Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Reformat the Basic Rates Section of the NYSE Arca Equities Fees and Charges, 42907-42911 [2021-16678]
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Federal Register / Vol. 86, No. 148 / Thursday, August 5, 2021 / Notices
For the Nuclear Regulatory Commission.
David C. Cullison,
NRC Clearance Officer, Office of the Chief
Information Officer.
proposed rule change.7 On May 27,
2021, the Commission designated a
longer period for Commission action on
proceedings to determine whether to
approve or disapprove the proposed
rule change, as modified by Amendment
No. 1.8 On July 8, 2021, the Exchange
withdrew the proposed rule change
(SR–CBOE–2020–106).
[FR Doc. 2021–16765 Filed 8–4–21; 8:45 am]
BILLING CODE 7590–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–92528; File No. SR–CBOE–
2020–106]
Self-Regulatory Organizations; Cboe
Exchange, Inc.; Notice of Withdrawal
of a Proposed Rule Change, as
Modified by Amendment No. 1, To
Amend Its Rules Regarding the
Minimum Increments for Electronic
Bids and Offers and Exercise Prices of
Certain FLEX Options and Clarify in
the Rules How the System Ranks FLEX
Option Bids and Offers for Allocation
Purposes
July 30, 2021.
khammond on DSKJM1Z7X2PROD with NOTICES
On November 16, 2020, Cboe
Exchange, Inc. filed with the Securities
and Exchange Commission
(‘‘Commission’’), pursuant to Section
19(b)(1) of the Securities Exchange Act
of 1934 (‘‘Exchange Act’’) 1 and Rule
19b–4 thereunder,2 a proposed rule
change to amend its rules regarding the
minimum increments for electronic bids
and offers and exercise prices of certain
FLEX options and clarify how the
system ranks FLEX option bids and
offers for allocation purposes. On
November 30, 2020, the Exchange filed
Amendment No. 1 to the proposed rule
change, which amended and replaced
the proposed rule change in its entirety.
The Commission published notice of the
proposed rule change, as modified by
Amendment No. 1, in the Federal
Register on December 4, 2020.3 On
January 14, 2021, pursuant to Section
19(b)(2) of the Exchange Act,4 the
Commission designated a longer period
within which to approve the proposed
rule change, disapprove the proposed
rule change, or institute proceedings to
determine whether to disapprove the
proposed rule change.5 On March 4,
2021, the Commission instituted
proceedings under Section 19(b)(2)(B) of
the Exchange Act 6 to determine
whether to approve or disapprove the
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See Securities Exchange Act Release No. 90536
(November 30, 2020), 85 FR 78381.
4 15 U.S.C. 78s(b)(2).
5 See Securities Exchange Act Release No. 90926,
86 FR 6710 (January 22, 2021).
6 15 U.S.C. 78s(b)(2)(B).
2 17
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17:07 Aug 04, 2021
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For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.9
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021–16672 Filed 8–4–21; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–92536; File No. SR–
NYSEARCA–2021–66]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Reformat the Basic
Rates Section of the NYSE Arca
Equities Fees and Charges
July 30, 2021.
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 July 20,
2021, NYSE Arca, Inc. (‘‘NYSE Arca’’ 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 self-regulatory
organization. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to reformat
the Basic rates section of the NYSE Arca
Equities Fees and Charges (‘‘Fee
Schedule’’) applicable to securities
priced at or above $1.00 and the rates
applicable to securities priced below
7 See Securities Exchange Act Release No. 91257,
86 FR 13769 (March 10, 2021). The Commission
received one comment letter, which was from the
Exchange, in response to the order instituting
proceedings. The comment letter is available at the
Commission’s website at: https://www.sec.gov/
comments/sr-cboe-2020-106/srcboe20201068744076-237183.pdf.
8 See Securities Exchange Act Release No. 92040,
85 FR 29817 (June 3, 2021).
9 17 CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 15 U.S.C. 78a.
3 17 CFR 240.19b–4.
PO 00000
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$1.00 without making any substantive
changes to the current fees and credits
for each group of securities. The
Exchange proposes to implement the fee
changes effective July 20, 2021.4 The
proposed rule change is available on the
Exchange’s website 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 reformat
the Basic rates section of the Fee
Schedule applicable to securities priced
at or above $1.00 and the rates
applicable to securities priced below
$1.00 without making any substantive
changes to the current fees and credits
for each group of securities. The
Exchange proposes to implement the fee
changes effective July 20, 2021.
The Exchange proposes the following
non-substantive changes to reorganize
the presentation of the Fee Schedule in
order to enhance its clarity and
transparency, thereby making the Fee
Schedule easier to navigate.
In connection with the proposed rule
change, the Exchange would add new
section I titled ‘‘Definitions’’ that would
adopt several definitions that would
apply only for purposes of the fees and
credits on the Fee Schedule. As
proposed, section I would set forth the
following twelve definitions applicable
to Exchange Transactions:
• ‘‘ADV’’ would mean average daily
volume.
• ‘‘Adding Liquidity’’ would mean the
execution of an order on the Exchange
that provided liquidity.
4 The Exchange originally filed to amend the Fee
Schedule on July 1, 2021 (SR–NYSEArca–2021–59).
SR–NYSEArca–2021–59 was subsequently
withdrawn and replaced by SR–NYSEArca–2021–
62. SR–NYSEArca–2021–62 was subsequently
withdrawn and replaced by this filing.
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• ‘‘Auction’’ would mean Early Open
Auction, Core Open Auction, Trading
Halt Auction and Closing Auction on
NYSE Arca.
• ‘‘Auction Orders’’ would mean
Market Orders, Market-On-Close Orders,
Limit-On-Close Orders and AuctionOnly Orders executed in a NYSE Arca
auction.
• ‘‘Cboe BZX Auction’’ would mean
orders routed for execution in the open
or closing auction on Cboe BZX.
• ‘‘Closing Orders’’ would mean
Market, Market-On-Close, Limit-OnClose, and Auction-Only Orders
executed in a Closing Auction.
• ‘‘Nasdaq Auction’’ would mean
orders routed for execution in the open
or closing auction on Nasdaq.
• ‘‘NYSE American Auction’’ would
mean orders routed for execution in the
open or closing auction on NYSE
American.
• ‘‘NYSE Auction’’ would mean
orders routed for execution in the open
or closing auction on NYSE.
• ‘‘Opening Orders’’ would mean
Market and Auction-Only Orders
executed in an Early Open Auction,
Core Open Auction or Trading Halt
Auction.
• ‘‘Removing Liquidity’’ would mean
the execution of an order that removed
liquidity.
• ‘‘US CADV’’ would mean the
United States consolidated average daily
volume of transactions reported to a
securities information processor (‘‘SIP’’).
Transactions that are not reported to a
SIP are not included in the US CADV.5
The Exchange proposes these
definitions to use consistent terms
throughout the Fee Schedule relating to
Exchange Transactions. Specifically, the
Exchange proposes to use the term
‘‘Adding Liquidity’’ when referring to
an order that when executed, provides
liquidity, and to use the term
‘‘Removing Liquidity’’ when referring to
an order that when executed, takes
liquidity. By consolidating definitions
used in this part of the Fee Schedule,
the Exchange would eliminate the need
to separately define these terms within
the tables of the Fee Schedule or in
footnotes. Additionally, with the
proposed adoption of the terms ADV
and US CADV in proposed Section I of
the Fee Schedule, the Exchange
proposes to delete references to current
footnotes 3 and 4 throughout the Fee
Schedule, where footnote 3 of the Fee
Schedule currently defines the term US
CADV and footnote 4 of the Fee
Schedule currently defines the term
ADV. The Exchange further proposes to
amend current footnote 1 to delete an
internal reference to footnote 3 and
delete the words ‘‘average daily
volume’’ as the definition for ADV now
appears in proposed Section I titled
Definitions. The Exchange also proposes
to renumber footnotes through the Fee
Schedule in conjunction to the changes
discussed herein.6
Next, the Exchange proposes to add
new section II titled ‘‘General’’ that
would set forth general information
regarding the way the Exchange has
always interpreted and applied fees and
credits to Exchange Transactions. As
proposed, this section would contain
the following general information
applicable to Exchange Transactions:
• Rebates indicated by parentheses ( ).
• All fees and credits and tier
requirements apply to ETP Holders and
Market Makers.
• All fees and credits are per share
unless noted otherwise.
Next, the Exchange proposes a nonsubstantive change to the presentation
of the Basic rates applicable to securities
priced at or above $1.00 and the rates
applicable to securities priced below
$1.00.7 The Exchange proposes a table
presentation. The proposed changes
would appear in the Fee Schedule in
two tables, one that would appear under
proposed new section III titled
‘‘Standard Rates—Transactions’’ and a
second table that would appear under
proposed new section V titled
‘‘Standard Rates—Routing.’’ 8 The
Exchange also proposes to simplify the
presentation in each table by using subtitles to identify the type of activity (i.e.,
Adding Liquidity, Adding Liquidity—
Retail Orders, Adding Liquidity—MPL
Orders, Removing Liquidity, Opening
Orders and Closing Orders in the table
titled ‘‘Standard Rates—Transactions’’)
and then listing the corresponding rates
under each category. The proposed
changes would appear as follows in the
Fee Schedule:
STANDARD RATES—TRANSACTIONS
[Applicable when Tier Rates do not apply]
Adding
liquidity (a)(b)
Category
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Securities priced at or
above $1.00.
Securities priced below
$1.00.
Adding
liquidity—
retail orders (c)
($0.0020)
($0.0032)
($0.0010)
($0.00004)
($0.00004)
($0.00004)
5 The proposed definition differs from the
definition in current footnote 3, which is marked
for deletion under this proposed rule change. The
current definition includes a reference to odd lots
that is no longer applicable. The current definition
also includes references to exclusion of volume on
days when the market closes early and the date of
the annual reconstitution of the Russell Investments
Indexes. The references to exclusion of volume
appear in current footnote 1 and would therefore
continue to apply to Exchange Transactions.
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Adding
liquidity—
MPL orders
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Removing liquidity (d)
Opening orders (e)(g)
$0.0030 .........................
$0.0015; $0.0005 for
Retail Orders.
0.1% of Dollar Value .....
0.295% of Dollar Value
6 In connection with the proposed renumbering of
footnotes, the Exchange also proposes to delete
current footnote 6 in its entirety because the
Exchange previously removed the term ‘‘Allied
Person’’ from its rules. See Securities Exchange Act
Release No. 84857 (December 19, 2018), 83 FR
66824 (December 27, 2018) (SR–NYSEArca–2018–
97).
7 In connection with this change, the Exchange
proposes to amend the description of Rounds Lots
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Closing orders (f)(g)
$0.0012; $0.0008 for
Retail Orders.
0.1% of Dollar Value.
and Odd Lots under Exchange Transactions to
include both securities with a Per Share Price $1.00
or Above and securities with a Per Share Price
Below $1.00. This proposed change would provide
consistency between the description and the table
presentation which includes rates for both groups
of securities.
8 With this proposed rule change, the Exchange
also proposes to use the term ‘‘Standard’’ rates
rather than ‘‘Basic’’ rates.
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Federal Register / Vol. 86, No. 148 / Thursday, August 5, 2021 / Notices
STANDARD RATES—ROUTING
Category
Securities
priced at or
above $1.00.
Securities
priced below
$1.00.
Orders routed
that
remove liquidity
$0.0035 ...........
Primary until
9:45 orders and
primary after
3:55 orders
designated
as retail
orders and
routed to the
primary market
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PO orders
in tape A
securities
routed to
NYSE auction
PO orders
in tape B
securities
routed to
NYSE American
auction
PO orders
in tape B
securities
routed to
Cboe BZX
auction
PO orders
in tape C
securities
routed to
NASDAQ
auction
($0.0012)
No Credit
$0.0010
$0.0005
$0.0030
$0.0030
n/a
n/a
n/a
n/a
n/a
n/a
n/a
0.3% of Dollar
Value (a).
(a) For securities priced at or above $1.00,
an additional credit in Tape B Securities
shall apply to LMMs and to Market Makers
affiliated with LMMs that provide displayed
liquidity based on the number of Less Active
ETP Securities in which the LMM is
registered as the LMM. The applicable tieredcredits are noted below (See LMM
Transaction Fees and Credits).
(b) In securities priced below $1.00, this
credit applies to all orders that provide
liquidity.
(c) Retail Order means an order as defined
in Rule 7.44–E(a)(3).
(d) In securities priced at or above $1.00,
this fee also applies to Non-Displayed Limit
Orders that remove liquidity.
(e) In securities priced at or above $1.00,
this fee is capped at $20,000 per month per
Equity Trading Permit ID.
(f) Fee applies to orders in Tape A
Securities, Tape C Securities, and NYSE Arca
primary listed securities (includes all ETFs/
ETNs).
(g) In securities priced at or above $1.00,
this fee applies to executions resulting from
Auction Orders. In securities priced below
$1.00, this fee applies to all orders executed
in the Early Open Auction, Core Open
Auction, Trading Halt Auction or Closing
Auction.
Additionally, the proposed footnote
under proposed section V titled
17:07 Aug 04, 2021
PO orders
in tape B
securities
routed to
NYSE American
that add
liquidity
$0.0010
The Exchange notes that each of the
rates that currently appear in the Basic
rates section of the Fee Schedule, with
one exception discussed below, and in
the section of the Fee Schedule
applicable to securities priced below
$1.00 have been relocated in the tables
proposed above and in proposed
footnotes (a) through (g) for the table
under proposed section III titled
‘‘Standard Rates—Transactions’’ and in
proposed footnote (a) for the table under
proposed section V titled ‘‘Standard
Rates—Routing.’’ The Exchange
proposes to relocate certain of these
rates in footnotes because these rates do
not have a logical place in the proposed
tables. The proposed footnotes under
proposed section III titled ‘‘Standard
Rates—Transactions’’ would be as
follows:
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Primary only
(‘‘PO’’) orders
in tape A
securities
routed to
NYSE that
add liquidity
Jkt 253001
‘‘Standard Rates—Routing’’ would be as
follows:
(a) Applicable to orders of listed and
Nasdaq securities routed away and executed
by another market center or participant.
As noted above, each of the rates that
currently appear in the Basic rates
section of the Fee Schedule have been
relocated in the proposed new table
format. With respect to MPL orders, the
Exchange proposes to relocate the base
credit of $0.0010 per share for MPL
orders that provide liquidity 9 to the
table titled ‘‘Standard Rates—
Transactions’’ and relocate the
remaining two tiers of MPL order credits
to the Tier Rates section of the Fee
Schedule. The Exchange believes the
proposed new location for these credits
is a logical place as they would appear
along with tiered pricing related to MPL
Orders, i.e., MPL Orders Step Up Tier 1
and MPL Orders Step Up Tier 2.
Further, the Exchange proposes to
relocate and display certain rates in
bullet form because these rates do not
have a logical place in the proposed
tables. Accordingly, the Exchange
proposes new section IV titled ‘‘Other
Standard Rates for Securities with a Per
Share Price $1.00 or Above’’ that would
provide these additional rates, as
follows:
• No fee or credit for Non-Displayed
Limit Orders that add liquidity.
• $0.0030 fee for MPL Orders
removing liquidity; $0.0010 if such
orders are designated as Retail Orders.
• $0.0006 fee for executions in an
Auction other than for executions from
Auction Orders.
Next, the Exchange proposes to adopt
the heading ‘‘Tier Rates—Round Lots
and Odd Lots (Per Share Price $1.00 or
Above)’’ under proposed new section VI
that would appear at the end of the
proposed new section V titled
‘‘Standard Rates—Routing’’ to
9 The base credit of $0.0010 per share applies for
MPL orders providing liquidity when MPL Adding
ADV during the billing month is less than 1.5
million shares.
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Frm 00134
Fmt 4703
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distinguish Standard Rates from Tier
Rates, which begin on the Fee Schedule
with Tier 1.
Finally, with the proposed relocation
of the rates applicable to securities
priced below $1.00 from their current
location on the Fee Schedule to the
proposed table presentation, the
Exchange proposes to adopt the heading
‘‘Tier Rates—Round Lots and Odd Lots
(Per Share Price below $1.00)’’ under
proposed new section VII and keep the
Sub-Dollar Adding Step Up Tier where
it currently appears and that pricing tier
would be the only pricing tier under
this section.
As noted above, the Exchange is not
proposing any substantive change to any
current fee or credit. The purpose of the
proposed rule change is to make a nonsubstantive change to reorganize the
presentation of the Fee Schedule in
order to enhance its clarity and
transparency, thereby making the Fee
Schedule easier to navigate.
The proposed changes are not
otherwise intended to address any other
issues, and the Exchange is not aware of
any significant problems that market
participants would have in complying
with the proposed changes.
2. Statutory Basis
The Exchange believes the proposed
rule change is consistent with the
Securities Exchange Act of 1934 (the
‘‘Act’’) and the rules and regulations
thereunder applicable to the Exchange
and, in particular, the requirements of
Section 6(b) of the Act.10 Specifically,
the Exchange believes the proposed rule
change is consistent with Section 6(b)(4)
of the Act,11 which provides that
Exchange rules may provide for the
equitable allocation of reasonable dues,
fees, and other charges among its
members and other persons using its
facilities. Additionally, the Exchange
believes the proposed rule change is
10 15
11 15
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U.S.C. 78f(b).
U.S.C. 78f(b)(4).
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Federal Register / Vol. 86, No. 148 / Thursday, August 5, 2021 / Notices
khammond on DSKJM1Z7X2PROD with NOTICES
consistent with the Section 6(b)(5) 12
requirement that the rules of an
exchange not be designed to permit
unfair discrimination between
customers, issuers, brokers, or dealers.
The Exchange believes that the
proposed changes are reasonable and
equitable because they are clarifying,
and non-substantive and the Exchange
is not changing any current fees or
credits that apply to trading activity on
the Exchange or to routed executions.
Further, the changes are designed to
make the Fee Schedule easier to read
and make it more user-friendly to better
display the allocation of fees and credits
among Exchange members. The
Exchange believes that this proposed
format will provide additional
transparency of Exchange fees and
credits. The Exchange also believes that
the proposal is non-discriminatory
because it applies uniformly to all ETP
Holders, and again, the Exchange is not
making any changes to existing fees and
credits. Finally, the Exchange believes
that the reformatted Fee Schedule, as
proposed herein, will be clearer and less
confusing for investors and will
eliminate potential investor confusion,
thereby removing impediments to and
perfecting the mechanism of a free and
open market and a national market
system, and, in general, protecting
investors and the public interest.
The Exchange believes that the
proposed reformatted the Fee Schedule
is equitable and not unfairly
discriminatory because the resulting
streamlined Fee Schedule would
continue to apply to ETP Holders as it
does currently because the Exchange is
not adopting any new fees or credits or
removing any current fees or credits
from the Fee Schedule that impact ETP
Holders. All ETP Holders would
continue to be subject to the same fees
and credits that currently apply to them.
For the foregoing reasons, the
Exchange believes that the proposal is
consistent with the Act.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
In accordance with Section 6(b)(8) of
the Act,13 the Exchange believes that the
proposed rule change would not impose
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act.
Intramarket Competition. The
Exchange’s proposal to reformat its Fee
Schedule will not place any undue
burden on intramarket competition that
is not necessary or appropriate in
furtherance of the purposes of the Act
12 15
13 15
U.S.C. 78f(b)(5).
U.S.C. 78f(b)(8).
VerDate Sep<11>2014
17:07 Aug 04, 2021
because all ETP Holders would continue
to be subject to the same fees and credits
that currently apply to them. The
Exchange notes that the proposal does
not change the amount of any current
fees or rebates, but rather makes
clarifying and formatting changes, and
therefore does not raise any competitive
issues. To the extent the proposed rule
change places a burden on competition,
any such burden would be outweighed
by the fact that a streamlined Fee
Schedule would promote clarity and
reduce confusion with respect to the
fees and credits that ETP Holders would
be subject to.
Intermarket Competition. The
Exchange believes the proposed rule
change does not impose any burden on
intermarket competition that is not
necessary or appropriate in furtherance
of the purposes of the Act. The
Exchange operates in a highly
competitive market in which market
participants can readily choose to send
their orders to other exchanges and offexchange venues if they deem fee levels
at those other venues to be more
favorable. Market share statistics
provide ample evidence that price
competition between exchanges is
fierce, with liquidity and market share
moving freely from one execution venue
to another in reaction to pricing
changes.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were solicited
or received with respect to the proposed
rule change.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change is effective
upon filing pursuant to Section
19(b)(3)(A) 14 of the Act and
subparagraph (f)(2) of Rule 19b–4 15
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
14 15
15 17
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PO 00000
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(2).
Frm 00135
Fmt 4703
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under Section 19(b)(2)(B) 16 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:
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–2021–66 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–2021–66. 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 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–NYSEARCA–2021–66 and
16 15
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should be submitted on or before
August 26, 2021.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.17
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021–16678 Filed 8–4–21; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–92532; File Nos. SR–NYSE–
2021–05, SR–NYSENAT–2021–01, SR–
NYSEAMER–2021–04, SR–NYSECHX–2021–
01]
Self-Regulatory Organizations; New
York Stock Exchange LLC; NYSE
National, Inc.; NYSE American LLC;
NYSE Chicago, Inc.; Notice of
Designation of a Longer Period for
Commission Action on Proceedings To
Determine Whether To Approve or
Disapprove a Proposed Rule Change
To Amend Each of the Exchange’s CoLocation Services and Fee Schedule
To Add Two Partial Cabinet Solution
Bundles
July 30, 2021.
On January 19, 2021, New York Stock
Exchange LLC, NYSE National, Inc.,
NYSE American LLC, and NYSE
Chicago, Inc. each filed with the
Securities and Exchange Commission
(‘‘Commission’’), pursuant to Section
19(b)(1) of the Securities Exchange Act
of 1934 (‘‘Act’’) 1 and Rule 19b–4
thereunder,2 a proposed rule change to
amend the each of the Exchanges’ colocation rules to add two partial cabinet
solution bundles.3 The proposed rule
changes were published for comment in
the Federal Register on February 5,
2021.4 On March 18, 2021, the
Commission extended the time period
within which to approve each of the
proposed rule changes, disapprove the
17 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 The New York Stock Exchange LLC, NYSE
National, Inc., NYSE Arca, Inc., NYSE American
LLC, and NYSE Chicago, Inc. are collectively
referred to herein as ‘‘NYSE’’ or the ‘‘Exchanges.’’
4 See Securities Exchange Act Release No. 91034
(February 1, 2021), 86 FR 8443 (SR–NYSE–2021–
05); 91037 (February 1, 2021), 86 FR 8424 (SR–
NYSENAT–2021–01); 91035 (February 1, 2021), 86
FR 8449 (SR–NYSEAMER–2021–04); 91036
(February 1, 2021), 86 FR 8440 (SR–NYSECHX–
2021–01).
khammond on DSKJM1Z7X2PROD with NOTICES
1 15
VerDate Sep<11>2014
18:00 Aug 04, 2021
Jkt 253001
proposed rule changes, or institute
proceedings to determine whether to
approve or disapprove the proposed
rule changes, to May 6, 2021.5 On May
6, 2021, the Commission instituted
proceedings to determine whether to
approve or disapprove the proposed
rule change.6 The Commission received
a comment letter on the proposal from
the Exchanges.7
Section 19(b)(2) of the Act 8 provides
that, after initiating proceedings, the
Commission shall issue an order
approving or disapproving the proposed
rule change not later than 180 days after
the date of publication of notice of the
filing of the proposed rule change. The
Commission may extend the period for
issuing an order approving or
disapproving the proposed rule change,
however, by not more than 60 days if
the Commission determines that a
longer period is appropriate and
publishes the reasons for such
determination. The proposed rule
changes were published for comment in
the Federal Register on February 5,
2021.9 The 180th day after publication
of the Notices is August 4, 2021. The
Commission is extending the time
period for approving or disapproving
the proposal for an additional 60 days.
The Commission finds that it is
appropriate to designate a longer period
within which to issue an order
approving or disapproving the proposed
rule change so that it has sufficient time
to consider the proposed rule changes
along with the comment received.
Accordingly, the Commission, pursuant
to Section 19(b)(2) of the Act,10
designates October 3, 2021 as the date
5 See
Securities Exchange Act Release Nos. 91357,
86 FR 15732 (March 24, 2021) (SR–NYSE–2021–05);
91363, 86 FR 15763 (March 24, 2021) (SR–
NYSENAT–2021–01); 91358, 86 FR 15732 (March
24, 2021) (SR–NYSEAMER–2021–04); 91362, 86 FR
15765 (March 24, 2021) (SR–NYSECHX–2021–01).
6 See Securities Exchange Act Release No. 91785
(May 6, 2021), 86 FR 26082 (May 12, 2021) (SR–
NYSE–2021–05, SR–NYSENAT–2021–01, SR–
NYSEArca–2021–07, SR–NYSEAMER–2021–04,
NYSECHX–2021–01).
7 See, respectively, letter dated July 6, 2021 from
Elizabeth K. King, Chief Regulatory Officer, ICE,
General Counsel and Corporate Secretary, NYSE to
Vanessa Countryman, Secretary, Commission. All
comments received by the Commission on the
proposed rule change are available on the
Commission’s website at: https://www.sec.gov/
comments/sr-nyse-2021-05/srnyse202105.htm.
NYSE filed comment letters on behalf of all of the
Exchanges.
8 15 U.S.C. 78s(b)(2).
9 See supra note 4.
10 15 U.S.C. 78s(b)(2).
PO 00000
Frm 00136
Fmt 4703
Sfmt 4703
42911
by which the Commission should either
approve or disapprove the proposed
rule change (File Nos. SR–NYSE–2021–
05, SR–NYSENAT–2021–01, SR–
NYSEAMER–2021–04, NYSECHX–
2021–01).
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.11
J. Matthew DeLesDernier.
Assistant Secretary.
[FR Doc. 2021–16675 Filed 8–4–21; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–92533; File No. SR–
NASDAQ–2021–059]
Self-Regulatory Organizations; The
Nasdaq Stock Market LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change To Amend
Options 4 Listing Rules
July 30, 2021.
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 July 20,
2021, The Nasdaq Stock Market LLC
(‘‘Nasdaq’’ or ‘‘Exchange’’) filed with the
Securities and Exchange Commission
(‘‘SEC’’ or ‘‘Commission’’) the proposed
rule change as described in Items I and
II, 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
Nasdaq Options Market LLC (‘‘NOM’’)
Rules at Options 2, Section 5, Market
Maker Quotations; Options 4, Options
Listing Rules; and Options 4A, Section
12, Terms of Index Options Contracts.
This proposal also creates a new
Options 4C entitled ‘‘U.S. Dollar-Settled
Foreign Currency Options.’’ Finally, the
Exchange proposes to reserve some
sections with the Equity Rules and
correct a cross-reference within Options
2, Section 4, Obligations of Market
Makers.
11 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
E:\FR\FM\05AUN1.SGM
05AUN1
]]>Agencies
[Federal Register Volume 86, Number 148 (Thursday, August 5, 2021)]
[Notices]
[Pages 42907-42911]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-16678]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-92536; File No. SR-NYSEARCA-2021-66]
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change To Reformat the
Basic Rates Section of the NYSE Arca Equities Fees and Charges
July 30, 2021.
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 July 20, 2021, NYSE Arca, Inc. (``NYSE Arca'' 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 self-regulatory
organization. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 15 U.S.C. 78a.
\3\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to reformat the Basic rates section of the
NYSE Arca Equities Fees and Charges (``Fee Schedule'') applicable to
securities priced at or above $1.00 and the rates applicable to
securities priced below $1.00 without making any substantive changes to
the current fees and credits for each group of securities. The Exchange
proposes to implement the fee changes effective July 20, 2021.\4\ The
proposed rule change is available on the Exchange's website at
www.nyse.com, at the principal office of the Exchange, and at the
Commission's Public Reference Room.
---------------------------------------------------------------------------
\4\ The Exchange originally filed to amend the Fee Schedule on
July 1, 2021 (SR-NYSEArca-2021-59). SR-NYSEArca-2021-59 was
subsequently withdrawn and replaced by SR-NYSEArca-2021-62. SR-
NYSEArca-2021-62 was subsequently withdrawn and replaced by this
filing.
---------------------------------------------------------------------------
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 reformat the Basic rates section of the
Fee Schedule applicable to securities priced at or above $1.00 and the
rates applicable to securities priced below $1.00 without making any
substantive changes to the current fees and credits for each group of
securities. The Exchange proposes to implement the fee changes
effective July 20, 2021.
The Exchange proposes the following non-substantive changes to
reorganize the presentation of the Fee Schedule in order to enhance its
clarity and transparency, thereby making the Fee Schedule easier to
navigate.
In connection with the proposed rule change, the Exchange would add
new section I titled ``Definitions'' that would adopt several
definitions that would apply only for purposes of the fees and credits
on the Fee Schedule. As proposed, section I would set forth the
following twelve definitions applicable to Exchange Transactions:
``ADV'' would mean average daily volume.
``Adding Liquidity'' would mean the execution of an order
on the Exchange that provided liquidity.
[[Page 42908]]
``Auction'' would mean Early Open Auction, Core Open
Auction, Trading Halt Auction and Closing Auction on NYSE Arca.
``Auction Orders'' would mean Market Orders, Market-On-
Close Orders, Limit-On-Close Orders and Auction-Only Orders executed in
a NYSE Arca auction.
``Cboe BZX Auction'' would mean orders routed for
execution in the open or closing auction on Cboe BZX.
``Closing Orders'' would mean Market, Market-On-Close,
Limit-On-Close, and Auction-Only Orders executed in a Closing Auction.
``Nasdaq Auction'' would mean orders routed for execution
in the open or closing auction on Nasdaq.
``NYSE American Auction'' would mean orders routed for
execution in the open or closing auction on NYSE American.
``NYSE Auction'' would mean orders routed for execution in
the open or closing auction on NYSE.
``Opening Orders'' would mean Market and Auction-Only
Orders executed in an Early Open Auction, Core Open Auction or Trading
Halt Auction.
``Removing Liquidity'' would mean the execution of an
order that removed liquidity.
``US CADV'' would mean the United States consolidated
average daily volume of transactions reported to a securities
information processor (``SIP''). Transactions that are not reported to
a SIP are not included in the US CADV.\5\
---------------------------------------------------------------------------
\5\ The proposed definition differs from the definition in
current footnote 3, which is marked for deletion under this proposed
rule change. The current definition includes a reference to odd lots
that is no longer applicable. The current definition also includes
references to exclusion of volume on days when the market closes
early and the date of the annual reconstitution of the Russell
Investments Indexes. The references to exclusion of volume appear in
current footnote 1 and would therefore continue to apply to Exchange
Transactions.
---------------------------------------------------------------------------
The Exchange proposes these definitions to use consistent terms
throughout the Fee Schedule relating to Exchange Transactions.
Specifically, the Exchange proposes to use the term ``Adding
Liquidity'' when referring to an order that when executed, provides
liquidity, and to use the term ``Removing Liquidity'' when referring to
an order that when executed, takes liquidity. By consolidating
definitions used in this part of the Fee Schedule, the Exchange would
eliminate the need to separately define these terms within the tables
of the Fee Schedule or in footnotes. Additionally, with the proposed
adoption of the terms ADV and US CADV in proposed Section I of the Fee
Schedule, the Exchange proposes to delete references to current
footnotes 3 and 4 throughout the Fee Schedule, where footnote 3 of the
Fee Schedule currently defines the term US CADV and footnote 4 of the
Fee Schedule currently defines the term ADV. The Exchange further
proposes to amend current footnote 1 to delete an internal reference to
footnote 3 and delete the words ``average daily volume'' as the
definition for ADV now appears in proposed Section I titled
Definitions. The Exchange also proposes to renumber footnotes through
the Fee Schedule in conjunction to the changes discussed herein.\6\
---------------------------------------------------------------------------
\6\ In connection with the proposed renumbering of footnotes,
the Exchange also proposes to delete current footnote 6 in its
entirety because the Exchange previously removed the term ``Allied
Person'' from its rules. See Securities Exchange Act Release No.
84857 (December 19, 2018), 83 FR 66824 (December 27, 2018) (SR-
NYSEArca-2018-97).
---------------------------------------------------------------------------
Next, the Exchange proposes to add new section II titled
``General'' that would set forth general information regarding the way
the Exchange has always interpreted and applied fees and credits to
Exchange Transactions. As proposed, this section would contain the
following general information applicable to Exchange Transactions:
Rebates indicated by parentheses ( ).
All fees and credits and tier requirements apply to ETP
Holders and Market Makers.
All fees and credits are per share unless noted otherwise.
Next, the Exchange proposes a non-substantive change to the
presentation of the Basic rates applicable to securities priced at or
above $1.00 and the rates applicable to securities priced below
$1.00.\7\ The Exchange proposes a table presentation. The proposed
changes would appear in the Fee Schedule in two tables, one that would
appear under proposed new section III titled ``Standard Rates--
Transactions'' and a second table that would appear under proposed new
section V titled ``Standard Rates--Routing.'' \8\ The Exchange also
proposes to simplify the presentation in each table by using sub-titles
to identify the type of activity (i.e., Adding Liquidity, Adding
Liquidity--Retail Orders, Adding Liquidity--MPL Orders, Removing
Liquidity, Opening Orders and Closing Orders in the table titled
``Standard Rates--Transactions'') and then listing the corresponding
rates under each category. The proposed changes would appear as follows
in the Fee Schedule:
---------------------------------------------------------------------------
\7\ In connection with this change, the Exchange proposes to
amend the description of Rounds Lots and Odd Lots under Exchange
Transactions to include both securities with a Per Share Price $1.00
or Above and securities with a Per Share Price Below $1.00. This
proposed change would provide consistency between the description
and the table presentation which includes rates for both groups of
securities.
\8\ With this proposed rule change, the Exchange also proposes
to use the term ``Standard'' rates rather than ``Basic'' rates.
Standard Rates--Transactions
[Applicable when Tier Rates do not apply]
--------------------------------------------------------------------------------------------------------------------------------------------------------
Adding
Adding liquidity liquidity-- Adding Removing liquidity Opening orders Closing orders
Category (a)(b) retail orders liquidity-- MPL (d) (e)(g) (f)(g)
(c) orders
--------------------------------------------------------------------------------------------------------------------------------------------------------
Securities priced at or above ($0.0020) ($0.0032) ($0.0010) $0.0030............. $0.0015; $0.0005 for $0.0012; $0.0008
$1.00. Retail Orders. for Retail Orders.
Securities priced below $1.00.... ($0.00004) ($0.00004) ($0.00004) 0.295% of Dollar 0.1% of Dollar Value 0.1% of Dollar
Value. Value.
--------------------------------------------------------------------------------------------------------------------------------------------------------
[[Page 42909]]
Standard Rates--Routing
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Primary until
9:45 orders and Primary only
primary after (``PO'') orders PO orders in PO orders in PO orders in PO orders in PO orders in
3:55 orders in tape A tape B tape A tape B tape B tape C
Category Orders routed that remove designated as securities securities securities securities securities securities
liquidity retail orders routed to NYSE routed to NYSE routed to NYSE routed to NYSE routed to Cboe routed to
and routed to that add American that auction American auction BZX auction NASDAQ auction
the primary liquidity add liquidity
market
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Securities priced at or above $1.00....... $0.0035..................... $0.0010 ($0.0012) No Credit $0.0010 $0.0005 $0.0030 $0.0030
Securities priced below $1.00............. 0.3% of Dollar Value (a).... n/a n/a n/a n/a n/a n/a n/a
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
The Exchange notes that each of the rates that currently appear in
the Basic rates section of the Fee Schedule, with one exception
discussed below, and in the section of the Fee Schedule applicable to
securities priced below $1.00 have been relocated in the tables
proposed above and in proposed footnotes (a) through (g) for the table
under proposed section III titled ``Standard Rates--Transactions'' and
in proposed footnote (a) for the table under proposed section V titled
``Standard Rates--Routing.'' The Exchange proposes to relocate certain
of these rates in footnotes because these rates do not have a logical
place in the proposed tables. The proposed footnotes under proposed
section III titled ``Standard Rates--Transactions'' would be as
follows:
(a) For securities priced at or above $1.00, an
additional credit in Tape B Securities shall apply to LMMs and to
Market Makers affiliated with LMMs that provide displayed liquidity
based on the number of Less Active ETP Securities in which the LMM
is registered as the LMM. The applicable tiered-credits are noted
below (See LMM Transaction Fees and Credits).
(b) In securities priced below $1.00, this credit
applies to all orders that provide liquidity.
(c) Retail Order means an order as defined in Rule
7.44-E(a)(3).
(d) In securities priced at or above $1.00, this fee
also applies to Non-Displayed Limit Orders that remove liquidity.
(e) In securities priced at or above $1.00, this fee
is capped at $20,000 per month per Equity Trading Permit ID.
(f) Fee applies to orders in Tape A Securities, Tape
C Securities, and NYSE Arca primary listed securities (includes all
ETFs/ETNs).
(g) In securities priced at or above $1.00, this fee
applies to executions resulting from Auction Orders. In securities
priced below $1.00, this fee applies to all orders executed in the
Early Open Auction, Core Open Auction, Trading Halt Auction or
Closing Auction.
Additionally, the proposed footnote under proposed section V titled
``Standard Rates--Routing'' would be as follows:
(a) Applicable to orders of listed and Nasdaq
securities routed away and executed by another market center or
participant.
As noted above, each of the rates that currently appear in the
Basic rates section of the Fee Schedule have been relocated in the
proposed new table format. With respect to MPL orders, the Exchange
proposes to relocate the base credit of $0.0010 per share for MPL
orders that provide liquidity \9\ to the table titled ``Standard
Rates--Transactions'' and relocate the remaining two tiers of MPL order
credits to the Tier Rates section of the Fee Schedule. The Exchange
believes the proposed new location for these credits is a logical place
as they would appear along with tiered pricing related to MPL Orders,
i.e., MPL Orders Step Up Tier 1 and MPL Orders Step Up Tier 2.
---------------------------------------------------------------------------
\9\ The base credit of $0.0010 per share applies for MPL orders
providing liquidity when MPL Adding ADV during the billing month is
less than 1.5 million shares.
---------------------------------------------------------------------------
Further, the Exchange proposes to relocate and display certain
rates in bullet form because these rates do not have a logical place in
the proposed tables. Accordingly, the Exchange proposes new section IV
titled ``Other Standard Rates for Securities with a Per Share Price
$1.00 or Above'' that would provide these additional rates, as follows:
No fee or credit for Non-Displayed Limit Orders that add
liquidity.
$0.0030 fee for MPL Orders removing liquidity; $0.0010 if
such orders are designated as Retail Orders.
$0.0006 fee for executions in an Auction other than for
executions from Auction Orders.
Next, the Exchange proposes to adopt the heading ``Tier Rates--
Round Lots and Odd Lots (Per Share Price $1.00 or Above)'' under
proposed new section VI that would appear at the end of the proposed
new section V titled ``Standard Rates--Routing'' to distinguish
Standard Rates from Tier Rates, which begin on the Fee Schedule with
Tier 1.
Finally, with the proposed relocation of the rates applicable to
securities priced below $1.00 from their current location on the Fee
Schedule to the proposed table presentation, the Exchange proposes to
adopt the heading ``Tier Rates--Round Lots and Odd Lots (Per Share
Price below $1.00)'' under proposed new section VII and keep the Sub-
Dollar Adding Step Up Tier where it currently appears and that pricing
tier would be the only pricing tier under this section.
As noted above, the Exchange is not proposing any substantive
change to any current fee or credit. The purpose of the proposed rule
change is to make a non-substantive change to reorganize the
presentation of the Fee Schedule in order to enhance its clarity and
transparency, thereby making the Fee Schedule easier to navigate.
The proposed changes are not otherwise intended to address any
other issues, and the Exchange is not aware of any significant problems
that market participants would have in complying with the proposed
changes.
2. Statutory Basis
The Exchange believes the proposed rule change is consistent with
the Securities Exchange Act of 1934 (the ``Act'') and the rules and
regulations thereunder applicable to the Exchange and, in particular,
the requirements of Section 6(b) of the Act.\10\ Specifically, the
Exchange believes the proposed rule change is consistent with Section
6(b)(4) of the Act,\11\ which provides that Exchange rules may provide
for the equitable allocation of reasonable dues, fees, and other
charges among its members and other persons using its facilities.
Additionally, the Exchange believes the proposed rule change is
[[Page 42910]]
consistent with the Section 6(b)(5) \12\ requirement that the rules of
an exchange not be designed to permit unfair discrimination between
customers, issuers, brokers, or dealers.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78f(b).
\11\ 15 U.S.C. 78f(b)(4).
\12\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
The Exchange believes that the proposed changes are reasonable and
equitable because they are clarifying, and non-substantive and the
Exchange is not changing any current fees or credits that apply to
trading activity on the Exchange or to routed executions. Further, the
changes are designed to make the Fee Schedule easier to read and make
it more user-friendly to better display the allocation of fees and
credits among Exchange members. The Exchange believes that this
proposed format will provide additional transparency of Exchange fees
and credits. The Exchange also believes that the proposal is non-
discriminatory because it applies uniformly to all ETP Holders, and
again, the Exchange is not making any changes to existing fees and
credits. Finally, the Exchange believes that the reformatted Fee
Schedule, as proposed herein, will be clearer and less confusing for
investors and will eliminate potential investor confusion, thereby
removing impediments to and perfecting the mechanism of a free and open
market and a national market system, and, in general, protecting
investors and the public interest.
The Exchange believes that the proposed reformatted the Fee
Schedule is equitable and not unfairly discriminatory because the
resulting streamlined Fee Schedule would continue to apply to ETP
Holders as it does currently because the Exchange is not adopting any
new fees or credits or removing any current fees or credits from the
Fee Schedule that impact ETP Holders. All ETP Holders would continue to
be subject to the same fees and credits that currently apply to them.
For the foregoing reasons, the Exchange believes that the proposal
is consistent with the Act.
B. Self-Regulatory Organization's Statement on Burden on Competition
In accordance with Section 6(b)(8) of the Act,\13\ the Exchange
believes that the proposed rule change would not impose any burden on
competition that is not necessary or appropriate in furtherance of the
purposes of the Act.
---------------------------------------------------------------------------
\13\ 15 U.S.C. 78f(b)(8).
---------------------------------------------------------------------------
Intramarket Competition. The Exchange's proposal to reformat its
Fee Schedule will not place any undue burden on intramarket competition
that is not necessary or appropriate in furtherance of the purposes of
the Act because all ETP Holders would continue to be subject to the
same fees and credits that currently apply to them. The Exchange notes
that the proposal does not change the amount of any current fees or
rebates, but rather makes clarifying and formatting changes, and
therefore does not raise any competitive issues. To the extent the
proposed rule change places a burden on competition, any such burden
would be outweighed by the fact that a streamlined Fee Schedule would
promote clarity and reduce confusion with respect to the fees and
credits that ETP Holders would be subject to.
Intermarket Competition. The Exchange believes the proposed rule
change does not impose any burden on intermarket competition that is
not necessary or appropriate in furtherance of the purposes of the Act.
The Exchange operates in a highly competitive market in which market
participants can readily choose to send their orders to other exchanges
and off-exchange venues if they deem fee levels at those other venues
to be more favorable. Market share statistics provide ample evidence
that price competition between exchanges is fierce, with liquidity and
market share moving freely from one execution venue to another in
reaction to pricing changes.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were solicited or received with respect to the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change is effective upon filing pursuant to
Section 19(b)(3)(A) \14\ of the Act and subparagraph (f)(2) of Rule
19b-4 \15\ thereunder, because it establishes a due, fee, or other
charge imposed by the Exchange.
---------------------------------------------------------------------------
\14\ 15 U.S.C. 78s(b)(3)(A).
\15\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
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) \16\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
---------------------------------------------------------------------------
\16\ 15 U.S.C. 78s(b)(2)(B).
---------------------------------------------------------------------------
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-NYSEARCA-2021-66 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-2021-66. 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 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-NYSEARCA-2021-66 and
[[Page 42911]]
should be submitted on or before August 26, 2021.
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\17\ 17 CFR 200.30-3(a)(12).
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\17\
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021-16678 Filed 8-4-21; 8:45 am]
BILLING CODE 8011-01-P
