Notice2022-20505
Self-Regulatory Organizations: Notice of Filing and Immediate Effectiveness of a Proposed Rule Change by Miami International Securities Exchange LLC To Amend Its Fee Schedule
Primary source
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Published
September 22, 2022
Issuing agencies
Securities and Exchange Commission
Full Text
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<title>Federal Register, Volume 87 Issue 183 (Thursday, September 22, 2022)</title>
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[Federal Register Volume 87, Number 183 (Thursday, September 22, 2022)]
[Notices]
[Pages 57930-57931]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-20505]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-95814; File No. SR-MIAX-2022-29]
Self-Regulatory Organizations: Notice of Filing and Immediate
Effectiveness of a Proposed Rule Change by Miami International
Securities Exchange LLC To Amend Its Fee Schedule
September 16, 2022.
Pursuant to the provisions of 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 September 8, 2022, Miami International
Securities Exchange, LLC (``MIAX'' or ``Exchange'') filed with the
Securities and Exchange Commission (``Commission'') a 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.
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\1\ 15 U.S.C. 78s(b)(1).
\2\ 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 is filing a proposal to amend the MIAX Options
Exchange Fee Schedule (the ``Fee Schedule'').
The text of the proposed rule change is available on the Exchange's
website at <a href="http://www.miaxoptions.com/rule-filings">http://www.miaxoptions.com/rule-filings</a>, at MIAX's principal
office, 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 footnote 14 referenced in Section
(1)(a)(iii) of the Fee Schedule to amend the list of MIAX Select
Symbols \3\ contained in the Priority Customer Rebate Program
(``PCRP'') \4\ to replace the reference to the symbol ``FB'' with
``META.''
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\3\ The term ``MIAX Select Symbols'' means options overlying
AAL, AAPL, AMAT, AMD, AMZN, BA, BABA, BB, BIDU, BP, C, CAT, CLF,
CVX, DAL, EBAY, EEM, [FB, ]FCX, GE, GILD, GLD, GM, GOOGL, GPRO, HAL,
INTC, IWM, JNJ, JPM, KMI, KO, MO, META, MRK, NFLX, NOK, ORCL, PBR,
PFE, PG, QCOM, QQQ, RIG, SPY, T, TSLA, USO, VALE, WBA, WFC, WMB, X,
XHB, XLE, XLF, XLP, XOM and XOP.
\4\ See section (1)(a)(iii) of the Fee Schedule for a complete
description of the PCRP.
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The Exchange initially created the list of MIAX Select Symbols on
March 1, 2014,\5\ and has added, removed and amended symbol names of
option classes from that list since that time.\6\ Select Symbols are
rebated slightly higher in certain PCRP tiers and segment than non-
Select Symbols. The Exchange notes that historically, Select Symbols
generally include a subset of classes of options that are included in
the Penny Interval Program, an industry-wide program that provides for
the quoting and trading of certain option classes in penny increments
(the ``Penny Program'').\7\
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\5\ See Securities Exchange Act Release No. 71700 (March 12,
2014), 79 FR 15188 (March 18, 2014) (SR-MIAX-2014-13).
\6\ See, e.g., Securities Exchange Act Release Nos. 89530
(August 12, 2020), 85 FR 50845 (August 18, 2020) (SR-MIAX-2020-26);
88850 (May 11, 2020), 85 FR 29497 (May 15, 2020) (SR-MIAX-2020-09);
87964 (January 14, 2020), 85 FR 3435 (January 21, 2020) (SR-MIAX-
2020-01); 87790 (December 18, 2019), 84 FR 71037 (December 26, 2019)
(SR-MIAX-2019-49); 85314 (March 14, 2019), 84 FR 10359 (March 20,
2019) (SR-MIAX-2019-07; 81998 (November 2, 2017), 82 FR 51897
(November 8, 2017) (SR-MIAX-2017-45); 81019 (June 26, 2017), 82 FR
29962 (June 30, 2017) (SR-MIAX-2017-29); 79301 (November 14, 2016),
81 FR 81854 (November 18, 2016) (SR-MIAX-2016-42); 74291 (February
18, 2015), 80 FR 9841 (February 24, 2015) (SR-MIAX-2015-09); 74288
(February 18, 2015), 80 FR 9837 (February 24, 2015) (SR-MIAX-2015-
08); 73328 (October 9, 2014), 79 FR 62230 (October 16, 2014) (SR-
MIAX-2014-50); 72567 (July 8, 2014), 79 FR 40818 (July 14, 2014)
(SR-MIAX-2014-34); 72356 (June 10, 2014), 79 FR 34384 (June 16,
2014) (SR-MIAX-2014-26); 71700 (March 12, 2014), 79 FR 15188 (March
18, 2014) (SR-MIAX-2014-13).
\7\ See Securities Exchange Act Release No. 88988 (June 2,
2020), 85 FR 35153 (June 8, 2020) (SR-MIAX-2020-13). See also
Exchange Rule 510(c).
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On June 8, 2022, the Exchange issued an alert that Meta Platforms,
Inc. would begin trading under its new stock symbol, ``META'',
replacing its previous ticker symbol, ``FB,'' beginning June 9,
2022.\8\ The Exchange now proposes to replace references to the symbol
``FB'' with ``META'' in Footnote 14 of Section (1)(a)(iii) of the Fee
Schedule. The Exchanges notes that this is the same change that Nasdaq
ISE, LLC made recently.\9\ The Exchange notes that it is continuing to
apply the higher MIAX Select Symbol rebate rate, notwithstanding the
symbol change from ``FB'' to ``META'' in June. The proposed change is
immediately effective.
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\8\ See MIAX Listing Alert (June 8, 2022), available at <a href="https://www.miaxoptions.com/sites/default/files/alert-files/FB_Symbol_Change_50536.pdf">https://www.miaxoptions.com/sites/default/files/alert-files/FB_Symbol_Change_50536.pdf</a>.
\9\ See Securities Exchange Act Release No. 95238 (July 11,
2022), 87 FR 42515 (July 15, 2022) (SR-ISE-2022-14).
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2. Statutory Basis
The Exchange believes that its proposal to amend its Fee Schedule
is consistent with Section 6(b) of the Act \10\ in general, and
furthers the objectives of Section 6(b)(4) of the Act \11\ in
particular, in that it is an equitable allocation of reasonable fees
and other charges among its members and issuers and other persons using
its facilities. The Exchange also believes the proposal furthers the
objectives of Section 6(b)(5) of the Act in that it is designed to
promote just and equitable principles of trade, 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 is not designed to permit unfair discrimination between
customers, issuers, brokers and dealers.
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\10\ 15 U.S.C. 78f(b).
\11\ 15 U.S.C. 78f(b)(4) and (5).
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The Exchange believes the proposal to amend the symbol name from
``FB'' to ``META'' in the list of MIAX Select Symbols contained in the
PCRP is consistent with Section 6(b)(4) of the Act because the proposed
change will allow for continued benefit to investors by providing them
an updated list of MIAX Select Symbols contained in the PCRP on the Fee
Schedule. The proposed change will provide clarity in the Fee Schedule
that the symbol ``META'' continues to be subject to the MIAX Select
Symbols pricing.
The Exchange also believes that its proposal is consistent with
Section 6(b)(5) of the Act because it will apply equally to all
similarly situated Priority Customer orders in MIAX Select Symbols in
the PCRP. All similarly situated Priority Customer orders in MIAX
Select Symbols are subject to the same rebate schedule.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
result in any burden on competition that is not necessary or
appropriate in furtherance of the purposes of the Act. The Exchange's
proposal to update references to the symbol ``FB'' to ``META'' within
the Fee Schedule does
[[Page 57931]]
not impose an undue burden on competition as the proposal does not
amend the current pricing. This proposed change is a not a competitive
proposal but rather is designed to update the list of MIAX Select
Symbols contained in the PCRP in order to avoid potential confusion on
the part of market participants and other competing options exchanges.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
Written comments were neither solicited nor received.
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,\12\ and Rule 19b-4(f)(2) \13\ 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 should be approved or disapproved.
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\12\ 15 U.S.C. 78s(b)(3)(A)(ii).
\13\ 17 CFR 240.19b-4(f)(2).
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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#8efcfbe2eba3ede1e3e3ebe0fafdcefdebeda0e9e1f8"><span class="__cf_email__" data-cfemail="3e4c4b525b135d5153535b504a4d7e4d5b5d10595148">[email protected]</span></a>. Please include
File SR-MIAX-2022-29 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-MIAX-2022-29. 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 (<a href="http://www.sec.gov/rules/sro.shtml">http://www.sec.gov/rules/sro.shtml</a>).
Copies of the submission, all subsequent amendments, all written
statements with respect to the proposed rule change that are filed with
the Commission, and all written communications relating to the proposed
rule change between the Commission and any person, other than those
that may be withheld from the public in accordance with the provisions
of 5 U.S.C. 552, will be available for website viewing and printing in
the Commission's Public Reference Room, 100 F Street NE, Washington, DC
20549, on official business days between the hours of 10:00 a.m. and
3:00 p.m. Copies of such filing also will be available for inspection
and copying at the principal office of 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-MIAX-2022-29 and should be submitted on
or before October 13, 2022.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\14\
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\14\ 17 CFR 200.30-3(a)(12).
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J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2022-20505 Filed 9-21-22; 8:45 am]
BILLING CODE 8011-01-P
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