Notice2023-16392
Options Price Reporting Authority; Notice of Filing and Immediate Effectiveness of Proposed Amendment To Modify the OPRA Fee Schedule Regarding Caps on Certain Port Fees
Primary source
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Published
August 2, 2023
Issuing agencies
Securities and Exchange Commission
Full Text
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<title>Federal Register, Volume 88 Issue 147 (Wednesday, August 2, 2023)</title>
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[Federal Register Volume 88, Number 147 (Wednesday, August 2, 2023)]
[Notices]
[Pages 50939-50943]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-16392]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-98012; File No. SR-OPRA-2023-01]
Options Price Reporting Authority; Notice of Filing and Immediate
Effectiveness of Proposed Amendment To Modify the OPRA Fee Schedule
Regarding Caps on Certain Port Fees
July 27, 2023.
Pursuant to Section 11A of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 608 thereunder,\2\ notice is hereby given that
on July 17, 2023, the Options Price Reporting Authority (``OPRA'')
filed with the Securities and Exchange Commission (``Commission'') a
proposed amendment to the Plan for Reporting of Consolidated Options
Last Sale Reports and Quotation Information (``OPRA Plan'').\3\ The
proposed OPRA Plan amendment (``Amendment'') would amend the OPRA Fee
Schedule. The Commission is publishing this notice to provide
interested persons an opportunity to submit written comments on the
Amendment.
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\1\ 15 U.S.C. 78k-1.
\2\ 17 CFR 242.608.
\3\ The OPRA Plan is a national market system plan approved by
the Commission pursuant to Section 11A of the Act and Rule 608
thereunder. See Securities Exchange Act Release No. 17638 (March 18,
1981), 22 S.E.C. Docket 484 (March 31, 1981). The full text of the
OPRA Plan and a list of its participants are available at <a href="https://www.opraplan.com/">https://www.opraplan.com/</a>. The OPRA Plan provides for the collection and
dissemination of last sale and quotation information on options that
are traded on the participant exchanges.
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The Amendment has been filed by the Participants pursuant to Rule
608(b)(2) under Regulation NMS.\4\ The Commission is publishing this
notice to solicit comments from interested persons on the proposed
Amendment. Set forth in Section I, which was prepared and filed with
the Commission by the Participants, is the statement of the purpose and
summary of the Amendment, along with information pursuant to Rule
608(a) under the Act.\5\ A copy of the OPRA Fee Schedule, marked to
show the proposed Amendment, is Attachment A to this notice.
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\4\ 17 CFR 242.608(b)(2).
\5\ 17 CFR 242.801(a).
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I. Rule 608(a)
(a) Statement of Purpose
The purpose of the amendment is to amend the OPRA Fee Schedule to
provide public notice of the fact that OPRA negotiated terms in the
2021 Processor Services Agreement (the ``2021 Processor Agreement'')
between OPRA and the Securities Industry Automation Corporation
(``SIAC'') which impose caps on certain port fees that can be charged
per month when SIAC, either directly or through a third party, provides
direct access to OPRA data to any person authorized by OPRA to receive
direct access to OPRA data.
Under the 2021 Processor Agreement, SIAC is OPRA's ``processor,''
meaning that SIAC gathers the last sale and quote information from each
of the OPRA members, consolidates that information, and disseminates
the consolidated OPRA data. As the processor, SIAC works directly with
OPRA members and data vendors to provide connectivity to SIAC.
Connectivity to SIAC is currently provided by an affiliate of SIAC, the
ICE Global Network (``IGN''), and IGN both sets and charges the port
fees associated with that connectivity. OPRA, in contrast, does not
provide access ports, it does not charge any port fees, it does not
collect any fees on behalf of OPRA members in connection with access to
SIAC, and it does not receive any portion of port fees charged by other
entities. As a result, OPRA does not believe that the caps that OPRA
negotiated with SIAC concerning the amount of port fees that can be
charged either (1) establishes or changes a fee or charge collected on
behalf of the members of the OPRA Plan in connection with access to, or
use of, any OPRA facilities or (2) represents a fee or charge imposed
by OPRA as contemplated by Rule 608(a)(5)(ii) of Regulation NMS.\6\
Nonetheless, OPRA is submitting this proposed plan amendment because
OPRA wishes to provide the public with notice of the contractual fee
caps that it negotiated with SIAC and because Commission Staff
requested that it do so.
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\6\ 17 CFR 242.608(a)(5)(ii).
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In 2014, OPRA was engaged in a competitive bidding process
involving firms that were seeking to become OPRA's data processor for a
five-year term to begin in 2015. As part of that process, OPRA was
considering many factors raised by the materials submitted by several
entities in response to OPRA's request for proposals. Although OPRA
does not own, or have any control over, the myriad locations where a
data recipient might choose to receive OPRA data and OPRA has no role
in setting the port connection fees that might be charged by the
entities that control access at those locations, OPRA requested that
the two finalist bidders each outline any commitments that they could
make to cap the 10G and 40G network connection fees that might be
charged to data recipients and to the OPRA members during the term of
the new processor agreement. In response, SIAC, the bidder that was
eventually selected to continue as the OPRA processor, stated its
expectation that the 10G port fee would not rise above the then current
rate of $16,000 per month (including the cross-connect) and that the
40G port fee would not rise above the then current rate of $20,500 per
month (including the cross-connect).
As OPRA negotiated the terms of a new processor agreement with
SIAC, OPRA's Management Committee requested that SIAC's expectation
that port fees would not increase above the existing levels be included
in the agreement, and SIAC agreed. SIAC also agreed to the inclusion of
a provision providing that, whenever higher capacity ports might become
available during the term of the agreement, OPRA would have the right
to approve a cap on the port fees that could be charged for those
higher capacity ports.
Effective as of January 1, 2015, OPRA and SIAC entered into a new
Processor Agreement for a term ending on December 31, 2020 (the ``2015
Processor Agreement''). Consistent with the parties' negotiations, the
2015 Processor Agreement contained the following provision:
During the Term, SIAC will provide, directly or through a third
party, access to OPRA Data to any person authorized by OPRA to
receive direct access to OPRA Data for total fees not to exceed
$16,000 per month per 10G port and $20,500 per month per 40G port,
in each case, inclusive of cross-connect (whether or not such fees
also cover direct access to data in addition to the OPRA Data). If
and when during the Term, direct access to the OPRA Data becomes
available via higher capacity ports, SIAC will provide, directly or
through a third party, access to OPRA Data to any person authorized
by OPRA to receive direct access to OPRA Data for total fees not to
exceed an amount approved by OPRA (such approval not to be
unreasonably withheld) and not inconsistent with the 10G and 40G
port rates.
[[Page 50940]]
In sum, although OPRA does not set or charge port fees, OPRA used
the negotiation process as an opportunity to ensure that SIAC's ability
to increase the amount of port fees would be capped during the term of
the 2015 Processor Agreement for all OPRA data recipients, including
OPRA members, who were authorized to receive direct access to OPRA
data.
In 2019, as the end of the term of the 2015 Processor Agreement
approached, OPRA engaged in another competitive process of soliciting
and considering bids from interested entities to act as OPRA's data
processor. Among the many factors assessed by OPRA, OPRA considered the
port fees that bidders proposed to charge, and SIAC agreed to maintain
the existing terms of the 2015 Processor Agreement regarding the port
fee cap provisions applicable to OPRA direct data recipients, including
OPRA members.
Effective as of January 1, 2021, OPRA and SIAC entered into the
2021 Processor Agreement, which runs for a term ending on January 1,
2026. In the 2021 Processor Agreement, the parties agreed as follows:
Port Fees
During the Term of the Agreement, SIAC will provide, directly or
through a third party, access to OPRA Data to any person authorized
by OPRA to receive direct access to OPRA Data for total fees not to
exceed $16,000 per month per 10G port and $20,500 per month per 40G
port, in each case, inclusive of cross-connect (whether or not such
fees also cover direct access to data in addition to the OPRA Data).
If and when during the Term, direct access to OPRA Data becomes
available via higher capacity ports, SIAC will provide, directly or
through a third party, access to OPRA Data to any person authorized
by OPRA to receive direct access to OPRA Data for total fees not to
exceed an amount approved by OPRA (such approval not to be
unreasonably withheld) and not inconsistent with the 10G and 40G
port rates.
There will be no One-Time Fee charged for existing OPRA Members
and data Customers as of the Effective Date. Ongoing charges for
connecting to the IGN will continue to apply at their then-current
rates.
In the provision quoted above, OPRA and SIAC agreed that SIAC, and
any third-parties that SIAC utilized to provide direct access to OPRA
data, would continue to abide by the port fee caps that were originally
established in the 2015 Processor Agreement through December 31, 2026.
In September 2021, SIAC, in accordance with the terms of the 2021
Processor Agreement, notified OPRA that OPRA data would become
available over 100G ports. SIAC also requested that OPRA approve a
$30,000 per month port fee cap, inclusive of cross connect, for such
100G ports.
In 2021, after OPRA's Technical Committee considered SIAC's request
and approved it, OPRA's Management Committee also approved a $30,000
per month port fee cap with respect to 100G ports. Following that
approval, Commission Staff, which attends the meetings of OPRA's
Management Committee, informed OPRA that it should submit a filing to
the Commission with respect to the port fee caps. Although, as noted
above, OPRA does not believe that the contractual port fee caps
represent a fee charged by OPRA that falls within the scope of Rule
608(a)(5)(ii), OPRA is making this filing because it would like to
provide notice to the public of the existence of the port fee caps that
it has negotiated with SIAC. In connection with this filing, OPRA
requested that SIAC confirm that it has complied with its obligations
under the contractual port fee cap provisions contained in both the
2015 Processor Agreement and in the 2021 Processor Agreement and SIAC
confirmed that it has complied with those provisions.
The text of the amendment to the OPRA Plan is available at OPRA,
the Commission's Public Reference Room, the OPRA website at <a href="http://opradata.com">http://opradata.com</a>, and on the Commission's website at <a href="http://www.sec.gov">www.sec.gov</a>.
(b) Manner of Implementation of Amendment
OPRA proposes to add the proposed amendment to the OPRA Fee
Schedule following Commission approval of the amendment pursuant to
paragraph (b)(1) and (b)(2) of Rule 608 of Regulation NMS under the
Act. OPRA states that the monthly caps on 10G and 40G port fees have
been in effect since 2015 and the contractual cap on 100G port fees has
been in effect since 2021.
(c) Phases of Development and Implementation
Not applicable.
(d) Impact on Competition
OPRA believes that the proposed amendment will impose no burdens on
competition that are not justified in light of the purposes of the Act.
(e) Written Understandings or Agreements Among Plan Members
Not applicable.
(f) Approval of Proposed Amendment
OPRA represents that the proposed amendments to the OPRA Fee
Schedule were approved in accordance with the provisions of the OPRA
Plan.
II. Solicitation of Comments
The Commission seeks comment on the Amendment. Interested persons
are invited to submit written data, views and arguments concerning the
foregoing, including whether the Amendment is consistent with the Act
and the rules thereunder. Comments may be submitted by any of the
following methods:
Electronic Comments
<bullet> Use the Commission's internet comment form (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>); or
<bullet> Send an email to <a href="/cdn-cgi/l/email-protection#1664637a733b75797b7b737862655665737538717960"><span class="__cf_email__" data-cfemail="91e3e4fdf4bcf2fefcfcf4ffe5e2d1e2f4f2bff6fee7">[email protected]</span></a>. Please include
file number SR-OPRA-2023-01 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-OPRA-2023-01. 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="https://www.sec.gov/rules/sro.shtml">https://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
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
[[Page 50941]]
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-OPRA-2023-01 and should
be submitted on or before August 23, 2023.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\7\
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\7\ 17 CFR 200.30-3(a)(85).
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Sherry R. Haywood,
Assistant Secretary.
Attachment A--Proposed Changes to Options Price Reporting Authority Fee
Schedule
ATTACHMENT A
Proposed Changes to the Options Price Reporting Authority Fee Schedule
[Additions are italicized; Deletions are [bracketed].]
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Description Basic Service \1\
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Professional Subscriber Device-Based Fees $30.50 per display device
(Monthly fee applicable to persons that commencing January 1,
enter into Professional Subscriber 2017
Agreements directly with OPRA): These fees $31.50 per display device
are subject to written policies, which are commencing January 1,
available at <a href="http://www.opradata.com">www.opradata.com</a>.2 3 4 2018
Nonprofessional Subscriber Fees: Monthly fees Up to 75,000: $1.25 per
payable by every vendor that furnishes OPRA nonprofessional
Data to nonprofessional subscribers (other subscriber (``nonpro'')
than nonprofessional subscribers in respect 75,001-150,000: $1.15 per
of whom a vendor elects to pay usage-based nonpro
vendor fees). 150,001-250,000: $1.00
per nonpro
250,001-500,000: $0.75
per nonpro
500,001 +: $0.60 per
nonpro
Usage-based Vendor Fee (Applicable in respect $0.0075 per ``quote
of professional subscribers who enter into packet'' or $0.03 per
Subscriber Agreements with Vendors in place ``options chain'',
of Professional Subscriber Agreements with subject to a stated
OPRA, and in respect of nonprofessional maximum amount per month
subscribers to Basic Service in place of \7\
flat monthly Nonprofessional Subscriber
Fee): Monthly fee payable in arrears by a
vendor with respect to the use of OPRA Data
by persons that enter into Subscriber
Agreements with vendors. Usage-based vendor
fees apply to each ``quote packet'' or, if
elected in writing by the vendor with
respect to the Basic Service, to each
``options chain.'' \5\ All inquiries are
counted for purposes of calculating usage-
based fees, except that requests for
``delayed'' and ``historical'' OPRA Data are
not counted.\6\
Redistribution Fee: Monthly fee payable by $1,500;
every vendor that redistributes OPRA Data to $650 (Query service only)
any person, whether on a current or delayed \8\
basis, except that this fee does not apply
to a Vendor whose redistribution of OPRA
Data is limited solely to ``historical''
OPRA Data.
Subscriber Indirect Access Fee: A monthly fee $600
payable by every professional subscriber
that receives indirect access to OPRA Data
via a data feed transmission from an OPRA
vendor. This fee shall not apply to a
subscriber (i) that receives a data feed
transmission on a single, stand-alone
computer for the sole purpose of providing a
single-screen display of OPRA Data for the
subscriber's internal use, (ii) whose access
and entitlement to OPRA Data received via a
data feed transmission is controlled by an
authorized control service provider or by
the vendor furnishing the data feed
transmission, or (iii) that receives a data
feed transmission solely for any Non-Display
Use.
Direct Access Fee: Monthly fee payable by $1,000
every vendor and professional subscriber
that has been authorized by OPRA to receive
OPRA Data directly from OPRA's processor.
This charge includes one primary and one
back-up circuit connection at the processor.
Additional circuit connections are available
at a monthly charge of $100 per connection.
Monthly Non-Display Use Fees: \9\
Category 1 Non-Display Use:.............. $2000 per Enterprise \10\
Category 2 Non-Display Use:.............. $2000 per Enterprise \10\
Category 3 Non-Display Use:.............. $2000 per Platform \11\
Voice-Synthesized Market Data Service Fee: Port-based fee, same as
Monthly fee payable in arrears by every device-based
vendor or professional subscriber that Professional Subscriber
offers a voice-synthesized market data Fee treating each port
service. (To offer such a service, a as one device; or usage-
professional subscriber must enter into a based fee at a rate of
Voice-Synthesized Market Data Service Rider $0.005 per ``quote
to its Professional Subscriber Agreement.) packet'' or $0.02 per
The fee is based on the number of active ``options chain''.
simultaneously accessible ports of the voice-
synthesized computer facility of the vendor
or professional subscriber through which the
service is furnished. Alternatively, a
vendor (but not a professional subscriber)
may elect in writing to pay a usage-based
fee for OPRA Data accessed over vendor's
voice-synthesized market data service as an
alternative to the port-based fee. All
inquiries are counted for purposes of
calculating usage-based fees, except that
requests for ``delayed'' and ``historical''
OPRA Data are not counted.
Control Service Fee: A monthly fee payable by $2,800
every authorized control service provider
that offers a market information electronic
data control service to OPRA subscribers and
in connection therewith has entered into a
Data Control Service Agreement with OPRA.
Television Display Fee: A monthly fee payable $0.50 per 1,000
by every Vendor that has entered into a households reached \12\
Television Dissemination Rider with OPRA.
[[Page 50942]]
Hosted Solution Fee: Monthly fee payable by <bullet> Current Data:
each Vendor with respect to Hosted Solutions $100 per Hosted Solution
that it administers on behalf of third or $10,000 Enterprise
parties. (The term ``Hosted Solution'' is <bullet> Delayed Data:
defined in OPRA's document entitled ``Policy $50 per Hosted Solution
with respect to Hosted Solutions.'') The or $5000 Enterprise
Current Data ``Enterprise'' alternative
entitles the Vendor to provide to third
parties an unlimited number of Hosted
Solutions disseminating current and/or
delayed OPRA Data; the Delayed Data
``Enterprise'' alternative entitles the
Vendor to provide to third parties an
unlimited number of Hosted Solutions
disseminating delayed OPRA Data.
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Third Party Fee Caps
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\1\ OPRA's Basic Service includes all last sale and quotation
information pertaining to equity options and index options,
including foreign currency index options.
\2\ Copies of these Policies will be mailed to any Subscriber
upon request. Among other things, these Policies describe the
circumstances in which a Professional Subscriber may count ``User
IDs'' that are capable of receiving OPRA information as a surrogate
for counting ``devices,'' that display OPRA information, and pay
OPRA's Professional Subscriber Fees based on the number of its User
IDs rather than on the number of its devices.
\3\ OPRA offers new Professional Subscribers the opportunity to
receive OPRA's Basic Service on a ``free trial'' basis--that is,
without payment of Professional Subscriber Device-Based Fees--for
the first 30 days. In order to qualify for the 30-day free trial, a
new Subscriber must sign a Professional Subscriber Agreement and
indicate on the Agreement that it wishes to subscribe for a 30-day
free trial period. Unless the Subscriber notifies OPRA in writing
before the end of the 30-day trial period that it wishes to cancel
its subscription to OPRA's Basic Service, the Subscriber will be
obligated to pay access fees to OPRA at the device-based rate (or
the alternative Enterprise Rate) commencing on the 31st day
following the day its subscription to the Basic Service was
initiated.
\4\ As an alternative to the Device-Based Professional
Subscriber Fee, OPRA's Enterprise Rate Professional Subscriber Fee
is available to those Subscribers that (i) are members or associate
members in good standing of one or more of the exchanges that are
parties to the OPRA Plan, and (ii) elect to pay Subscriber Fees at
the Enterprise Rate by signing the Enterprise Rate Amendment to the
Subscriber Agreement. The Enterprise Rate Subscriber Fee in effect
commencing January 1, 2017, is a monthly fee of $30.50 times the
number of a Subscriber's registered representatives based in the
United States, its territories and possessions as reported by FINRA,
subject to a minimum monthly fee of $6,100 per subscriber, and
commencing January 1, 2018, the monthly fee becomes $31.50 per
registered representative as so reported subject to a minimum
monthly fee of $6,300; in each case subject to adjustment in
accordance with the Enterprise Rate Amendment to the Subscriber
Agreement. (In reporting the number of its registered
representatives, Subscriber need not include persons previously
registered as representatives who are at the time of the report
legally prohibited from acting as registered representatives
(because, for example, their registrations have lapsed, been
suspended, or terminated) and who are not so acting.) Payment of the
Enterprise Rate Professional Subscriber Fee entitles Subscriber to
access OPRA's Basic Service at any of its locations in the United
States, its territories and possessions, except that Subscribers who
pay the Enterprise Rate Professional Subscriber Fee on the basis of
more than 7,000 registered representatives (i.e., a monthly fee in
excess of $213,500 in 2017 and $220,500 in 2018) are entitled to
access OPRA's Basic Service at any of their locations worldwide. In
addition, payment of the Enterprise Rate Professional Subscriber Fee
by a Subscriber allows OPRA's Basic Service to be made available to
independent investment advisers who are under contract with the
Subscriber to provide investment advisory services to the
Subscriber's customers. All such investment advisers will be deemed
to be registered representatives of the Subscriber for purposes of
calculating the Subscriber's Enterprise Rate Professional Subscriber
Fee.
\5\ A ``quote packet'' consists of any one or more of the
following values: last sale, bid/ask, and related market data for a
single series of options or a related index; an ``options chain''
consists of last sale, bid/ask, and related market data for up to
all series of put and call options on the same underlying security
or index.
\6\ OPRA Data becomes ``delayed'' after at least 15 minutes have
passed since the information was first transmitted by OPRA, OPRA's
processor or an OPRA Participant to vendors. OPRA Data derived from
a given trading day of an options market becomes ``historical'' upon
the opening of trading on the next succeeding trading day of that
market.
\7\ Usage-based Vendor Fees for Basic Service may not exceed the
following maximum monthly amounts: For a professional subscriber,
the monthly fee is capped at the highest per-device fee applicable
to a professional subscriber times the number of the professional
subscriber's authorized user IDs; for a nonprofessional subscriber,
the monthly fee is capped at $1.25.
\8\ A Vendor's Service qualifies for the ``Query service only''
rate if the Vendor's Service provides access to OPRA Data only on a
``query'' basis without any auto-refreshing capability and does not
redistribute OPRA Data via dedicated lines or to the systems of one
or more other Vendors (sometimes referred to as ``downstream
Vendors'') or to one or more Hosted Solutions.
\9\ Non-Display Use refers to the accessing, processing or
consuming by an OPRA data recipient (either an OPRA vendor or an
OPRA professional subscriber that has entered into a Professional
Subscriber Agreement directly with OPRA) of OPRA market data,
whether delivered directly from OPRA's processor and/or indirectly
from an OPRA vendor, for a purpose other than in support of the data
recipient's display or further internal or external redistribution
of the OPRA data, and whether or not the use of the OPRA data is
made on a device that is also displaying the OPRA data. Non-Display
Use includes, without limitation, trading (such as in a ``black
box'' or a trading engine that performs automated trading,
algorithmic trading or program trading, or generates arbitrage or
program trading orders); automated order or quote generation and/or
order pegging; price referencing for algorithmic trading; operations
control programs; investment analysis; order verification;
surveillance programs; risk management; compliance; and portfolio
valuation.
OPRA recognizes three categories of Non-Display Use. Category 1
applies when a data recipient's Non-Display Use is on its own
behalf. Category 2 applies when a data recipient's Non-Display Use
is on behalf of its clients. Category 3 applies when a data
recipient's Non-Display Use is for the purpose of internally
matching buy and sell orders within the data recipient. Matching buy
and sell orders includes matching customer orders on the data
recipient's own behalf and/or on behalf of its clients. Category 3
includes, but is not limited to, use in trading platform(s), such as
exchanges, alternative trading systems (``ATSs''), broker crossing
networks, broker crossing systems not filed as ATSs, dark pools,
multilateral trading facilities, and systematic internalization
systems. The Category 1 Non-Display Fee shall not apply in the case
of an OPRA data recipient during any complete calendar month during
which the data recipient (i) has a single UserID (a single natural
person) that uses OPRA data for Non-Display Use for the benefit of
that UserID and (ii) is not a broker-dealer and does not place more
than 390 orders in listed options per day on average during the
calendar month (counting orders for this purpose in accordance with
the rules of the OPRA Participant exchanges to which it submits
orders during the month) for its own beneficial account(s).
The Non-Display Use charges apply separately for each of the
three categories of Non-Display Use. One, two or three categories of
Non-Display Use may apply to one organization. Professional
Subscriber servers and other devices that are used solely for Non-
Display Use are not subject to Professional Subscriber Device-Based
Fees, but if a Professional Subscriber uses a server or other device
for a Non-Display Use and also to display OPRA data the Professional
Subscriber will be subject to the applicable Non-Display Use fees
and to the Professional Subscriber Device-Based Fee.
An organization that uses data for Category 3 Non-Display Use
must count each ``Platform'' (this term is defined in footnote 12)
that uses data on a non-display basis. For example, an organization
that uses OPRA Data for the purposes of operating an ATS and also
for operating a broker crossing system not registered as an ATS
would be required to pay two Category 3 Non-Display Use fees.
An OPRA data recipient must make a declaration to OPRA of its
Non-Display Use of OPRA data upon commencing the Non-Display Use and
thereafter upon any change in the recipient's Non-Display Use. In
addition, each OPRA data recipient will be required to make an
annual declaration to OPRA of its Non-Display Use of OPRA data. OPRA
will not require monthly reporting with respect to Non-Display Use
of OPRA data.
\10\ An ``Enterprise'' is an OPRA data recipient together with
the wholly-owned subsidiaries of the data recipient.
\11\ A ``Platform'' is a platform for internally matching buy
and sell orders. Matching buy and sell orders includes matching
customer orders on a data recipient's own behalf and/or on behalf of
its clients. The term ``Platform'' includes, but is not restricted
to, exchanges, alternative trading systems (ATSs), broker crossing
networks, broker crossing systems not filed as ATSs, dark pools,
multilateral trading facilities, and systematic internalization
systems.
\12\ The term ``households reached'' is defined in the
Television Dissemination Rider. Prorating of the ``per 1,000
households reached'' fee (but not the monthly maximum) is permitted
if Vendor displays OPRA Data for less than its entire business day,
based upon the number of minutes current OPRA Data is displayed by
Vendor divided by 390 (or such other number as OPRA. reasonably
designates from time to time to represent the number of minutes that
the U.S. markets are open for trading). Vendor may simulcast over
multiple television channels and not be charged more than once for
households reached that have access to multiple simulcast channels.
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The fees in the table above are charged by OPRA itself for OPRA
Data.
[[Page 50943]]
In addition, in order to directly access OPRA Data as made available by
OPRA's processor, the Securities Industry Automation Corporation
(``SIAC''), direct data recipients must procure connectivity to the
OPRA Data at a location where SIAC, or a third party utilized by SIAC,
makes it available. OPRA has contractually capped the connectivity or
``port'' fees that SIAC, or any third party utilized by SIAC, may
charge to provide direct connectivity to OPRA Data. The port fee caps
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are:
<bullet> $16,000 per month per 10 Gb port
<bullet> $20,500 per month per 40 Gb port
<bullet> $30,000 per month per 100 Gb port
Each of these fee caps is inclusive of cross-connect fees and apply
regardless of whether or not such fees also cover direct access to
other data in addition to OPRA Data.
These connectivity fees are not charged, collected, or retained by
OPRA. OPRA is including these port fee caps in its Fee Schedule so that
market participants can better ascertain the recurring costs associated
with obtaining direct access to OPRA Data.
[FR Doc. 2023-16392 Filed 8-1-23; 8:45 am]
BILLING CODE 8011-01-P
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</html>Indexed from Federal Register on August 2, 2023.
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.