Notice2025-10117
Self-Regulatory Organizations; NYSE National, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Adopt NYSE Rule 4530
Primary source
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Published
June 4, 2025
Issuing agencies
Securities and Exchange Commission
Full Text
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<title>Federal Register, Volume 90 Issue 106 (Wednesday, June 4, 2025)</title>
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[Federal Register Volume 90, Number 106 (Wednesday, June 4, 2025)]
[Notices]
[Pages 23723-23725]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-10117]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-103145; File No. SR-NYSENAT-2025-12]
Self-Regulatory Organizations; NYSE National, Inc.; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Adopt
NYSE Rule 4530
May 29, 2025.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby given
that on May 16, 2025, NYSE National, Inc. (``NYSE National'' or the
``Exchange'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I, II,
and III below, which Items have been prepared by the self-regulatory
organization. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons.
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\1\ 15 U.S.C. 78s(b)(1).
\2\ 15 U.S.C. 78a.
\3\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to adopt New York Stock Exchange (``NYSE'')
Rule 4530 (Reporting Requirements) without substantive change, and make
certain conforming changes. 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.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the self-regulatory organization
included statements concerning the purpose of, and basis for, the
proposed rule change and discussed any comments it received on the
proposed rule change. The text of those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to adopt the text of NYSE Rule 4530
(Reporting Requirements) without substantive change, and make certain
conforming changes. NYSE Rule 4530 was in turn based on Financial
Industry Regulatory Authority, Inc. (``FINRA'') Rule 4530.
Background and Proposed Rule Change
NYSE Rule 4530 requires member organizations to promptly report to
the NYSE specified events, such as statutory disqualifications and
quarterly statistical and summary information regarding written
customer complaints, and to file with the Exchange copies of certain
criminal actions, civil complaints and arbitration claims. The NYSE
uses this information for regulatory purposes to identify and initiate
investigations of firms, offices and associated persons that may pose
potential regulatory or other risks.
The NYSE adopted the text of FINRA Rule 4530 in 2011 to replace
comparable provisions in its legacy reporting Rule 351.\4\ In 2024, the
NYSE incorporated certain amendments previously made by FINRA into NYSE
Rule 4530.\5\ The NYSE version of FINRA
[[Page 23724]]
Rule 4530 is substantially the same except for conforming changes
reflecting the NYSE's membership and an extra Supplementary Material
adding a definition of ``person associated with a member
organization,'' which the Exchange would retain with conforming changes
to reflect its membership. The Exchange's affiliate NYSE American LLC
also has adopted FINRA Rule 4530.
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\4\ See Securities Exchange Act Release No. 100168 (May 17,
2024), 89 FR 45712 (May 23, 2024) (SR-NYSE-2024-28). FINRA Rule
4530, adopted in 2010, was modeled after NYSE Rule 351(a)-(d) and
NASD Rule 3070. See Securities Exchange Act Release No. 63260
(November 5, 2010), 75 FR 69508 (November 12, 2010) (SR-FINRA-2010-
034). See also Securities Exchange Act Release No. 64560 (May 27,
2011), 76 FR 32246 (June 3, 2011) (SR-FINRA-2011-024).
\5\ See Securities Exchange Act Release No. 64785 (June 30,
2011), 76 FR 39946 (July 7, 2011) (SR-NYSE-2011-27). See generally
Securities Exchange Act Release No. 68701 (January 18, 2013), 78 FR
5532 (January 25, 2013) (SR-FINRA-2013-006) (Notice of Filing and
Immediate Effectiveness of a Proposed Rule Change Relating to FINRA
Rule 4530 (Reporting Requirements)); Securities Exchange Act Release
No. 74953 (May 13, 2015), 80 FR 28740 (May 19, 2015) (SR-FINRA-2015-
011) (Notice of Filing and Immediate Effectiveness of a Proposed
Rule Change Relating to the Reporting Requirements of FINRA Rule
4530(a)(1)(H)).
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The Exchange proposes to adopt the text of NYSE Rule 4530 as NYSE
National Rule 11.4530, with certain technical changes. For consistency
with Exchange rules and to reflect the Exchange's current membership,
the Exchange proposes to change all references to ``member
organization'' or ``member organizations'' to ``ETP Holder'' \6\ or
``ETP Holders.'' In addition, the Exchange would use ``Person
Associated with an ETP Holder,'' ``Associated Person of an ETP Holder''
and ``Associated Person'' interchangeably in the proposed Rule
consistent with the definition in Rule 1.1(x).\7\ The text of proposed
Rule 11.4530 is otherwise identical to NYSE Rule 4530. The Exchange
does not currently have a comparable rule.
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\6\ An ``ETP'' refers to an Equity Trading Permit issued by the
Exchange for effecting approved securities transactions on the
Exchange. See Rule 1.1(h). An ``ETP Holder'' means an Exchange-
approved holder of an ETP. See id. at (h).
\7\ Rule 1.1(x) provides the terms ``Person Associated with an
ETP Holder,'' ``Associated Person of an ETP Holder'' or ``Associated
Person'' means any partner, officer, director, or branch manager of
an ETP Holder (or any Person occupying a similar status or
performing similar functions), any Person directly or indirectly
controlling, controlled by, or under common control with an ETP
Holder, or any employee of such ETP Holder, except that any Person
Associated with an ETP Holder whose functions are solely clerical or
ministerial shall not be included in the meaning of such terms.
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2. Statutory Basis
The proposed rule change is consistent with Section 6(b) of the
Act,\8\ in general, and furthers the objectives of Section 6(b)(5),\9\
in particular, because it is designed to promote just and equitable
principles of trade and remove impediments to and perfect the mechanism
of a free and open market and a national market system. Specifically,
the Exchange believes that the proposed rule change supports the
objectives of the Act by providing greater harmonization between
Exchange rules and the rules of its affiliates and FINRA of similar
purpose, resulting in less burdensome and more efficient regulatory
compliance. In particular, ETP Holders that are also NYSE or FINRA
members are already subject to Rule 4530 requirements and are currently
reporting the information required by that rule to the NYSE or FINRA
but are not reporting any of this information to the Exchange.\10\
Adopting NYSE Rule 4530 would promote just and equitable principles of
trade by requiring the same reporting regime for affiliated exchanges.
To the extent the Exchange has proposed changes that differ from the
NYSE version of the proposed rule, such changes relate to the
Exchange's membership structure and do not change the substance of the
proposed rules.
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\8\ 15 U.S.C. 78f(b).
\9\ 15 U.S.C. 78f(b)(5).
\10\ In fact, all Exchange ETP Holders are either FINRA members
or NYSE member organizations. The Exchange believes that the
membership overlap mitigates the previous absence of a comparable
Exchange rule because ETP Holders would have reported all
information required by proposed Rule 4530 to a responsible self-
regulatory organization. Nonetheless, as noted above, the proposed
rule would provide beneficial harmonization between Exchange rules
and the rules of its affiliates and FINRA of similar purpose,
resulting in less burdensome and more efficient regulatory
compliance.
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B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
impose any burden on competition that is not necessary or appropriate
in furtherance of the purposes of the Act. The proposed rule change is
not intended to address competitive issues but rather to achieve
greater consistency between the Exchange's rules and the rules of its
affiliate and FINRA concerning regulatory reporting.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were solicited or received with respect to the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The Exchange has filed the proposed rule change pursuant to Section
19(b)(3)(A)(iii) of the Act \11\ and Rule 19b-4(f)(6) thereunder.\12\
Because the proposed rule change does not: (i) significantly affect the
protection of investors or the public interest; (ii) impose any
significant burden on competition; and (iii) become operative prior to
30 days from the date on which it was filed, or such shorter time as
the Commission may designate, if consistent with the protection of
investors and the public interest, the proposed rule change has become
effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b-
4(f)(6)(iii) thereunder.
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\11\ 15 U.S.C. 78s(b)(3)(A)(iii).
\12\ 17 CFR 240.19b-4(f)(6).
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A proposed rule change filed under Rule 19b-4(f)(6) \13\ normally
does not become operative prior to 30 days after the date of the
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\14\ the Commission
may designate a shorter time if such action is consistent with the
protection of investors and the public interest.
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\13\ 17 CFR 240.19b-4(f)(6).
\14\ 17 CFR 240.19b-4(f)(6)(iii).
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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) \15\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
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\15\ 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="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#4e3c3b222b632d2123232b203a3d0e3d2b2d60292138"><span class="__cf_email__" data-cfemail="6f1d1a030a420c0002020a011b1c2f1c0a0c41080019">[email protected]</span></a>. Please include
file number SR-NYSENAT-2025-12 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-NYSENAT-2025-12. This
file number should be included on the subject line if email is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's internet website (https://www.sec.gov/
[[Page 23725]]
rules/sro.shtml). Copies of the submission, all subsequent amendments,
all written statements with respect to the proposed rule change that
are filed with the Commission, and all written communications relating
to the proposed rule change between the Commission and any person,
other than those that may be withheld from the public in accordance
with the provisions of 5 U.S.C. 552, will be available for website
viewing and printing in the Commission's Public Reference Room, 100 F
Street NE, Washington, DC 20549, on official business days between the
hours of 10 a.m. and 3 p.m. Copies of the filing also will be available
for inspection and copying at the principal office of the Exchange. Do
not include personal identifiable information in submissions; you
should submit only information that you wish to make available
publicly. We may redact in part or withhold entirely from publication
submitted material that is obscene or subject to copyright protection.
All submissions should refer to file number SR-NYSENAT-2025-12 and
should be submitted on or before June 25, 2025.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\16\
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\16\ 17 CFR 200.30-3(a)(12).
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J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2025-10117 Filed 6-3-25; 8:45 am]
BILLING CODE 8011-01-P
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