Notice2022-22556
Self-Regulatory Organizations; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change by MIAX PEARL, LLC To Amend the MIAX Pearl 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
October 18, 2022
Issuing agencies
Securities and Exchange Commission
Full Text
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<title>Federal Register, Volume 87 Issue 200 (Tuesday, October 18, 2022)</title>
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[Federal Register Volume 87, Number 200 (Tuesday, October 18, 2022)]
[Notices]
[Pages 63115-63119]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-22556]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-96044; File No. SR-PEARL-2022-42]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of a Proposed Rule Change by MIAX PEARL, LLC To Amend the
MIAX Pearl Options Fee Schedule
October 12, 2022.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given
that on September 29, 2022, MIAX PEARL, LLC (``MIAX Pearl'' or
``Exchange'') filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change as described in Items I, II
and III below, which Items have been prepared by the Exchange. The
Commission is publishing this notice to solicit comments on the
proposed rule change from interested persons.
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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 Pearl Options
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/pearl">http://www.miaxoptions.com/rule-filings/pearl</a> at MIAX
Pearl'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
[[Page 63116]]
forth in sections A, B, and C below, of the most significant aspects of
such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend the Add/Remove Tiered Rebates/Fees
set forth in Section (1)(a) of the Fee Schedule to: (1) modify the
volume threshold for the alternative volume criteria for certain Maker
(defined below) rebates for Non-Priority Customer, Firm, Broker-Dealer
(``BD''), and Non-MIAX Pearl Market Maker origins (collectively,
``Professional Members''); (2) lower the alternative Maker rebate for
Professional Members in Penny Classes (defined below); and (3) modify
the volume threshold for the alternative volume criteria for the lower
Taker (defined below) fee for Professional Members' Firm origin when
trading against origins other than Priority Customer \3\ in Penny
Classes.
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\3\ ``Priority Customer'' means a person or entity that (i) is
not a broker or dealer in securities, and (ii) does not place more
than 390 orders in listed options per day on average during a
calendar month for its own beneficial accounts(s). The number of
orders shall be counted in accordance with Interpretation and Policy
.01 of Exchange Rule 100. See the Definitions section of the Fee
Schedule and Exchange Rule 100.
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Background
The Exchange currently assesses transaction rebates and fees to all
market participants which are based upon the total monthly volume
executed by the Member \4\ on MIAX Pearl in the relevant, respective
origin type (not including Excluded Contracts) \5\ (as the numerator)
expressed as a percentage of (divided by) TCV \6\ (as the denominator).
In addition, the per contract transaction rebates and fees are applied
retroactively to all eligible volume for that origin type once the
respective threshold tier (``Tier'') has been reached by the Member.
The Exchange aggregates the volume of Members and their Affiliates.\7\
Members that place resting liquidity, i.e., orders resting on the book
of the MIAX Pearl System,\8\ are paid the specified ``maker'' rebate
(each a ``Maker''), and Members that execute against resting liquidity
are assessed the specified ``taker'' fee (each a ``Taker''). For
opening transactions and ABBO \9\ uncrossing transactions, per contract
transaction rebates and fees are waived for all market participants.
Finally, Members are assessed lower transaction fees and receive lower
rebates for order executions in standard option classes in the Penny
Interval Program \10\ (``Penny Classes'') than for order executions in
standard option classes that are not in the Penny Interval Program
(``Non-Penny Classes''), where Members are assessed higher transaction
fees and receive higher rebates.
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\4\ ``Member'' means an individual or organization that is
registered with the Exchange pursuant to Chapter II of Exchange
Rules for purposes of trading on the Exchange as an ``Electronic
Exchange Member'' or ``Market Maker.'' Members are deemed
``members'' under the Exchange Act. See the Definitions Section of
the Fee Schedule and Exchange Rule 100.
\5\ ``Excluded Contracts'' means any contracts routed to an away
market for execution. See the Definitions Section of the Fee
Schedule.
\6\ ``TCV'' means total consolidated volume calculated as the
total national volume in those classes listed on MIAX Pearl for the
month for which the fees apply, excluding consolidated volume
executed during the period time in which the Exchange experiences an
``Exchange System Disruption'' (solely in the option classes of the
affected Matching Engine (as defined below)). The term Exchange
System Disruption, which is defined in the Definitions section of
the Fee Schedule, means an outage of a Matching Engine or collective
Matching Engines for a period of two consecutive hours or more,
during trading hours. The term Matching Engine, which is also
defined in the Definitions section of the Fee Schedule, is a part of
the MIAX Pearl electronic system that processes options orders and
trades on a symbol-by-symbol basis. Some Matching Engines will
process option classes with multiple root symbols, and other
Matching Engines may be dedicated to one single option root symbol
(for example, options on SPY may be processed by one single Matching
Engine that is dedicated only to SPY). A particular root symbol may
only be assigned to a single designated Matching Engine. A
particular root symbol may not be assigned to multiple Matching
Engines. The Exchange believes that it is reasonable and appropriate
to select two consecutive hours as the amount of time necessary to
constitute an Exchange System Disruption, as two hours equates to
approximately 1.4% of available trading time per month. The Exchange
notes that the term ``Exchange System Disruption'' and its meaning
have no applicability outside of the Fee Schedule, as it is used
solely for purposes of calculating volume for the threshold tiers in
the Fee Schedule. See the Definitions Section of the Fee Schedule.
\7\ ``Affiliate'' means (i) an affiliate of a Member of at least
75% common ownership between the firms as reflected on each firm's
Form BD, Schedule A, or (ii) the Appointed Market Maker of an
Appointed EEM (or, conversely, the Appointed EEM of an Appointed
Market Maker). An ``Appointed Market Maker'' is a MIAX Pearl Market
Maker (who does not otherwise have a corporate affiliation based
upon common ownership with an EEM) that has been appointed by an EEM
and an ``Appointed EEM'' is an EEM (who does not otherwise have a
corporate affiliation based upon common ownership with a MIAX Pearl
Market Maker) that has been appointed by a MIAX Pearl Market Maker,
pursuant to the following process. A MIAX Pearl Market Maker
appoints an EEM and an EEM appoints a MIAX Pearl Market Maker, for
the purposes of the Fee Schedule, by each completing and sending an
executed Volume Aggregation Request Form by email to
<a href="/cdn-cgi/l/email-protection#f29f979f909780819a9b82b29f9b938a9d82869b9d9c81dc919d9f"><span class="__cf_email__" data-cfemail="6f020a020d0a1d1c07061f2f02060e17001f1b0600011c410c0002">[email protected]</span></a> no later than 2 business days prior to
the first business day of the month in which the designation is to
become effective. Transmittal of a validly completed and executed
form to the Exchange along with the Exchange's acknowledgement of
the effective designation to each of the Market Maker and EEM will
be viewed as acceptance of the appointment. The Exchange will only
recognize one designation per Member. A Member may make a
designation not more than once every 12 months (from the date of its
most recent designation), which designation shall remain in effect
unless or until the Exchange receives written notice submitted 2
business days prior to the first business day of the month from
either Member indicating that the appointment has been terminated.
Designations will become operative on the first business day of the
effective month and may not be terminated prior to the end of the
month. Execution data and reports will be provided to both parties.
See the Definitions Section of the Fee Schedule.
\8\ The term ``System'' means the automated trading system used
by the Exchange for the trading of securities. See Exchange Rule
100.
\9\ ``ABBO'' means the best bid(s) or offer(s) disseminated by
other Eligible Exchanges (defined in Exchange Rule 1400(g)) and
calculated by the Exchange based on market information received by
the Exchange from OPRA. See the Definitions Section of the Fee
Schedule and Exchange Rule 100.
\10\ See Securities Exchange Act Release No. 88992 (June 2,
2020), 85 FR 35142 (June 8, 2020) (SR-PEARL-2020-06).
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Proposal To Modify the Volume Threshold for the Alternative Volume
Criteria for Certain Maker Rebates for Professional Members and Lower
the Alternative Rebate for Professional Members in Penny Classes
The Exchange proposes to amend footnote ``[supcaret]'' below the
tables in the Add/Remove Tiered Rebates/Fees section set forth in
Section (1)(a) of the Fee Schedule to decrease the affiliated Priority
Customer threshold in order for Members to qualify for alternative
Maker rebates for options transactions in all classes for Professional
Members, provided that the Member meets certain volume criteria.
Currently, Professional Members may qualify for Maker rebates equal to
the greater of: (A) ($0.40) for Penny Classes and ($0.65) for Non-Penny
Classes, or (B) the amount set forth in the applicable Tier reached by
the Member in the relevant origin, if the Member and their Affiliates
execute at least 2.25% volume in the relevant month, in Priority
Customer origin type, in all options classes, not including Excluded
Contracts, as compared to the TCV in all MIAX Pearl listed option
classes.
The Exchange proposes to decrease the affiliated Priority Customer
threshold percentage amount in footnote ``[supcaret]'' in order for
Members to qualify for the alternative Maker rebates for their
Professional Members. The threshold will change from at least 2.25% to
at least 1.25% volume in the relevant month, in Priority Customer
origin type, in all options classes, not including Excluded Contracts,
as compared to the TCV in all MIAX Pearl listed option classes. For
purposes of qualifying for such rates, the Exchange will continue
[[Page 63117]]
to aggregate the Priority Customer volume transacted by Members and
their Affiliates. As the amount and type of volume that is executed on
the Exchange has shifted since it first established the alternative
Maker rebates for options transactions in all classes for Professional
Members, provided that the Member meets certain volume criteria, the
Exchange has determined to level-set this threshold amount so that it
is more reflective of the current operating conditions and the current
type and amount of volume executed on the Exchange.\11\ This change is
also for business and competitive reasons in order to attract
additional Priority Customer volume from Professional Members by
decreasing the alternative volume threshold in order for Professional
Members to achieve the alternative Maker rebates denoted by footnote
``[supcaret]'', which should benefit all Exchange participants by
providing more trading opportunities and tighter spreads.
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\11\ See Securities Exchange Act Release Nos. 91605 (April 16,
2021), 86 FR 21405 (April 22, 2021) (SR-PEARL-2021-16); 83419 (June
12, 2018), 83 FR 28285 (June 18, 2018) (SR-PEARL-2018-13); 85608
(April 11, 2019), 84 FR 16073 (April 17, 2019) (SR-PEARL-2019-13).
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The Exchange also proposes to amend footnote ``[supcaret]'' to
decrease the alternative Maker rebate for Professional Members in Penny
Classes. As described above, footnote ``[supcaret]'' provides that
Members may achieve an alternative Maker rebate of ($0.40) in Penny
Classes if a certain volume threshold is achieved in the Priority
Customer origin type, in all options classes, not including Excluded
Contracts, as compared to the TCV in all MIAX Pearl listed option
classes. The Exchange now proposes to decrease this Maker rebate from
($0.40) to ($0.37). Accordingly, with both of the proposed changes to
footnote ``[supcaret],'' Members may qualify for Maker rebates equal to
the greater of: (A) ($0.37) for Penny Classes and ($0.65) for Non-Penny
Classes, or (B) the amount set forth in the applicable Tier reached by
the Member in the relevant origin, if the Member and their Affiliates
execute at least 1.25% volume in the relevant month, in Priority
Customer origin type, in all options classes, not including Excluded
Contracts, as compared to the TCV in all MIAX Pearl listed option
classes.
The purpose of adjusting the specified Maker rebate is for business
and competitive reasons. In order to attract order flow, the Exchange
initially set its Maker rebates so that they were higher than other
options exchanges that operate comparable maker/taker pricing
models.\12\ The Exchange believes that it is appropriate to adjust this
specified Maker rebate so that it is more in line with other exchanges,
but will remain highly competitive such that it should enable the
Exchange to continue to attract order flow and maintain market
share.\13\
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\12\ See Securities Exchange Act Release Nos. 80061 (February
17, 2017), 82 FR 11676 (February 24, 2017) (SR-PEARL-2017-10)
(establishing the Exchange's fee schedule with Market Maker and
Professional Member Maker Penny Class rebates ranging from ($0.25)
in Tier 1 to ($0.48) in Tier 4, the highest Tier at that time).
\13\ See, generally, The Nasdaq Stock Market, Options 7 Pricing
Schedule, Section 2 (Professional Member rebates ranging from $0.20
in Tier 1 to $0.48 in Tier 6); Cboe BZX Options Fee Schedule,
Standard Rates (Professional rebates for Penny Class securities
ranging from $0.25 to $0.48 for adding liquidity; and Firm, Broker-
Dealer, Joint Back Office rebates for Penny Class securities ranging
from $0.25 to $0.46 for adding liquidity).
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Proposal To Modify the Volume Threshold for the Alternative Volume
Criteria for the Lower Taker Fee for Professional Members' Firm Origin
When Trading Against Origins Other Than Priority Customer in Penny
Classes
The Exchange proposes to amend footnote ``[diamso]'' below the
tables in the Add/Remove Tiered Rebates/Fees section set forth in
Section (1)(a) of the Fee Schedule to decrease the affiliated Priority
Customer threshold in which Members may qualify for alternative lower
Taker fee for options transactions in Penny Classes for Professional
Members' Firm origin, provided that the Member meets certain volume
criteria. Currently, Professional Members may qualify for the
alternative lower Taker fee for their Firm origin of $0.48 in Penny
Classes when trading against origins other than Priority Customer if
the Member and their Affiliates execute at least 2.25% of TCV in the
relevant month in the Priority Customer origin type, in all options
classes, not including Excluded Contracts, as compared to TCV in all
MIAX Pearl listed option classes.
The Exchange proposes to decrease the affiliated Priority Customer
threshold percentage amount in footnote ``[diamso]'' in order for
Members' Firm origin to qualify for the alternative lower Taker fee.
The threshold will change from at least 2.25% to at least 1.25% of TCV
in the relevant month, in Priority Customer origin type, in all options
classes, not including Excluded Contracts, as compared to the TCV in
all MIAX Pearl listed option classes. As the amount and type of volume
that is executed on the Exchange has shifted since it first established
the alternative Taker fee,\14\ the Exchange has determined to level-set
this threshold amount so that it is more reflective of the current
operating conditions and the current type and amount of volume executed
on the Exchange. The purpose of this change is also for business and
competitive reasons in order to attract additional Priority Customer
volume by decreasing the alternative volume threshold in order for
Professional Members to achieve the lower Taker fee for their Firm
origin orders, which should benefit all Exchange participants by
providing more trading opportunities and tighter spreads.
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\14\ See Securities Exchange Act Release Nos. 85608 (April 11,
2019), 84 FR 16073 (April 17, 2019) (SR-PEARL-2019-13) (establishing
lower alternative Taker fee for Firm origin with volume threshold of
2.00% of TCV); 85807 (May 8, 2019), 84 FR 21368 (May 14, 2019) (SR-
PEARL-2019-15) (removing one of the conditions that must be met in
order for Members to qualify for the alternative lower Taker fee for
Penny Classes for their Firm origin).
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Implementation
The proposed changes are effective beginning October 1, 2022.
2. Statutory Basis
The Exchange believes that its proposal to amend its Fee Schedule
is consistent with Section 6(b) of the Act \15\ in general, and
furthers the objectives of Section 6(b)(4) of the Act,\16\ in that it
is an equitable allocation of reasonable dues, fees and other charges
among Exchange members and issuers and other persons using its
facilities, and 6(b)(5) of the Act,\17\ 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 mechanisms of a
free and open market and a national market system and, in general, to
protect investors and the public interest.
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\15\ 15 U.S.C. 78f(b).
\16\ 15 U.S.C. 78f(b)(4).
\17\ 15 U.S.C. 78f(b)(1) and (b)(5).
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The Commission has repeatedly expressed its preference for
competition over regulatory intervention in determining prices,
products, and services in the securities markets. 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
[[Page 63118]]
broader forms that are most important to investors and listed
companies.'' \18\
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\18\ See Securities Exchange Act Release No. 51808 (June 9,
2005), 70 FR 37496 (June 29, 2005).
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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, as of September 26, 2022, no single exchange has
more than approximately 10-11% equity options market share for the
month of September 2022.\19\ Therefore, no exchange possesses
significant pricing power. More specifically, as of September 26, 2022,
the Exchange has a market share of approximately 4.04% of executed
volume of multiply-listed equity options for the month of September
2022.\20\
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\19\ See ``The market at a glance,'' (last visited September 26,
2022), available at <a href="https://www.miaxoptions.com/">https://www.miaxoptions.com/</a>.
\20\ See id.
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The Exchange believes that the ever-shifting market share among the
exchanges from month to month demonstrates that market participants can
discontinue or reduce use of certain categories of products and
services, terminate an existing membership or determine to not become a
new member, and/or shift order flow, in response to transaction fee
changes. For example, on February 28, 2019, the Exchange filed with the
Commission a proposal to increase Taker fees in certain Tiers for
options transactions in certain Penny classes for Priority Customers
and decrease Maker rebates in certain Tiers for options transactions in
Penny classes for Priority Customers (which fee was to be effective
March 1, 2019).\21\ The Exchange experienced a decrease in total market
share for the month of March 2019, after the proposal went into effect.
Accordingly, the Exchange believes that its March 1, 2019, fee change,
to increase certain transaction fees and decrease certain transaction
rebates, may have contributed to the decrease in MIAX Pearl's market
share and, as such, the Exchange believes competitive forces constrain
the Exchange's, and other options exchanges, ability to set transaction
fees and market participants can shift order flow based on fee changes
instituted by the exchanges.
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\21\ See Securities Exchange Act Release No. 85304 (March 13,
2019), 84 FR 10144 (March 19, 2019) (SR-PEARL-2019-07).
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The Exchange believes its proposal to decrease the Priority
Customer threshold for alternative Maker rebates for options
transactions in all classes for Professional Members, provided that the
Member meets certain volume criteria is reasonable, equitable and not
unfairly discriminatory because all similarly situated market
participants are subject to the same tiered rebates and fees. The
Exchange believes that providing alternative Maker rebates for options
transactions in all classes for Professional Members (if the Member
meets certain volume criteria relating to Priority Customer volume),
and adjusting the threshold requirement so that it is reflective of
current operating conditions and the current type and amount of volume
executed on the Exchange, will encourage Members to execute additional
Priority Customer and Professional Member volume on the Exchange. The
Exchange believes that additional Priority Customer and Professional
Member volume executed on the Exchange will attract further liquidity
to the Exchange, which in turn will benefit all market participants.
The Exchange believes its proposal to decrease the alternative
Maker rebate for Professional Members in Penny Classes is reasonable,
equitable and not unfairly discriminatory because all similarly
situated market participants are subject to the same tiered rebates and
fees. In order to attract order flow, the Exchange initially set its
Maker rebates so that they were higher than other options exchanges
that operate comparable maker/taker pricing models.\22\ The Exchange
believes that it is reasonable and equitable to adjust this specified
Maker rebate so that it is more in line with other exchanges, but will
remain highly competitive such that it should enable the Exchange to
continue to attract order flow and maintain market share.\23\
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\22\ See Securities Exchange Act Release Nos. 80061 (February
17, 2017), 82 FR 11676 (February 24, 2017) (SR-PEARL-2017-10)
(establishing the Exchange's fee schedule with Market Maker and
Professional Member Maker Penny Class rebates ranging from ($0.25)
in Tier 1 to ($0.48) in Tier 4, the highest Tier at that time).
\23\ See, generally, The Nasdaq Stock Market, Options 7 Pricing
Schedule, Section 2 (Professional Member rebates ranging from $0.20
in Tier 1 to $0.48 in Tier 6); Cboe BZX Options Fee Schedule,
Standard Rates (Professional rebates for Penny Class securities
ranging from $0.25 to $0.48 for adding liquidity; and Firm, Broker-
Dealer, Joint Back Office rebates for Penny Class securities ranging
from $0.25 to $0.46 for adding liquidity).
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The Exchange believes its proposal to decrease the Priority
Customer threshold for the alternative lower Taker fee for Professional
Members' Firm origin, provided that the Member meets certain volume
criteria is reasonable, equitable and not unfairly discriminatory
because all similarly situated market participants are subject to the
same tiered rebates and fees. The Exchange believes that providing the
lower alternative Taker fee for Professional Members Firm origin (if
the Member meets certain volume criteria relating to Priority Customer
volume), and adjusting the threshold requirement so that it is
reflective of current operating conditions and the current type and
amount of volume executed on the Exchange, will encourage Members to
execute additional Priority Customer and Professional Member volume on
the Exchange. The Exchange believes that additional Priority Customer
and Professional Member volume executed on the Exchange will attract
further liquidity to the Exchange, which in turn will benefit all
market participants.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule changes will
impose any burden on competition not necessary or appropriate in
furtherance of the purposes of the Act. The Exchange believes that the
proposed change to lower the volume threshold for the alternative
volume criteria for certain Maker rebates for Professional Members
should continue to encourage the provision of liquidity that enhances
the quality of the Exchange's market and increase the number of trading
opportunities on the Exchange for all participants who will be able to
compete for such opportunities. Similarly, the Exchange believes that
the proposed change to lower the volume threshold for the alternative
volume criteria for the lower Taker fee for Professional Members' Firm
origin should continue to encourage the provision of liquidity that
enhances the quality of the Exchange's market and increase the number
of trading opportunities on the Exchange for all participants who will
be able to compete for such opportunities. These proposed changes
should enable the Exchange to continue to attract and compete for
Professional Member and Priority Customer order flow with other
exchanges. However, this competition does not create an undue burden on
competition but rather offers all market participants the opportunity
to receive the benefit of competitive pricing.
The Exchange believes the proposed Maker rebate adjustment is
intended to keep the Exchange's rebates highly competitive with those
of other exchanges, and to encourage liquidity and should enable the
Exchange to continue to attract and compete for order flow with other
exchanges. The Exchange notes that it operates in a highly competitive
market in which market participants can readily favor competing venues
if they deem fee levels at a particular venue to be excessive. In such
an environment, the
[[Page 63119]]
Exchange must continually adjust its rebates and fees to remain
competitive with other exchanges and to attract order flow. The
Exchange believes that the proposed rule changes reflect this
competitive environment because the proposal modifies the Exchange's
fees in a manner that encourages market participants to continue to
provide liquidity and to send order flow to the Exchange.
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,\24\ and Rule 19b-4(f)(2) \25\ 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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\24\ 15 U.S.C. 78s(b)(3)(A)(ii).
\25\ 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#f587809990d8969a9898909b8186b5869096db929a83"><span class="__cf_email__" data-cfemail="92e0e7fef7bff1fdfffff7fce6e1d2e1f7f1bcf5fde4">[email protected]</span></a>. Please include
File Number SR-PEARL-2022-42.
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-PEARL-2022-42. 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 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-PEARL-2022-42, and should be submitted
on or before November 8, 2022.
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\26\ 17 CFR 200.30-3(a)(12).
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\26\
J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2022-22556 Filed 10-17-22; 8:45 am]
BILLING CODE 8011-01-P
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