Notice2026-11035
Self-Regulatory Organizations; Investors Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend IEX Rules 2.220(a)(7) and 11.410(a) To Add Texas Stock Exchange
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
June 3, 2026
Issuing agencies
Securities and Exchange Commission
Full Text
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<title>Federal Register, Volume 91 Issue 106 (Wednesday, June 3, 2026)</title>
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[Federal Register Volume 91, Number 106 (Wednesday, June 3, 2026)]
[Notices]
[Pages 33267-33269]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-11035]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-105583; File No. SR-IEX-2026-16]
Self-Regulatory Organizations; Investors Exchange LLC; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Amend IEX
Rules 2.220(a)(7) and 11.410(a) To Add Texas Stock Exchange
May 29, 2026.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby
given that on May 21, 2026, the Investors Exchange LLC (``IEX'' or the
``Exchange'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I and II
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
Pursuant to the provisions of Section 19(b)(1) under the Act,\4\
and Rule 19b-4 thereunder,\5\ the Exchange is filing with the
Commission a proposed rule to amend IEX Rules 2.220(a)(7), 11.410(a),
and 11.410(a)(2) to include Texas Stock Exchange (``TXSE'') in the list
of away trading centers to which the Exchange routes and the market
data sources the Exchange will use for necessary price reference points
in anticipation of TXSE's planned launch. The Exchange has designated
this rule change as ``non-controversial'' under Section 19(b)(3)(A) of
the Act \6\ and provided the Commission with the notice required by
Rule 19b-4(f)(6) thereunder.\7\
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\4\ 15 U.S.C. 78s(b)(1).
\5\ 17 CFR 240.19b-4.
\6\ 15 U.S.C. 78s(b)(3)(A).
\7\ 17 CFR 240.199b)-4.
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The text of the proposed rule change is available at the Exchange's
website at <a href="https://www.iexexchange.io/resources/regulation/rule-filings">https://www.iexexchange.io/resources/regulation/rule-filings</a>
and at the principal office of the Exchange.
II. Self-Regulatory Organization's Statement of the Purpose of, and the
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 these statements may be examined at
the places specified in Item IV below. The self-regulatory organization
has prepared summaries, set forth in Sections A, B, and C below, of the
most significant aspects of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend IEX Rules 2.220(a)(7) \8\ and
11.410(a) \9\ to include TXSE in the list of away trading centers to
which the Exchange routes and the market data sources the Exchange will
use to determine Top of Book \10\ quotations, the NBBO \11\ and certain
regulatory, reporting and compliance systems within IEX in anticipation
of TXSE's planned exchange launch in July 2026.\12\ The Exchange
proposes to amend the IEX Rule 2.220(a)(7) to add TXSE to the list of
away trading centers to which IEX Services routes orders. As set forth
in IEX Rule 11.230(b)(2), IEX Services routes eligible orders to away
trading centers with accessible Protected Quotations in compliance with
Regulation NMS Rule 611.\13\ IEX Rule 2.220(a)(7) lists the away
trading centers that IEX Services routes to as outbound router for the
Exchange. The Exchange must include TXSE in its list of away trading
centers to which it routes because TXSE's best-priced, displayed
quotation will be a Protected Quotation under Regulation NMS Rule
[[Page 33268]]
600(b)(62) \14\ for purposes of Regulation NMS Rule 611.\15\
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\8\ IEX Rule 2.220(a)(7) lists the away trading centers that IEX
Services LLC (``IEX Services'') routes to as outbound router for the
Exchange.
\9\ IEX Rule 11.410(a) specifies the market data sources for
each away trading center that the Exchange uses for necessary price
reference points.
\10\ See IEX Rule 11.410(a)(1).
\11\ See IEX Rule 1.160(u).
\12\ TXSE anticipates commencing trading on July 6, 2026. See
TXSE Production Launch and Market Activation, dated May 6, 2026,
available at <a href="https://www.txse.com/alerts/txse-2026-002">https://www.txse.com/alerts/txse-2026-002</a>.
\13\ 17 CFR 242.611.
\14\ 17 CFR 242.600(b)(62).
\15\ See Securities Exchange Act Release No. 104146 (September
30, 2025), 90 FR 47880 (October 2, 2025) (Order approving Texas
Stock Exchange LLC application for registration as a national
securities exchange).
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The Exchange also proposes to amend and update the table in IEX
Rule 11.410(a) specifying the primary source for TXSE market data. IEX
Rule 11.410(a) lists the specific data feeds the Exchange uses to
determine Top of Book quotations for away exchanges, the NBBO and for
certain reporting, regulatory and compliance systems within IEX. The
Exchange proposes to amend the table in IEX Rule 11.410(a) to specify
that the Exchange will use securities information processor (``SIP'')
data, i.e., CQS SIP data for securities reported under the Consolidated
Quotation Services and Consolidated Tape Association plans and UQDF SIP
data for securities reported under the Nasdaq Unlisted Trading
Privileges plan, as the primary source of market data used to determine
TXSE's Top of Book quotes. The Exchange also proposes to make a
conforming change to the rule text of Rule 11.410(a)(2) so that the
provision is consistent with the table in Rule 11.410(a). The proposed
changes do not alter the manner in which orders are handled or routed
by the Exchange.
The Exchange proposes to make these changes operative on the date
that TXSE launches operations.
2. Statutory Basis
IEX believes that the proposed rule changes are consistent with the
provisions of Section 6(b) \16\ of the Act in general, and furthers the
objectives of Section 6(b)(5) of the Act \17\ in particular, in that
they are designed to prevent fraudulent and manipulative acts and
practices, 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.
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\16\ 15 U.S.C. 78f.
\17\ 15 U.S.C. 78f(b)(5).
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For the reasons discussed in the Purpose section, the Exchange
believes that the proposed rule changes remove impediments to and
perfect the mechanism of a free and open market and protect investors
and the public interest because amending the list of away trading
centers to which IEX routes by adding TXSE and adding TXSE to the table
in Rule 11.410(a) and rule text of Rule 11.410(a)(2) designating the
SIP data as the primary source of market data the Exchange will use to
determine away trading center Top of Book quotes, the NBBO, and for
certain regulatory, reporting and compliance systems within IEX, will
facilitate the Exchange's compliance with the applicable requirements
of Regulation NMS.
Additionally, amending the list of away trading centers to which
IEX routes by adding TXSE and adding TXSE to the table designating the
SIP data as the primary source of market data the Exchange will use to
determine away trading center Top of Book quotes, the NBBO, and for
certain regulatory, reporting and compliance systems within IEX,
provides transparency with respect to the away trading centers to which
IEX Services may route orders and the source of market data the
Exchange will use to determine TXSE's Top of Book quotes.
Further, the Exchange believes it is consistent with the Act to add
TXSE to the source of market data the Exchange will use to determine
Top of Book quotes so that IEX's rules accurately specify away markets
referenced, as well as to avoid any potential confusion on the part of
market participants. The Exchange also believes it is consistent with
the Act to make a conforming change to Rule 11.410(a)(2) so that
provision is consistent with the table in Rule 11.410(a).
As noted in the Purpose section, the proposed changes are non-
substantive and do not alter the manner in which orders are handled or
routed by the Exchange.
B. Self-Regulatory Organization's Statement on Burden on Competition
IEX does not believe that the proposed rule changes will result in
any burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act. The Exchange believes that the
proposed updates do not impact competition in any respect since the
purpose is to enhance transparency with respect to the operation of the
Exchange and its use of market data feeds.
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 Exchange has filed the proposed rule change pursuant to Section
19(b)(3)(A) of the Act \18\ and Rule 19b-4(f)(6) \19\ thereunder.
Because the foregoing proposed rule change does not: (i) significantly
affect the protection of investors or the public interest; (ii) impose
any significant burden on competition; or (iii) become operative for 30
days from the date on which it was filed, or such shorter time as the
Commission may designate, it has become effective pursuant to Section
19(b)(3)(A) of the Act \20\ and Rule 19b-4(f)(6) \21\ thereunder.
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\18\ 15 U.S.C. 78s(b)(3)(A).
\19\ 17 CFR 240.19b-4(f)(6).
\20\ 15 U.S.C. 78s(b)(3)(A).
\21\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii)
requires the Exchange to give the Commission written notice of its
intent to file the proposed rule change, along with a brief
description and text of the proposed rule change, at least five
business days prior to the date of filing of the proposed rule
change, or such shorter time as designated by the Commission. The
Exchange has satisfied this requirement.
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A proposed rule change filed under Rule 19b-4(f)(6) \22\ normally
does not become operative prior to 30 days after the date of the
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\23\ the Commission
may designate a shorter time if such action is consistent with the
protection of investors and the public interest. The Exchange has asked
the Commission to waive the 30-day operative delay so that the proposed
rule change may become operative immediately upon filing. The
Commission believes that waiving the 30-day operative delay is
consistent with the protection of investors and the public interest
because the proposed rule change simply adds TXSE to the list of away
trading centers to which IEX routes orders and clarifies that SIP data
will be the primary source of data that the Exchange will utilize for
determining TXSE's Top of Book quotes. As a result, the proposal does
not introduce any novel regulatory issues. Waiving the 30-day operative
delay also will ensure that the IEX rules will be updated to reflect
the addition of TXSE prior to the commencement of trading on TXSE.
Accordingly, the Commission designates the proposed rule change to be
operative upon filing.\24\
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\22\ 17 CFR 240.19b-4(f)(6).
\23\ 17 CFR 240.19b-4(f)(6)(iii).
\24\ For purposes only of waiving the 30-day operative delay,
the Commission also has considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
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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
[[Page 33269]]
investors, or otherwise in furtherance of the purposes of the Act. If
the Commission takes such action, the Commission will institute
proceedings to determine whether the proposed rule change should be
approved or disapproved.
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#a5d7d0c9c088c6cac8c8c0cbd1d6e5d6c0c68bc2cad3"><span class="__cf_email__" data-cfemail="e290978e87cf818d8f8f878c9691a2918781cc858d94">[email protected]</span></a>. Please include
file number SR-IEX-2026-16 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-IEX-2026-16. 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 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-IEX-2026-16 and should be submitted on
or before June 24, 2026.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\25\
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\25\ 17 CFR 200.30-3(a)(12).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2026-11035 Filed 6-2-26; 8:45 am]
BILLING CODE 8011-01-P
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