Self-Regulatory Organizations; NYSE National, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Establish the NYSE National Aggregated Lite Market Data Feed, 19383-19386 [2024-05630]
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Federal Register / Vol. 89, No. 53 / Monday, March 18, 2024 / Notices
effective pursuant to Section 19(b)(3)(A)
of the Act and Rule 19b–4(f)(6)(iii)
thereunder.17
At any time within 60 days of the
filing of such proposed rule change, the
Commission summarily may
temporarily suspend such rule change if
it appears to the Commission that such
action is necessary or appropriate in the
public interest, for the protection of
investors, or otherwise in furtherance of
the purposes of the Act. If the
Commission takes such action, the
Commission shall institute proceedings
under Section 19(b)(2)(B) 18 of the Act to
determine whether the proposed rule
change should be approved or
disapproved.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.19
Sherry R. Haywood,
Assistant Secretary.
Electronic Comments
[FR Doc. 2024–05629 Filed 3–15–24; 8:45 am]
• Use the Commission’s internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an email to rule-comments@
sec.gov. Please include file number SR–
NYSEARCA–2024–22 on the subject
line.
BILLING CODE 8011–01–P
Paper Comments
2:00 p.m. on Thursday,
March 21, 2024.
PLACE: The meeting will be held via
remote means and/or at the
Commission’s headquarters, 100 F
Street NE, Washington, DC 20549.
STATUS: This meeting will be closed to
the public.
MATTERS TO BE CONSIDERED:
Commissioners, Counsel to the
Commissioners, the Secretary to the
Commission, and recording secretaries
will attend the closed meeting. Certain
staff members who have an interest in
the matters also may be present.
In the event that the time, date, or
location of this meeting changes, an
announcement of the change, along with
the new time, date, and/or place of the
meeting will be posted on the
Commission’s website at https://
www.sec.gov.
The General Counsel of the
Commission, or her designee, has
certified that, in her opinion, one or
more of the exemptions set forth in 5
U.S.C. 552b(c)(3), (5), (6), (7), (8), 9(B)
and (10) and 17 CFR 200.402(a)(3),
(a)(5), (a)(6), (a)(7), (a)(8), (a)(9)(ii) and
17 17 CFR 240.19b–4(f)(6)(iii). In addition, Rule
19b–4(f)(6) requires a self-regulatory organization to
give the Commission written notice of its intent to
file the proposed rule change at least five business
days prior to the date of filing of the proposed rule
change, or such shorter time as designated by the
Commission. The Exchange has satisfied this
requirement.
18 15 U.S.C. 78s(b)(2)(B).
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SECURITIES AND EXCHANGE
COMMISSION
Jkt 262001
(a)(10), permit consideration of the
scheduled matters at the closed meeting.
The subject matter of the closed
meeting will consist of the following
topics:
Institution and settlement of
injunctive actions;
Institution and settlement of
administrative proceedings;
Resolution of litigation claims; and
Other matters relating to examinations
and enforcement proceedings.
At times, changes in Commission
priorities require alterations in the
scheduling of meeting agenda items that
may consist of adjudicatory,
examination, litigation, or regulatory
matters.
CONTACT PERSON FOR MORE INFORMATION:
For further information; please contact
Vanessa A. Countryman from the Office
of the Secretary at (202) 551–5400.
Authority: 5 U.S.C. 552b.
Dated: March 14, 2024.
Vanessa A. Countryman,
Secretary.
[FR Doc. 2024–05769 Filed 3–14–24; 11:15 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–99715; File No. SR–
NYSENAT–2024–06]
Sunshine Act Meetings
TIME AND DATE:
• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE,
Washington, DC 20549–1090.
All submissions should refer to file
number SR–NYSEARCA–2024–22. 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
lotter on DSK11XQN23PROD with NOTICES1
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–NYSEARCA–2024–22 and should be
submitted on or before April 8, 2024.
Self-Regulatory Organizations; NYSE
National, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Establish the NYSE
National Aggregated Lite Market Data
Feed
March 12, 2024.
Pursuant to Section 19(b)(1) 1 of the
Securities Exchange Act of 1934
(‘‘Act’’) 2 and Rule 19b–4 thereunder,3
notice is hereby given that on February
27, 2024, NYSE National, Inc. (‘‘NYSE
National’’ or the ‘‘Exchange’’) filed with
the Securities and Exchange
Commission (the ‘‘Commission’’) the
proposed rule change as described in
Items I, II, and III below, which Items
have been prepared by the selfregulatory organization. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to establish
the NYSE National Aggregated Lite
1 15
U.S.C. 78s(b)(1).
U.S.C. 78a.
3 17 CFR 240.19b–4.
2 15
19 17
PO 00000
CFR 200.30–3(a)(12).
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(‘‘NYSE National Agg Lite’’) market data
feed. The proposed rule change is
available on the Exchange’s website at
www.nyse.com, at the principal office of
the Exchange, and at the Commission’s
Public Reference Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
self-regulatory organization included
statements concerning the purpose of,
and basis for, the proposed rule change
and discussed any comments it received
on the proposed rule change. The text
of those statements may be examined at
the places specified in Item IV below.
The Exchange has prepared summaries,
set forth in sections A, B, and C below,
of the most significant parts of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
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1. Purpose
The Exchange proposes to establish
the NYSE National Agg Lite market data
feed. The NYSE National Agg Lite is a
NYSE National-only frequency-based
depth of book market data feed of the
NYSE National’s limit order book for up
to ten (10) price levels for securities
traded on the Exchange and for which
the Exchange reports quotes and trades
under the Consolidated Tape
Association (‘‘CTA’’) Plan or the
Nasdaq/UTP Plan. NYSE National Agg
Lite would be a compilation of limit
order data that the Exchange would
provide to vendors and subscribers. As
proposed, the NYSE National Agg Lite
data feed would be updated no less
frequently than once per second. The
NYSE National Agg Lite would include
depth of book order data as well as
security status messages. The security
status message would inform
subscribers of changes in the status of a
specific security, such as trading halts,
short sale restriction, etc.
The Exchange proposes to offer NYSE
National Agg Lite after receiving
requests from vendors and subscribers
that would like to receive the data
described above in an integrated fashion
at a pre-defined publication interval, in
this case updates no less than once per
second. An aggregated data feed may
provide greater efficiencies and reduce
errors for vendors and subscribers that
currently choose to integrate the above
data into a single offering after receiving
it from the Exchange through existing
products and adjust the publication
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frequency based on a subscriber’s needs.
The Exchange believes that providing
vendors and subscribers with the option
to subscribe to a market data product
that integrates a subset of data from
existing products and where such
aggregated data is published at a predefined interval, thus lowering
bandwidth, infrastructure and
operational requirements, would allow
vendors and subscribers to choose the
best solution for their specific business
needs. The Exchange notes that
publishing only the top ten price levels
on both the bid and offer sides of the
order book where such data is
communicated to subscribers at a predefined interval would reduce the
overall volume of messages required to
be consumed by subscribers when
compared to a full order-by-order data
feed or a full depth of book data feed.
Providing data in this format and
publication frequency would make
NYSE National Agg Lite more easily
consumable by vendors and subscribers,
especially for display purposes.
The Exchange proposes to offer NYSE
National Agg Lite through the
Exchange’s Liquidity Center Network
(‘‘LCN’’), a local area network in the
Exchange’s Mahwah, New Jersey data
center that is available to users of the
Exchange’s co-location services. The
Exchange would also offer NYSE
National Agg Lite through the ICE
Global Network (‘‘IGN’’), through which
all other users and members access the
Exchange’s trading and execution
systems and other proprietary market
data products.
The Exchange will file a separate rule
filing to establish fees for NYSE
National Agg Lite. The Exchange will
announce the implementation date of
this proposed rule change by Trader
Update, which, subject to the
effectiveness of this proposed rule
change, will be no later than the second
quarter of 2024.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
Section 6(b) 4 of the Act (‘‘Act’’), in
general, and furthers the objectives of
Section 6(b)(5) 5 of the Act, in particular,
in that it is 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 facilitating transactions in securities,
to remove impediments to and perfect
the mechanism of a free and open
market and a national market system
4 15
5 15
PO 00000
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
Frm 00091
Fmt 4703
and, in general, to protect investors and
the public interest, and it is not
designed to permit unfair
discrimination among customers,
brokers, or dealers. This proposal is in
keeping with those principles in that it
promotes increased transparency
through the dissemination of NYSE
National Agg Lite to those interested in
receiving it.
The Exchange also believes this
proposal is consistent with Section
6(b)(5) of the Act because it protects
investors and the public interest and
promotes just and equitable principles
of trade by providing investors with
new options for receiving market data as
requested by market data vendors and
subscribers. The proposed rule change
would benefit investors by facilitating
their prompt access to the frequencybased depth of book information
contained in the NYSE National Agg
Lite market data feed.
The Exchange also believes that the
proposed rule change is consistent with
Section 11(A) of the Act 6 in that it
supports (i) fair competition among
brokers and dealers, among exchange
markets, and between exchange markets
and markets other than exchange
markets and (ii) the availability of
information with respect to quotations
for and transactions in securities to
brokers, dealers, and investors.
Furthermore, the proposed rule change
is consistent with Rule 603 of
Regulation NMS,7 which provides that
any national securities exchange that
distributes information with respect to
quotations for or transactions in an NMS
stock do so on terms that are not
unreasonably discriminatory. The NYSE
National Agg Lite market data feed
would be accessed and subscribed to on
a voluntary basis, in that neither the
Exchange nor market data vendors are
required by any rule or regulation to
make this data available. Accordingly,
vendors and subscribers can
discontinue their use at any time and for
any reason.
In adopting Regulation NMS, the
Commission granted self-regulatory
organizations (‘‘SROs’’) and broker
dealers increased authority and
flexibility to offer new and unique
market data to consumers of such data.
It was believed that this authority would
expand the amount of data available to
users and consumers of such data and
also spur innovation and competition
for the provision of market data. The
Exchange believes that NYSE National
Agg Lite is precisely the sort of market
data product that the Commission
6 15
U.S.C. 78k–1.
17 CFR 242.603.
7 See
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Federal Register / Vol. 89, No. 53 / Monday, March 18, 2024 / Notices
envisioned when it adopted Regulation
NMS. The Commission concluded that
Regulation NMS would itself further the
Act’s goals of facilitating efficiency and
competition:
Efficiency is promoted when brokerdealers who do not need the data beyond the
prices, sizes, market center identifications of
the NBBO and consolidated last sale
information are not required to receive (and
pay for) such data. The Commission also
believes that efficiency is promoted when
broker-dealers may choose to receive (and
pay for) additional market data based on their
own internal analysis of the need for such
data.8
lotter on DSK11XQN23PROD with NOTICES1
In addition, NYSE National Agg Lite
removes impediments to and perfects
the mechanism of a free and open
market and a national market system by
providing investors with alternative
market data and would compete with
similar market data products currently
offered by the four U.S. equities
exchanges operated by Cboe Exchange,
Inc.—Cboe BZX Exchange, Inc. (‘‘BZX’’),
Cboe BYX Exchange, Inc. (‘‘BYX’’), Cboe
EDGA Exchange, Inc. (‘‘EDGA’’), and
Cboe EDGX Exchange, Inc. (‘‘EDGX’’),
each of which offers a market data
product called BZX Summary Depth,
BYX Summary Depth, EDGA Summary
Depth and EDGX Summary Depth,
respectively (collectively, the ‘‘Cboe
Summary Depth’’).9 Similar to Cboe
Summary Depth, NYSE National Agg
Lite can be utilized by vendors and
subscribers to quickly access and
distribute aggregated order book data.
As noted above, NYSE National Agg
Lite, similar to Cboe Summary Depth,
would provide aggregated depth per
security, including the bid, ask and
share quantity for orders received by
NYSE National, except unlike Cboe
Summary Depth, which provides
aggregated depth per security for up to
five price levels, NYSE National Agg
Lite would provide aggregated depth per
security for up to ten price levels on
both the bid and offer sides of the NYSE
National limit order book. The proposed
market data product is also similar to
8 See Securities Exchange Act Release No. 51808
(June 9, 2005), 70 FR 37496 (June 29, 2005)
(Regulation NMS Adopting Release).
9 See BZX Rule 11.22(m) BZX Summary Depth;
BYX Rule 11.22(k) BYX Summary Depth; EDGA
Rule 13.8(f) EDGA Summary Depth; and EDGX Rule
13.8(f) EDGX Summary Depth. The Cboe Summary
Depth offered by BZX, BYX, EDGA and EDGX are
each a data feed that offers aggregated two-sided
quotations for all displayed orders for up to five (5)
price levels and contains the individual last sale
information, market status, trading status and trade
break messages.
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the NYSE National Integrated Feed,10
and Nasdaq TotalView.11
The Exchange notes that the existence
of alternatives to the Exchange’s
proposed product, including real-time
consolidated data, free delayed
consolidated data, and proprietary data
from other sources, as well as the
continued availability of the Exchange’s
separate data feeds, ensures that the
Exchange is not unreasonably
discriminatory because vendors and
subscribers can elect these alternatives
as their individual business cases
warrant.
The NYSE National Agg Lite market
data feed will help to protect a free and
open market by providing additional
data to the marketplace and by giving
investors greater choices. In addition,
the proposal would not permit unfair
discrimination because the data feed
would be available to all vendors and
subscribers through both the LCN and
IGN.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
In accordance with Section 6(b)(8) of
the Act,12 the Exchange does not believe
that the proposed rule change will
impose any burden on competition that
is not necessary or appropriate in
furtherance of the purposes of the Act.
Because other exchanges already offer
similar products, the Exchange’s
proposed NYSE National Agg Lite will
enhance competition. The NYSE
National Agg Lite will foster
competition by providing an alternative
to similar products offered by other
exchanges, including the Cboe
Summary Depth.13 The NYSE National
Agg Lite market data feed would
provide investors with a new option for
receiving market data, which was a
10 The NYSE National Integrated Feed provides a
real-time market data in a unified view of events,
in sequence, as they appear on the NYSE National
matching engine. The NYSE National Integrated
Feed includes depth of book order data, last sale
data, and security status updates (e.g., trade
corrections and trading halts) and stock summary
messages. See also Securities Exchange Act Release
No. 83350 (May 31, 2018), 83 FR 26332 (June 6,
2018) (SR–NYSENAT–2018–09) (Notice of Filing
and Immediate Effectiveness of Proposed Rule
Change To Establish the NYSE National BBO, NYSE
National Trades and NYSE National Integrated Feed
Market Data Feeds).
11 Nasdaq TotalView displays the full order book
depth on Nasdaq, including every single quote and
order at every price level in Nasdaq-, NYSE-, NYSE
American- and regional-listed securities on Nasdaq.
See https://www.nasdaq.com/solutions/nasdaqtotalview?_bt=659478569450&_bk=totalview&_
bm=b&_bn=g&_bg=144616828050&utm_
term=totalview&utm_campaign=&utm_
source=google&utm_
medium=ppc&gclid=EAIaIQobChMIsZqiorTS_
wIV2Y5bCh2xxQdUEAAYASAAEgKlyfD_BwE.
12 15 U.S.C. 78f(b)(8).
13 See supra, note 9.
PO 00000
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19385
primary goal of the market data
amendments adopted by Regulation
NMS.14 Thus, the Exchange believes the
proposed rule change is necessary to
permit fair competition among national
securities exchanges.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were solicited
or received with respect to the proposed
rule change.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The Exchange has filed the proposed
rule change pursuant to Section
19(b)(3)(A)(iii) of the Act 15 and Rule
19b–4(f)(6) thereunder.16 Because the
proposed rule change does not: (i)
significantly affect the protection of
investors or the public interest; (ii)
impose any significant burden on
competition; and (iii) become operative
prior to 30 days from the date on which
it was filed, or such shorter time as the
Commission may designate, if
consistent with the protection of
investors and the public interest, the
proposed rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act and Rule 19b–4(f)(6)(iii)
thereunder.17
At any time within 60 days of the
filing of such proposed rule change, the
Commission summarily may
temporarily suspend such rule change if
it appears to the Commission that such
action is necessary or appropriate in the
public interest, for the protection of
investors, or otherwise in furtherance of
the purposes of the Act. If the
Commission takes such action, the
Commission shall institute proceedings
under Section 19(b)(2)(B) 18 of the Act to
determine whether the proposed rule
change should be approved or
disapproved.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
14 See
supra, note 8, at 37503.
U.S.C. 78s(b)(3)(A)(iii).
16 17 CFR 240.19b–4(f)(6).
17 17 CFR 240.19b–4(f)(6)(iii). In addition, Rule
19b–4(f)(6) requires a self-regulatory organization to
give the Commission written notice of its intent to
file the proposed rule change at least five business
days prior to the date of filing of the proposed rule
change, or such shorter time as designated by the
Commission. The Exchange has satisfied this
requirement.
18 15 U.S.C. 78s(b)(2)(B).
15 15
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Federal Register / Vol. 89, No. 53 / Monday, March 18, 2024 / Notices
Comments may be submitted by any of
the following methods:
SECURITIES AND EXCHANGE
COMMISSION
Electronic Comments
[Release No. 34–99725; File No. SR–BOX–
2023–20]
• 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–
NYSENAT–2024–06 on the subject line.
Paper Comments
lotter on DSK11XQN23PROD with NOTICES1
• 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–NYSENAT–2024–06. 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–NYSENAT–2024–06 and should be
submitted on or before April 8, 2024.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.19
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2024–05630 Filed 3–15–24; 8:45 am]
BILLING CODE 8011–01–P
12 17
CFR 200.30–3(a)(57).
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Self-Regulatory Organizations; BOX
Exchange LLC; Notice of Designation
of Longer Period for Commission
Action on Proceedings To Determine
Whether To Approve or Disapprove a
Proposed Rule Change, as Modified by
Amendment No. 2, To Adopt Rules To
Govern FLEX Equity Options and a
New Order Type To Trade FLEX Equity
Options on the BOX Trading Floor
March 12, 2024.
On September 1, 2023, BOX Exchange
LLC (‘‘Exchange’’ or ‘‘BOX’’) filed with
the Securities and Exchange
Commission (‘‘Commission’’), pursuant
to Section 19(b)(1) of the Securities
Exchange Act of 1934 (‘‘Act’’) 1 and Rule
19b–4 thereunder,2 a proposed rule
change to adopt Rules 5055 and 7605
which, among other applicable
Exchange rules, will govern the trading
of flexible exchange equity options
(‘‘FLEX Equity Options’’) on the BOX
Trading Floor, and make related
changes to Rules 100 (Definitions), 7620
(Accommodation Transactions), and
12140 (Imposition of Fines for Minor
Rule Violations). The proposed rule
change was published for comment in
the Federal Register on September 19,
2023.3 On September 27, 2023, pursuant
to Section 19(b)(2) of the Act,4 the
Commission designated a longer period
within which to approve the proposed
rule change, disapprove the proposed
rule change, or institute proceedings to
determine whether to disapprove the
proposed rule change.5 On December
12, 2023, the Exchange submitted
Amendment No. 2 to the proposed rule
change, which replaced and superseded
the proposed rule change as originally
filed.6 On December 15, 2023, the
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See Securities Exchange Act Release No. 98380
(September 13, 2023), 88 FR 64482 (‘‘Notice’’).
Comment on the proposed rule change can be found
at: https://www.sec.gov/comments/sr-box-2023-20/
srbox202320.htm.
4 15 U.S.C. 78s(b)(2).
5 See Securities Exchange Act Release No. 98568,
86 FR 68237 (October 3, 2023). The Commission
designated December 18, 2023, as the date by which
it should approve, disapprove, or institute
proceedings to determine whether to disapprove the
proposed rule change.
6 Amendment No. 2 is available on the
Commission’s website at: https://www.sec.gov/
comments/sr-box-2023-20/srbox202320-310739809082.pdf (‘‘Amendment No. 2’’).
2 17
PO 00000
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Commission published notice of
Amendment No. 2 and instituted
proceedings pursuant to Section
19(b)(2)(B) of the Exchange Act 7 to
determine whether to approve or
disapprove the proposed rule change, as
modified by Amendment No. 2.8
Section 19(b)(2) of the Act 9 provides
that, after initiating proceedings, the
Commission shall issue an order
approving or disapproving the proposed
rule change not later than 180 days after
the date of publication of the notice of
filing of the proposed rule change. The
Commission may extend the period for
issuing an order approving or
disapproving the proposed rule change,
however, by not more than 60 days if
the Commission determines that a
longer period is appropriate and
publishes the reasons for such
determination. The proposed rule
change was published for comment in
the Federal Register on September 19,
2023.10 The 180th day after publication
of the Notice is March 17, 2024. The
Commission is extending the time
period for approving or disapproving
the proposed rule change for an
additional 60 days.
The Commission finds that it is
appropriate to designate a longer period
within which to issue an order
approving or disapproving the proposed
rule change so that it has sufficient time
to consider the proposed rule change.
Accordingly, the Commission, pursuant
to Section 19(b)(2) of the Act,11
designates May 16, 2024 as the date by
which the Commission shall either
approve or disapprove the proposed
rule change, as modified by Amendment
No. 2 (File No. SR–BOX–2023–20).
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.12
J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2024–05637 Filed 3–15–24; 8:45 am]
BILLING CODE 8011–01–P
7 15
U.S.C. 78s(b)(2)(B).
Securities Exchange Act Release No. 99192,
88 FR 88437 (December 21, 2023) (Notice of Filing
of Amendment No. 2 and Order Instituting
Proceedings) (‘‘OIP’’).
9 15 U.S.C. 78s(b)(2).
10 See Notice, supra note 3.
11 15 U.S.C. 78s(b)(2).
12 17 CFR 200.30–3(a)(57).
8 See
E:\FR\FM\18MRN1.SGM
18MRN1
]]>Agencies
[Federal Register Volume 89, Number 53 (Monday, March 18, 2024)]
[Notices]
[Pages 19383-19386]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-05630]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-99715; File No. SR-NYSENAT-2024-06]
Self-Regulatory Organizations; NYSE National, Inc.; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Establish
the NYSE National Aggregated Lite Market Data Feed
March 12, 2024.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby given
that on February 27, 2024, NYSE National, Inc. (``NYSE National'' or
the ``Exchange'') filed with the Securities and Exchange Commission
(the ``Commission'') the proposed rule change as described in Items I,
II, and III below, which Items have been prepared by the self-
regulatory organization. The Commission is publishing this notice to
solicit comments on the proposed rule change from interested persons.
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\1\ 15 U.S.C. 78s(b)(1).
\2\ 15 U.S.C. 78a.
\3\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to establish the NYSE National Aggregated
Lite
[[Page 19384]]
(``NYSE National Agg Lite'') market data feed. The proposed rule change
is available on the Exchange's website at www.nyse.com, at the
principal office of the Exchange, and at the Commission's Public
Reference Room.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the self-regulatory organization
included statements concerning the purpose of, and basis for, the
proposed rule change and discussed any comments it received on the
proposed rule change. The text of those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to establish the NYSE National Agg Lite
market data feed. The NYSE National Agg Lite is a NYSE National-only
frequency-based depth of book market data feed of the NYSE National's
limit order book for up to ten (10) price levels for securities traded
on the Exchange and for which the Exchange reports quotes and trades
under the Consolidated Tape Association (``CTA'') Plan or the Nasdaq/
UTP Plan. NYSE National Agg Lite would be a compilation of limit order
data that the Exchange would provide to vendors and subscribers. As
proposed, the NYSE National Agg Lite data feed would be updated no less
frequently than once per second. The NYSE National Agg Lite would
include depth of book order data as well as security status messages.
The security status message would inform subscribers of changes in the
status of a specific security, such as trading halts, short sale
restriction, etc.
The Exchange proposes to offer NYSE National Agg Lite after
receiving requests from vendors and subscribers that would like to
receive the data described above in an integrated fashion at a pre-
defined publication interval, in this case updates no less than once
per second. An aggregated data feed may provide greater efficiencies
and reduce errors for vendors and subscribers that currently choose to
integrate the above data into a single offering after receiving it from
the Exchange through existing products and adjust the publication
frequency based on a subscriber's needs. The Exchange believes that
providing vendors and subscribers with the option to subscribe to a
market data product that integrates a subset of data from existing
products and where such aggregated data is published at a pre-defined
interval, thus lowering bandwidth, infrastructure and operational
requirements, would allow vendors and subscribers to choose the best
solution for their specific business needs. The Exchange notes that
publishing only the top ten price levels on both the bid and offer
sides of the order book where such data is communicated to subscribers
at a pre-defined interval would reduce the overall volume of messages
required to be consumed by subscribers when compared to a full order-
by-order data feed or a full depth of book data feed. Providing data in
this format and publication frequency would make NYSE National Agg Lite
more easily consumable by vendors and subscribers, especially for
display purposes.
The Exchange proposes to offer NYSE National Agg Lite through the
Exchange's Liquidity Center Network (``LCN''), a local area network in
the Exchange's Mahwah, New Jersey data center that is available to
users of the Exchange's co-location services. The Exchange would also
offer NYSE National Agg Lite through the ICE Global Network (``IGN''),
through which all other users and members access the Exchange's trading
and execution systems and other proprietary market data products.
The Exchange will file a separate rule filing to establish fees for
NYSE National Agg Lite. The Exchange will announce the implementation
date of this proposed rule change by Trader Update, which, subject to
the effectiveness of this proposed rule change, will be no later than
the second quarter of 2024.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) \4\ of the Act (``Act''), in general, and furthers
the objectives of Section 6(b)(5) \5\ of the Act, in particular, in
that it is 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 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, and it is not
designed to permit unfair discrimination among customers, brokers, or
dealers. This proposal is in keeping with those principles in that it
promotes increased transparency through the dissemination of NYSE
National Agg Lite to those interested in receiving it.
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\4\ 15 U.S.C. 78f(b).
\5\ 15 U.S.C. 78f(b)(5).
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The Exchange also believes this proposal is consistent with Section
6(b)(5) of the Act because it protects investors and the public
interest and promotes just and equitable principles of trade by
providing investors with new options for receiving market data as
requested by market data vendors and subscribers. The proposed rule
change would benefit investors by facilitating their prompt access to
the frequency-based depth of book information contained in the NYSE
National Agg Lite market data feed.
The Exchange also believes that the proposed rule change is
consistent with Section 11(A) of the Act \6\ in that it supports (i)
fair competition among brokers and dealers, among exchange markets, and
between exchange markets and markets other than exchange markets and
(ii) the availability of information with respect to quotations for and
transactions in securities to brokers, dealers, and investors.
Furthermore, the proposed rule change is consistent with Rule 603 of
Regulation NMS,\7\ which provides that any national securities exchange
that distributes information with respect to quotations for or
transactions in an NMS stock do so on terms that are not unreasonably
discriminatory. The NYSE National Agg Lite market data feed would be
accessed and subscribed to on a voluntary basis, in that neither the
Exchange nor market data vendors are required by any rule or regulation
to make this data available. Accordingly, vendors and subscribers can
discontinue their use at any time and for any reason.
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\6\ 15 U.S.C. 78k-1.
\7\ See 17 CFR 242.603.
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In adopting Regulation NMS, the Commission granted self-regulatory
organizations (``SROs'') and broker dealers increased authority and
flexibility to offer new and unique market data to consumers of such
data. It was believed that this authority would expand the amount of
data available to users and consumers of such data and also spur
innovation and competition for the provision of market data. The
Exchange believes that NYSE National Agg Lite is precisely the sort of
market data product that the Commission
[[Page 19385]]
envisioned when it adopted Regulation NMS. The Commission concluded
that Regulation NMS would itself further the Act's goals of
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facilitating efficiency and competition:
Efficiency is promoted when broker-dealers who do not need the
data beyond the prices, sizes, market center identifications of the
NBBO and consolidated last sale information are not required to
receive (and pay for) such data. The Commission also believes that
efficiency is promoted when broker-dealers may choose to receive
(and pay for) additional market data based on their own internal
analysis of the need for such data.\8\
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\8\ See Securities Exchange Act Release No. 51808 (June 9,
2005), 70 FR 37496 (June 29, 2005) (Regulation NMS Adopting
Release).
In addition, NYSE National Agg Lite removes impediments to and
perfects the mechanism of a free and open market and a national market
system by providing investors with alternative market data and would
compete with similar market data products currently offered by the four
U.S. equities exchanges operated by Cboe Exchange, Inc.--Cboe BZX
Exchange, Inc. (``BZX''), Cboe BYX Exchange, Inc. (``BYX''), Cboe EDGA
Exchange, Inc. (``EDGA''), and Cboe EDGX Exchange, Inc. (``EDGX''),
each of which offers a market data product called BZX Summary Depth,
BYX Summary Depth, EDGA Summary Depth and EDGX Summary Depth,
respectively (collectively, the ``Cboe Summary Depth'').\9\ Similar to
Cboe Summary Depth, NYSE National Agg Lite can be utilized by vendors
and subscribers to quickly access and distribute aggregated order book
data. As noted above, NYSE National Agg Lite, similar to Cboe Summary
Depth, would provide aggregated depth per security, including the bid,
ask and share quantity for orders received by NYSE National, except
unlike Cboe Summary Depth, which provides aggregated depth per security
for up to five price levels, NYSE National Agg Lite would provide
aggregated depth per security for up to ten price levels on both the
bid and offer sides of the NYSE National limit order book. The proposed
market data product is also similar to the NYSE National Integrated
Feed,\10\ and Nasdaq TotalView.\11\
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\9\ See BZX Rule 11.22(m) BZX Summary Depth; BYX Rule 11.22(k)
BYX Summary Depth; EDGA Rule 13.8(f) EDGA Summary Depth; and EDGX
Rule 13.8(f) EDGX Summary Depth. The Cboe Summary Depth offered by
BZX, BYX, EDGA and EDGX are each a data feed that offers aggregated
two-sided quotations for all displayed orders for up to five (5)
price levels and contains the individual last sale information,
market status, trading status and trade break messages.
\10\ The NYSE National Integrated Feed provides a real-time
market data in a unified view of events, in sequence, as they appear
on the NYSE National matching engine. The NYSE National Integrated
Feed includes depth of book order data, last sale data, and security
status updates (e.g., trade corrections and trading halts) and stock
summary messages. See also Securities Exchange Act Release No. 83350
(May 31, 2018), 83 FR 26332 (June 6, 2018) (SR-NYSENAT-2018-09)
(Notice of Filing and Immediate Effectiveness of Proposed Rule
Change To Establish the NYSE National BBO, NYSE National Trades and
NYSE National Integrated Feed Market Data Feeds).
\11\ Nasdaq TotalView displays the full order book depth on
Nasdaq, including every single quote and order at every price level
in Nasdaq-, NYSE-, NYSE American- and regional-listed securities on
Nasdaq. See https://www.nasdaq.com/solutions/nasdaq-totalview?_bt=659478569450&_bk=totalview&_bm=b&_bn=g&_bg=144616828050&utm_term=totalview&utm_campaign=&utm_source=google&utm_medium=ppc&gclid=EAIaIQobChMIsZqiorTS_wIV2Y5bCh2xxQdUEAAYASAAEgKlyfD_BwE.
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The Exchange notes that the existence of alternatives to the
Exchange's proposed product, including real-time consolidated data,
free delayed consolidated data, and proprietary data from other
sources, as well as the continued availability of the Exchange's
separate data feeds, ensures that the Exchange is not unreasonably
discriminatory because vendors and subscribers can elect these
alternatives as their individual business cases warrant.
The NYSE National Agg Lite market data feed will help to protect a
free and open market by providing additional data to the marketplace
and by giving investors greater choices. In addition, the proposal
would not permit unfair discrimination because the data feed would be
available to all vendors and subscribers through both the LCN and IGN.
B. Self-Regulatory Organization's Statement on Burden on Competition
In accordance with Section 6(b)(8) of the Act,\12\ the Exchange
does not believe that the proposed rule change will impose any burden
on competition that is not necessary or appropriate in furtherance of
the purposes of the Act. Because other exchanges already offer similar
products, the Exchange's proposed NYSE National Agg Lite will enhance
competition. The NYSE National Agg Lite will foster competition by
providing an alternative to similar products offered by other
exchanges, including the Cboe Summary Depth.\13\ The NYSE National Agg
Lite market data feed would provide investors with a new option for
receiving market data, which was a primary goal of the market data
amendments adopted by Regulation NMS.\14\ Thus, the Exchange believes
the proposed rule change is necessary to permit fair competition among
national securities exchanges.
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\12\ 15 U.S.C. 78f(b)(8).
\13\ See supra, note 9.
\14\ See supra, note 8, at 37503.
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C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were solicited or received with respect to the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The Exchange has filed the proposed rule change pursuant to Section
19(b)(3)(A)(iii) of the Act \15\ and Rule 19b-4(f)(6) thereunder.\16\
Because the proposed rule change does not: (i) significantly affect the
protection of investors or the public interest; (ii) impose any
significant burden on competition; and (iii) become operative prior to
30 days from the date on which it was filed, or such shorter time as
the Commission may designate, if consistent with the protection of
investors and the public interest, the proposed rule change has become
effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b-
4(f)(6)(iii) thereunder.\17\
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\15\ 15 U.S.C. 78s(b)(3)(A)(iii).
\16\ 17 CFR 240.19b-4(f)(6).
\17\ 17 CFR 240.19b-4(f)(6)(iii). In addition, Rule 19b-4(f)(6)
requires a self-regulatory organization to give the Commission
written notice of its intent to file the proposed rule change at
least five business days prior to the date of filing of the proposed
rule change, or such shorter time as designated by the Commission.
The Exchange has satisfied this requirement.
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At any time within 60 days of the filing of such proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act. If the Commission
takes such action, the Commission shall institute proceedings under
Section 19(b)(2)(B) \18\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
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\18\ 15 U.S.C. 78s(b)(2)(B).
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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.
[[Page 19386]]
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-NYSENAT-2024-06 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-NYSENAT-2024-06. 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-NYSENAT-2024-06 and should
be submitted on or before April 8, 2024.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\19\
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\19\ 17 CFR 200.30-3(a)(12).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2024-05630 Filed 3-15-24; 8:45 am]
BILLING CODE 8011-01-P
