Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Update the Cboe Data Services, LLC Fee Schedule, 31554-31562 [2023-10471]
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Federal Register / Vol. 88, No. 95 / Wednesday, May 17, 2023 / Notices
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change, security-based swap submission
or advance notice is consistent with the
Act. Comments may be submitted by
any of the following methods:
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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–
OCC–2023–004 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–OCC–2023–004. 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 such
filing also will be available for
inspection and copying at the principal
office of OCC and on OCC’s website at
https://www.theocc.com/CompanyInformation/Documents-and-Archives/
By-Laws-and-Rules48T.
Do not include personal identifiable
information in submissions; you should
submit only information that you wish
to make available publicly. We may
redact in part or withhold entirely from
publication submitted material that is
obscene or subject to copyright
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protection. All submissions should refer
to File Number SR–OCC–2023–004 and
should be submitted on or before June
7, 2023.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.32
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023–10469 Filed 5–16–23; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–97482; File No. SR–ICC–
2023–005]
Self-Regulatory Organizations; ICE
Clear Credit LLC; Notice of
Designation of Longer Period for
Commission Action on Proposed Rule
Relating to the Clearance of Additional
Credit Default Swap Contracts
May 11, 2023.
On March 30, 2023, ICE Clear Credit
LLC (‘‘ICC’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’) the proposed rule
change SR–ICC–2023–005 (‘‘Proposed
Rule Change’’), pursuant to section 19(b)
of the Securities Exchange Act of 1934
(‘‘Exchange Act’’) 1 and Rule 19b–4 2
thereunder, to clear additional credit
default swap contracts.3 The Proposed
Rule Change was published for public
comment in the Federal Register on
April 18, 2023.4 The Commission has
not received comments regarding the
proposal described in the Proposed Rule
Change.
Section 19(b)(2) of the Exchange Act 5
provides that, within 45 days of the
publication of notice of the filing of a
proposed rule change, or within such
longer period up to 90 days as the
Commission may designate if it finds
such longer period to be appropriate
and publishes its reasons for so finding,
or as to which the self-regulatory
organization consents, the Commission
32 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 See Notice of Filing infra note 4, 88 FR at 23711.
4 Self-Regulatory Organizations; ICE Clear Credit
LLC; Notice of Proposed Rule Change Relating to
the Clearance of Additional Credit Default Swap
Contracts; Exchange Act Release No. 97293 (Apr.
12, 2023), 88 FR 23711 (Apr. 18, 2023) (File No.
SR–ICC–2023–005) (‘‘Notice’’).
5 15 U.S.C. 78s(b)(2).
1 15
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shall either approve the proposed rule
change, disapprove the proposed rule
change, or institute proceedings to
determine whether the proposed rule
change should be disapproved. The 45th
day after publication of the Notice of
Filing is June 2, 2023. The Commission
is extending this 45-day time period.
In order to provide the Commission
with sufficient time to consider the
Proposed Rule Change, the Commission
finds that it is appropriate to designate
a longer period within which to take
action on the Proposed Rule Change.
Accordingly, the Commission,
pursuant to section 19(b)(2) of the
Exchange Act,6 designates July 17, 2023
as the date by which the Commission
shall either approve, disapprove, or
institute proceedings to determine
whether to disapprove proposed rule
change SR–ICC–2023–005.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.7
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023–10467 Filed 5–16–23; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–97487; File No. SR–CBOE–
2023–022]
Self-Regulatory Organizations; Cboe
Exchange, Inc.; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Update the Cboe Data
Services, LLC Fee Schedule
May 11, 2023.
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 April 28,
2023, Cboe Exchange, Inc. (‘‘Exchange’’
or ‘‘Cboe Options’’) 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
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
6 Id.
7 17
CFR 200.30–3(a)(31).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
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Federal Register / Vol. 88, No. 95 / Wednesday, May 17, 2023 / Notices
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
Cboe Exchange, Inc. (the ‘‘Exchange’’
or ‘‘Cboe Options’’) proposes to update
the Cboe Data Services, LLC Fee
Schedule. The text of the proposed rule
change is provided in Exhibit 5.
The text of the proposed rule change
is also available on the Exchange’s
website (https://www.cboe.com/
AboutCBOE/CBOELegalRegulatory
Home.aspx), at the Exchange’s Office of
the Secretary, 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 aspects of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to amend the
fees set forth in the Cboe Data Services,
LLC (‘‘CDS’’) Fee Schedule.3 The
Exchange proposes to (i) relocate the
fees in the CDS Fees Schedule to the
Exchange’s Fees Schedule (ii)
harmonize various definitions to align
with the definitions used by the
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3 The Exchange initially filed the proposed fee
changes on January 3, 2023 (SR–CBOE–2023–001).
On March 1, 2023, the Exchange withdrew that
filing and replaced it with SR–CBOE–2023–013,
which was filed on February 28, 2023. On April 28,
2023, the Exchange withdrew that filing and
submitted this filing.
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Exchange’s affiliates, and (iii) modify its
fees relating to the distribution of the
BBO data feed.4
Relocation of CDS Fees
The Exchange first proposes to
consolidate the Cboe Data Services, LLC
(CDS) Fee Schedule and the Cboe
Options Fees Schedule. Historically, the
CDS Fee Schedule set forth fees relating
to real-time Cboe Options market data
products and has been maintained
separately from the Cboe Options Fees
Schedule. The Exchange proposes to
eliminate the CDS Fee Schedule in its
entirety and relocate the fees under the
CDS Fees Schedule to the Cboe Options
Fees Schedule. The Exchange believes
this provides a more streamlined fee
schedule for Cboe Options fees and
allows TPHs to more readily and easily
find all fees applicable to Cboe Options.
The Exchange also proposes to refer to
the ‘‘Exchange’’ in lieu of ‘‘CDS’’ in the
revised Fees Schedule to align with
terminology used by its affiliated
options exchanges Cboe BZX Exchange,
Inc. (‘‘BZX Options’’) and Cboe EDGX
Exchange, Inc. (‘‘EDGX Options’’). The
Exchange notes that no substantive
changes are being made with the
relocation of the CDS fees and
elimination of references to CDS other
than those discussed further below. The
Exchange lastly notes that each of its
affiliated options exchanges also reflect
their respective fees for their respective
4 The BBO Data Feed is a real-time data feed that
includes the following information: (i) outstanding
quotes and standing orders at the best available
price level on each side of the market; (ii) executed
trades time, size, and price; (iii) totals of customer
versus non-customer contracts at the best bid and
offer (‘‘BBO’’); (iv) all-or-none contingency orders
priced better than or equal to the BBO; (v) expected
opening price and expected opening size; (vi) endof-day summaries by product, including open, high,
low, and closing price during the trading session;
(vi) recap messages any time there is a change in
the open, high, low or last sale price of a listed
option; (vii) COB information; and (viii) product IDs
and codes for all listed options contracts. The quote
and last sale data contained in the BBO data feed
is identical to the data sent to the Options Price
Reporting Authority (‘‘OPRA’’) for redistribution to
the public.
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real-time exchange market data products
in the respective exchange’s fees
schedule (instead of being maintained
separately), including the Exchange’s
affiliate Cboe C2 Exchange, Inc., (‘‘C2
Options’’), which relocated its CDS fees
schedule into the C2 Options Exchange
Fees Schedule in 2018.5 The Exchange
also believes the proposed change more
accurately reflects the Exchange’s role
as it relates to its market data products
as CDS is merely an affiliate that is the
Cboe contracting entity for all U.S.
equities and options market data
products, but the data products
themselves are made available by the
Exchange.
Definitions
In order to provide consistent rules
and terminology amongst the Exchange
and its affiliated options exchanges, C2
Options, BZX Options and EDGX
Options (collectively, ‘‘Affiliates’’) the
Exchange is proposing to amend various
definitions and product names to
harmonize with such terms used by its
affiliates BZX Options and EDGX
Options, as well as definitions used in
Cboe’s Cboe Global Markets Global Data
Agreement and Cboe Global Markets
North American Data Policies.6 As such,
the proposed rule change deletes a
defined term, adds certain defined
terms, and makes certain nonsubstantive changes to existing
definitions, as further described in the
table below. The proposed rule change
makes these changes throughout the
market data fee language to conform to
the proposed defined terms and the
Exchange uses the proposed updated
terms herein.
5 See BZX Options Exchange Fees Schedule
EDGX Options Exchange Fees Schedule and C2
Options Exchange Fees Schedule. See also
Securities Exchange Act Release No. 83409 (June
12, 20118), 83 FR 28302 (June 18, 2018) (SR–C2–
2018–012).
6 C2 Options will be submitting a similar filing to
harmonize its definitions and products names to
align with those of BZX Options and EDGX Options
as well.
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Defined term
Provision
Current CDS location
Description of change
Customer .....................
A ‘‘Customer’’ is any person, company or
other entity that, pursuant to a market data
agreement with CDS, is entitled to receive
data, either directly from CDS or through
an authorized redistributor (i.e., a Customer
or an extranet service provider), whether
that data is distributed externally or used
internally. A third-party vendor of an Approved Third-Party Device, as defined in
the CDS Fee Schedule, is not a Customer
unless it has a market data agreement in
place with CDS. A Floor Broker User, as
defined in the CDS Fee Schedule, is not a
Customer unless it has a market data
agreement in place with CDS.
Section I .....................
Distributor ....................
A Distributor of an Exchange Market Data
product is any entity that receives the Exchange Market Data product directly from
the Exchange or indirectly through another
entity and then distributes it internally or
externally to a third party.
N/A .............................
Internal Distributor .......
An Internal Distributor of an Exchange Market
Data product is a Distributor that receives
the Exchange Market Data product and
then distributes that data to one or more
Users within the Distributor’s own entity.
An External Distributor of an Exchange Market Data product is a Distributor that receives the Exchange Market Data product
and then distributes that data to a third
party or one or more Users outside the
Distributor’s own entity.
A User of an Exchange Market Data product
is a natural person, a proprietorship, corporation, partnership, or entity, or device
(computer or other automated service), that
is entitled to receive Exchange data.
A ‘‘Non-Professional User’’ is a natural person or qualifying trust that uses Data only
for personal purposes and not for any commercial purpose and, for a natural person
who works in the United States, is not: (i)
registered or qualified in any capacity with
the Securities and Exchange Commission,
the Commodities Futures Trading Commission, any state securities agency, any securities exchange or association, or any
commodities or futures contract market or
association; (ii) engaged as an ‘‘investment
adviser’’ as that term is defined in section
201(11) of the Investment Advisors Act of
1940 (whether or not registered or qualified
under that Act); or (iii) employed by a bank
or other organization exempt from registration under federal or state securities laws
to perform functions that would require registration or qualification if such functions
were performed for an organization not so
exempt; or, for a natural person who works
outside of the United States, does not perform the same functions as would disqualify such person as a Non-Professional
User if he or she worked in the United
States.
N/A .............................
Deletes defined term to align terms with BZX
Options and EDGX Options. The concept
of ‘‘Customer’’ is also better captured
through the proposed new term ‘‘Distributor’’. Eliminates language that specifies
that a person, company, entity, third-party
vendor or Floor Broker that does not have
a market data agreement in place with
CDS is not considered a ‘‘Customer’’ since
the Exchange is not proposing to use that
term in the Fees Schedule with respect to
market data fees and does not believe it’s
necessary to clarify this point in the Fees
Schedule.7 Neither BZX Options nor EDGX
Options refer to market data agreements in
their respective Fees Schedules.
Codifies definition of ‘‘Distributor’’ in Footnote
49 of the Cboe Options Fees Schedule. An
Exchange Market Data Product refers to
any Data Product set forth in the Market
Data Fees section of the Exchange’s Fees
Schedule. Definition is identical to the definition used by BZX Options and EDGX Options and substantially similar to the language in the first sentence of the definition
of ‘‘Customer’’ in the CDS Fees Schedule.
Codifies definition of ’’ Internal Distributor’’ in
Footnote 49 of the Cboe Options Fees
Schedule. Definition is identical to the definition used by BZX Options and EDGX Options.
Codifies definition of ‘‘External Distributor’’ in
Footnote 49 of the Cboe Options Fees
Schedule. Definition is identical to the definition used by BZX Options and EDGX Options.
External Distributor ......
User .............................
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Non-Professional User
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N/A .............................
N/A .............................
Codifies definition of ‘‘User’’ in Footnote 49 of
the Cboe Options Fees Schedule. Definition is identical to the one used by BZX
Options and EDGX Options.
Section III ...................
Relocates definition to Footnote 49 of the
Cboe Options Fees Schedule and updates
the rule reference to ‘‘section 201(11)’’ of
the Investment Advisors Act of 1940 to
‘‘section 202(a)(11)’’.
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Federal Register / Vol. 88, No. 95 / Wednesday, May 17, 2023 / Notices
Defined term
Provision
Current CDS location
Description of change
Professional User ........
A Professional User of an Exchange Market
Data product is any User other than a NonProfessional User.
Section III ...................
Display Only Service ...
A ‘‘Display Only Service’’ allows a natural
person end-user to view and manipulate
data using the Distributor’s computerized
service, but not to save, copy, export or
transfer the data or any results of the manipulation to any other computer hardware,
software or media, except for printing it to
paper or other non-magnetic media.
A ‘‘Device’’ means any computer, workstation
or other item of equipment, fixed or portable, that receives, accesses and/or displays data in visual, audible or other form.
An ‘‘Approved Third-Party Device’’ means
any computer, workstation or other item of
equipment, fixed or portable, that receives,
accesses and/or displays data in visual,
audible or other form that has been provided by a third-party and that has been
approved, by Cboe Options, for use on the
Cboe Options trading floor.
A ‘‘Floor Broker User’’ is a person or entity
registered with Cboe Options as a floor
broker pursuant to Cboe Options Rules.
Section I .....................
Relocates definition to Footnote 49 of the
Cboe Options Fees Schedule and eliminates reference to ‘‘natural person’’ recipient of ‘‘Data’’ to align with the ‘‘Professional User’’ definition used by BZX Options and EDGX Options, as well as
Cboe’s market data policies and agreements.
Relocates definition to Footnote 49 of the
Cboe Options Fees Schedule. Replaces
reference to ‘‘Customer’’ with ‘‘Distributor’’.
Device ..........................
Approved Third-Party
Device.
Floor Broker User ........
The Exchange also proposes to
rename the following market data
products and use the proposed names
Section I under ‘‘Display Only User
Fees’’.
Relocates definition to Footnote 49 of the
Cboe Options Fees Schedule.
Section I under ‘‘Floor
Broker User Fees’’.
Relocates definition to Footnote 49 of the
Cboe Options Fees Schedule.
Section I under ‘‘Floor
Broker User Fees’’.
Relocates definition to Footnote 49 of the
Cboe Options Fees Schedule.
herein, in order to align with the
naming convention used by the
Exchange’s affiliates, BZX Options and
Current name
Cboe
Cboe
Cboe
Cboe
Options
Options
Options
Options
Top.
Depth.
Complex Order Book (COB).
FLEX Options.
The Exchange believes the proposed
changes to eliminate, modify and adopt
the terms discussed above will add
transparency to the Fees Schedule and
will protect investors, as the changes
provide more clarity within the rule and
more harmonized rule language across
the Fees Schedules of the Cboe affiliated
options exchanges, as well as well as
definitions used in Cboe’s Cboe Global
Markets Global Data Agreement and
Cboe Global Markets North American
Data Policies. Further, the Exchange
notes that the above-described changes
relating to definitions are nonsubstantive changes or provide
additional detail in the rule regarding
current market participants that
purchase or use the Exchange’s market
data products. None of these differences
impact the manner in which any of the
terms and corresponding fees apply,
including how the Exchange would
have otherwise characterized a
Distributor or User (Professional or NonProfessional) as such definitions are
more consistent with the definitions
already used in the Cboe Global Markets
Global Data Agreement and Cboe Global
Markets North American Data Policies,
to which all firms receiving Cboe
Options market data must adhere to.
7 All Distributors of Cboe Options proprietary
market data products are subject to Cboe Global
Markets North American Data Policies and must
still sign the Cboe Global Markets Global Data
Agreement.
8 See BZX Options Exchange Fees Schedule,
Market Data Fees and EDGX Options Exchange Fees
Schedule, Market Data Fees.
9 Under the proposal, a Distributor that wishes to
distribute Cboe Options Top internally and
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EDGX Options, for similar data
products.8
Proposed name
BBO Data Feed ........................................................................................
Book Depth Data Feed .............................................................................
Complex Order Book (COB) Data Feed ..................................................
FLEX Options Data Feed .........................................................................
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Cboe Options Top Fee Changes
The Exchange next proposes to
modify the current monthly Data Fee for
Cboe Options Top. Currently, the
Exchange assesses a ‘‘Data Fee’’ of
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$9,000 per month for internal use and
external redistribution of the Cboe
Options Top Data Feed. A Distributor
receiving the Cboe Options Top Data
Feed from another entity or directly
from the Exchange is assessed the Data
Fee by the Exchange and is entitled to
use the Data internally and/or distribute
it externally. The Exchange now
proposes to adopt separate fees for
internal and external distribution.
Specifically, the Exchange proposes to
maintain the current monthly fee of
$9,000 for internal distribution but
adopt a lower fee of $5,000 per month
for external distribution.9
The Exchange next proposes to
modify its current User Fees. The
Exchange currently charges a ‘‘User
externally would be subject to a combined monthly
fee of $14,000 (i.e., $9,000 for internal distribution
and $5,000 for external distribution).
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Fee’’ of $50 per month per Device or
user ID for use of the data in the Cboe
Options Top Data Feed by ‘‘Display
Only Service’’ users. The current User
fee is payable only for ‘‘external’’
Display Only Service users who receive
Cboe Options Top and are not
employees or natural person
independent contractors of the
Distributor, the Distributor’s affiliates or
an authorized service facilitator.10
Internal Distributors may currently
distribute Cboe Options Top Data to an
unlimited number of internal Users and
Devices within the Distributor at no
further cost (aside from the abovementioned monthly Distribution Fee).
The Exchange proposes to eliminate the
current Cboe Options Top User fee and
in its place adopt Professional and NonProfessional User fees for Cboe Options
Top that would apply to both Internal
and External Distributors for all
Professional and Non-Professional
Users. The Exchange proposes to charge
Cboe Options Top Distributors a
monthly fee of $15.50 per Professional
User and a monthly fee of $0.30 per
Non-Professional User.11
Next, the Exchange proposes to
eliminate a fee waiver for Distributors of
Cboe Options Top Data. In particular,
the CDS Fee Schedule currently
provides that the monthly data fee of
$9,000 per month for the Cboe Options
Depth feed 12 and Cboe Options COB
10 Pursuant to the Cboe Global Markets North
American Data Policies, Distributors must report
the number of authorized external devices that
receive Cboe Options Top data during a calendar
month within 15 days after such month in the
manner and format specified by the Exchange from
time to time to determine applicable fees. In
connection with a Distributor’s distribution of the
market data product, Distributors are required to
report all Professional and Non-Professional Users
in accordance with the following: Distributor
should count as one User each unique User that the
Distributor has entitled to have access to the market
data product. However, where a device is dedicated
specifically to a single individual, the Distributor
should count only the individual and need not
count the device. Distributor should identify and
report each unique User. If a User uses the same
unique method to gain access to the market data
product, the Distributor should count that as one
User. However, if a unique User uses multiple
methods to gain access to the market data product
(e.g., a single User has multiple passwords and user
identifications), the Distributor should report all of
those methods as an individual User. Distributors
should report each unique individual person who
receives access through multiple devices as one
User so long as each device is dedicated specifically
to that individual. If a Distributor entitles one or
more individuals to use the same device, the
Distributor should include only the individuals,
and not the device, in the count.
11 Distributors that receive Cboe Options Top Data
will be required to count every Professional User
and Non-Professional User to which they provide
the data feed.
12 The Cboe Options Depth feed is a real-time,
low latency data feed that includes all data
contained in the Cboe Options Top feed (as
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feed 13 are waived for Distributors of
Cboe Options Top Data. The Exchange
proposes to eliminate the fee waivers for
Cboe Options Depth and Cboe Options
COB for External Distributors of Cboe
Options Top (i.e., the monthly $9,000
data fee for Cboe Options Depth will
only continue to be waived for Internal
Distributors of Cboe Options Top Data
and the monthly $3,000 data fee for
Cboe Options COB will only continue to
be waived for Internal Distributors of
Cboe Options Top and/or Distributors
(Internal or External) of Cboe Options
Depth Feed). The Exchange wishes only
to eliminate the availability of the fee
waiver for External Distributors of Cboe
Options Top for both Cboe Options
Depth and Cboe Options COB because
such distributors will already be
receiving the benefit of the proposed
reduced fee for external distribution of
Cboe Options Top as compared to
Internal Distributors of Cboe Options
Top who will continue to be charged the
higher fee of $9,000.
The Exchange lastly proposes to
establish a $300,000 per month
Enterprise Fee that will permit a
Distributor to purchase a monthly (and
optional) Enterprise license to receive
the Cboe Options Top Data for
distribution to an unlimited number of
Professional and Non-Professional
Users. The Enterprise Fee is an
alternative to Professional and NonProfessional User fees and is assessed in
addition to the Distribution Fee, which
the Exchange proposes to make clear in
the Fee Schedule. The Enterprise Fee
may provide an opportunity to reduce
fees. For example, if a Distributor has
20,000 Professional Users who each
receive Cboe Options Top at $15.50 per
month (as proposed), then that
Distributor will pay $310,000 per month
in Professional User fees. If the
Distributor instead were to purchase the
proposed Enterprise license, it would
alternatively pay a flat fee of $300,000
for an unlimited number of Professional
and Non-Professional Users. A
Distributor must pay a separate
Enterprise Fee for each entity that
controls the display of Cboe Options
described above) plus outstanding quotes and
standing orders for an additional four price levels
on each side of the market, with aggregate size
(‘‘Book Depth’’). The data in the Cboe Options
Depth feed is refreshed periodically during the
trading session.
13 The Cboe Options COB feed is a real-time feed
that consists of data regarding the Exchange’s
Complex Order Book and related complex order
information. The Cboe Options COB feed includes
‘‘best bid and offer’’ or ‘‘BBO’’ quotes and
identifying information for all Cboe Options-traded
complex order strategies, as well as all executed
Cboe Options complex order trades (and identifies
whether the trade was a customer trade or whether
a complex order in the COB is a customer order).
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Top if it wishes for such Users to be
covered by the Enterprise Fee rather
than by per User fees.14 A Distributor
that pays the Enterprise Fee will not
have to report its number of such Users
on a monthly basis. Rather, every six
months, the Distributor must provide
the Exchange with a count of the total
number of Professional and NonProfessional Users of Cboe Options Top
Data.15 The Exchange notes that the
purchase of an Enterprise license is
voluntary, and a firm may elect to
instead use the per User structure and
benefit from the proposed per User Fees
described above. For example, a firm
that does not have a sufficient number
of Users to benefit from purchase of the
license need not do so.
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.16 Specifically,
the Exchange believes the proposed rule
change is consistent with the section
6(b)(5) 17 requirements that the rules of
an exchange be designed to prevent
fraudulent and manipulative acts and
practices, to promote just and equitable
principles of trade, to foster cooperation
and coordination with persons engaged
in regulating, clearing, settling,
processing information with respect to,
and facilitating transactions in
securities, to 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.
Additionally, the Exchange believes the
proposed rule change is consistent with
the section 6(b)(5) requirement that the
rules of an exchange not be designed to
permit unfair discrimination between
customers, issuers, brokers, or dealers.
The Exchange also believes this
proposal is consistent with section
6(b)(8) of the Act, which requires that
the rules of an exchange not impose any
burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act.18 The
14 For example, if a Distributor (e.g., Refinitiv)
that distributes Cboe Options Top to Retail
Brokerage Firm A and Retail Brokerage Firm B
(which ‘‘entities’’ redistribute BZX Options Top to
its respective Users) and wishes to have the Users
under each firm covered by an Enterprise license,
the Distributor would be subject to two Enterprise
Fees.
15 See Cboe Global Markets north American Data
Policies.
16 15 U.S.C. 78f(b).
17 15 U.S.C. 78f(b)(5).
18 15 U.S.C. 78f(b)(8).
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Exchange lastly believes the proposed
rule change is consistent with section
6(b)(4) of the Act,19 which requires that
Exchange rules provide for the equitable
allocation of reasonable dues, fees, and
other charges among its Trading Permit
Holders and other persons using its
facilities.
The Exchange first notes that it
operates in a highly competitive
environment. Indeed, there are currently
16 registered options exchanges that
trade options. Based on publicly
available information, no single options
exchange has more than 18% of the
market share.20 The Exchange believes
top-of-book quotation and transaction
data is highly competitive as national
securities exchanges compete vigorously
with each other to provide efficient,
reliable, and low-cost data to a wide
range of investors and market
participants. Indeed, there are several
competing products offered by other
national securities exchanges today, not
counting products offered by the
Exchange’s affiliates, and each of the
Exchange’s affiliated U.S. options
exchanges also offers similar top-ofbook data.21 Each of those exchanges
offer top-of-book quotation and last sale
information based on their own
quotation and trading activity that is
substantially similar to the information
provided by the Exchange through the
Cboe Options Top Feed. Further, the
quote and last sale data contained in the
Cboe Options Data Feed is identical to
the data sent to OPRA for redistribution
to the public, including data relating to
the Exchange’s proprietary and
exclusively listed products.22
Accordingly, Exchange top-of-book data
is widely available today from a number
of different sources.
Moreover, the Cboe Options Top Data
Feed is distributed and purchased on a
voluntary basis, in that neither the
Exchange nor market data distributors
are required by any rule or regulation to
make this data available. Accordingly,
Distributors and Users can discontinue
use at any time and for any reason,
including due to an assessment of the
19 15
U.S.C. 78f(b)(4).
Cboe Global Markets U.S. Options Market
Month-to-Date Volume Summary (April 24, 2023),
available at https://markets.cboe.com/us/options/
market_statistics/.
21 See e.g., NYSE Arca Options Proprietary
Market Data Fees Schedule, MIAX Options
Exchange, Fee Schedule, Section 6 (Market Data
Fees), Nasdaq PHLX Options 7 Pricing Schedule,
Section 10 (Proprietary Data Feed Fees) and C2
Options Exchange Fees Schedule, Cboe Data
Services, LLC Fees.
22 The Exchange notes that it makes available the
BBO data and last sale data that is included in the
Cboe Options Top Data Feed no earlier than the
time at which the Exchange sends that data to
OPRA.
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reasonableness of fees charged. As
described above, market participants
have a wide variety of alternative
market data products from which to
choose, such as similar proprietary data
products offered by other exchanges and
consolidated data. Further, the
Exchange is not required to make any
proprietary data products available or to
offer any specific pricing alternatives to
any customers. Moreover, persons
(including broker-dealers) who
subscribe to any exchange proprietary
data feed must also have equivalent
access to consolidated Options
Information 23 from OPRA for the same
classes or series of options that are
included in the proprietary data feed
(including for exclusively listed
products), and proprietary data feeds
cannot be used to meet that particular
requirement.24 As such, all proprietary
data feeds are purely optional and only
those that deem the product to be of
sufficient overall value and usefulness
would purchase it.
The Commission has repeatedly
expressed its preference for competition
over regulatory intervention in
determining prices, products, and
services in the securities markets.
Particularly, in Regulation NMS, the
Commission highlighted the importance
of market forces in determining prices
and SRO revenues and, also, recognized
that current regulation of the market
system ‘‘has been remarkably successful
in promoting market competition in its
broader forms that are most important to
investors and listed companies.’’ 25
Making similar data products available
to market participants fosters
competition in the marketplace, and
constrains the ability of exchanges to
charge supracompetitive fees. In the
event that a market participant views
one exchange’s data product as more or
less attractive than a competitor they
can and do switch between similar
23 ‘‘Consolidated Options Information’’ means
consolidated Last Sale Reports combined with
either consolidated Quotation Information or the
BBO furnished by OPRA. Access to consolidated
Options Information is deemed ‘‘equivalent’’ if both
kinds of information are equally accessible on the
same terminal or work station. See Limited Liability
Company Agreement of Options Price Reporting
Authority, LLC (‘‘OPRA Plan’’), Section 5.2(c)(iii).
The Exchange notes that this requirement under the
OPRA Plan is also reiterated under the Cboe Global
Markets Global Data Agreement and Cboe Global
Markets North American Data Policies, which
subscribers to any exchange proprietary product
must sign and are subject to, respectively.
Additionally, the Exchange’s Data Order Form
(used for requesting the Exchange’s market data
products) requires confirmation that the requesting
market participant receives data from OPRA.
24 Id.
25 See Securities Exchange Act Release No. 51808
(June 9, 2005), 70 FR 37496, 37499 (June 29, 2005)
(‘‘Regulation NMS Adopting Release’’).
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31559
products. The proposed fees are a result
of the competitive environment, as the
Exchange seeks to adopt fees to attract
purchasers of Cboe Options Top Data.
The Exchange believes the proposed
External Distribution fee is reasonable
as it would represent a decreased fee for
any Distributor who is only interested in
distributing Cboe Options Top
externally. Providing an opportunity for
lower cost access to U.S. options market
data such as Cboe Options Top benefits
a wide range of investors that
participate in the national market
system and makes it more broadly
available, including non-professional
retail investors who, by definition, do
not receive the data for commercial
purposes and therefore would not be
receiving the data via internal
distribution. The Exchange believes the
proposed fees for external distribution
of Cboe Options Top will also continue
to be allocated fairly and equitably, and
are not unfairly discriminatory, as the
proposed fee will apply equally to all
Distributors that choose to subscribe to
Cboe Options Top and distribute that
data to external Users. More
specifically, as proposed, all External
Distributors of Cboe Options Top will be
subject to the same external distribution
fee, regardless of the type of business
that they operate, or the use they plan
to make of the data feed. Thus, all
External Distributors would have access
to Cboe Options Top for purposes of
external distribution on the same
equitable and non-discriminatory terms.
The Exchange believes that it is also
fair and equitable, and not unfairly
discriminatory to charge different fees
for internal and external distribution of
the Cboe Options Top. Although the
proposed distribution fee charged to
External Distributors will be lower than
the existing distribution fee charged to
Internal Distributors, External
Distributors are subject to User fees for
both Non-Professional Users and
Professional Users, whereas Internal
Distributors will only subject to fees for
Professional Users (or alternatively the
proposed Enterprise Fee). Moreover,
Internal Distributors of Cboe Options
Top will still have the benefit of
receiving Cboe Options Depth and/or
Cboe Options COB at no additional cost,
whereas the waiver to receive Cboe
Options Depth will not be available for
External Distributors of Cboe Options
Top. The Exchange also notes that Cboe
Options Depth and Cboe Options COB
are more likely to be distributed
internally as such data is used by
Professional Users, including employees
of Distributors, whereas Cboe Options
Top is more likely to be distributed
externally as such data is expected to be
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used more frequently by NonProfessional Users who, by definition,
do not receive the data for commercial
purposes (e.g., retail investors). The
Exchange therefore believes that the
proposed reduced fee for External
Distributors is reasonable because it
may encourage more distributors to
choose to offer the Cboe Options Top
Data Feed, thereby expanding the
distribution of this market data for the
benefit of investors, and particularly
retail investors.
The Exchange next notes it is not
required to charge a single distribution
fee to cover more than one of its
available data products, but none-theless has opted to not charge for separate
data fees for Cboe Options Depth and
Cboe Options COB for Distributors of
Cboe Options Top, since such waiver
was adopted in January 1, 2015 [sic].26
However, the Exchange no longer
wishes to maintain the fee waiver of
Cboe Options Depth or Cboe Options
COB for External Distributors of Cboe
Options Top. The Exchange believes the
proposed elimination of the waivers is
reasonable, equitable and not unfairly
discriminatory because although
External Distributors will not receive
the benefit of the fee waiver, they will
be subject to a lower distribution fee as
compared to Internal Distributors of
Cboe Options Top who will continue to
be charged the higher fee of $9,000.
Additionally, the Exchange notes that
all Distributors of Cboe Options COB are
also Distributors of Cboe Options Depth,
and therefore already have (and will
continue to have) their monthly
distribution fee for Cboe Options COB
waived since Distributors of Cboe
Options Depth qualify for a waiver of
the monthly distribution fee for Cboe
Options COB.27 Moreover, the Exchange
does not anticipate the impact of the
proposed rule change to be significant
as most market participants (over 70%)
buy either Cboe Options Top or Cboe
Options Depth (and not both) and nearly
80% of Distributors of Cboe Options
Top and Cboe Options Depth distribute
such products internally. Further,
Distributors are not required to
distribute, and Users are not required to
receive, any one particular data product
and may choose to receive none, one, or
several of the Exchange’s market data
products. Only those that deem any
product or products to be of sufficient
overall value and usefulness would
purchase such product(s). The Exchange
26 See Securities Exchange Act Release No. 70683
(October 15, 2013), 78 FR 62798 (October 22, 2013)
(SR–CBOE–2013–087).
27 See Cboe Data Services, LLC (CDS) Fee
Schedule, Section III, Complex Order Book (‘‘COB’’)
Data Feed, Data Fee.
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is also not required to maintain a single
fee that covers multiple market data
products. In fact, other exchanges
similarly have adopted separate fees for
different data products that historically
had otherwise been provided under a
single fee.28 The Exchange believes the
proposed change is equitable and not
unfairly discriminatory as it will apply
uniformly to External Distributors.
The Exchange believes the proposed
changes to adopt new Professional and
Non-Professional User fees are
reasonable as the User fees continue to
be in line with User fees assessed by
other exchanges for similar data.29
Moreover, Display Only Service Users
will now be subject to lower fees as the
Exchange proposes to significantly
reduce the monthly User fees from $50
per Device or User ID for Display Only
Service User to $15.50 per Professional
User or $0.30 per Non-Professional
User. Although External Distributors are
currently only subject to a User fee for
external Users that are Display Only
Service Users, the proposed fee for all
external Users (which are likely to be
Non-Professional Users) is significantly
lower (i.e., $0.30 per Non-Professional
User) than the current $50 User fee.
Moreover, the proposed fee structure of
differentiated Professional and NonProfessional fees that are paid by both
Internal and External Distributors has
long been used by other exchanges,
including the Exchange, for their
proprietary data products, and by the
OPRA plan in order to reduce the price
28 See Securities Exchange Act Release No. 79556
(December 14, 2016), 81 FR 92935 (December 20,
2016) (SR–NASDAQ–2016–167).
29 See e.g., Nasdaq PHLX Options 7 Pricing
Schedule, Section 10 (Proprietary Data Feed Fees),
which provides for a fee of $40 per month to
professional users and $1.00 per month to nonprofessional users to cover the usage of PHLX
Options (TOPO) Data, TOPO Plus Orders, PHLX
Orders and PHLX Depth Data feeds. See also NYSE
American Options Proprietary Market Data Fees
schedule, which provides for a fee of $50 per month
to professional users and $1.00 per month to nonprofessional users of American Options Top Data,
American Options Deep and American Options
Complex products. By comparison, the total
Professional User fee for Cboe Options Top and
Cboe Options COB is in line with the above
Professional User fee at $40.50 per Professional
User (i.e., $15.50 per Professional Users of Cboe
Options Top, as proposed, and $25 per Professional
User of Cboe Options COB). The Exchange’s
combined Non-Professional User Fee at $0.30 per
Non-Professional User (i.e., $0.30 per NonProfessional User of Cboe Options Top, as
proposed, and $0 per Non-Professional User of Cboe
Options COB) is lower than PHLX’s and NYSE
American’s aforementioned Non-Professional User
fees. Cboe Options Depth is not included in the
above comparison because there are no User fees
based on Professional or Non-Professional
classification, but rather a $50 per month, per
Device or User ID fee for Display Only Service
external users only. Further there are no fees for any
internal Users.
PO 00000
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of data to retail investors and make it
more broadly available.30 The Exchange
also believes offering Cboe Options Top
Data to Non-Professional Users at a rate
lower than the rate for Professional
Users results in greater equity among
data recipients, as Professional Users are
categorized as such based on their
employment and participation in
financial markets, and thus, are
compensated to participate in the
markets. Although Non-Professional
Users too can receive significant
financial benefits through their
participation in the markets, the
Exchange believes it is reasonable to
charge more to those Users who are
more directly engaged in the markets.
The Exchange believes that the
proposed fees are equitable and not
unfairly discriminatory because they
will be charged uniformly to
Distributors for their Professional and
Non-professional Users.
Although Internal Distributors do not
currently pay any User fees for Cboe
Options Top, the Exchange believes its
reasonable, equitable and not unfairly
discriminatory to start assessing User
fees, as internal and external users will
be treated the same. Additionally, other
exchanges also assess User fees for
internal users of similar data, including
the Exchange’s affiliates.31 Moreover,
the proposed rates Internal Distributors
will be subject to for User fees are in
line with User fees assessed by other
exchanges for similar data.32 The
Exchange believes the proposed
monthly User fees for which Internal
Distributors of Cboe Options Top will
now be subject to are equitably allocated
because they would be charged on an
equal basis for all internal Users that
receive Cboe Options Top.
The proposed Enterprise Fee for Cboe
Options Top Feed is equitable and
reasonable as the proposed fee could
result in a fee reduction for Distributors
with a large number of Professional and
Non-Professional Users. If a Distributor
has a smaller number of Professional
Users of Cboe Options Top Data, then it
30 See, e.g., Securities Exchange Act Release No.
59544 (March 9, 2009), 74 FR 11162 (March 16,
2009) (SR–NYSE–2008–131) (establishing the $15
Non-Professional User Fee (Per User) for NYSE
OpenBook); See, e.g., Securities Exchange Act
Release No. 67589 (August 2, 2012), 77 FR 47459
(August 8, 2012) (revising OPRA’s definition of the
term ‘‘Nonprofessional’’); and See Securities
Exchange Act Release No. 70683 (October 15, 2013),
78 FR 62798 (October 22, 2013) (SR–CBOE–2013–
087) (establishing Professional and NonProfessional User fees for Cboe Options COB Data
Feed).
31 See BZX Options Fees Schedule, Market Data
Fees and EDGX Options Fees Schedule, Market
Data Fees. See also Nasdaq PHLX Options 7 Pricing
Schedule, Section 10 (Proprietary Data Feed Fees).
32 See supra note 29.
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may continue using the per User
structure and benefit from the proposed
per Cboe Options Top User Fee
reductions. By reducing prices for
Distributors with a large number of
Professional and Non-Professional
Users, the Exchange believes that more
firms may choose to receive and to
distribute Cboe Options Top Data,
thereby expanding the distribution of
this market data for the benefit of
investors.
The Exchange further believes that the
proposed Enterprise Fee is reasonable
because it will simplify reporting for
certain recipients that have large
numbers of Professional and NonProfessional Users. Firms that pay the
proposed Enterprise Fee will not have to
report the number of Users on a
monthly basis as they currently do, but
rather will only have to count
Professional and Non-Professional users
every six months, which is a significant
reduction in administrative burden.
Finally, as described above the
Enterprise Fee is entirely optional. A
firm that does not have a sufficient
number of Users to benefit from
purchase of the license need not do so.
The Exchange lastly believes the
proposed changes relating to the defined
terms and terminology will provide
additional specificity and clarity, while
also harmonizing the various definition
with that of its affiliates and providing
more consistency with definitions used
in the Cboe Global Markets Global Data
Agreement and Cboe Global Markets
North American Data Policies. Doing so
would ensure consistent terms amongst
the Exchange and its affiliates, as well
as the Exchange’s data agreements and
policies, thereby reducing the potential
for confusion amongst market data
subscribers of the Exchange’s and its
affiliates’ market data products.
Additionally, the proposed new terms
are identical to the terms already used
by the Exchange’s affiliates BZX
Options and EDGX Options. Similarly,
the Exchange believes the proposal to
relocate the fees in the CDS Fees
Schedule to the Cboe Options Fees
Schedule will provide for a more
streamlined fees schedule and allow
TPHs to more readily and easily find all
fees applicable to Cboe Option, thereby
reducing potential confusion. Further,
the Exchange is the only exchange of the
Cboe options exchanges that currently
maintains a separate fees schedule for
its market data product fees.
Accordingly, the Exchange believes the
proposed changes remove impediments
to and perfect the mechanism of a free
and open market and a national market
system, and, in general, protect
investors and the public interest.
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B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change would result
in any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act. The
Exchange operates in a highly
competitive environment, and its ability
to price top-of-book data is constrained
by competition among exchanges that
offer similar data products to their
customers. For example, Top-of-book
data is broadly disseminated by
competing U.S. options exchanges.
Further, the Exchange’s proposal to
eliminate the waiver for the Cboe
Options Depth and Cboe Options COB
data fees for External Distributors of
Cboe Options Top does not modify the
existing fee amounts, but simply
eliminates waivers to receive such data
products free of charge that the
Exchange is not required to maintain.
Other exchanges are free to adopt a
similar waiver if they choose. In this
competitive environment potential
Distributors are free to choose which
competing product to purchase to
satisfy their respective needs for market
information. Often, the choice comes
down to price, as market data
participants look to purchase cheaper
data products, and quality, as market
participants seek to purchase data that
represents significant market liquidity.
The Exchange believes that the
proposed fees do not put any market
participants at a relative disadvantage
compared to other market participants.
As discussed, the proposed fees and
eliminated waiver would apply to all
similarly situated Distributors of Cboe
Options Top on an equal and nondiscriminatory basis. The Exchange
believes the reduced fees for External
Distributors and not Internal
Distributors of Cboe Options Top is
appropriate given External Distributors
are subject to both the proposed NonProfessional and Professional user fees
as compared to Internal Distributors
who are only subject to Professional
user fee (since non-professional users,
by definition, do not receive the data for
commercial purposes and therefore
would not be receiving the data via
internal distribution) s, [sic].
Additionally, Internal Distributors will
continue to receive the benefit of a fee
waiver for Cboe Options Depth and
Cboe Options COB, which are more
commonly used products for internal
distribution amongst Professional Users.
The Exchange believes the differentiated
fees for Professional and NonProfessional Users of Cboe options Top
is appropriate given Professional Users
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31561
are categorized as such based on their
employment and participation in
financial markets, and thus, are
compensated to participate in the
markets. Non-Professional Users too can
receive significant financial benefits
through their participation in the
markets, however the Exchange believes
it is reasonable to charge more to those
Users who are more directly engaged in
the markets. The Exchange therefore
believes that the proposed fee neither
favors nor penalizes one or more
categories of market participants in a
manner that would impose an undue
burden on competition.
The Exchange believes that the
proposed fees do not impose a burden
on competition or on other SROs that is
not necessary or appropriate in
furtherance of the purposes of the Act.
In particular, market participants are not
forced to subscribe to Cboe Options Top
Data, or any of the Exchange’s data
feeds, as described above. As noted, the
quote and last sale data contained in the
Exchange’s Cboe Options Top feed is
identical to the data sent to OPRA for
redistribution to the public, including
data relating to the Exchange’s
proprietary and exclusively listed
products. Accordingly, Exchange top-ofbook data is therefore widely available
today from a number of different
sources.
Because market data customers can
find suitable substitute feeds, an
exchange that overprices its market data
products stands a high risk that users
may substitute another product. These
competitive pressures ensure that no
one exchange’s market data fees can
impose an undue burden on
competition, and the Exchange’s
proposed fees do not do so here.
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 33 and paragraph (f) of Rule
19b–4 34 thereunder. At any time within
60 days of the filing of the proposed rule
change, the Commission summarily may
33 15
34 17
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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 will institute proceedings
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:
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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–
CBOE–2023–022 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–CBOE–2023–022. 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. Do not include
personal identifiable information in
submissions; you should submit only
information that you wish to make
available publicly. We may redact in
part or withhold entirely from
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publication submitted material that is
obscene or subject to copyright
protection. All submissions should refer
to File Number SR–CBOE–2023–022
and should be submitted on or before
June 7, 2023.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.35
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023–10471 Filed 5–16–23; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–97483; File No. SR–MSRB–
2023–01]
Self-Regulatory Organizations;
Municipal Securities Rulemaking
Board; Order Granting Approval of a
Proposed Rule Change, as Modified by
Amendment No. 1, Consisting of
Amendments to MSRB Rule G–40, on
Advertising by Municipal Advisors,
and MSRB Rule G–8, on Books and
Records
May 11, 2023.
I. Introduction
On January 31, 2023, the Municipal
Securities Rulemaking Board (‘‘MSRB’’)
filed with the Securities and Exchange
Commission (‘‘SEC’’ or ‘‘Commission’’),
pursuant to section 19(b)(1) of the
Securities Exchange Act of 1934 (‘‘Act’’
or ‘‘Exchange Act’’) 1 and Rule 19b–4
thereunder,2 a proposed rule change
(‘‘original proposed rule change’’) to
amend MSRB Rule G–40 (‘‘Rule G–40’’),
on advertising by municipal advisors,
and MSRB Rule G–8 (‘‘Rule G–8’’), on
books and records.
The original proposed rule change
was published for comment in the
Federal Register on February 14, 2023.3
The Commission received two comment
letters on the original proposed rule
change.4 On March 21, 2023, the MSRB
granted an extension of time for the
35 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 Securities Exchange Act Release No. 96840 (Feb.
8, 2023), 88 FR 9580 (Feb. 14, 2023) (‘‘Notice’’).
4 See Letter to Secretary, Commission, from Leslie
M. Norwood, Managing Director and Associate
General Counsel, Securities Industry and Financial
Markets Association (‘‘SIFMA’’), dated March 7,
2023 (‘‘SIFMA Letter’’); Letter to Secretary,
Commission, from Susan Gaffney, Executive
Director, National Association of Municipal
Advisors (‘‘NAMA’’), dated March 7, 2023 (‘‘NAMA
Letter I’’).
1 15
PO 00000
Frm 00085
Fmt 4703
Sfmt 4703
Commission to act on the filing until
May 15, 2023.5
On April 4, 2023, the MSRB
responded to the comment letters 6 and
filed Amendment No. 1 to the original
proposed rule change (‘‘Amendment No.
1’’).7 On April 11, 2023, the
Commission published notice of
Amendment No. 1 in the Federal
Register.8 In response to Amendment
No. 1, the Commission received one
comment letter.9 On April 28, 2023, the
MSRB submitted a response to the
comment received on Amendment No.
1.10 This order approves the original
proposed rule change, as modified by
Amendment No. 1 (as so modified, the
‘‘proposed rule change’’).
II. Description of Original Proposed
Rule Change
The MSRB stated that, consistent with
its strategic goal to modernize its
rulebook, the original proposed rule
change would amend Rule G–40 to
allow municipal advisors to use
testimonials in certain circumstances.11
The MSRB stated that this change
would better align Rule G–40 with, to
the extent appropriate, the principles of
MSRB Rule G–21 (‘‘Rule G–21’’), on
advertising by brokers, dealers or
municipal securities, as well as Rule
206(4)–1 12 under the Investment
Advisers Act of 1940 (‘‘Advisers Act’’) 13
adopted in 2020 14 by the
Commission.15
Specifically, the MSRB indicated the
original proposed rule change would
consist of amendments to Rule G–40 to:
(i) permit municipal advisors to use
testimonials in advertisements, subject
to certain conditions; (ii) specify
additional supervisory obligations with
5 See ‘‘Extension of Time on File No. SR–MSRB–
2023–01 to May 15, 2023,’’ available at https://
msrb.org/sites/default/files/2023-03/MSRB-202301%20eot.pdf.
6 See Letter to Secretary, Commission, from
Saliha Olgun, Interim Chief Regulatory Officer,
MSRB, dated April 4, 2023 (the ‘‘MSRB Letter I’’).
7 Amendment No. 1 is available at https://
msrb.org/sites/default/files/2023-04/MSRB-202301%20A-1.pdf.
8 Securities Exchange Act Release No. 97255
(Apr. 5, 2023), 88 FR 21729 (Apr. 11, 2023) (‘‘Notice
of Amendment No. 1’’).
9 See Letter to Secretary, Commission, from Susan
Gaffney, Executive Director, National Association of
Municipal Advisors, dated April 26, 2023 (‘‘NAMA
Letter II’’).
10 See Letter to Secretary, Commission, from
Saliha Olgun, Interim Chief Regulatory Officer,
MSRB, dated April 28, 2023 (‘‘MSRB Letter II’’).
11 Notice, 88 FR at 9580.
12 17 CFR 275.206(4)–1.
13 15 U.S.C. 80b–1 et seq.
14 See Investment Advisers Act Release No. 5653
(Dec. 22, 2020), the adopting release for Investment
Adviser Marketing (the ‘‘SEC 2020 Adopting
Release’’), 86 FR 13024 (Mar. 5 2021).
15 Notice, 88 FR at 9580–81.
E:\FR\FM\17MYN1.SGM
17MYN1
]]>Agencies
[Federal Register Volume 88, Number 95 (Wednesday, May 17, 2023)]
[Notices]
[Pages 31554-31562]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-10471]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-97487; File No. SR-CBOE-2023-022]
Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of
Filing and Immediate Effectiveness of a Proposed Rule Change To Update
the Cboe Data Services, LLC Fee Schedule
May 11, 2023.
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 April 28, 2023, Cboe Exchange, Inc. (``Exchange'' or ``Cboe
Options'') 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
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.
---------------------------------------------------------------------------
[[Page 31555]]
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
Cboe Exchange, Inc. (the ``Exchange'' or ``Cboe Options'') proposes
to update the Cboe Data Services, LLC Fee Schedule. The text of the
proposed rule change is provided in Exhibit 5.
The text of the proposed rule change is also available on the
Exchange's website (https://www.cboe.com/AboutCBOE/CBOELegalRegulatoryHome.aspx), at the Exchange's Office of the
Secretary, 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 aspects of such
statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend the fees set forth in the Cboe Data
Services, LLC (``CDS'') Fee Schedule.\3\ The Exchange proposes to (i)
relocate the fees in the CDS Fees Schedule to the Exchange's Fees
Schedule (ii) harmonize various definitions to align with the
definitions used by the Exchange's affiliates, and (iii) modify its
fees relating to the distribution of the BBO data feed.\4\
---------------------------------------------------------------------------
\3\ The Exchange initially filed the proposed fee changes on
January 3, 2023 (SR-CBOE-2023-001). On March 1, 2023, the Exchange
withdrew that filing and replaced it with SR-CBOE-2023-013, which
was filed on February 28, 2023. On April 28, 2023, the Exchange
withdrew that filing and submitted this filing.
\4\ The BBO Data Feed is a real-time data feed that includes the
following information: (i) outstanding quotes and standing orders at
the best available price level on each side of the market; (ii)
executed trades time, size, and price; (iii) totals of customer
versus non-customer contracts at the best bid and offer (``BBO'');
(iv) all-or-none contingency orders priced better than or equal to
the BBO; (v) expected opening price and expected opening size; (vi)
end-of-day summaries by product, including open, high, low, and
closing price during the trading session; (vi) recap messages any
time there is a change in the open, high, low or last sale price of
a listed option; (vii) COB information; and (viii) product IDs and
codes for all listed options contracts. The quote and last sale data
contained in the BBO data feed is identical to the data sent to the
Options Price Reporting Authority (``OPRA'') for redistribution to
the public.
---------------------------------------------------------------------------
Relocation of CDS Fees
The Exchange first proposes to consolidate the Cboe Data Services,
LLC (CDS) Fee Schedule and the Cboe Options Fees Schedule.
Historically, the CDS Fee Schedule set forth fees relating to real-time
Cboe Options market data products and has been maintained separately
from the Cboe Options Fees Schedule. The Exchange proposes to eliminate
the CDS Fee Schedule in its entirety and relocate the fees under the
CDS Fees Schedule to the Cboe Options Fees Schedule. The Exchange
believes this provides a more streamlined fee schedule for Cboe Options
fees and allows TPHs to more readily and easily find all fees
applicable to Cboe Options. The Exchange also proposes to refer to the
``Exchange'' in lieu of ``CDS'' in the revised Fees Schedule to align
with terminology used by its affiliated options exchanges Cboe BZX
Exchange, Inc. (``BZX Options'') and Cboe EDGX Exchange, Inc. (``EDGX
Options''). The Exchange notes that no substantive changes are being
made with the relocation of the CDS fees and elimination of references
to CDS other than those discussed further below. The Exchange lastly
notes that each of its affiliated options exchanges also reflect their
respective fees for their respective real-time exchange market data
products in the respective exchange's fees schedule (instead of being
maintained separately), including the Exchange's affiliate Cboe C2
Exchange, Inc., (``C2 Options''), which relocated its CDS fees schedule
into the C2 Options Exchange Fees Schedule in 2018.\5\ The Exchange
also believes the proposed change more accurately reflects the
Exchange's role as it relates to its market data products as CDS is
merely an affiliate that is the Cboe contracting entity for all U.S.
equities and options market data products, but the data products
themselves are made available by the Exchange.
---------------------------------------------------------------------------
\5\ See BZX Options Exchange Fees Schedule EDGX Options Exchange
Fees Schedule and C2 Options Exchange Fees Schedule. See also
Securities Exchange Act Release No. 83409 (June 12, 20118), 83 FR
28302 (June 18, 2018) (SR-C2-2018-012).
---------------------------------------------------------------------------
Definitions
In order to provide consistent rules and terminology amongst the
Exchange and its affiliated options exchanges, C2 Options, BZX Options
and EDGX Options (collectively, ``Affiliates'') the Exchange is
proposing to amend various definitions and product names to harmonize
with such terms used by its affiliates BZX Options and EDGX Options, as
well as definitions used in Cboe's Cboe Global Markets Global Data
Agreement and Cboe Global Markets North American Data Policies.\6\ As
such, the proposed rule change deletes a defined term, adds certain
defined terms, and makes certain non-substantive changes to existing
definitions, as further described in the table below. The proposed rule
change makes these changes throughout the market data fee language to
conform to the proposed defined terms and the Exchange uses the
proposed updated terms herein.
---------------------------------------------------------------------------
\6\ C2 Options will be submitting a similar filing to harmonize
its definitions and products names to align with those of BZX
Options and EDGX Options as well.
[[Page 31556]]
----------------------------------------------------------------------------------------------------------------
Defined term Provision Current CDS location Description of change
----------------------------------------------------------------------------------------------------------------
Customer.......................... A ``Customer'' is any Section I............ Deletes defined term to
person, company or other align terms with BZX
entity that, pursuant to Options and EDGX
a market data agreement Options. The concept of
with CDS, is entitled to ``Customer'' is also
receive data, either better captured through
directly from CDS or the proposed new term
through an authorized ``Distributor''.
redistributor (i.e., a Eliminates language that
Customer or an extranet specifies that a person,
service provider), company, entity, third-
whether that data is party vendor or Floor
distributed externally or Broker that does not
used internally. A third- have a market data
party vendor of an agreement in place with
Approved Third-Party CDS is not considered a
Device, as defined in the ``Customer'' since the
CDS Fee Schedule, is not Exchange is not
a Customer unless it has proposing to use that
a market data agreement term in the Fees
in place with CDS. A Schedule with respect to
Floor Broker User, as market data fees and
defined in the CDS Fee does not believe it's
Schedule, is not a necessary to clarify
Customer unless it has a this point in the Fees
market data agreement in Schedule.\7\ Neither BZX
place with CDS. Options nor EDGX Options
refer to market data
agreements in their
respective Fees
Schedules.
Distributor....................... A Distributor of an N/A.................. Codifies definition of
Exchange Market Data ``Distributor'' in
product is any entity Footnote 49 of the Cboe
that receives the Options Fees Schedule.
Exchange Market Data An Exchange Market Data
product directly from the Product refers to any
Exchange or indirectly Data Product set forth
through another entity in the Market Data Fees
and then distributes it section of the
internally or externally Exchange's Fees
to a third party. Schedule. Definition is
identical to the
definition used by BZX
Options and EDGX Options
and substantially
similar to the language
in the first sentence of
the definition of
``Customer'' in the CDS
Fees Schedule.
Internal Distributor.............. An Internal Distributor of N/A.................. Codifies definition of ''
an Exchange Market Data Internal Distributor''
product is a Distributor in Footnote 49 of the
that receives the Cboe Options Fees
Exchange Market Data Schedule. Definition is
product and then identical to the
distributes that data to definition used by BZX
one or more Users within Options and EDGX
the Distributor's own Options.
entity.
External Distributor.............. An External Distributor of N/A.................. Codifies definition of
an Exchange Market Data ``External Distributor''
product is a Distributor in Footnote 49 of the
that receives the Cboe Options Fees
Exchange Market Data Schedule. Definition is
product and then identical to the
distributes that data to definition used by BZX
a third party or one or Options and EDGX
more Users outside the Options.
Distributor's own entity.
User.............................. A User of an Exchange N/A.................. Codifies definition of
Market Data product is a ``User'' in Footnote 49
natural person, a of the Cboe Options Fees
proprietorship, Schedule. Definition is
corporation, partnership, identical to the one
or entity, or device used by BZX Options and
(computer or other EDGX Options.
automated service), that
is entitled to receive
Exchange data.
Non-Professional User............. A ``Non-Professional Section III.......... Relocates definition to
User'' is a natural Footnote 49 of the Cboe
person or qualifying Options Fees Schedule
trust that uses Data only and updates the rule
for personal purposes and reference to ``section
not for any commercial 201(11)'' of the
purpose and, for a Investment Advisors Act
natural person who works of 1940 to ``section
in the United States, is 202(a)(11)''.
not: (i) registered or
qualified in any capacity
with the Securities and
Exchange Commission, the
Commodities Futures
Trading Commission, any
state securities agency,
any securities exchange
or association, or any
commodities or futures
contract market or
association; (ii) engaged
as an ``investment
adviser'' as that term is
defined in section
201(11) of the Investment
Advisors Act of 1940
(whether or not
registered or qualified
under that Act); or (iii)
employed by a bank or
other organization exempt
from registration under
federal or state
securities laws to
perform functions that
would require
registration or
qualification if such
functions were performed
for an organization not
so exempt; or, for a
natural person who works
outside of the United
States, does not perform
the same functions as
would disqualify such
person as a Non-
Professional User if he
or she worked in the
United States.
[[Page 31557]]
Professional User................. A Professional User of an Section III.......... Relocates definition to
Exchange Market Data Footnote 49 of the Cboe
product is any User other Options Fees Schedule
than a Non-Professional and eliminates reference
User. to ``natural person''
recipient of ``Data'' to
align with the
``Professional User''
definition used by BZX
Options and EDGX
Options, as well as
Cboe's market data
policies and agreements.
Display Only Service.............. A ``Display Only Service'' Section I............ Relocates definition to
allows a natural person Footnote 49 of the Cboe
end-user to view and Options Fees Schedule.
manipulate data using the Replaces reference to
Distributor's ``Customer'' with
computerized service, but ``Distributor''.
not to save, copy, export
or transfer the data or
any results of the
manipulation to any other
computer hardware,
software or media, except
for printing it to paper
or other non-magnetic
media.
Device............................ A ``Device'' means any Section I under Relocates definition to
computer, workstation or ``Display Only User Footnote 49 of the Cboe
other item of equipment, Fees''. Options Fees Schedule.
fixed or portable, that
receives, accesses and/or
displays data in visual,
audible or other form.
Approved Third-Party Device....... An ``Approved Third-Party Section I under Relocates definition to
Device'' means any ``Floor Broker User Footnote 49 of the Cboe
computer, workstation or Fees''. Options Fees Schedule.
other item of equipment,
fixed or portable, that
receives, accesses and/or
displays data in visual,
audible or other form
that has been provided by
a third-party and that
has been approved, by
Cboe Options, for use on
the Cboe Options trading
floor.
Floor Broker User................. A ``Floor Broker User'' is Section I under Relocates definition to
a person or entity ``Floor Broker User Footnote 49 of the Cboe
registered with Cboe Fees''. Options Fees Schedule.
Options as a floor broker
pursuant to Cboe Options
Rules.
----------------------------------------------------------------------------------------------------------------
The Exchange also proposes to rename the following market data
products and use the proposed names herein, in order to align with the
naming convention used by the Exchange's affiliates, BZX Options and
EDGX Options, for similar data products.\8\
---------------------------------------------------------------------------
\7\ All Distributors of Cboe Options proprietary market data
products are subject to Cboe Global Markets North American Data
Policies and must still sign the Cboe Global Markets Global Data
Agreement.
\8\ See BZX Options Exchange Fees Schedule, Market Data Fees and
EDGX Options Exchange Fees Schedule, Market Data Fees.
------------------------------------------------------------------------
Current name Proposed name
------------------------------------------------------------------------
BBO Data Feed.......................... Cboe Options Top.
Book Depth Data Feed................... Cboe Options Depth.
Complex Order Book (COB) Data Feed..... Cboe Options Complex Order Book
(COB).
FLEX Options Data Feed................. Cboe Options FLEX Options.
------------------------------------------------------------------------
The Exchange believes the proposed changes to eliminate, modify and
adopt the terms discussed above will add transparency to the Fees
Schedule and will protect investors, as the changes provide more
clarity within the rule and more harmonized rule language across the
Fees Schedules of the Cboe affiliated options exchanges, as well as
well as definitions used in Cboe's Cboe Global Markets Global Data
Agreement and Cboe Global Markets North American Data Policies.
Further, the Exchange notes that the above-described changes relating
to definitions are non-substantive changes or provide additional detail
in the rule regarding current market participants that purchase or use
the Exchange's market data products. None of these differences impact
the manner in which any of the terms and corresponding fees apply,
including how the Exchange would have otherwise characterized a
Distributor or User (Professional or Non-Professional) as such
definitions are more consistent with the definitions already used in
the Cboe Global Markets Global Data Agreement and Cboe Global Markets
North American Data Policies, to which all firms receiving Cboe Options
market data must adhere to.
Cboe Options Top Fee Changes
The Exchange next proposes to modify the current monthly Data Fee
for Cboe Options Top. Currently, the Exchange assesses a ``Data Fee''
of $9,000 per month for internal use and external redistribution of the
Cboe Options Top Data Feed. A Distributor receiving the Cboe Options
Top Data Feed from another entity or directly from the Exchange is
assessed the Data Fee by the Exchange and is entitled to use the Data
internally and/or distribute it externally. The Exchange now proposes
to adopt separate fees for internal and external distribution.
Specifically, the Exchange proposes to maintain the current monthly fee
of $9,000 for internal distribution but adopt a lower fee of $5,000 per
month for external distribution.\9\
---------------------------------------------------------------------------
\9\ Under the proposal, a Distributor that wishes to distribute
Cboe Options Top internally and externally would be subject to a
combined monthly fee of $14,000 (i.e., $9,000 for internal
distribution and $5,000 for external distribution).
---------------------------------------------------------------------------
The Exchange next proposes to modify its current User Fees. The
Exchange currently charges a ``User
[[Page 31558]]
Fee'' of $50 per month per Device or user ID for use of the data in the
Cboe Options Top Data Feed by ``Display Only Service'' users. The
current User fee is payable only for ``external'' Display Only Service
users who receive Cboe Options Top and are not employees or natural
person independent contractors of the Distributor, the Distributor's
affiliates or an authorized service facilitator.\10\ Internal
Distributors may currently distribute Cboe Options Top Data to an
unlimited number of internal Users and Devices within the Distributor
at no further cost (aside from the above-mentioned monthly Distribution
Fee). The Exchange proposes to eliminate the current Cboe Options Top
User fee and in its place adopt Professional and Non-Professional User
fees for Cboe Options Top that would apply to both Internal and
External Distributors for all Professional and Non-Professional Users.
The Exchange proposes to charge Cboe Options Top Distributors a monthly
fee of $15.50 per Professional User and a monthly fee of $0.30 per Non-
Professional User.\11\
---------------------------------------------------------------------------
\10\ Pursuant to the Cboe Global Markets North American Data
Policies, Distributors must report the number of authorized external
devices that receive Cboe Options Top data during a calendar month
within 15 days after such month in the manner and format specified
by the Exchange from time to time to determine applicable fees. In
connection with a Distributor's distribution of the market data
product, Distributors are required to report all Professional and
Non-Professional Users in accordance with the following: Distributor
should count as one User each unique User that the Distributor has
entitled to have access to the market data product. However, where a
device is dedicated specifically to a single individual, the
Distributor should count only the individual and need not count the
device. Distributor should identify and report each unique User. If
a User uses the same unique method to gain access to the market data
product, the Distributor should count that as one User. However, if
a unique User uses multiple methods to gain access to the market
data product (e.g., a single User has multiple passwords and user
identifications), the Distributor should report all of those methods
as an individual User. Distributors should report each unique
individual person who receives access through multiple devices as
one User so long as each device is dedicated specifically to that
individual. If a Distributor entitles one or more individuals to use
the same device, the Distributor should include only the
individuals, and not the device, in the count.
\11\ Distributors that receive Cboe Options Top Data will be
required to count every Professional User and Non-Professional User
to which they provide the data feed.
---------------------------------------------------------------------------
Next, the Exchange proposes to eliminate a fee waiver for
Distributors of Cboe Options Top Data. In particular, the CDS Fee
Schedule currently provides that the monthly data fee of $9,000 per
month for the Cboe Options Depth feed \12\ and Cboe Options COB feed
\13\ are waived for Distributors of Cboe Options Top Data. The Exchange
proposes to eliminate the fee waivers for Cboe Options Depth and Cboe
Options COB for External Distributors of Cboe Options Top (i.e., the
monthly $9,000 data fee for Cboe Options Depth will only continue to be
waived for Internal Distributors of Cboe Options Top Data and the
monthly $3,000 data fee for Cboe Options COB will only continue to be
waived for Internal Distributors of Cboe Options Top and/or
Distributors (Internal or External) of Cboe Options Depth Feed). The
Exchange wishes only to eliminate the availability of the fee waiver
for External Distributors of Cboe Options Top for both Cboe Options
Depth and Cboe Options COB because such distributors will already be
receiving the benefit of the proposed reduced fee for external
distribution of Cboe Options Top as compared to Internal Distributors
of Cboe Options Top who will continue to be charged the higher fee of
$9,000.
---------------------------------------------------------------------------
\12\ The Cboe Options Depth feed is a real-time, low latency
data feed that includes all data contained in the Cboe Options Top
feed (as described above) plus outstanding quotes and standing
orders for an additional four price levels on each side of the
market, with aggregate size (``Book Depth''). The data in the Cboe
Options Depth feed is refreshed periodically during the trading
session.
\13\ The Cboe Options COB feed is a real-time feed that consists
of data regarding the Exchange's Complex Order Book and related
complex order information. The Cboe Options COB feed includes ``best
bid and offer'' or ``BBO'' quotes and identifying information for
all Cboe Options-traded complex order strategies, as well as all
executed Cboe Options complex order trades (and identifies whether
the trade was a customer trade or whether a complex order in the COB
is a customer order).
---------------------------------------------------------------------------
The Exchange lastly proposes to establish a $300,000 per month
Enterprise Fee that will permit a Distributor to purchase a monthly
(and optional) Enterprise license to receive the Cboe Options Top Data
for distribution to an unlimited number of Professional and Non-
Professional Users. The Enterprise Fee is an alternative to
Professional and Non-Professional User fees and is assessed in addition
to the Distribution Fee, which the Exchange proposes to make clear in
the Fee Schedule. The Enterprise Fee may provide an opportunity to
reduce fees. For example, if a Distributor has 20,000 Professional
Users who each receive Cboe Options Top at $15.50 per month (as
proposed), then that Distributor will pay $310,000 per month in
Professional User fees. If the Distributor instead were to purchase the
proposed Enterprise license, it would alternatively pay a flat fee of
$300,000 for an unlimited number of Professional and Non-Professional
Users. A Distributor must pay a separate Enterprise Fee for each entity
that controls the display of Cboe Options Top if it wishes for such
Users to be covered by the Enterprise Fee rather than by per User
fees.\14\ A Distributor that pays the Enterprise Fee will not have to
report its number of such Users on a monthly basis. Rather, every six
months, the Distributor must provide the Exchange with a count of the
total number of Professional and Non-Professional Users of Cboe Options
Top Data.\15\ The Exchange notes that the purchase of an Enterprise
license is voluntary, and a firm may elect to instead use the per User
structure and benefit from the proposed per User Fees described above.
For example, a firm that does not have a sufficient number of Users to
benefit from purchase of the license need not do so.
---------------------------------------------------------------------------
\14\ For example, if a Distributor (e.g., Refinitiv) that
distributes Cboe Options Top to Retail Brokerage Firm A and Retail
Brokerage Firm B (which ``entities'' redistribute BZX Options Top to
its respective Users) and wishes to have the Users under each firm
covered by an Enterprise license, the Distributor would be subject
to two Enterprise Fees.
\15\ See Cboe Global Markets north American Data Policies.
---------------------------------------------------------------------------
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.\16\ Specifically, the
Exchange believes the proposed rule change is consistent with the
section 6(b)(5) \17\ requirements that the rules of an exchange be
designed to prevent fraudulent and manipulative acts and practices, to
promote just and equitable principles of trade, to foster cooperation
and coordination with persons engaged in regulating, clearing,
settling, processing information with respect to, and facilitating
transactions in securities, to 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. Additionally,
the Exchange believes the proposed rule change is consistent with the
section 6(b)(5) requirement that the rules of an exchange not be
designed to permit unfair discrimination between customers, issuers,
brokers, or dealers. The Exchange also believes this proposal is
consistent with section 6(b)(8) of the Act, which requires that the
rules of an exchange not impose any burden on competition that is not
necessary or appropriate in furtherance of the purposes of the Act.\18\
The
[[Page 31559]]
Exchange lastly believes the proposed rule change is consistent with
section 6(b)(4) of the Act,\19\ which requires that Exchange rules
provide for the equitable allocation of reasonable dues, fees, and
other charges among its Trading Permit Holders and other persons using
its facilities.
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\16\ 15 U.S.C. 78f(b).
\17\ 15 U.S.C. 78f(b)(5).
\18\ 15 U.S.C. 78f(b)(8).
\19\ 15 U.S.C. 78f(b)(4).
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The Exchange first notes that it operates in a highly competitive
environment. Indeed, there are currently 16 registered options
exchanges that trade options. Based on publicly available information,
no single options exchange has more than 18% of the market share.\20\
The Exchange believes top-of-book quotation and transaction data is
highly competitive as national securities exchanges compete vigorously
with each other to provide efficient, reliable, and low-cost data to a
wide range of investors and market participants. Indeed, there are
several competing products offered by other national securities
exchanges today, not counting products offered by the Exchange's
affiliates, and each of the Exchange's affiliated U.S. options
exchanges also offers similar top-of-book data.\21\ Each of those
exchanges offer top-of-book quotation and last sale information based
on their own quotation and trading activity that is substantially
similar to the information provided by the Exchange through the Cboe
Options Top Feed. Further, the quote and last sale data contained in
the Cboe Options Data Feed is identical to the data sent to OPRA for
redistribution to the public, including data relating to the Exchange's
proprietary and exclusively listed products.\22\ Accordingly, Exchange
top-of-book data is widely available today from a number of different
sources.
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\20\ See Cboe Global Markets U.S. Options Market Month-to-Date
Volume Summary (April 24, 2023), available at https://markets.cboe.com/us/options/market_statistics/.
\21\ See e.g., NYSE Arca Options Proprietary Market Data Fees
Schedule, MIAX Options Exchange, Fee Schedule, Section 6 (Market
Data Fees), Nasdaq PHLX Options 7 Pricing Schedule, Section 10
(Proprietary Data Feed Fees) and C2 Options Exchange Fees Schedule,
Cboe Data Services, LLC Fees.
\22\ The Exchange notes that it makes available the BBO data and
last sale data that is included in the Cboe Options Top Data Feed no
earlier than the time at which the Exchange sends that data to OPRA.
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Moreover, the Cboe Options Top Data Feed is distributed and
purchased on a voluntary basis, in that neither the Exchange nor market
data distributors are required by any rule or regulation to make this
data available. Accordingly, Distributors and Users can discontinue use
at any time and for any reason, including due to an assessment of the
reasonableness of fees charged. As described above, market participants
have a wide variety of alternative market data products from which to
choose, such as similar proprietary data products offered by other
exchanges and consolidated data. Further, the Exchange is not required
to make any proprietary data products available or to offer any
specific pricing alternatives to any customers. Moreover, persons
(including broker-dealers) who subscribe to any exchange proprietary
data feed must also have equivalent access to consolidated Options
Information \23\ from OPRA for the same classes or series of options
that are included in the proprietary data feed (including for
exclusively listed products), and proprietary data feeds cannot be used
to meet that particular requirement.\24\ As such, all proprietary data
feeds are purely optional and only those that deem the product to be of
sufficient overall value and usefulness would purchase it.
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\23\ ``Consolidated Options Information'' means consolidated
Last Sale Reports combined with either consolidated Quotation
Information or the BBO furnished by OPRA. Access to consolidated
Options Information is deemed ``equivalent'' if both kinds of
information are equally accessible on the same terminal or work
station. See Limited Liability Company Agreement of Options Price
Reporting Authority, LLC (``OPRA Plan''), Section 5.2(c)(iii). The
Exchange notes that this requirement under the OPRA Plan is also
reiterated under the Cboe Global Markets Global Data Agreement and
Cboe Global Markets North American Data Policies, which subscribers
to any exchange proprietary product must sign and are subject to,
respectively. Additionally, the Exchange's Data Order Form (used for
requesting the Exchange's market data products) requires
confirmation that the requesting market participant receives data
from OPRA.
\24\ Id.
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The Commission has repeatedly expressed its preference for
competition over regulatory intervention in determining prices,
products, and services in the securities markets. Particularly, in
Regulation NMS, the Commission highlighted the importance of market
forces in determining prices and SRO revenues and, also, recognized
that current regulation of the market system ``has been remarkably
successful in promoting market competition in its broader forms that
are most important to investors and listed companies.'' \25\ Making
similar data products available to market participants fosters
competition in the marketplace, and constrains the ability of exchanges
to charge supracompetitive fees. In the event that a market participant
views one exchange's data product as more or less attractive than a
competitor they can and do switch between similar products. The
proposed fees are a result of the competitive environment, as the
Exchange seeks to adopt fees to attract purchasers of Cboe Options Top
Data.
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\25\ See Securities Exchange Act Release No. 51808 (June 9,
2005), 70 FR 37496, 37499 (June 29, 2005) (``Regulation NMS Adopting
Release'').
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The Exchange believes the proposed External Distribution fee is
reasonable as it would represent a decreased fee for any Distributor
who is only interested in distributing Cboe Options Top externally.
Providing an opportunity for lower cost access to U.S. options market
data such as Cboe Options Top benefits a wide range of investors that
participate in the national market system and makes it more broadly
available, including non-professional retail investors who, by
definition, do not receive the data for commercial purposes and
therefore would not be receiving the data via internal distribution.
The Exchange believes the proposed fees for external distribution of
Cboe Options Top will also continue to be allocated fairly and
equitably, and are not unfairly discriminatory, as the proposed fee
will apply equally to all Distributors that choose to subscribe to Cboe
Options Top and distribute that data to external Users. More
specifically, as proposed, all External Distributors of Cboe Options
Top will be subject to the same external distribution fee, regardless
of the type of business that they operate, or the use they plan to make
of the data feed. Thus, all External Distributors would have access to
Cboe Options Top for purposes of external distribution on the same
equitable and non-discriminatory terms.
The Exchange believes that it is also fair and equitable, and not
unfairly discriminatory to charge different fees for internal and
external distribution of the Cboe Options Top. Although the proposed
distribution fee charged to External Distributors will be lower than
the existing distribution fee charged to Internal Distributors,
External Distributors are subject to User fees for both Non-
Professional Users and Professional Users, whereas Internal
Distributors will only subject to fees for Professional Users (or
alternatively the proposed Enterprise Fee). Moreover, Internal
Distributors of Cboe Options Top will still have the benefit of
receiving Cboe Options Depth and/or Cboe Options COB at no additional
cost, whereas the waiver to receive Cboe Options Depth will not be
available for External Distributors of Cboe Options Top. The Exchange
also notes that Cboe Options Depth and Cboe Options COB are more likely
to be distributed internally as such data is used by Professional
Users, including employees of Distributors, whereas Cboe Options Top is
more likely to be distributed externally as such data is expected to be
[[Page 31560]]
used more frequently by Non-Professional Users who, by definition, do
not receive the data for commercial purposes (e.g., retail investors).
The Exchange therefore believes that the proposed reduced fee for
External Distributors is reasonable because it may encourage more
distributors to choose to offer the Cboe Options Top Data Feed, thereby
expanding the distribution of this market data for the benefit of
investors, and particularly retail investors.
The Exchange next notes it is not required to charge a single
distribution fee to cover more than one of its available data products,
but none-the-less has opted to not charge for separate data fees for
Cboe Options Depth and Cboe Options COB for Distributors of Cboe
Options Top, since such waiver was adopted in January 1, 2015
[sic].\26\ However, the Exchange no longer wishes to maintain the fee
waiver of Cboe Options Depth or Cboe Options COB for External
Distributors of Cboe Options Top. The Exchange believes the proposed
elimination of the waivers is reasonable, equitable and not unfairly
discriminatory because although External Distributors will not receive
the benefit of the fee waiver, they will be subject to a lower
distribution fee as compared to Internal Distributors of Cboe Options
Top who will continue to be charged the higher fee of $9,000.
Additionally, the Exchange notes that all Distributors of Cboe Options
COB are also Distributors of Cboe Options Depth, and therefore already
have (and will continue to have) their monthly distribution fee for
Cboe Options COB waived since Distributors of Cboe Options Depth
qualify for a waiver of the monthly distribution fee for Cboe Options
COB.\27\ Moreover, the Exchange does not anticipate the impact of the
proposed rule change to be significant as most market participants
(over 70%) buy either Cboe Options Top or Cboe Options Depth (and not
both) and nearly 80% of Distributors of Cboe Options Top and Cboe
Options Depth distribute such products internally. Further,
Distributors are not required to distribute, and Users are not required
to receive, any one particular data product and may choose to receive
none, one, or several of the Exchange's market data products. Only
those that deem any product or products to be of sufficient overall
value and usefulness would purchase such product(s). The Exchange is
also not required to maintain a single fee that covers multiple market
data products. In fact, other exchanges similarly have adopted separate
fees for different data products that historically had otherwise been
provided under a single fee.\28\ The Exchange believes the proposed
change is equitable and not unfairly discriminatory as it will apply
uniformly to External Distributors.
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\26\ See Securities Exchange Act Release No. 70683 (October 15,
2013), 78 FR 62798 (October 22, 2013) (SR-CBOE-2013-087).
\27\ See Cboe Data Services, LLC (CDS) Fee Schedule, Section
III, Complex Order Book (``COB'') Data Feed, Data Fee.
\28\ See Securities Exchange Act Release No. 79556 (December 14,
2016), 81 FR 92935 (December 20, 2016) (SR-NASDAQ-2016-167).
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The Exchange believes the proposed changes to adopt new
Professional and Non-Professional User fees are reasonable as the User
fees continue to be in line with User fees assessed by other exchanges
for similar data.\29\ Moreover, Display Only Service Users will now be
subject to lower fees as the Exchange proposes to significantly reduce
the monthly User fees from $50 per Device or User ID for Display Only
Service User to $15.50 per Professional User or $0.30 per Non-
Professional User. Although External Distributors are currently only
subject to a User fee for external Users that are Display Only Service
Users, the proposed fee for all external Users (which are likely to be
Non-Professional Users) is significantly lower (i.e., $0.30 per Non-
Professional User) than the current $50 User fee. Moreover, the
proposed fee structure of differentiated Professional and Non-
Professional fees that are paid by both Internal and External
Distributors has long been used by other exchanges, including the
Exchange, for their proprietary data products, and by the OPRA plan in
order to reduce the price of data to retail investors and make it more
broadly available.\30\ The Exchange also believes offering Cboe Options
Top Data to Non-Professional Users at a rate lower than the rate for
Professional Users results in greater equity among data recipients, as
Professional Users are categorized as such based on their employment
and participation in financial markets, and thus, are compensated to
participate in the markets. Although Non-Professional Users too can
receive significant financial benefits through their participation in
the markets, the Exchange believes it is reasonable to charge more to
those Users who are more directly engaged in the markets. The Exchange
believes that the proposed fees are equitable and not unfairly
discriminatory because they will be charged uniformly to Distributors
for their Professional and Non-professional Users.
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\29\ See e.g., Nasdaq PHLX Options 7 Pricing Schedule, Section
10 (Proprietary Data Feed Fees), which provides for a fee of $40 per
month to professional users and $1.00 per month to non-professional
users to cover the usage of PHLX Options (TOPO) Data, TOPO Plus
Orders, PHLX Orders and PHLX Depth Data feeds. See also NYSE
American Options Proprietary Market Data Fees schedule, which
provides for a fee of $50 per month to professional users and $1.00
per month to non-professional users of American Options Top Data,
American Options Deep and American Options Complex products. By
comparison, the total Professional User fee for Cboe Options Top and
Cboe Options COB is in line with the above Professional User fee at
$40.50 per Professional User (i.e., $15.50 per Professional Users of
Cboe Options Top, as proposed, and $25 per Professional User of Cboe
Options COB). The Exchange's combined Non-Professional User Fee at
$0.30 per Non-Professional User (i.e., $0.30 per Non-Professional
User of Cboe Options Top, as proposed, and $0 per Non-Professional
User of Cboe Options COB) is lower than PHLX's and NYSE American's
aforementioned Non-Professional User fees. Cboe Options Depth is not
included in the above comparison because there are no User fees
based on Professional or Non-Professional classification, but rather
a $50 per month, per Device or User ID fee for Display Only Service
external users only. Further there are no fees for any internal
Users.
\30\ See, e.g., Securities Exchange Act Release No. 59544 (March
9, 2009), 74 FR 11162 (March 16, 2009) (SR-NYSE-2008-131)
(establishing the $15 Non-Professional User Fee (Per User) for NYSE
OpenBook); See, e.g., Securities Exchange Act Release No. 67589
(August 2, 2012), 77 FR 47459 (August 8, 2012) (revising OPRA's
definition of the term ``Nonprofessional''); and See Securities
Exchange Act Release No. 70683 (October 15, 2013), 78 FR 62798
(October 22, 2013) (SR-CBOE-2013-087) (establishing Professional and
Non-Professional User fees for Cboe Options COB Data Feed).
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Although Internal Distributors do not currently pay any User fees
for Cboe Options Top, the Exchange believes its reasonable, equitable
and not unfairly discriminatory to start assessing User fees, as
internal and external users will be treated the same. Additionally,
other exchanges also assess User fees for internal users of similar
data, including the Exchange's affiliates.\31\ Moreover, the proposed
rates Internal Distributors will be subject to for User fees are in
line with User fees assessed by other exchanges for similar data.\32\
The Exchange believes the proposed monthly User fees for which Internal
Distributors of Cboe Options Top will now be subject to are equitably
allocated because they would be charged on an equal basis for all
internal Users that receive Cboe Options Top.
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\31\ See BZX Options Fees Schedule, Market Data Fees and EDGX
Options Fees Schedule, Market Data Fees. See also Nasdaq PHLX
Options 7 Pricing Schedule, Section 10 (Proprietary Data Feed Fees).
\32\ See supra note 29.
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The proposed Enterprise Fee for Cboe Options Top Feed is equitable
and reasonable as the proposed fee could result in a fee reduction for
Distributors with a large number of Professional and Non-Professional
Users. If a Distributor has a smaller number of Professional Users of
Cboe Options Top Data, then it
[[Page 31561]]
may continue using the per User structure and benefit from the proposed
per Cboe Options Top User Fee reductions. By reducing prices for
Distributors with a large number of Professional and Non-Professional
Users, the Exchange believes that more firms may choose to receive and
to distribute Cboe Options Top Data, thereby expanding the distribution
of this market data for the benefit of investors.
The Exchange further believes that the proposed Enterprise Fee is
reasonable because it will simplify reporting for certain recipients
that have large numbers of Professional and Non-Professional Users.
Firms that pay the proposed Enterprise Fee will not have to report the
number of Users on a monthly basis as they currently do, but rather
will only have to count Professional and Non-Professional users every
six months, which is a significant reduction in administrative burden.
Finally, as described above the Enterprise Fee is entirely optional. A
firm that does not have a sufficient number of Users to benefit from
purchase of the license need not do so.
The Exchange lastly believes the proposed changes relating to the
defined terms and terminology will provide additional specificity and
clarity, while also harmonizing the various definition with that of its
affiliates and providing more consistency with definitions used in the
Cboe Global Markets Global Data Agreement and Cboe Global Markets North
American Data Policies. Doing so would ensure consistent terms amongst
the Exchange and its affiliates, as well as the Exchange's data
agreements and policies, thereby reducing the potential for confusion
amongst market data subscribers of the Exchange's and its affiliates'
market data products. Additionally, the proposed new terms are
identical to the terms already used by the Exchange's affiliates BZX
Options and EDGX Options. Similarly, the Exchange believes the proposal
to relocate the fees in the CDS Fees Schedule to the Cboe Options Fees
Schedule will provide for a more streamlined fees schedule and allow
TPHs to more readily and easily find all fees applicable to Cboe
Option, thereby reducing potential confusion. Further, the Exchange is
the only exchange of the Cboe options exchanges that currently
maintains a separate fees schedule for its market data product fees.
Accordingly, the Exchange believes the proposed changes remove
impediments to and perfect the mechanism of a free and open market and
a national market system, and, in general, protect investors and the
public interest.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change would
result in any burden on competition that is not necessary or
appropriate in furtherance of the purposes of the Act. The Exchange
operates in a highly competitive environment, and its ability to price
top-of-book data is constrained by competition among exchanges that
offer similar data products to their customers. For example, Top-of-
book data is broadly disseminated by competing U.S. options exchanges.
Further, the Exchange's proposal to eliminate the waiver for the Cboe
Options Depth and Cboe Options COB data fees for External Distributors
of Cboe Options Top does not modify the existing fee amounts, but
simply eliminates waivers to receive such data products free of charge
that the Exchange is not required to maintain. Other exchanges are free
to adopt a similar waiver if they choose. In this competitive
environment potential Distributors are free to choose which competing
product to purchase to satisfy their respective needs for market
information. Often, the choice comes down to price, as market data
participants look to purchase cheaper data products, and quality, as
market participants seek to purchase data that represents significant
market liquidity.
The Exchange believes that the proposed fees do not put any market
participants at a relative disadvantage compared to other market
participants. As discussed, the proposed fees and eliminated waiver
would apply to all similarly situated Distributors of Cboe Options Top
on an equal and non-discriminatory basis. The Exchange believes the
reduced fees for External Distributors and not Internal Distributors of
Cboe Options Top is appropriate given External Distributors are subject
to both the proposed Non-Professional and Professional user fees as
compared to Internal Distributors who are only subject to Professional
user fee (since non-professional users, by definition, do not receive
the data for commercial purposes and therefore would not be receiving
the data via internal distribution) s, [sic]. Additionally, Internal
Distributors will continue to receive the benefit of a fee waiver for
Cboe Options Depth and Cboe Options COB, which are more commonly used
products for internal distribution amongst Professional Users. The
Exchange believes the differentiated fees for Professional and Non-
Professional Users of Cboe options Top is appropriate given
Professional Users are categorized as such based on their employment
and participation in financial markets, and thus, are compensated to
participate in the markets. Non-Professional Users too can receive
significant financial benefits through their participation in the
markets, however the Exchange believes it is reasonable to charge more
to those Users who are more directly engaged in the markets. The
Exchange therefore believes that the proposed fee neither favors nor
penalizes one or more categories of market participants in a manner
that would impose an undue burden on competition.
The Exchange believes that the proposed fees do not impose a burden
on competition or on other SROs that is not necessary or appropriate in
furtherance of the purposes of the Act. In particular, market
participants are not forced to subscribe to Cboe Options Top Data, or
any of the Exchange's data feeds, as described above. As noted, the
quote and last sale data contained in the Exchange's Cboe Options Top
feed is identical to the data sent to OPRA for redistribution to the
public, including data relating to the Exchange's proprietary and
exclusively listed products. Accordingly, Exchange top-of-book data is
therefore widely available today from a number of different sources.
Because market data customers can find suitable substitute feeds,
an exchange that overprices its market data products stands a high risk
that users may substitute another product. These competitive pressures
ensure that no one exchange's market data fees can impose an undue
burden on competition, and the Exchange's proposed fees do not do so
here.
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 \33\ and paragraph (f) of Rule 19b-4 \34\
thereunder. At any time within 60 days of the filing of the proposed
rule change, the Commission summarily may
[[Page 31562]]
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 will institute proceedings to determine whether the proposed
rule change should be approved or disapproved.
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\33\ 15 U.S.C. 78s(b)(3)(A).
\34\ 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-CBOE-2023-022 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-CBOE-2023-022. 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. Do not include
personal identifiable information in submissions; you should submit
only information that you wish to make available publicly. We may
redact in part or withhold entirely from publication submitted material
that is obscene or subject to copyright protection. All submissions
should refer to File Number SR-CBOE-2023-022 and should be submitted on
or before June 7, 2023.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\35\
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\35\ 17 CFR 200.30-3(a)(12).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023-10471 Filed 5-16-23; 8:45 am]
BILLING CODE 8011-01-P
