Self-Regulatory Organizations; MIAX PEARL, LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the MIAX Pearl Equities Fee Schedule

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<title>Federal Register, Volume 91 Issue 205 (Monday, October 26, 2026)</title>
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[Federal Register Volume 91, Number 205 (Monday, October 26, 2026)]
[Notices]
[Pages 67375-67378]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-21837]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-106724; File No. SR-PEARL-2026-43]


Self-Regulatory Organizations; MIAX PEARL, LLC; Notice of Filing 
and Immediate Effectiveness of a Proposed Rule Change To Amend the MIAX 
Pearl Equities Fee Schedule

October 22, 2026.
    Pursuant to the provisions of Section 19(b)(1) of the Securities 
Exchange Act of 1934 (``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice 
is hereby given that on October 14, 2026, MIAX PEARL, LLC (``MIAX 
Pearl'' or the ``Exchange''), filed with the Securities and Exchange 
Commission (``Commission'') a 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 proposes to amend the fee schedule (the ``Fee 
Schedule'') applicable to MIAX Pearl Equities, an equities trading 
facility of the Exchange, to make a non-substantive, clarifying change 
to add liquidity indicator codes ``Ep'' and ``Fp'' below the table 
titled ``Midpoint Peg Order Adding Liquidity at Midpoint Volume Tiers'' 
in Section 1)e) as those liquidity indicator codes have been applicable 
since they were first established.
    The text of the proposed rule change is available on the Exchange's 
website at <a href="https://www.miaxglobal.com/markets/us-equities/pearl-equities/rule-filings">https://www.miaxglobal.com/markets/us-equities/pearl-equities/rule-filings</a>, and at MIAX Pearl's principal office.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, MIAX Pearl 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. MIAX Pearl has prepared summaries, set forth in sections 
A, B, and C below, of the most significant aspects of such statements.

[[Page 67376]]

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 Section 1)e) of the Fee Schedule to 
make a non-substantive, clarifying change to add liquidity indicator 
codes ``Ep'' and ``Fp'' below the table titled ``Midpoint Peg Order 
Adding Liquidity at Midpoint Volume Tiers'' as those liquidity 
indicator codes have been applicable to such executions since they were 
first established.
    The Exchange currently provides a standard rebate of ($0.00200) \3\ 
per share for executions of Midpoint Peg Orders \4\ in securities 
priced at or above $1.00 per share that execute at the midpoint of the 
Protected NBBO \5\ and add liquidity to the Exchange in all Tapes.\6\ 
The Exchange also provides enhanced rebates through a tiered pricing 
structure for executions of Midpoint Peg Orders in securities priced at 
or above $1.00 per share that execute at the midpoint of the Protected 
NBBO and add liquidity to the Exchange in all Tapes based on an Equity 
Member \7\ achieving certain ``Midpoint ADAV'' thresholds (defined 
below) (the ``Midpoint Volume Tiers Program'').\8\ Pursuant to the 
Midpoint Volume Tiers Program, Midpoint ADAV means the average daily 
added volume (``ADAV'') for the current month consisting of Midpoint 
Peg Orders in securities priced at or above $1.00 per share that 
execute at the midpoint of the Protected NBBO and add liquidity to the 
Exchange.\9\ Pursuant to Tier 1 of the Midpoint Volume Tiers Program, 
Equity Members may qualify for an enhanced rebate of ($0.0025) per 
share for executions of Midpoint Peg Orders in securities priced at or 
above $1.00 per share that execute at the midpoint of the Protected 
NBBO and add liquidity to the Exchange by achieving a Midpoint ADAV 
equal to or greater than 500,000 shares. Pursuant to Tier 2 of the 
Midpoint Volume Tiers Program, Equity Members may qualify for an 
enhanced rebate of ($0.0027) per share for executions of Midpoint Peg 
Orders in securities priced at or above $1.00 per share that execute at 
the midpoint of the Protected NBBO and add liquidity to the Exchange by 
achieving a Midpoint ADAV equal to or greater than 1,000,000 shares. 
Pursuant to Tier 3 of the Midpoint Volume Tiers Program, Equity Members 
may qualify for an enhanced rebate of ($0.0029) per share for 
executions of Midpoint Peg Orders in securities priced at or above 
$1.00 per share that execute at the midpoint of the Protected NBBO and 
add liquidity to the Exchange by achieving a Midpoint ADAV equal to or 
greater than 1,500,000 shares.
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    \3\ Rebates are indicated by parentheses. See the General Notes 
section of the Fee Schedule.
    \4\ See Exchange Rule 2614(3)(i)(A).
    \5\ With respect to the trading of equity securities, the term 
``Protected NBB'' or ``PBB'' shall mean the national best bid that 
is a Protected Quotation, the term ``Protected NBO'' or ``PBO'' 
shall mean the national best offer that is a Protected Quotation, 
and the term ``Protected NBBO'' or ``PBBO'' shall mean the national 
best bid and offer that is a Protected Quotation. See Exchange Rule 
1901.
    \6\ See Fee Schedule, Section 1)a)-b).
    \7\ The term ``Equity Member'' is a Member authorized by the 
Exchange to transact business on MIAX Pearl Equities. See Exchange 
Rule 1901.
    \8\ See Fee schedule, Section 1)e).
    \9\ ``ADAV'' means average daily added volume calculated as the 
number of shares added per day and ``ADV'' means average daily 
volume calculated as the number of shares added or removed, 
combined, per day. ADAV and ADV are calculated on a monthly basis. 
See the Definitions section of the Fee Schedule. The Exchange 
excludes from its calculation of ADAV, ADV, and TCV, and for the 
purpose of determining qualification for the rebates described in 
all Levels of the Market Quality Tier columns in the NBBO Setter 
Plus Program: (1) any trading day that the Exchange's system 
experiences a disruption that lasts for more than 60 minutes during 
regular trading hours; (2) any day with a scheduled early market 
close; (3) the ``Russell Reconstitution Day'' (typically the last 
Friday in June); (4) any day that the MSCI Equities Indexes are 
rebalanced (i.e., on a quarterly basis); and (5) any day that the 
S&P 400, S&P 500, and S&P 600 Indexes are rebalanced (i.e., on a 
quarterly basis). See the General Notes section of the Fee Schedule.
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    In February 2025, the Exchange filed a proposed change \10\ to, 
among other things, establish liquidity indicator codes and associated 
fees and rebates for orders executed during the Early Trading Session 
and Late Trading Session.\11\ In that filing, the Exchange established 
certain liquidity indicator codes applicable to executions of Midpoint 
Peg Orders in securities priced at or above $1.00 per share that 
execute at the midpoint of the Protected NBBO and add liquidity to the 
Exchange in all Tapes during the Early Trading Session and Late Trading 
Session (liquidity indicator codes ``Ep'' and ``Fp,'' 
respectively).\12\ At that time, liquidity indicator codes ``Ep'' and 
``Fp'' should have been included as applicable codes in the sentence 
below the table in Section 1)e) of the Fee Schedule pertaining to the 
Midpoint Volume Tiers Program.
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    \10\ See Securities Exchange Act Release No. 102448 (February 
19, 2025), 90 FR 10676 (February 25, 2025) (SR-PEARL-2025-05).
    \11\ The term ``Early Trading Session'' shall mean the time 
between 4:00 a.m. and 9:30 a.m. Eastern Time. The term ``Regular 
Trading Session'' shall mean the time between the completion of the 
Opening Process or Contingent Open as defined in Exchange Rule 2615 
and 4:00 p.m. Eastern Time. The term ``Late Trading Session'' shall 
mean the time between 4:00 p.m. and 8:00 p.m. Eastern Time. See 
Exchange Rule 1901.
    \12\ See supra note 10.
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    The Exchange now proposes to amend the sentence below the table in 
Section 1)e) of the Fee Schedule to add liquidity indicator codes 
``Ep'' and ``Fp'' as those codes have been applicable to the Midpoint 
Volume Tiers Program since they were established in February 2025. The 
Exchange notes that the rebates provided by the Midpoint Volume Tiers 
Program have been correctly applied to Equity Members' trading activity 
since the Early Trading Session and Late Trading Session were 
introduced, including since the time the Exchange established liquidity 
indicator codes ``Ep'' and ``Fp.'' The Exchange does not propose to 
amend any rebates or fees. The purpose of the proposed change is to 
provide greater clarity within the Fee Schedule.
2. Statutory Basis
    The Exchange believes that the proposed change is consistent with 
Section 6(b) of the Act \13\ in general, and further the objectives of 
Section 6(b)(5) of the Act,\14\ in particular, in that it is designed 
to promote just and equitable principles of trade, foster cooperation 
and coordination with persons engaged in regulating, clearing, 
settling, processing information with respect to, and facilitating 
transactions in securities, remove impediments to and perfect the 
mechanisms of a free and open market and a national market system and, 
in general, protect investors and the public interest.
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    \13\ 15 U.S.C. 78f(b).
    \14\ 15 U.S.C. 78f(b)(5).
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    The Exchange believes the proposed change promotes just and 
equitable principles of trade and removes impediment to and perfects 
the mechanism of a free and open market and a national market system 
because the proposed change will provide greater clarity to Equity 
Members and the public regarding the Fee Schedule. This is because 
Section 1)e) of the Fee Schedule, as currently stated, is missing two 
liquidity indicator codes that are applicable to executions of Midpoint 
Peg Orders in securities priced at or above $1.00 per share that 
execute at the midpoint of the Protected NBBO and add liquidity to the 
Exchange in all Tapes during the Early Trading Session and Late Trading 
Session (i.e., liquidity indicator codes ``Ep'' and ``Fp,'' 
respectively). The Exchange believes this proposed change will make it 
easier for Equity Members to interpret the Exchange's Fee Schedule, 
render the Fee Schedule more accurate and reduce potential investor 
confusion, which

[[Page 67377]]

removes impediments to and perfects the mechanism of a free and open 
market and a national market system. The Exchange does not propose to 
amend any rebates or fees. The Exchange notes that the rebates provided 
by the Midpoint Volume Tiers Program have been currently applied to 
Equity Members' trading activity since the Early Trading Session and 
Late Trading Session were introduced, including since the time the 
Exchange established liquidity indicator codes ``Ep'' and ``Fp.'' It is 
in the public interest for the Exchange's Fee Schedule to be clear and 
consistent so as to eliminate the potential for confusion.

B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed change will impose 
any burden on competition not necessary or appropriate in furtherance 
of the purposes of the Act. Specifically, the Exchange believes the 
proposed change will not impose any burden on intra-market competition 
as there is no change to the Exchange's rebates or fees and because the 
Exchange's Fee Schedule will continue to apply equally to all market 
participants. The proposal will have no impact on competition as it is 
not designed to address any competitive issue but rather is designed to 
provide clarity regarding the Exchange's rebates for certain types of 
transactions. The proposal will not impose any burden on competition; 
rather it will make it easier for Equity Members to interpret the 
Exchange's Fee Schedule, which may reduce potential investor confusion.
    The Exchange does not believe the proposal will impose any burden 
on inter-market competition as the proposal does not address any 
competitive issues and is intended to protect investors by providing 
greater clarity regarding the liquidity indicator codes that are 
applicable to executions of Midpoint Peg Orders in securities priced at 
or above $1.00 per share that execute at the midpoint of the Protected 
NBBO and add liquidity to the Exchange in all Tapes during the Early 
Trading Session and Late Trading Session (i.e., liquidity indicator 
codes ``Ep'' and ``Fp,'' respectively). The Exchange does not believe 
that the proposal will harm another exchange's ability to compete. 
Accordingly, the Exchange does not believe the proposal imposes any 
burden on competition that is not necessary or appropriate in 
furtherance of the purposes of the Act.

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

    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; and (iii) 
become operative for 30 days after the date of the filing, or such 
shorter time as the Commission may designate, it has become effective 
pursuant to Section 19(b)(3)(A) of the Act \15\ and subparagraph (f)(6) 
of Rule 19b-4 thereunder.\16\
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    \15\ 15 U.S.C. 78s(b)(3)(A).
    \16\ 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) \17\ normally 
does not become operative prior to 30 days after the date of the 
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\18\ 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 upon filing. In the filing, the 
Exchange stated that the proposed change does not propose to amend any 
current fees or rebates and is intended to provide greater clarity and 
consistency within the Fee Schedule, specifically clarifying the 
liquidity indicator codes that are applicable to executions of Midpoint 
Peg Orders in securities priced at or above $1.00 per share that 
execute at the midpoint of the Protected NBBO and add liquidity to the 
Exchange in all Tapes during the Early Trading Session and Late Trading 
Session. The proposed rule change does not raise any novel issues, and 
waiver of the operative delay allows for the immediate clarification of 
the Exchange's Fee Schedule for the benefit of the Exchange's Equity 
Members, other market participants, and the public, and therefore, 
waiver of the 30-day operative delay is consistent with the protection 
of investors and the public interest. Accordingly, the Commission 
hereby waives the operative delay and designates the proposal operative 
upon filing.\19\
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    \17\ 17 CFR 240.19b-4(f)(6).
    \18\ 17 CFR 240.19b-4(f)(6)(iii).
    \19\ For purposes only of waiving the 30-day operative delay, 
the Commission 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 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#4d3f382128602e2220202823393e0d3e282e632a223b"><span class="__cf_email__" data-cfemail="2e5c5b424b034d4143434b405a5d6e5d4b4d00494158">[email&#160;protected]</span></a>. Please include 
file number SR-PEARL-2026-43 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-PEARL-2026-43. 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-PEARL-2026-43 and 
should be submitted on or before November 16, 2026.


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    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\20\
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    \20\ 17 CFR 200.30-3(a)(12).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2026-21837 Filed 10-23-26; 8:45 am]
BILLING CODE 8011-01-P


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