Self-Regulatory Organizations; MEMX LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the Exchange's Fee Schedule, 86171-86172 [2023-27158]
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Federal Register / Vol. 88, No. 237 / Tuesday, December 12, 2023 / Notices
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–ISE–2023–31 and should be
submitted on or before January 2, 2024.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.42
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023–27163 Filed 12–11–23; 8:45 am]
SECURITIES AND EXCHANGE
COMMISSION
1. Purpose
[Release No. 34–99100; File No. SR–MEMX–
2023–32]
Self-Regulatory Organizations; MEMX
LLC; Notice of Filing and Immediate
Effectiveness of a Proposed Rule
Change To Amend the Exchange’s Fee
Schedule
December 6, 2023.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
‘‘Act’’) 1 and Rule 19b–4 thereunder,2
notice is hereby given that, on
November 30, 2023, MEMX LLC
(‘‘MEMX’’ or the ‘‘Exchange’’) filed with
the Securities and Exchange
Commission (the ‘‘Commission’’) the
proposed rule change as described in
Items I, II and III below, which Items
have been prepared by the Exchange.
The Commission is publishing this
notice to solicit comments on the
proposed rule change from interested
persons.
ddrumheller on DSK120RN23PROD with NOTICES1
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange is filing with the
Commission a proposed rule change to
amend the Exchange’s fee schedule
applicable to Members 3 (the ‘‘Fee
Schedule’’) pursuant to Exchange Rules
15.1(a) and (c). The Exchange proposes
to implement the changes to the Fee
Schedule pursuant to this proposal on
December 1, 2023. The text of the
proposed rule change is provided in
Exhibit 5.
CFR 200.30–3(a)(12), (59).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 See Exchange Rule 1.5(p).
1 15
VerDate Sep<11>2014
18:03 Dec 11, 2023
Jkt 262001
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 the
Statutory Basis for, the Proposed Rule
Change
BILLING CODE 8011–01–P
42 17
II. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
The purpose of the proposed rule
change is to amend the Fee Schedule to
remove an expired criteria under
Liquidity Provision Tier 5.
The Exchange currently provides a
base rebate of $0.0015 per share for
executions of orders in securities priced
at or above $1.00 per share that add
displayed liquidity to the Exchange
(such orders, ‘‘Added Displayed
Volume’’).4 The Exchange also currently
offers Liquidity Provision Tiers 1–5
under which a Member may receive an
enhanced rebate for executions of
Added Displayed Volume by achieving
the corresponding required volume
criteria for each such tier. With respect
to Liquidity Provision Tier 5, the
Exchange currently provides an
enhanced rebate of $0.0025 per share for
executions of Added Displayed Volume
for Members that qualify for such tier by
achieving: (1) an ADAV 5 that is equal to
or greater than 0.06% of the TCV; 6 or
(2) a Displayed ADAV that is equal to
or greater than 0.007% of the TCV and
a Step-Up Displayed ADAV 7 from May
2023 that is equal to or greater than 50%
of the Member’s May 2023 Displayed
4 The base rebate for executions of Added
Displayed Volume is referred to by the Exchange on
the Fee Schedule under the existing description
‘‘Added displayed volume’’ with a Fee Code of ‘‘B’’,
‘‘D’’ or ‘‘J’’, as applicable, on execution reports.
5 As set forth on the Fee Schedule, ‘‘ADAV’’
means the average daily added volume calculated
as the number of shares added per day, which is
calculated on a monthly basis.
6 As set forth on the Fee Schedule, ‘‘TCV’’ means
total consolidated volume calculated as the volume
reported by all exchanges and trade reporting
facilities to a consolidated transaction reporting
plan for the month for which the fees apply.
7 As set forth on the Fee Schedule, ‘‘Step Up
Displayed ADAV’’ means Displayed ADAV in the
relevant baseline month subtracted from current
Displayed ADAV.
PO 00000
Frm 00068
Fmt 4703
Sfmt 4703
86171
ADAV of the TCV.8 Additionally, the
Fee Schedule indicates that criteria (2)
of Liquidity Provision Tier 5 will expire
no later than November 30, 2023. Now,
given the expiration of criteria (2) of
Liquidity Provision Tier 5, it is
necessary to modify the Fee Schedule to
delete this criteria (2) as well as the note
under the Liquidity Provision Tiers
pricing table that indicates its
expiration, as both are no longer
applicable and otherwise obsolete. The
Exchange is not proposing to make any
changes to this or any other Liquidity
Provision Tier, and as such, Liquidity
Provision Tier 5 will now consist solely
of the previously existing criteria (1).
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the provisions of Section 6 of the Act,9
in general, and with Sections 6(b)(4) and
6(b)(5) of the Act,10 in particular, in that
it provides for the equitable allocation
of reasonable dues, fees and other
charges among its Members and other
persons using its facilities and is not
designed to permit unfair
discrimination between customers,
issuers, brokers, or dealers.
The Exchange believes that the
proposed change to modify Liquidity
Provision Tier 5 to remove the expired
criteria (2) criteria [sic] is reasonable
because there was an expiration date
associated with this criteria that has
now passed. As such, this criteria is no
longer available under this tier, and
should not remain on the Fee Schedule.
The Exchange believes that the
enhanced rebate for executions of
Added Displayed Volume provided
under Liquidity Provision Tier 5, which
the Exchange is not proposing to change
with this proposal, remains
commensurate with the required criteria
under such tier, as modified, and is
reasonably related to the market quality
benefits that such tier is designed to
achieve. The Exchange also believes the
enhanced rebate for executions of
Added Displayed Volume provided
under Liquidity Provision Tier 5
remains equitable and not unfairly
discriminatory, as such enhanced rebate
will continue to apply equally to all
qualifying Members.
For the reasons discussed above, the
Exchange submits that the proposal
8 The proposed pricing for Liquidity Provision
Tier 5 is referred to by the Exchange on the Fee
Schedule under the existing description ‘‘Added
displayed volume, Liquidity Provision Tier 5’’ with
a Fee Code of ‘‘B5’’, ‘‘D5’’ or ‘‘J5’’, as applicable, to
be provided by the Exchange on the monthly
invoices provided to Members.
9 15 U.S.C. 78f.
10 15 U.S.C. 78f(b)(4) and (5).
E:\FR\FM\12DEN1.SGM
12DEN1
86172
Federal Register / Vol. 88, No. 237 / Tuesday, December 12, 2023 / Notices
satisfies the requirements of Sections
6(b)(4) and 6(b)(5) of the Act 11 in that
it provides for the equitable allocation
of reasonable dues, fees and other
charges among its Members and other
persons using its facilities and is not
designed to unfairly discriminate
between customers, issuers, brokers, or
dealers.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
In accordance with Section 6(b)(8) of
the Act,12 the Exchange believes that the
proposed rule change will not impose
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act.
The Exchange believes that the
proposed rule change would not place
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act. The
proposed rule change is not designed to
address any competitive issues but
rather is designed to enhance the clarity
of the Fee Schedule and alleviate
possible Member confusion that may
arise from the inclusion of obsolete
language.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
The Exchange neither solicited nor
received comments on the proposed
rule change.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
ddrumheller on DSK120RN23PROD with NOTICES1
The foregoing rule change has become
effective pursuant to Section
19(b)(3)(A)(ii) of the Act 13 and Rule
19b–4(f)(2) 14 thereunder.
At any time within 60 days of the
filing of the proposed rule change, the
Commission summarily may
temporarily suspend such rule change if
it appears to the Commission that such
action is necessary or appropriate in the
public interest, for the protection of
investors, or otherwise in furtherance of
the purposes of the Act. If the
Commission takes such action, the
Commission shall 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
U.S.C. 78f(b)(4) and (5).
U.S.C. 78f(b)(8).
13 15 U.S.C. 78s(b)(3)(A)(ii).
14 17 CFR 240.19b–4(f)(2).
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–
MEMX–2023–32 on the subject line.
Self-Regulatory Organizations; Nasdaq
MRX, LLC; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Amend Legging
Orders
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–MEMX–2023–32. 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
a.m. and 3 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–MEMX–2023–32 and should be
submitted on or before January 2, 2024.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.15
Sherry R. Haywood,
Assistant Secretary.
[Release No. 34–99093; File No. SR–MRX–
2023–22]
December 6, 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 November
28, 2023, Nasdaq MRX, LLC (‘‘MRX’’ or
‘‘Exchange’’) filed with the Securities
and Exchange Commission (‘‘SEC’’ or
‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been prepared
by the Exchange. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend
Options 3, Section 7, Types of Orders
and Order and Quote Protocols, and
Options 3, Section 16, Complex Order
Risk Protection.
The text of the proposed rule change
is available on the Exchange’s website at
https://listingcenter.nasdaq.com/
rulebook/mrx/rules, at the principal
office of the Exchange, and at the
Commission’s Public Reference Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
Exchange included statements
concerning the purpose of and basis for
the proposed rule change and discussed
any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
Exchange has prepared summaries, set
forth in sections A, B, and C below, of
the most significant 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
Options 3, Section 7, Types of Orders
BILLING CODE 8011–01–P
12 15
18:03 Dec 11, 2023
SECURITIES AND EXCHANGE
COMMISSION
[FR Doc. 2023–27158 Filed 12–11–23; 8:45 am]
11 15
VerDate Sep<11>2014
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:
1 15
15 17
Jkt 262001
PO 00000
CFR 200.30–3(a)(12).
Frm 00069
Fmt 4703
Sfmt 4703
2 17
E:\FR\FM\12DEN1.SGM
U.S.C. 78s(b)(1).
CFR 240.19b–4.
12DEN1
Agencies
[Federal Register Volume 88, Number 237 (Tuesday, December 12, 2023)]
[Notices]
[Pages 86171-86172]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-27158]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-99100; File No. SR-MEMX-2023-32]
Self-Regulatory Organizations; MEMX LLC; Notice of Filing and
Immediate Effectiveness of a Proposed Rule Change To Amend the
Exchange's Fee Schedule
December 6, 2023.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(the ``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given
that, on November 30, 2023, MEMX LLC (``MEMX'' or the ``Exchange'')
filed with the Securities and Exchange Commission (the ``Commission'')
the proposed rule change as described in Items I, II and III below,
which Items have been prepared by the 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.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange is filing with the Commission a proposed rule change
to amend the Exchange's fee schedule applicable to Members \3\ (the
``Fee Schedule'') pursuant to Exchange Rules 15.1(a) and (c). The
Exchange proposes to implement the changes to the Fee Schedule pursuant
to this proposal on December 1, 2023. The text of the proposed rule
change is provided in Exhibit 5.
---------------------------------------------------------------------------
\3\ See Exchange Rule 1.5(p).
---------------------------------------------------------------------------
II. Self-Regulatory Organization's Statement of the Purpose of, and the
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 the
Statutory Basis for, the Proposed Rule Change
1. Purpose
The purpose of the proposed rule change is to amend the Fee
Schedule to remove an expired criteria under Liquidity Provision Tier
5.
The Exchange currently provides a base rebate of $0.0015 per share
for executions of orders in securities priced at or above $1.00 per
share that add displayed liquidity to the Exchange (such orders,
``Added Displayed Volume'').\4\ The Exchange also currently offers
Liquidity Provision Tiers 1-5 under which a Member may receive an
enhanced rebate for executions of Added Displayed Volume by achieving
the corresponding required volume criteria for each such tier. With
respect to Liquidity Provision Tier 5, the Exchange currently provides
an enhanced rebate of $0.0025 per share for executions of Added
Displayed Volume for Members that qualify for such tier by achieving:
(1) an ADAV \5\ that is equal to or greater than 0.06% of the TCV; \6\
or (2) a Displayed ADAV that is equal to or greater than 0.007% of the
TCV and a Step-Up Displayed ADAV \7\ from May 2023 that is equal to or
greater than 50% of the Member's May 2023 Displayed ADAV of the TCV.\8\
Additionally, the Fee Schedule indicates that criteria (2) of Liquidity
Provision Tier 5 will expire no later than November 30, 2023. Now,
given the expiration of criteria (2) of Liquidity Provision Tier 5, it
is necessary to modify the Fee Schedule to delete this criteria (2) as
well as the note under the Liquidity Provision Tiers pricing table that
indicates its expiration, as both are no longer applicable and
otherwise obsolete. The Exchange is not proposing to make any changes
to this or any other Liquidity Provision Tier, and as such, Liquidity
Provision Tier 5 will now consist solely of the previously existing
criteria (1).
---------------------------------------------------------------------------
\4\ The base rebate for executions of Added Displayed Volume is
referred to by the Exchange on the Fee Schedule under the existing
description ``Added displayed volume'' with a Fee Code of ``B'',
``D'' or ``J'', as applicable, on execution reports.
\5\ As set forth on the Fee Schedule, ``ADAV'' means the average
daily added volume calculated as the number of shares added per day,
which is calculated on a monthly basis.
\6\ As set forth on the Fee Schedule, ``TCV'' means total
consolidated volume calculated as the volume reported by all
exchanges and trade reporting facilities to a consolidated
transaction reporting plan for the month for which the fees apply.
\7\ As set forth on the Fee Schedule, ``Step Up Displayed ADAV''
means Displayed ADAV in the relevant baseline month subtracted from
current Displayed ADAV.
\8\ The proposed pricing for Liquidity Provision Tier 5 is
referred to by the Exchange on the Fee Schedule under the existing
description ``Added displayed volume, Liquidity Provision Tier 5''
with a Fee Code of ``B5'', ``D5'' or ``J5'', as applicable, to be
provided by the Exchange on the monthly invoices provided to
Members.
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the provisions of Section 6 of the Act,\9\ in general, and with
Sections 6(b)(4) and 6(b)(5) of the Act,\10\ in particular, in that it
provides for the equitable allocation of reasonable dues, fees and
other charges among its Members and other persons using its facilities
and is not designed to permit unfair discrimination between customers,
issuers, brokers, or dealers.
---------------------------------------------------------------------------
\9\ 15 U.S.C. 78f.
\10\ 15 U.S.C. 78f(b)(4) and (5).
---------------------------------------------------------------------------
The Exchange believes that the proposed change to modify Liquidity
Provision Tier 5 to remove the expired criteria (2) criteria [sic] is
reasonable because there was an expiration date associated with this
criteria that has now passed. As such, this criteria is no longer
available under this tier, and should not remain on the Fee Schedule.
The Exchange believes that the enhanced rebate for executions of Added
Displayed Volume provided under Liquidity Provision Tier 5, which the
Exchange is not proposing to change with this proposal, remains
commensurate with the required criteria under such tier, as modified,
and is reasonably related to the market quality benefits that such tier
is designed to achieve. The Exchange also believes the enhanced rebate
for executions of Added Displayed Volume provided under Liquidity
Provision Tier 5 remains equitable and not unfairly discriminatory, as
such enhanced rebate will continue to apply equally to all qualifying
Members.
For the reasons discussed above, the Exchange submits that the
proposal
[[Page 86172]]
satisfies the requirements of Sections 6(b)(4) and 6(b)(5) of the Act
\11\ in that it provides for the equitable allocation of reasonable
dues, fees and other charges among its Members and other persons using
its facilities and is not designed to unfairly discriminate between
customers, issuers, brokers, or dealers.
---------------------------------------------------------------------------
\11\ 15 U.S.C. 78f(b)(4) and (5).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
In accordance with Section 6(b)(8) of the Act,\12\ the Exchange
believes that the proposed rule change will not impose any burden on
competition that is not necessary or appropriate in furtherance of the
purposes of the Act.
---------------------------------------------------------------------------
\12\ 15 U.S.C. 78f(b)(8).
---------------------------------------------------------------------------
The Exchange believes that the proposed rule change would not place
any burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act. The proposed rule change is not
designed to address any competitive issues but rather is designed to
enhance the clarity of the Fee Schedule and alleviate possible Member
confusion that may arise from the inclusion of obsolete language.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
The Exchange neither solicited nor received comments on the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become effective pursuant to Section
19(b)(3)(A)(ii) of the Act \13\ and Rule 19b-4(f)(2) \14\ thereunder.
---------------------------------------------------------------------------
\13\ 15 U.S.C. 78s(b)(3)(A)(ii).
\14\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act. If the Commission
takes such action, the Commission shall 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:
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-MEMX-2023-32 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-MEMX-2023-32. 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
a.m. and 3 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-MEMX-2023-32 and should be
submitted on or before January 2, 2024.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\15\
---------------------------------------------------------------------------
\15\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023-27158 Filed 12-11-23; 8:45 am]
BILLING CODE 8011-01-P