Notice2022-01470
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the NYSE Arca Options Fee Schedule
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
January 26, 2022
Issuing agencies
Securities and Exchange Commission
Full Text
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<title>Federal Register, Volume 87 Issue 17 (Wednesday, January 26, 2022)</title>
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[Federal Register Volume 87, Number 17 (Wednesday, January 26, 2022)]
[Notices]
[Pages 4090-4095]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-01470]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-94015; No. SR-NYSEArca-2022-02]
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change To Amend the NYSE
Arca Options Fee Schedule
January 20, 2022.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby
given that, on January 12, 2022, NYSE Arca, Inc. (``NYSE Arca'' or the
``Exchange'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I, II,
and III below, which Items have been prepared by the self-regulatory
organization. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons.
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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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[[Page 4091]]
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to amend the NYSE Arca Options Fee Schedule
(the ``Fee Schedule'') regarding the Floor Broker Fixed Cost Prepayment
Incentive Program. The Exchange proposes to implement the fee change
effective January 12, 2022.\4\ The proposed rule change is available on
the Exchange's website at <a href="http://www.nyse.com">www.nyse.com</a>, at the principal office of the
Exchange, and at the Commission's Public Reference Room.
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\4\ The Exchange originally filed to amend the Fee Schedule on
December 29, 2021 (SR-NYSEArca-2021-108) and withdrew such filing on
January 12, 2022.
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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 purpose of this filing is to modify the Floor Broker Fixed Cost
Prepayment Incentive Program (the ``FB Prepay Program''), a prepayment
incentive program that allows Floor Broker organizations (each, a
``Floor Broker'') to prepay certain of their annual Eligible Fixed
Costs in exchange for volume rebates, as set forth in the Fee
Schedule.\5\
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\5\ See Fee Schedule, FLOOR BROKER FIXED COST PREPAYMENT
INCENTIVE PROGRAM (the ``FB Prepay Program''), available here:
<a href="https://www.nyse.com/publicdocs/nyse/markets/arca-options/NYSE_Arca_Options_Fee_Schedule.pdf">https://www.nyse.com/publicdocs/nyse/markets/arca-options/NYSE_Arca_Options_Fee_Schedule.pdf</a>. ``Eligible Fixed Costs,'' as set
forth in the Fee Schedule, include the OTP Trading Participant
Rights fee for a Floor Broker, Floor Broker Order Capture Device--
Market Data Fees, Floor Booth fees, the Options Floor Access Fee,
and Wire Services fees.
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Currently, the FB Prepay Program offers participating Floor Brokers
an opportunity to qualify for rebates by achieving growth in billable
manual volume by a certain percentage as measured against one of two
benchmarks (the ``Percentage Growth Incentive''). Specifically, the
Percentage Growth Incentive is designed to encourage Floor Brokers to
increase their average daily volume (``ADV'') in billable manual
contract sides to qualify for a Tier; each Tier of the FB Prepay
Program corresponds to an annual rebate equal to the greater of the
``Total Percentage Reduction of pre-paid annual Eligible Fixed Costs''
or the annualization of the montly ``Alternative Rebate.'' \6\ In
either case, participating Floor Brokers receive their annual rebate
amount in the following January.\7\ Floor Brokers that wish to
participate in the FB Prepay Program for the following calendar year
must notify the Exchange no later than the last business day of
December in the current year.\8\
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\6\ See id. The Percentage Growth Incentive excludes Customer
volume, Firm Facilitation and Broker Dealer facilitating a Customer
trades, and QCCs. Any volume calculated to achieve the Firm and
Broker Dealer Monthly Fee Cap and the Limit of Fees on Options
Strategy Executions, will likewise be excluded from the Percentage
Growth Incentive because fees on such volume are already capped and
therefore do not increase billable manual volume. See id.
\7\ See Fee Schedule, FLOOR BROKER FIXED COST PREPAYMENT
INCENTIVE PROGRAM (the ``FB Prepay Program'').
\8\ See id.
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As further described below, the Exchange proposes to modify the
qualifying benchmarks, growth percentage requirements, and rebate
amounts for the FB Prepay Program, and further proposes to adjust the
basis for the calculation of a participating Floor Broker's Eligible
Fixed Costs for the following calendar year.
The Exchange proposes to implement the fee changes effective
January 12, 2022.
Proposed Rule Change
The Exchange proposes to modify the benchmarks that Floor Brokers
that participate in the FB Prepay Program must meet to qualify for the
Percentage Growth Incentive. Currently, to qualify for the Percentage
Growth Incentive, a Floor Broker must increase their ADV for the
calendar year above the greater of (1) 20,000 contract sides in
billable manual ADV, or (2) 105% of the Floor Broker's total billable
manual ADV in contract sides during the second half of 2017.\9\ The
Exchange proposes to modify each of the minimum thresholds to qualify
for the Percentage Growth Incentive. Specifically, the Exchange
proposes to (1) modify the first benchmark to increase the requisite
minimum contract sides in billable manual ADV from 20,000 to 30,000,
and (2) modify the second benchmark from 105% of the Floor Broker's
total billable manual ADV in contract sides during the second half of
2017 (i.e., July through December 2017) to the Floor Broker's total
billable manual ADV in contract sides during the second half of 2020
(i.e., July through December 2020).\10\
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\9\ See Fee Schedule, FLOOR BROKER FIXED COST PREPAYMENT
INCENTIVE PROGRAM (the ``FB Prepay Program'').
\10\ See proposed Fee Schedule, FLOOR BROKER FIXED COST
PREPAYMENT INCENTIVE PROGRAM (the ``FB Prepay Program'').
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The Exchange believes that 30,000 ADV is a reasonable minimum
threshold above which a participating Floor Broker would need to
increase volume to earn a rebate under the FB Prepay Program,
particularly in light of the increased options volume executed by Floor
Brokers in the past year. The Exchange notes that Floor Brokers that
are new to the Exchange would also be eligible to qualify for the
Percentage Growth Incentive based on this minimum threshold. For Floor
Brokers that exceed 30,000 ADV in growth, the Exchange believes that it
is reasonable to continue to use each Floor Broker's historical volume
as a benchmark against which to measure growth and also believes that
updating the benchmark to account for the Floor Broker's more recent
activity on the Exchange is reasonable. The Exchange further believes
that, in light of the market volatility in the first half of 2020 and
the unusually high volumes observed in 2021, Floor Broker activity in
the second half of 2020 would be an appropriate benchmark against which
to measure volume for purposes of the FB Prepay Program. All Floor
Brokers that aim to achieve the rebate would still be required to
increase volume executed on the Exchange, and the total annual rebate
available for achieving each Tier would continue to be the same
regardless of whether the Floor Broker qualifies based on growth over
30,000 ADV contract sides or its second half of 2020 volume, as
proposed.
The Exchange also proposes a series of modifications to the
percentage growth requirements for the Percentage Growth Incentive, the
percentage reductions of annual fixed costs, and the Alternative Rebate
amounts. The Exchange believes the proposed modifications would
continue to incentivize Floor Brokers to participate in the FB Prepay
Program and would generally make the rebates offered pursuant to the FB
Prepay Program more achievable for participating Floor Brokers. First,
the Exchange proposes to decrease certain of the percentage growth
requirements for the Percentage Growth Incentive Tiers. Specifically,
the
[[Page 4092]]
Exchange proposes to reduce the requirement for Tier 2 from 25% to 15%
and for Tier 3 from 50% to 30%. Second, the Exchange proposes to modify
the total percentage reduction of pre-paid annual Eligible Fixed Costs
offered for certain Tiers. Specifically, the Exchange proposes to
modify the percentage for Tier 1 from 25% to 10% and for Tier 3 from
75% to 80%. Third, the Exchange proposes to increase the Alternative
Rebate offered for Tiers 1 through 3, as set forth in the table below.
Finally, the Exchange proposes to eliminate Tiers 4 and 5. The Exchange
believes eliminating these Tiers is reasonable in light of the proposed
changes described above, including because Tier 3, as modified, would
offer participating Floor Brokers an Alternative Rebate amount greater
than the amount currently offered by either Tier 4 or 5.
The following table reflects the proposed changes (with deletions
in brackets and new text italicized):
FB Prepayment Program Incentives
[Based on annual ADV in contract sides for the calendar year]
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Total percentage
Percentage growth reduction of pre-paid
Tier incentive annual Eligible Fixed Alternative rebate
Costs
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Tier 1............................ 5%...................... [25%] 10%............... [$4,000] $8,000/month.
Tier 2............................ [25%] 15%............... 50%..................... [$6,000] $18,000/month.
Tier 3............................ [50%] 30%............... [75%] 80%............... [$8,000] $24,000/month.
[Tier 4........................... 100%.................... 80%..................... $14,000/month].
[Tier 5........................... 150%.................... 100%.................... $18,000/month].
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Thus, as proposed, a participating Floor Broker would qualify for
the Percentage Growth Incentive by executing ADV growth in manual
billable contract sides that is 5%, 15%, or 30% over the greater of (1)
30,000 contract sides ADV, or (2) their ADV during the second half of
2020 (i.e., July through December 2020). A Floor Broker that
participates in the FB Prepay Program and achieves a Percentage Growth
Incentive Tier, as modified, will continue to be eligible for an annual
rebate that is the greater of the ``Total Percentage Reduction of pre-
paid annual Eligible Fixed Costs'' or the ``Alternative Rebate'' based
on the Tier achieved. A Floor Broker that is new to the Exchange (or
one that did not execute at least 30,000 contract sides in billable
manual ADV in the second half of 2020) would continue to have the
ability to qualify for the Percentage Growth Incentive by executing at
least 30,000 contract sides in manual billable ADV, increased by the
specified percentages during the year. The total rebate available for
achieving each Tier would be the same regardless of whether the Floor
Broker qualifies based on 100% of its second half of 2020 volume or the
minimum 30,000 ADV contract sides benchmark.
The Exchange also proposes to modify the date it will use for the
calculation of a Floor Broker's Eligible Fixed Costs for the following
calendar year. The FB Prepay Program currently specifies that a Floor
Broker that commits to the program will be invoiced in January for
Eligible Fixed Costs, based on annualizing their Eligible Fixed Costs
incurred in the previous November.\11\ The Exchange proposes to modify
the Fee Schedule to specify that the annualization of Eligible Fixed
Costs would be based on costs incurred in November 2020. The Exchange
believes that Floor Brokers' costs as of November 2020 would more
accurately reflect Eligible Fixed Costs for the coming calendar year
based on anticipated fixed costs in 2022.
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\11\ The Fee Schedule also currently provides that the
``Exchange will not issue any refunds in the event that a Floor
Broker organization's prepaid Eligible Fixed Costs exceeds such
actual costs, except that the Exchange will refund certain of the
prepaid Eligible Fixed Costs that were waived for Qualifying Firms
as defined, and set forth in, NYSE Arca OPTIONS: FLOOR and EQUIPMENT
and CO-LOCATION FEES.'' See Fee Schedule, FLOOR BROKER FIXED COST
PREPAYMENT INCENTIVE PROGRAM (the ``FB Prepay Program''). The
Exchange proposes clarifying changes to (1) delete the word ``such''
from the description of actual Eligible Fixed Costs, and (2) delete
the reference to the circumstances under which the Exchange would
refund certain prepaid Eligible Fixed Costs, as the Fee Schedule no
longer provides for a waiver to Qualifying Firms in connection with
COVID-19 related considerations. See Securities Exchange Act Release
No. 92614 (August 9, 2021), 86 FR 44765 (August 13, 2021) (SR-
NYSEArca-2021-69) (removing language from the Fee Schedule
associated with COVID-19 related fee waivers).
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2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Act,\12\ in general, and furthers the
objectives of Sections 6(b)(4) and (5) of the Act,\13\ in particular,
because it provides for the equitable allocation of reasonable dues,
fees, and other charges among its members, issuers and other persons
using its facilities and does not unfairly discriminate between
customers, issuers, brokers or dealers.
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\12\ 15 U.S.C. 78f(b).
\13\ 15 U.S.C. 78f(b)(4) and (5).
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The Proposed Rule Change Is Reasonable
The Exchange operates in a highly competitive market. The
Commission has repeatedly expressed its preference for competition over
regulatory intervention in determining prices, products, and services
in the securities markets. 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.'' \14\
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\14\ See Securities Exchange Act Release No. 51808 (June 9,
2005), 70 FR 37496, 37499 (June 29, 2005) (S7-10-04) (``Reg NMS
Adopting Release'').
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There are currently 16 registered options exchanges competing for
order flow. Based on publicly-available information, and excluding
index-based options, no single exchange has more than 16% of the market
share of executed volume of multiply-listed equity and ETF options
trades.\15\ Therefore, currently no exchange possesses significant
pricing power in the execution of multiply-listed equity and ETF
options order flow. More specifically, in November 2021, the Exchange
had less than 13% market share of executed volume of multiply-listed
equity and ETF options trades.\16\
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\15\ The OCC publishes options and futures volume in a variety
of formats, including daily and monthly volume by exchange,
available here: <a href="https://www.theocc.com/Market-Data/Market-Data-Reports/Volume-and-Open-Interest/Monthly-Weekly-Volume-Statistics">https://www.theocc.com/Market-Data/Market-Data-Reports/Volume-and-Open-Interest/Monthly-Weekly-Volume-Statistics</a>.
\16\ Based on a compilation of OCC data for monthly volume of
equity-based options and monthly volume of ETF-based options, see
id., the Exchange's market share in equity-based options was 10.35%
for the month of November 2020 and 12.99% for the month of November
2021.
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[[Page 4093]]
The Exchange believes that the ever-shifting market share among the
exchanges from month to month demonstrates that market participants can
shift order flow, or discontinue or reduce use of certain categories of
products, in response to fee changes. Accordingly, competitive forces
constrain options exchange transaction fees. Stated otherwise, changes
to exchange transaction fees can have a direct effect on the ability of
an exchange to compete for order flow.
The Exchange believes the proposed modifications to the FB Prepay
Program are reasonable because participation in the program is
optional, and Floor Brokers can elect to participate and seek to
qualify for the Percentage Growth Incentive as they see fit. The
Exchange also believes that the proposed change is reasonably designed
to encourage Floor Brokers to provide liquidity on the Exchange, to
continue to incent Floor Brokers to participate in the FB Prepay
Program, and to ensure that Floor Brokers that are new to the Exchange
(or Floor Brokers that did not execute more than 30,000 ADV in contract
sides) could also participate in the program, including by continuing
to offer two alternative means to achieve the same rebate at each Tier.
The Exchange believes that 30,000 ADV is a reasonable minimum threshold
above which a participating Floor Broker would need to increase volume
in order to realize the Percentage Growth Incentive (and is on a
similar playing field with Floor Brokers that exceeded this volume
requirement in 2020). For Floor Brokers that exceeded the 30,000 ADV in
the second half of 2020, the Exchange believes it is reasonable to use
each Floor Broker's historical volume as a benchmark against which to
measure future growth to achieve the Percentage Growth Incentive and
further believes that activity in the second half of 2020 would provide
an appropriate updated benchmark in light of the market volatility in
the first half of 2020 and the unusually high volumes observed in 2021.
In addition, the Exchange believes that the proposed changes to the
Percentage Growth Incentive are reasonable because they are designed to
continue to incent Floor Broker participation in the FB Prepay Program
by making the rebates offered under the FB Prepay Program generally
more achievable and by offering increased rebate amounts and are
therefore designed to encourage increased executions by Floor Brokers
on the Exchange, which activity would benefit all market participants.
The Exchange also believes that the proposed change with respect to
the date used for the calculation of Eligible Fixed Costs is reasonable
because it expects Floor Broker organizations' November 2020 costs to
provide a more accurate basis for annualizing Eligible Fixed Costs for
the coming calendar year based on anticipated fixed costs in 2022.
Finally, to the extent the proposed change continues to attract
greater volume and liquidity to the Exchange Floor, the Exchange
believes the proposed change would improve the Exchange's overall
competitiveness and strengthen its market quality for all market
participants. In the backdrop of the competitive environment in which
the Exchange operates, the proposed rule change is a reasonable attempt
by the Exchange to increase the depth of its market and improve its
market share relative to its competitors.
The Proposed Rule Change Is an Equitable Allocation of Credits and Fees
The Exchange believes the proposed rule change is an equitable
allocation of its fees and credits. The proposal is based on the amount
and type of business that Floor Brokers transact on the Exchange, and
Floor Brokers are not obligated to participate in the FB Prepay Program
or attempt to trade sufficient volume to qualify for one of the
Percentage Growth Incentive Tiers. In addition, all participating Floor
Brokers have the opportunity to qualify for the same rebate at each
Tier through two alternatives means (i.e., growth over the greater of
at least 30,000 contract sides in billable ADV or the Floor Broker's
total billable manual ADV in the second half of 2020). The Exchange
also notes that the proposed changes are designed to encourage Floor
Brokers that have previously enrolled in the FB Prepay Program to
reenroll for the upcoming year, as well as to attract Floor Brokers
that have not yet participated in the program.
Moreover, the Exchange believes that the proposed modifications to
the FB Prepay Program are an equitable allocation of fees and credits
because they would apply to participating Floor Brokers equally and are
intended to encourage the important role performed by Floor Brokers in
facilitating the execution of orders via open outcry and providing
opportunities to obtain price improvement, a function which the
Exchange wishes to support for the benefit of all market participants.
The Exchange further believes that the proposed change with respect to
the calculation of Eligible Fixed Costs is equitable because it would
continue to be based on each Floor Broker organization's annualized
costs and because the November 2020 basis for annualizing costs would
provide a more accurate reflection of Eligible Fixed Costs for the
coming calendar year based on anticipated fixed costs in 2022.
To the extent that the proposed change continues to incent Floor
Brokers to participate in the FB Prepay Program and achieve the volume
required to qualify for the Percentage Growth Incentive, the increased
order flow would continue to make the Exchange a more competitive venue
for, among other things, order execution. Similarly, to the extent the
proposed change encourages Floor Brokers to participate in a greater
variety of transactions on the Exchange, the resulting increased order
flow would likewise continue to make the Exchange a more competitive
venue for order execution. Thus, the Exchange believes the proposed
rule change would improve market quality for all market participants on
the Exchange and, as a consequence, attract more order flow to the
Exchange, thereby improving market-wide quality and price discovery.
The Proposed Rule Change Is Not Unfairly Discriminatory
The Exchange believes the proposed modifications to the FB Prepay
Program are not unfairly discriminatory because they would apply to all
similarly-situated Floor Brokers. The proposal is based on the amount
and type of business transacted on the Exchange, and Floor Brokers are
not obligated to participate in the FB Prepay Program or try to achieve
any of the Percentage Growth Incentive Tiers.
The Exchange also believes that the proposed change is not unfairly
discriminatory to non-Floor Brokers because it is intended to encourage
Floor Brokers to continue facilitating the execution of orders via open
outcry and providing opportunities to obtain price improvement, a
function that benefits all market participants.
To the extent that the proposed change continues to attract
participation in the FB Prepay Program and incent Floor Brokers to
increase volume to qualify for the Percentage Growth Incentive, the
increased order flow would continue to make the Exchange a more
competitive venue for, among other things, order execution. Thus, the
Exchange believes the proposed rule change would improve market quality
for all market participants on the Exchange and, as a consequence,
attract
[[Page 4094]]
more order flow to the Exchange thereby improving market-wide quality
and price discovery.
In addition, to the extent that the proposed change attracts a
variety of transactions to the Exchange, this increased order flow
would continue to make the Exchange a more competitive venue for order
execution. Thus, the Exchange believes the proposed rule change would
improve market quality for all market participants on the Exchange and,
as a consequence, attract more order flow to the Exchange Floor,
thereby improving market-wide quality and price discovery. The
resulting increased volume and liquidity would provide more trading
opportunities and tighter spreads to all market participants and thus
would promote just and equitable principles of trade, remove
impediments to and perfect the mechanism of a free and open market and
a national market system and, in general, protect investors and the
public interest.
Finally, the Exchange believes that it is subject to significant
competitive forces, as described below in the Exchange's statement
regarding the burden on competition.
B. Self-Regulatory Organization's Statement on Burden on Competition
In accordance with Section 6(b)(8) of the Act, the Exchange does
not believe that the proposed rule change would impose any burden on
competition that is not necessary or appropriate in furtherance of the
purposes of the Act. Instead, as discussed above, the Exchange believes
that the proposed changes would encourage the submission of additional
liquidity to a public exchange, thereby promoting market depth, price
discovery and transparency and enhancing order execution opportunities
for all market participants. As a result, the Exchange believes that
the proposed change furthers the Commission's goal in adopting
Regulation NMS of fostering integrated competition among orders, which
promotes ``more efficient pricing of individual stocks for all types of
orders, large and small.'' \17\
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\17\ See Reg NMS Adopting Release, supra note 14, at 37499.
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Intramarket Competition. The Exchange believes the proposed change
will continue to incent Floor Brokers to participate in the FB Prepay
Program and encourage order flow to be directed to the Exchange Floor,
which would enhance the quality of quoting and may increase the volumes
of contracts traded on the Exchange. To the extent that the proposed
change imposes an additional competitive burden on non-Floor Brokers,
the Exchange believes that any such burden would be appropriate because
of Floor Brokers' important role in facilitating the execution of
orders via open outcry and providing opportunities for price
improvement, and the Exchange believes the proposed change is designed
to encourage and support that function.
In addition, to the extent that the proposed change in fact
encourages Floor Broker volume, all market participants should benefit
from the improved market liquidity. Enhanced market quality and
increased transaction volume that results from the anticipated increase
in order flow directed to the Exchange will benefit all market
participants and improve competition on the Exchange.
Intermarket Competition. The Exchange believes that the proposed
change would promote competition between the Exchange and other
execution venues by encouraging additional orders to be sent to the
Exchange Floor for execution. The proposed modifications to the FB
Prepay Program are designed to continue to incent Floor Broker
participation in the program, including by making the incentives more
achievable and increasing the amounts of the rebates available. The
Exchange thus believes that the proposed change would continue to
encourage Floor Brokers to execute orders on the Floor of the Exchange,
which would increase volume and liquidity, to the benefit of all market
participants by providing more trading opportunities and tighter
spreads.
Given the robust competition for volume among options markets,
implementing programs to attract order flow, such as the proposed
modifications to the FB Prepay Program, are consistent with the above-
mentioned goals of the Act.
The Exchange notes that it operates in a highly competitive market
in which market participants can readily favor competing venues. In
such an environment, the Exchange must continually review, and consider
adjusting, its fees and credits to remain competitive with other
exchanges. For the reasons described above, the Exchange believes that
the proposed rule change reflects this competitive environment.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were solicited or received with respect to the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change is effective upon filing pursuant to
Section 19(b)(3)(A) \18\ of the Act and subparagraph (f)(2) of Rule
19b-4 \19\ thereunder, because it establishes a due, fee, or other
charge imposed by the Exchange.
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\18\ 15 U.S.C. 78s(b)(3)(A).
\19\ 17 CFR 240.19b-4(f)(2).
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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) \20\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
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\20\ 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. Comments may be submitted by any of
the following methods:
Electronic Comments
<bullet> Use the Commission's internet comment form (<a href="http://www.sec.gov/rules/sro.shtml">http://www.sec.gov/rules/sro.shtml</a>); or
<bullet> Send an email to <a href="/cdn-cgi/l/email-protection#6113140d044c020e0c0c040f1512211204024f060e17"><span class="__cf_email__" data-cfemail="b4c6c1d8d199d7dbd9d9d1dac0c7f4c7d1d79ad3dbc2">[email protected]</span></a>. Please include
File Number SR-NYSEArca-2022-02 on the subject line.
Paper Comments
<bullet> 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-2022-02. 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 (http://www.sec.gov/
[[Page 4095]]
rules/sro.shtml). Copies of the submission, all subsequent amendments,
all written statements with respect to the proposed rule change that
are filed with the Commission, and all written communications relating
to the proposed rule change between the Commission and any person,
other than those that may be withheld from the public in accordance
with the provisions of 5 U.S.C. 552, will be available for website
viewing and printing in the Commission's Public Reference Room, 100 F
Street NE, Washington, DC 20549 on official business days between the
hours of 10:00 a.m. and 3:00 p.m. Copies of the filing also will be
available for inspection and copying at the principal office of the
Exchange. All comments received will be posted without change. Persons
submitting comments are cautioned that we do not redact or edit
personal identifying information from comment submissions. You should
submit only information that you wish to make available publicly. All
submissions should refer to File Number SR-NYSEArca-2022-02, and should
be submitted on or before February 16, 2022.
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\21\ 17 CFR 200.30-3(a)(12).
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\21\
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2022-01470 Filed 1-25-22; 8:45 am]
BILLING CODE 8011-01-P
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