Self-Regulatory Organizations; NYSEARCA, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Rule 7.34-E, 46296-46297 [2021-17673]

Download as PDF 46296 Federal Register / Vol. 86, No. 157 / Wednesday, August 18, 2021 / Notices SECURITIES AND EXCHANGE COMMISSION [Release No. 34–92657; File No. SR– NYSEARCA–2021–71] Self-Regulatory Organizations; NYSEARCA, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Rule 7.34–E August 12, 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 August 4, 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 and II below, which Items have been prepared by the self-regulatory organization. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes to amend Rule 7.34–E (Trading Sessions) to begin accepting orders 90 minutes before the Early Trading Session begins. 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. jbell on DSKJLSW7X2PROD 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 Rule 7.34–E (Trading Sessions) to begin accepting orders 90 minutes before the Early Trading Session begins. U.S.C. 78s(b)(1). U.S.C. 78a. 3 17 CFR 240.19b–4. Currently, Rule 7.34–E(a)(1) provides that the Early Trading Session will begin at 4:00 a.m. Eastern Time and conclude at the commencement of the Core Trading Session. The Rule further provides that the Exchange will begin accepting orders 30 minutes before the Early Trading Session begins and that the Early Open Auction will begin the Early Trading Session. The Exchange proposes to amend Rule 7.34–E(a)(1) to provide that the Exchange would begin accepting orders 90 minutes before the Early Trading Session begins, i.e., at 2:30 a.m. Eastern Time. The Exchange proposes to begin accepting orders earlier to compete with non-exchange trading venues that begin accepting orders before 3:30 a.m. Eastern Time. By moving the Exchange’s order acceptance time earlier, ETP Holders that route orders to multiple venues before 3:30 a.m. Eastern Time would be able to include the Exchange in their early morning routing determinations. The Exchange does not propose to change the time when the Early Trading Session would begin or make any other rule changes. Because of the technology changes required to implement this change, subject to effectiveness of this proposed rule change, the Exchange will announce via Trader Update when the Exchange would begin accepting orders 90 minutes before the Early Trading Session begins, which the Exchange anticipates would be in August 2021. trade, including per Rule 7.34–E(b), a trading session later in the trading day (‘‘an order designated for a later trading session will be accepted but not eligible to trade until the designated trading session begins’’) or choose to cancel such orders before they become eligible to trade. The Exchange further believes that the proposed rule change would promote competition among the Exchange and non-exchange venues because it would allow ETP Holders that currently route to non-exchange trading venues prior to 3:30 a.m. Eastern Time to include the Exchange in their early morning routing determinations. 2. Statutory Basis For the reasons set forth above, the Exchange believes the proposed rule change is consistent with Section 6(b) of the Act 4 in general, and furthers the objectives of Sections 6(b)(5) of the Act,5 in that it is designed to promote just and equitable principles of trade, remove impediments to and perfect the mechanism of a free and open market and a national market system and, in general, to protect investors and the public interest. The Exchange believes that the proposed rule change would remove impediments to and perfect the mechanism of a free and open market and a national market system because it would not change any trading functions on the Exchange and would only move up the time when the Exchange would begin accepting order flow for trading in the Early Trading Session. In addition, an ETP Holder that opts to send in orders during this earlier time period could, as today, designate which trading session such orders would be eligible to III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The Exchange has filed the proposed rule change pursuant to Section 19(b)(3)(A)(iii) of the Act 6 and Rule 19b–4(f)(6) thereunder.7 Because the proposed rule change does not: (i) Significantly affect the protection of investors or the public interest; (ii) impose any significant burden on competition; and (iii) become operative prior to 30 days from the date on which it was filed, or such shorter time as the Commission may designate, if consistent with the protection of investors and the public interest, the proposed rule change has become effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b–4(f)(6)(iii) thereunder. The Exchange has asked the Commission to waive the 30-day operative delay.8 The Commission finds that waiving the 30-day operative delay is consistent with the protection of 1 15 17:34 Aug 17, 2021 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. 6 15 2 15 VerDate Sep<11>2014 B. Self-Regulatory Organization’s Statement on Burden on Competition The Exchange does not believe that the proposed rule change will impose any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. The Exchange believes that the proposed rule change would promote intermarket competition between the Exchange and non-exchange trading venues that accept order flow before 3:30 a.m. Eastern Time. U.S.C. 78s(b)(3)(A)(iii). CFR 240.19b–4(f)(6). 8 17 CFR 240.19b–4(f)(6)(iii). 4 15 U.S.C. 78f(b). 5 15 U.S.C. 78f(b)(5). Jkt 253001 PO 00000 Frm 00123 Fmt 4703 7 17 Sfmt 4703 E:\FR\FM\18AUN1.SGM 18AUN1 Federal Register / Vol. 86, No. 157 / Wednesday, August 18, 2021 / Notices investors and the public interest because waiver of the operative delay will allow ETP Holders that route orders to non-exchange venues that accept order flow before 3:30 a.m. Eastern Time the opportunity to include the Exchange in its early morning routing determinations. According to the Exchange, this proposed rule change will not change any Exchange trading functions, including when the Early Trading Session begins, and the technology to support this proposed rule change will be available less than 30 days after filing. Accordingly, the Commission hereby waives the 30-day operative delay and designates the proposal operative upon filing.9 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) 10 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: jbell on DSKJLSW7X2PROD with NOTICES Electronic Comments • Use the Commission’s internet comment form (https://www.sec.gov/ rules/sro.shtml); or • Send an email to rule-comments@ sec.gov. Please include File Number SR– NYSEARCA–2021–71 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–2021–71. 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 9 For purposes only of waiving the 30-day operative delay, the Commission has considered the proposed rule change’s impact on efficiency, competition, and capital formation. 15 U.S.C. 78c(f). 10 15 U.S.C. 78s(b)(2)(B). VerDate Sep<11>2014 17:34 Aug 17, 2021 Jkt 253001 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–2021–71 and should be submitted on or before September 8, 2021. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.11 J. Matthew DeLesDernier, Assistant Secretary. [FR Doc. 2021–17673 Filed 8–17–21; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–92648; File No. SR– NYSEARCA–2021–70] Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the NYSE Arca Equities Fees and Charges 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 August 2, 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 11 17 CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 2 15 U.S.C. 78a. 3 17 CFR 240.19b–4. 1 15 Frm 00124 Fmt 4703 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 amend the NYSE Arca Equities Fees and Charges (‘‘Fee Schedule’’) to (1) modify the application of the per share fee for Tape B securities; (2) adopt increased credits and a cap applicable to the Step Up Tier 4 credit in Tape B securities; (3) eliminate a requirement to qualify for the Tape B Tier 2 credit; (4) adopt increased credits and a cap applicable to the Tape B Step Up Tier; and (5) adopt a new pricing tier, MPID Adding Tier, applicable to Tape A and Tape C securities. The Exchange proposes to implement the fee changes effective August 2, 2021. 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 Statutory Basis for, the Proposed Rule Change 1. Purpose August 12, 2021. PO 00000 46297 Sfmt 4703 The Exchange proposes to amend the Fee Schedule to (1) modify the application of the per share fee for Tape B securities; (2) adopt increased credits and a cap applicable to the Step Up Tier 4 credit in Tape B securities; (3) eliminate a requirement to qualify for the Tape B Tier 2 credit; (4) adopt increased credits and a cap applicable to the Tape B Step Up Tier; and (5) adopt a new pricing tier, MPID Adding Tier, applicable to Tape A and Tape C securities. E:\FR\FM\18AUN1.SGM 18AUN1

Agencies

SECURITIES AND EXCHANGE COMMISSION

[Federal Register Volume 86, Number 157 (Wednesday, August 18, 2021)]
[Notices]
[Pages 46296-46297]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-17673]



[[Page 46296]]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-92657; File No. SR-NYSEARCA-2021-71]


Self-Regulatory Organizations; NYSEARCA, Inc.; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change To Amend Rule 7.34-
E

August 12, 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 August 4, 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 and II 
below, which Items have been prepared by the self-regulatory 
organization. The Commission is publishing this notice to solicit 
comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 15 U.S.C. 78a.
    \3\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to amend Rule 7.34-E (Trading Sessions) to 
begin accepting orders 90 minutes before the Early Trading Session 
begins. 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 amend Rule 7.34-E (Trading Sessions) to 
begin accepting orders 90 minutes before the Early Trading Session 
begins.
    Currently, Rule 7.34-E(a)(1) provides that the Early Trading 
Session will begin at 4:00 a.m. Eastern Time and conclude at the 
commencement of the Core Trading Session. The Rule further provides 
that the Exchange will begin accepting orders 30 minutes before the 
Early Trading Session begins and that the Early Open Auction will begin 
the Early Trading Session.
    The Exchange proposes to amend Rule 7.34-E(a)(1) to provide that 
the Exchange would begin accepting orders 90 minutes before the Early 
Trading Session begins, i.e., at 2:30 a.m. Eastern Time. The Exchange 
proposes to begin accepting orders earlier to compete with non-exchange 
trading venues that begin accepting orders before 3:30 a.m. Eastern 
Time. By moving the Exchange's order acceptance time earlier, ETP 
Holders that route orders to multiple venues before 3:30 a.m. Eastern 
Time would be able to include the Exchange in their early morning 
routing determinations. The Exchange does not propose to change the 
time when the Early Trading Session would begin or make any other rule 
changes.
    Because of the technology changes required to implement this 
change, subject to effectiveness of this proposed rule change, the 
Exchange will announce via Trader Update when the Exchange would begin 
accepting orders 90 minutes before the Early Trading Session begins, 
which the Exchange anticipates would be in August 2021.
2. Statutory Basis
    For the reasons set forth above, the Exchange believes the proposed 
rule change is consistent with Section 6(b) of the Act \4\ in general, 
and furthers the objectives of Sections 6(b)(5) of the Act,\5\ in that 
it is designed to promote just and equitable principles of trade, 
remove impediments to and perfect the mechanism of a free and open 
market and a national market system and, in general, to protect 
investors and the public interest.
---------------------------------------------------------------------------

    \4\ 15 U.S.C. 78f(b).
    \5\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

    The Exchange believes that the proposed rule change would remove 
impediments to and perfect the mechanism of a free and open market and 
a national market system because it would not change any trading 
functions on the Exchange and would only move up the time when the 
Exchange would begin accepting order flow for trading in the Early 
Trading Session. In addition, an ETP Holder that opts to send in orders 
during this earlier time period could, as today, designate which 
trading session such orders would be eligible to trade, including per 
Rule 7.34-E(b), a trading session later in the trading day (``an order 
designated for a later trading session will be accepted but not 
eligible to trade until the designated trading session begins'') or 
choose to cancel such orders before they become eligible to trade. The 
Exchange further believes that the proposed rule change would promote 
competition among the Exchange and non-exchange venues because it would 
allow ETP Holders that currently route to non-exchange trading venues 
prior to 3:30 a.m. Eastern Time to include the Exchange in their early 
morning routing determinations.

B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed rule change will 
impose any burden on competition that is not necessary or appropriate 
in furtherance of the purposes of the Act. The Exchange believes that 
the proposed rule change would promote intermarket competition between 
the Exchange and non-exchange trading venues that accept order flow 
before 3:30 a.m. Eastern Time.

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 Exchange has filed the proposed rule change pursuant to Section 
19(b)(3)(A)(iii) of the Act \6\ and Rule 19b-4(f)(6) thereunder.\7\ 
Because the proposed rule change does not: (i) Significantly affect the 
protection of investors or the public interest; (ii) impose any 
significant burden on competition; and (iii) become operative prior to 
30 days from the date on which it was filed, or such shorter time as 
the Commission may designate, if consistent with the protection of 
investors and the public interest, the proposed rule change has become 
effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b-
4(f)(6)(iii) thereunder.
---------------------------------------------------------------------------

    \6\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \7\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------

    The Exchange has asked the Commission to waive the 30-day operative 
delay.\8\ The Commission finds that waiving the 30-day operative delay 
is consistent with the protection of

[[Page 46297]]

investors and the public interest because waiver of the operative delay 
will allow ETP Holders that route orders to non-exchange venues that 
accept order flow before 3:30 a.m. Eastern Time the opportunity to 
include the Exchange in its early morning routing determinations. 
According to the Exchange, this proposed rule change will not change 
any Exchange trading functions, including when the Early Trading 
Session begins, and the technology to support this proposed rule change 
will be available less than 30 days after filing. Accordingly, the 
Commission hereby waives the 30-day operative delay and designates the 
proposal operative upon filing.\9\
---------------------------------------------------------------------------

    \8\ 17 CFR 240.19b-4(f)(6)(iii).
    \9\ For purposes only of waiving the 30-day operative delay, the 
Commission has considered the proposed rule change's impact on 
efficiency, competition, and capital formation. 15 U.S.C. 78c(f).
---------------------------------------------------------------------------

    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) \10\ of the Act to determine whether the proposed 
rule change should be approved or disapproved.
---------------------------------------------------------------------------

    \10\ 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-2021-71 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-2021-71. 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-2021-71 and should be submitted 
on or before September 8, 2021.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\11\
---------------------------------------------------------------------------

    \11\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021-17673 Filed 8-17-21; 8:45 am]
BILLING CODE 8011-01-P

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