
The text of the proposed rule change
is available at the Exchange’s website at
www.markets.cboe.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.
khammond on DSK30JT082PROD with NOTICES
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 amend its
fee schedule to adopt new fee code DM,
effective October 3, 2018. Such flag will
be yielded when Members add liquidity
in the discretionary range using a
MidPoint Discretionary Order type
(‘‘MDO’’), which order type was
recently adopted by the Exchange. In
3 15
U.S.C. 78s(b)(3)(A)(ii).
CFR 240.19b–4(f)(2).
5 A Member is defined as ‘‘any registered broker
or dealer that has been admitted to membership in
the Exchange.’’ See Exchange Rule 1.5(n).
4 17
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sum, an MDO is a Limit Order that is
executable at the National Best Bid
(‘‘NBB’’) for an order to buy or the
National Best Offer (‘‘NBO’’) for an
order to sell while resting on the EDGX
Book, with discretion to execute at
prices to and including the midpoint of
the National Best Bid and Offer (the
‘‘NBBO’’).6 MDO orders can be
displayed or hidden. The MDO has two
discrete components—the displayed
portion that is pegged to the NBB or
NBO, and a non-displayed portion
which gives discretion to execute to the
mid-point of the NBBO, subject to
certain limits. The Exchange believes
the proposed pricing is reflective of this
concept. Particularly, the Exchange
notes that displayed MDO orders that
add liquidity at the bid or offer will
receive one of the existing applicable fee
codes, B, V, Y, 3, or 4 and receive the
standard rebate for adding liquidity. The
standard rebate for adding liquidity in
securities priced at or above $1.00 is
$0.0020 per share and $0.00003 per
share for securities priced below $1.00.
Non-displayed MDO orders that add
liquidity at the bid or offer will receive
the existing non-displayed add fee code,
HA. The rebate for orders yielding fee
code HA is $0.00150 per share for
securities priced at or above $1.00 and
$0.00003 for securities priced below
$1.00. The Exchange lastly proposes
that Members that add liquidity in the
discretionary range using a MDO order
will receive a rebate of $0.0015 per
share for securities priced at or above
$1.00 and provide a rebate of $0.00003
per share for securities priced below
$1.00. The Exchange notes that the
proposed pricing for orders that add
liquidity using MDO orders within the
discretionary range is the same as the
pricing for non-displayed MDO orders
that add liquidity at the bid or offer (i.e.,
orders yielding fee code HA). The
Exchange notes that pursuant to
Footnote 11 of the Fees Schedule, orders
that add non-displayed liquidity (e.g.,
orders yielding fee code HA) may not
receive a rebate if the order has a
Discretionary Range instruction. As
such, the Exchange proposes to adopt a
new fee code, DM, to be appended to all
MDO orders that add liquidity within
the discretionary range.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the objectives of Section 6 of the Act,7
6 See Securities Exchange Act Release No. 84327
(October 1, 2018) (SR–CboeEDGX–2018–041)
(notice of filing and immediate effectiveness of
proposed rule change to adopt MDOs).
7 15 U.S.C. 78f.
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53523
in general, and furthers the objectives of
Section 6(b)(4),8 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 believes the proposed
rebates for orders yielding fee code DM
are reasonable because the amount of
the rebates are the same as the
respective rebates applied to other nondisplayed orders.9 The Exchange
believes the proposed rebates for orders
yielding DM is equitable and not
unfairly discriminatory because it
applies uniformly to all members. The
Exchange also notes that it believes it is
equitable and reasonable to provide a
rebate to MDOs because MDOs add
liquidity at the NBBO while offering
price improvement opportunities to
incoming contra-side orders that
execute within its discretionary range.
The Exchange believes it’s equitable and
not unfairly discriminatory to provide a
lower rebate to non-displayed add MDO
orders (i.e., orders yielding fee codes
HA and DM) compared to displayed add
MDO orders (i.e., orders yielding fee
codes, B, V, Y, 3, or 4) because such
pricing incentivizes the entry of
displayed liquidity on the Exchange,
which is consistent with the Exchange’s
pricing generally.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
This proposed rule change does not
impose any burden on competition that
is not necessary or appropriate in
furtherance of the purposes of the Act.
The Exchange does not believe that this
change represents a significant
departure from previous pricing offered
by the Exchange or from pricing offered
by the Exchange’s competitors. The
proposed rebates would apply
uniformly to all Members, and Members
may opt to disfavor the Exchange’s
pricing if they believe that alternatives
offer them better value. Accordingly, the
Exchange does not believe that the
proposed changes will impair the ability
of Members or competing venues to
maintain their competitive standing in
the financial markets. Further, excessive
fees would serve to impair an
exchange’s ability to compete for order
flow and members rather than
burdening competition. The Exchange
believes that its proposal would not
burden intramarket competition because
the proposed rate would apply
uniformly to all Members.
8 15
U.S.C. 78f(b)(4).
e.g., Cboe EDGX U.S. Equities Exchange Fee
Schedule, Fee Code and Associated Fees, Fee Code
HA.
9 See
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53524
Federal Register / Vol. 83, No. 205 / Tuesday, October 23, 2018 / Notices
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
The Exchange has not solicited, and
does not intend to solicit, comments on
this proposed rule change. The
Exchange has not received any written
comments from members or other
interested parties.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act 10 and paragraph (f) of Rule
19b–4 thereunder.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 necessary or appropriate in the
public interest, for the protection of
investors, or otherwise in furtherance of
the purposes of the Act.
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:
khammond on DSK30JT082PROD 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–
CboeEDGX–2018–047 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–CboeEDGX–2018–047. 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
communications relating to the
U.S.C. 78s(b)(3)(A).
11 17 CFR 240.19b–4(f).
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 this
filing will also 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–CboeEDGX–2018–047 and
should be submitted on or before
November 13, 2018.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.12
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018–23038 Filed 10–22–18; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
20:20 Oct 22, 2018
Dated: October 18, 2018.
Brent J. Fields,
Secretary.
[FR Doc. 2018–23177 Filed 10–19–18; 11:15 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–84444; File No. SR–NYSE–
2018–49]
Self-Regulatory Organizations; New
York Stock Exchange LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change To Amend Its
Price List
Sunshine Act Meetings
October 17, 2018.
3:00 p.m. on Thursday,
October 25, 2018.
PLACE: The meeting will be held at the
Commission’s headquarters, 100 F
Street NE, Washington, DC 20549.
STATUS: This meeting will be closed to
the public.
MATTERS TO BE CONSIDERED:
Commissioners, Counsel to the
Commissioners, the Secretary to the
Commission, and recording secretaries
will attend the closed meeting. Certain
staff members who have an interest in
the matters also may be present.
The General Counsel of the
Commission, or his designee, has
certified that, in his opinion, one or
more of the exemptions set forth in 5
U.S.C. 552b(c)(3), (5), (6), (7), (8), 9(B)
and (10) and 17 CFR 200.402(a)(3),
(a)(5), (a)(6), (a)(7), (a)(8), (a)(9)(ii) and
(a)(10), permit consideration of the
scheduled matters at the closed meeting.
Commissioner Jackson, as duty
officer, voted to consider the items
listed for the closed meeting in closed
session.
Pursuant to Section 19(b)(1) 1 of the
Securities Exchange Act of 1934 (the
‘‘Act’’) 2 and Rule 19b–4 thereunder,3
notice is hereby given that, on October
4, 2018, New York Stock Exchange LLC
(‘‘NYSE’’ or the ‘‘Exchange’’) 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 selfregulatory organization. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
TIME AND DATE:
10 15
VerDate Sep<11>2014
The subject matters of the closed
meeting will be:
Institution and settlement of
injunctive actions;
Institution and settlement of
administrative proceedings;
Resolution of litigation claims;
Adjudicatory matters; and
Other matters relating to enforcement
proceedings.
At times, changes in Commission
priorities require alterations in the
scheduling of meeting items.
CONTACT PERSON FOR MORE INFORMATION:
For further information and to ascertain
what, if any, matters have been added,
deleted or postponed; please contact
Brent J. Fields from the Office of the
Secretary at (202) 551–5400.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend its
Price List to (1) adopt an alternate way
to qualify for the Tier 3 Adding Credit;
(2) add a new charge for transactions
that remove liquidity from the
Exchange; and (3) make certain nonsubstantive, clarifying changes. The
1 15
U.S.C.78s(b)(1).
U.S.C. 78a.
3 17 CFR 240.19b–4.
2 15
12 17
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]]>Agencies
[Federal Register Volume 83, Number 205 (Tuesday, October 23, 2018)]
[Notices]
[Pages 53522-53524]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-23038]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-84442; File No. SR-CboeEDGX-2018-047]
Self-Regulatory Organizations; Cboe EDGX Exchange, Inc.; Notice
of Filing and Immediate Effectiveness of a Proposed Rule Change Related
to Fees for Use on Cboe EDGX Exchange, Inc.
October 17, 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 October
[[Page 53523]]
3, 2018, Cboe EDGX Exchange, Inc. (the ``Exchange'' or ``EDGX'') 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.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ 15 U.S.C. 78s(b)(3)(A)(ii).
\4\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange filed a proposal to amend the fee schedule applicable
to Members \5\ and non-Members of the Exchange pursuant to Exchange
Rules 15.1(a) and (c).
---------------------------------------------------------------------------
\5\ A Member is defined as ``any registered broker or dealer
that has been admitted to membership in the Exchange.'' See Exchange
Rule 1.5(n).
---------------------------------------------------------------------------
The text of the proposed rule change is available at the Exchange's
website at www.markets.cboe.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 the
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend its fee schedule to adopt new fee
code DM, effective October 3, 2018. Such flag will be yielded when
Members add liquidity in the discretionary range using a MidPoint
Discretionary Order type (``MDO''), which order type was recently
adopted by the Exchange. In sum, an MDO is a Limit Order that is
executable at the National Best Bid (``NBB'') for an order to buy or
the National Best Offer (``NBO'') for an order to sell while resting on
the EDGX Book, with discretion to execute at prices to and including
the midpoint of the National Best Bid and Offer (the ``NBBO'').\6\ MDO
orders can be displayed or hidden. The MDO has two discrete
components--the displayed portion that is pegged to the NBB or NBO, and
a non-displayed portion which gives discretion to execute to the mid-
point of the NBBO, subject to certain limits. The Exchange believes the
proposed pricing is reflective of this concept. Particularly, the
Exchange notes that displayed MDO orders that add liquidity at the bid
or offer will receive one of the existing applicable fee codes, B, V,
Y, 3, or 4 and receive the standard rebate for adding liquidity. The
standard rebate for adding liquidity in securities priced at or above
$1.00 is $0.0020 per share and $0.00003 per share for securities priced
below $1.00. Non-displayed MDO orders that add liquidity at the bid or
offer will receive the existing non-displayed add fee code, HA. The
rebate for orders yielding fee code HA is $0.00150 per share for
securities priced at or above $1.00 and $0.00003 for securities priced
below $1.00. The Exchange lastly proposes that Members that add
liquidity in the discretionary range using a MDO order will receive a
rebate of $0.0015 per share for securities priced at or above $1.00 and
provide a rebate of $0.00003 per share for securities priced below
$1.00. The Exchange notes that the proposed pricing for orders that add
liquidity using MDO orders within the discretionary range is the same
as the pricing for non-displayed MDO orders that add liquidity at the
bid or offer (i.e., orders yielding fee code HA). The Exchange notes
that pursuant to Footnote 11 of the Fees Schedule, orders that add non-
displayed liquidity (e.g., orders yielding fee code HA) may not receive
a rebate if the order has a Discretionary Range instruction. As such,
the Exchange proposes to adopt a new fee code, DM, to be appended to
all MDO orders that add liquidity within the discretionary range.
---------------------------------------------------------------------------
\6\ See Securities Exchange Act Release No. 84327 (October 1,
2018) (SR-CboeEDGX-2018-041) (notice of filing and immediate
effectiveness of proposed rule change to adopt MDOs).
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the objectives of Section 6 of the Act,\7\ in general, and
furthers the objectives of Section 6(b)(4),\8\ 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.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78f.
\8\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------
The Exchange believes the proposed rebates for orders yielding fee
code DM are reasonable because the amount of the rebates are the same
as the respective rebates applied to other non-displayed orders.\9\ The
Exchange believes the proposed rebates for orders yielding DM is
equitable and not unfairly discriminatory because it applies uniformly
to all members. The Exchange also notes that it believes it is
equitable and reasonable to provide a rebate to MDOs because MDOs add
liquidity at the NBBO while offering price improvement opportunities to
incoming contra-side orders that execute within its discretionary
range. The Exchange believes it's equitable and not unfairly
discriminatory to provide a lower rebate to non-displayed add MDO
orders (i.e., orders yielding fee codes HA and DM) compared to
displayed add MDO orders (i.e., orders yielding fee codes, B, V, Y, 3,
or 4) because such pricing incentivizes the entry of displayed
liquidity on the Exchange, which is consistent with the Exchange's
pricing generally.
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\9\ See e.g., Cboe EDGX U.S. Equities Exchange Fee Schedule, Fee
Code and Associated Fees, Fee Code HA.
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B. Self-Regulatory Organization's Statement on Burden on Competition
This proposed rule change does not impose any burden on competition
that is not necessary or appropriate in furtherance of the purposes of
the Act. The Exchange does not believe that this change represents a
significant departure from previous pricing offered by the Exchange or
from pricing offered by the Exchange's competitors. The proposed
rebates would apply uniformly to all Members, and Members may opt to
disfavor the Exchange's pricing if they believe that alternatives offer
them better value. Accordingly, the Exchange does not believe that the
proposed changes will impair the ability of Members or competing venues
to maintain their competitive standing in the financial markets.
Further, excessive fees would serve to impair an exchange's ability to
compete for order flow and members rather than burdening competition.
The Exchange believes that its proposal would not burden intramarket
competition because the proposed rate would apply uniformly to all
Members.
[[Page 53524]]
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
The Exchange has not solicited, and does not intend to solicit,
comments on this proposed rule change. The Exchange has not received
any written comments from members or other interested parties.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become effective pursuant to Section
19(b)(3)(A) of the Act \10\ and paragraph (f) of Rule 19b-4
thereunder.\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
necessary or appropriate in the public interest, for the protection of
investors, or otherwise in furtherance of the purposes of the Act.
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\10\ 15 U.S.C. 78s(b)(3)(A).
\11\ 17 CFR 240.19b-4(f).
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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 [email protected]. Please include
File Number SR-CboeEDGX-2018-047 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-CboeEDGX-2018-047. 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 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 this filing will also 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-CboeEDGX-2018-047 and should be
submitted on or before November 13, 2018.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\12\
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\12\ 17 CFR 200.30-3(a)(12).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018-23038 Filed 10-22-18; 8:45 am]
BILLING CODE 8011-01-P
