Notice2025-16361
Self-Regulatory Organizations; NYSE Texas, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Fee Schedule of NYSE Texas, Inc.
Primary source
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Published
August 27, 2025
Issuing agencies
Securities and Exchange Commission
Full Text
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<title>Federal Register, Volume 90 Issue 164 (Wednesday, August 27, 2025)</title>
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[Federal Register Volume 90, Number 164 (Wednesday, August 27, 2025)]
[Notices]
[Pages 41856-41858]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-16361]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-103762; File No. SR-NYSETEX-2025-27]
Self-Regulatory Organizations; NYSE Texas, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change To Amend the Fee
Schedule of NYSE Texas, Inc.
August 22, 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 August 20, 2025, the NYSE Texas, Inc. (``NYSE Texas'' 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 amend the Fee Schedule of NYSE Texas, Inc.
(the ``Fee Schedule'') to amend rule text related to ports that provide
connectivity to the Exchange, and adopt a fee for drop copy ports. The
proposed rule change is available on the Exchange's website at
<a href="http://www.nyse.com">www.nyse.com</a> and at the principal office of the Exchange.
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 amend the Fee Schedule to amend rule text
related to ports that provide connectivity to the Exchange. The
proposed rule text is identical to rule text regarding ports on the
Exchange's affiliate, NYSE Arca, Inc. (``NYSE Arca'').\4\ The Exchange
also proposes to adopt a fee for drop copy ports.\5\ The Exchange
proposes to implement the proposed fee changes effective August 20,
2025.\6\
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\4\ See NYSE Arca Schedule of Fees, Connectivity Fees, at
<a href="https://www.nyse.com/publicdocs/nyse/markets/nyse-arca/NYSE_Arca_Marketplace_Fees.pdf">https://www.nyse.com/publicdocs/nyse/markets/nyse-arca/NYSE_Arca_Marketplace_Fees.pdf</a>.
\5\ Participant Firms receive confirmations of their orders and
receive execution reports via the order/quote entry port that is
used to enter an order or a quote. A ``drop copy'' contains
redundant information that a firm chooses to have ``dropped'' to
another destination (e.g., to allow the firm's back office and/or
compliance department, or another firm--typically the firm's
clearing broker--to have immediate access to the information). Such
drop copies can only be sent via a drop copy port. Drop copy ports
cannot be used to enter orders and/or quotes.
\6\ The Exchange originally filed to amend the Fee Schedule on
July 1, 2025 (SR-NYSETEX-2025-20). SR-NYSETEX-2025-20 was withdrawn
on August 20, 2025, and replaced by this filing.
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The Exchange currently makes ports available that provide
connectivity to the Exchange's trading systems (i.e., ports for the
entry of orders and/or quotes (``order/quote entry ports'')) and
charges $455 per port per month. The proposed rule change would modify
the Fee Schedule to harmonize the Exchange's rules with respect to how
fees for order/quote entry ports are charged with the rules of the
Exchange's affiliate, NYSE Arca. As proposed, the amended Fee Schedule
would provide that the fee for order/quote entry ports would not apply
to ports in the backup datacenter that are not utilized during the
relevant billing month, and no fee would apply to order/quote entry
ports in the backup datacenter that are utilized when the primary
datacenter is unavailable. The amended Fee Schedule would further
provide that the fee would apply if an order/quote entry port in the
backup datacenter is utilized when the primary datacenter is available.
Finally, the amended Fee Schedule would provide that the monthly fee
for an order/quote entry port would be prorated to the number of
trading days in a billing month, including any scheduled early closing
days, that the port is connected to the Exchange.\7\
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\7\ NYSE Arca similarly prorates the use of order/quote entry
ports utilized by its members. See NYSE Arca Schedule of Fees,
Connectivity Fees, at <a href="https://www.nyse.com/publicdocs/nyse/markets/nyse-arca/NYSE_Arca_Marketplace_Fees.pdf">https://www.nyse.com/publicdocs/nyse/markets/nyse-arca/NYSE_Arca_Marketplace_Fees.pdf</a>.
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Additionally, the Exchange proposes to adopt a fee for drop copy
ports,\8\ and charge $455 per port per month.\9\ As noted on the Fee
Schedule, only one fee per drop copy port would apply, even if
Participant Firms receive drop copies from multiple order/quote entry
ports, except that no fee would apply to ports in the backup datacenter
if configured such that it is duplicative of another drop copy port of
the same user.
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\8\ See note 5, supra.
\9\ The Exchange proposes to add language to the Fee Schedule to
differentiate between drop copy ports and order/quote entry ports.
This aspect of the proposed rule change also conforms to the fee
schedule of NYSE Arca, which also provides its members with a drop
copy port. See NYSE Arca Schedule of Fees, Connectivity Fees at
<a href="https://www.nyse.com/publicdocs/nyse/markets/nyse-arca/NYSE_Arca_Marketplace_Fees.pdf">https://www.nyse.com/publicdocs/nyse/markets/nyse-arca/NYSE_Arca_Marketplace_Fees.pdf</a>.
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Also, as noted on the Fee Schedule, similar to order/quote entry
ports, the monthly fee for a drop copy port would be prorated to the
number of trading days in a billing month, including any scheduled
early closing days, that the port is connected to the Exchange.\10\
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\10\ NYSE Arca similarly prorates fees for drop copy ports
utilized by its members. See NYSE Arca Schedule of Fees,
Connectivity Fees, at <a href="https://www.nyse.com/publicdocs/nyse/markets/nyse-arca/NYSE_Arca_Marketplace_Fees.pdf">https://www.nyse.com/publicdocs/nyse/markets/nyse-arca/NYSE_Arca_Marketplace_Fees.pdf</a>.
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The Exchange believes that standardizing the port fees, whether a
port is used for order/quote entry or for drop copies, would streamline
the Exchange's rules and reduce complexity for Participant Firms. The
proposed change would also encourage users to become more efficient
with their usage of the ports thereby resulting in a corresponding
increase in the efficiency that the Exchange would be able to realize
with respect to managing its own infrastructure.
The proposed changes are not otherwise intended to address any
other issues, and the Exchange is not aware of any problems that
Participant Firms would have in complying with the proposed change.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Act,\11\ in general, and furthers the
objectives of Sections 6(b)(4) of the Act,\12\ in particular, because
it provides for the equitable allocation of reasonable dues, fees, and
other charges among its members, issuers and other persons using its
facilities and does not unfairly discriminate between customers,
issuers, brokers or dealers. The
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Exchange also believes the proposal furthers the objectives of Section
6(b)(5) of the Act \13\ in that the proposed rule change 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. These beliefs are based on
comparability; the proposed fees are comparable to those of similarly
situated exchanges.
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\11\ 15 U.S.C. 78f(b).
\12\ 15 U.S.C. 78f(b)(4).
\13\ 15 U.S.C. 78f(b)(5).
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The proposed fee for NYSE Texas ports is comparable to the fee
adopted by NYSE Arca.\14\
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\14\ NYSE Arca assesses $621 per port per month for the use of
order/quote entry ports and drop copy ports. See NYSE Arca Schedule
of Fees at <a href="https://www.nyse.com/publicdocs/nyse/markets/nyse-arca/NYSE_Arca_Marketplace_Fees.pdf">https://www.nyse.com/publicdocs/nyse/markets/nyse-arca/NYSE_Arca_Marketplace_Fees.pdf</a>.
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The Exchange believes that the proposed rule change to amend the
Fee Schedule to harmonize the manner in which the Exchange charges for
order/quote entry ports with NYSE Arca is reasonable and constitutes an
equitable allocation of fees because all similarly situated Participant
Firms would be impacted by the proposed rule change and all such
members would be subject to the fee. The Exchange believes that the
proposal to harmonize the Exchange's rules with respect to how the fee
for order/quote entry ports is charged with the rules of the Exchange's
affiliate is reasonable as it would streamline the Exchange's rules and
reduce complexity for Participant Firms. The proposed change is also
reasonable because the per port rates would encourage users to become
more efficient with, and reduce the number of ports used, thereby
resulting in a corresponding increase in the efficiency that the
Exchange would be able to realize with respect to managing its own
infrastructure. The Exchange believes it is fair, equitable and not
unfairly discriminatory to charge flat fees for ports. The Exchange
believes that the proposed fee for drop copy ports is reasonable,
equitable and not unfairly discriminatory because it will apply on an
equal basis to all users of drop copy ports and to all drop copy ports
on the Exchange. In this regard, all Participant Firms will be able to
request drop copy ports, as is the case with order/quote entry ports.
The Exchange also believes the proposal furthers the objectives of
Section 6(b)(5) of the Act \15\ in that the proposed rule change 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. In particular, the
Exchange believes that the Exchange's pro-rating of port fees is
consistent with Section 6(b)(5) of the Act since it would apply equally
to all Participant Firms that connect to the Exchange and all
Participant Firms would continue to receive the benefit of being
charged only for the connectivity utilized during any trading month. As
noted above, NYSE Arca similarly prorates fees for order/quote entry
ports and for drop copy utilized by its members.
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\15\ 15 U.S.C. 78f(b)(5).
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B. Self-Regulatory Organization's Statement on Burden on Competition
In accordance with Section 6(b)(8) of the Act,\16\ the Exchange
does not believe that the proposed rule change will impose any burden
on intermarket or intramarket competition that is not necessary or
appropriate in furtherance of the purposes of the Act. The Exchange
believes that the proposal would encourage Participant Firms to become
more efficient with their use of ports. In this regard, the Exchange
believes that the proposal would not impose any burden on competition
that is not necessary or appropriate in furtherance of the purposes of
the Act because nothing in the Exchange's proposal would burden on the
ability of other exchanges to compete. And as noted above, the fees
referenced in this filing are comparable to the Exchange's affiliate,
NYSE Arca.
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\16\ 15 U.S.C. 78f(b)(8).
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Finally, nothing in the Exchange's proposal would place a burden on
intramarket competition as the Exchange's ports are available to any
Participant Firm at the same price on a non-discriminatory basis. 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. Because competitors are
free to modify their own pricing and the services they offer in
response, the Exchange believes that the degree to which fee changes in
this market may impose any burden on competition is extremely limited.
As a result of all of these considerations, the Exchange does not
believe that the proposed changes will impair the ability of
Participant Firms or other execution venues to maintain their
competitive standing in the financial markets.
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
Pursuant to Section 19(b)(3)(A)(ii) of the Act,\17\ and Rule 19b-
4(f)(2) thereunder \18\ the Exchange has designated this proposal as
establishing or changing a due, fee, or other charge imposed on any
person, whether or not the person is a member of the self-regulatory
organization, which renders the proposed rule change effective upon
filing.
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\17\ 15 U.S.C. 78s(b)(3)(A)(ii).
\18\ 17 CFR 240.19b-4.
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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.
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#a6d4d3cac38bc5c9cbcbc3c8d2d5e6d5c3c588c1c9d0"><span class="__cf_email__" data-cfemail="82f0f7eee7afe1edefefe7ecf6f1c2f1e7e1ace5edf4">[email protected]</span></a>. Please include
file number SR-NYSETEX-2025-27 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-NYSETEX-2025-27. 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 filing will
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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-NYSETEX-
2025-27 and should be submitted on or before September 17, 2025.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\19\
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\19\ 17 CFR 200.30-3(a)(12).
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Vanessa A. Countryman,
Secretary.
[FR Doc. 2025-16361 Filed 8-26-25; 8:45 am]
BILLING CODE 8011-01-P
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