Federal Register / Vol. 83, No. 116 / Friday, June 15, 2018 / Notices 28041 

8 15 U.S.C. 78s(b)(3)(A). 

9 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

4(f)(6)(iii) requires the Exchange to give the 

Commission written notice the Exchange’s 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. 

10 17 CFR 240.19b–4(f)(6). 

11 17 CFR 240.19b–4(f)(6)(iii). 

12For purposes only of waiving the 30-day 

operative delay, the Commission has also 

considered the proposed rule’s impact on 

efficiency, competition, and capital formation. See 

15 U.S.C. 78c(f). 

13 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

offerings and conform the text of the 

offerings. The Exchange’s proposal to 

correct an inadvertent error within 

Chapter XV, Section 3 will clarify the 

manner in which OTTO Ports are billed 

today on NOM. All OTTO Ports will 

continue to be billed in a uniform 

manner. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

No written comments were either 

solicited or received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

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 for 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 8 and Rule 19b–4(f)(6) 

thereunder.9

A proposed rule change filed under 

Rule 19b–4(f)(6) 10 normally does not 

become operative for 30 days after the 

date of filing. However, pursuant to 

Rule 19b–4(f)(6)(iii),11 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 proposal may become operative 

upon filing. The Exchange states that 

such waiver will allow it to update its 

rules to provide more detail regarding 

its data offerings and properly reflect 

the manner in which an OTTO Port is 

currently billed. The Exchange believes 

this will further the protection of 

investors and the public interest 

because it will provide greater 

transparency as to the data offerings 

available to members and avoid 

confusion by correcting an error on its 

fee schedule. For this reason, the 

Commission believes that waiving the 

30-day operative delay is consistent 

with the protection of investors and the 

public interest and, therefore, the 

Commission designates the proposed 

rule change to be operative upon 

filing.12

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 shall institute proceedings 

to determine whether the proposed rule 

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 

• Use the Commission’s internet 

comment form (http://www.sec.gov/ 

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include File Number SR– 

NASDAQ–2018–040 on the subject line. 

Paper Comments 

• 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–NASDAQ–2018–040. 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 (http://www.sec.gov/ 

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 

10:00 a.m. and 3:00 p.m. Copies of the 

filing also will be available for 

inspection and copying at the principal 

office of the Exchange. All comments 

received will be posted without change. 

Persons submitting comments are 

cautioned that we do not redact or edit 

personal identifying information from 

comment submissions. You should 

submit only information that you wish 

to make available publicly. All 

submissions should refer to File 

Number SR–NASDAQ–2018–040 and 

should be submitted on or before July 6, 

2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.13

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2018–12854 Filed 6–14–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83402; File No. SR– 

NYSEAMER–2018–23] 

Self-Regulatory Organizations; NYSE 

American LLC; Notice of Filing and 

Immediate Effectiveness of Proposed 

Change To Amend the NYSE American 

Equities Price List and the NYSE 

American Options Fee Schedule 

Related to Co-Location Services in 

Connection With the Re-Launch of 

Trading on NYSE National, Inc. and 

Proposed NYSE National Co-Location 

Services 

June 11, 2018. 

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 30, 

2018, NYSE American LLC (the 

‘‘Exchange’’ or ‘‘NYSE American’’) 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. 


sradovich on DSK3GMQ082PROD with NOTICES
28042 Federal Register / Vol. 83, No. 116 / Friday, June 15, 2018 / Notices 

4The Exchange initially filed rule changes 

relating to its co-location services with the 

Commission in 2010. See Securities Exchange Act 

Release No. 62961 (September 21, 2010), 75 FR 

59299 (September 27, 2010) (SR–NYSEAmex–2010– 

80). The Exchange operates a data center in 

Mahwah, New Jersey (the ‘‘data center’’) from 

which it provides co-location services to Users. 

5See Securities Exchange Act Release No. 79902 

(January 30, 2017), 82 FR 9258 (February 3, 2017) 

(SR–NSX–2016–16). Prior to its acquisition, NYSE 

National was named ‘‘National Stock Exchange, 

Inc.’’ 6See Securities Exchange Act Release No. 80018 

(February 10, 2017), 82 FR 10947 (February 16, 

2017) (SR–NSX–2017–04). 7See Securities Exchange Act Release No. 83289 

(May 17, 2018) (notice of filing of Amendment No. 

1 and order granting accelerated approval of a 

proposed rule change, as amended by Amendment 

No. 1, to support the re-launch of NYSE National, 

Inc. on the Pillar Trading Platform) (‘‘NYSE 

National Trading Rules Approval’’). See also 

Securities Exchange Act Release No. 82819 (March 

7, 2018), 83 FR 11098 (March 13, 2018) (SR– 

NYSENat–2018–02). 

8See SR–NYSENat–2018–07 (May 18, 2018). 

9See NYSE National Trading Rules Approval, 

supra note 7. 

10For purposes of the Exchange’s co-location 

services, a ‘‘User’’ means any market participant 

that requests to receive co-location services directly 

from the Exchange. See Securities Exchange Act 

Release No. 76009 (September 29, 2015), 80 FR 

60213 (October 5, 2015) (SR–NYSEMKT–2015–67). 

11See Securities Exchange Act Release No. 70176 

(August 13, 2013), 78 FR 50471 (August 19, 2013) 

(SR–NYSEMKT–2013–67). Some Users do not 

connect to the Exchange or the Affiliate SROs, but 

rather provide services to other Users co-located at 

the data center. Id. 

12See Securities Exchange Act Release No. 79728 

(January 4, 2017), 82 FR 3035 (January 10, 2017) 

(SR–NYSEMKT–2016–126). 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange proposes to amend the 

NYSE American Equities Price List 

(‘‘Price List’’) and the NYSE American 

Options Fee Schedule (‘‘Fee Schedule’’) 

related to co-location services in 

connection with the re-launch of trading 

on NYSE National, Inc. (‘‘NYSE 

National’’) and proposed NYSE National 

co-location services. The Exchange also 

proposes to make a non-substantive 

change to remove obsolete text from the 

Price List and Fee Schedule. The 

proposed change is available on the 

Exchange’s website at www.nyse.com, 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 amend the 

Price List and Fee Schedule related to 

co-location 4 services in connection with 

the re-launch of trading on NYSE 

National and proposed NYSE National 

co-location services. Specifically, the 

Exchange proposes to make changes to 

General Note 1 and General Note 4 of 

the Price List and Fee Schedule to add 

references to NYSE National. The 

Exchange also proposes to make a nonsubstantive change to remove obsolete 

text from the Price List and Fee 

Schedule, with respect to the wireless 

connection to third party data provided 

by the Toronto Stock Exchange (‘‘TSX’’). 

On January 31, 2017, Intercontinental 

Exchange, Inc. (‘‘ICE’’), the indirect 

parent of the Exchange, acquired all of 

the outstanding capital stock of NYSE 

National through its wholly-owned 

subsidiary NYSE Group.5 As a result, 

NYSE National is an affiliate of the 

Exchange. On February 1, 2017, NYSE 

National ceased trading operations.6

NYSE National filed proposed rule 

changes to re-launch trading 

operations.7 NYSE National has stated 

that it anticipates re-launching trading 

operations in the second quarter of 

2018. In connection with the anticipated 

re-launch of NYSE National’s trading 

operations, NYSE National has filed a 

proposed rule change to offer the same 

co-location services and fees offered by 

the Exchange, the New York Stock 

Exchange LLC (‘‘NYSE LLC’’) and NYSE 

Arca, Inc. (‘‘NYSE Arca’’ and, together 

with NYSE LLC, the ‘‘Affiliate SROs’’), 

which are its affiliates.8

The Exchange requests that the 

proposed rule change become both 

effective and operative immediately 

upon filing.9

General Note 1 

General Note 1 of the Price List and 

Fee Schedule provides that a User 10

that incurs co-location fees for a 

particular co-location service shall not 

be subject to co-location fees for the 

same co-location service charged by the 

other Affiliate SROs.11 The Exchange 

proposes to add NYSE National to 

General Note 1 to the Price List, as 

follows (additions underlined, deletions 

in brackets): 

A User that incurs co-location fees for a 

particular co-location service pursuant to the 

NYSE American Equities Price List shall not 

be subject to co-location fees for the same colocation service charged pursuant to the 

NYSE American Options Fee Schedule or by 

the Exchange’s affiliates New York Stock 

Exchange LLC (NYSE), [and] NYSE Arca, Inc. 

(NYSE Arca) and NYSE National, Inc. (NYSE 

National). 

The Exchange proposes to add NYSE 

National to General Note 1 to the Fee 

Schedule, as follows (additions 

underlined, deletions in brackets): 

A User that incurs co-location fees for a 

particular co-location service pursuant to this 

Fee Schedule shall not be subject to colocation fees for the same co-location service 

charged pursuant to the NYSE American 

Equities Price List or by the Exchange’s 

affiliates New York Stock Exchange LLC 

(NYSE), [and] NYSE Arca, Inc. (NYSE Arca) 

and NYSE National, Inc. (NYSE National). 

By including the proposed reference 

to NYSE National, General Note 1 

would provide that the fees a User pays 

for co-location services would not 

depend on whether the User connects to 

none, one, some, or all of the Exchange, 

the Affiliate SROs, and NYSE National. 

General Note 4 

General Note 4 of the Price List and 

Fee Schedule provides that, when a 

User purchases access to the Liquidity 

Center Network (‘‘LCN’’) or the internet 

protocol (‘‘IP’’) network, the two local 

area networks available in the data 

center,12 a User receives (a) the ability 

to access the trading and execution 

systems of the Exchange and Affiliate 

SROs, and (b) connectivity to any of the 

listed data products (‘‘Included Data 

Products’’) that it selects. 

The Exchange proposes to add NYSE 

National to the list of trading and 

execution system providers in the first 

sentence of the first paragraph, thereby 

expanding the definition of ‘‘Exchange 

Systems’’ which Users may access to 

include NYSE National. It also proposes 

to add NYSE National to the lists of 

affiliated entities in the first, third and 

fourth sentences. The proposed changes 

are as follows (additions underlined, 

deletions in brackets): 

When a User purchases access to the LCN 

or IP network, it receives the ability to access 

the trading and execution systems of the 

NYSE, NYSE American, [and] NYSE Arca 

and NYSE National (Exchange Systems), 

subject, in each case, to authorization by the 

NYSE, NYSE American, [or] NYSE Arca or 

NYSE National, as applicable. Such access 

includes access to the customer gateways that 

provide for order entry, order receipt (i.e. 

confirmation that an order has been 

received), receipt of drop copies and trade 

reporting (i.e. whether a trade is executed or 


sradovich on DSK3GMQ082PROD with NOTICES
Federal Register / Vol. 83, No. 116 / Friday, June 15, 2018 / Notices 28043 

13As is currently the case, Users that receive colocation services from the Exchange will not receive 

any means of access to the Exchange’s trading and 

execution systems that is separate from, or superior 

to, that of other Users. In this regard, all orders sent 

to the Exchange enter the Exchange’s trading and 

execution systems through the same order gateway, 

regardless of whether the sender is co-located in the 

data center or not. In addition, co-located Users do 

not receive any market data or data service product 

that is not available to all Users, although Users that 

receive co-location services normally would expect 

reduced latencies in sending orders to, and 

receiving market data from, the Exchange. 

14See 78 FR 50471, supra note 11, at 50471. The 

Affiliate SROs have also submitted substantially the 

same proposed rule change to propose the changes 

described herein. See SR–NYSE–2018–23 and SR– 

NYSEArca–2018–36. 

15 15 U.S.C. 78f(b). 

16 15 U.S.C. 78f(b)(5). 

cancelled), as well as for sending information 

to shared data services for clearing and 

settlement. A User can change the access it 

receives at any time, subject to authorization 

by NYSE, NYSE American, [or] NYSE Arca, 

or NYSE National. NYSE, NYSE American, 

[and ]NYSE Arca and NYSE National also 

offer access to Exchange Systems to their 

members, such that a User does not have to 

purchase access to the LCN or IP network to 

obtain access to Exchange Systems. 

In addition, the Exchange proposes to 

add NYSE National to the table of 

Included Data Products set forth in 

General Note 4. 

Toronto Stock Exchange 

The Exchange offers Users the option 

to receive certain market data feeds from 

third party markets through a wireless 

connection. The description of the 

charge for the TSX wireless connection 

in the Price List and Fee Schedule states 

that ‘‘[c]ustomers with an existing 

wireless connection to TSX at the time 

the Exchange makes the service 

available will not be subject to an initial 

charge or receive 30-day testing period.’’ 

Because the wireless connection to the 

TSX has become effective, the statement 

is obsolete. Accordingly, the Exchange 

proposes to delete the statement from 

the Price List and Fee Schedule. 

General 

As is the case with all Exchange colocation arrangements, (i) neither a User 

nor any of the User’s customers would 

be permitted to submit orders directly to 

the Exchange unless such User or 

customer is a member organization, a 

Sponsored Participant or an agent 

thereof (e.g., a service bureau providing 

order entry services); (ii) use of the colocation services proposed herein would 

be completely voluntary and available 

to all Users on a non-discriminatory 

basis; 13 and (iii) a User would only 

incur one charge for the particular colocation service described herein, 

regardless of whether the User connects 

only to the Exchange or to the Exchange, 

one or both of its Affiliate SROs, or 

NYSE National.14

The proposed change is not otherwise 

intended to address any other issues 

relating to co-location services and/or 

related fees, and the Exchange is not 

aware of any problems that Users would 

have in complying with the proposed 

change. 

2. Statutory Basis 

The Exchange believes that the 

proposal is consistent with Section 6(b) 

of the Act,15 in general, and furthers the 

objectives of Section 6(b)(5) of the Act,16

in particular, because it is designed to 

prevent fraudulent and manipulative 

acts and practices, to promote just and 

equitable principles of trade, to foster 

cooperation and coordination with 

persons engaged in regulating, clearing, 

settling, processing information with 

respect to, and facilitating transactions 

in securities, to remove impediments to, 

and perfect the mechanisms of, a free 

and open market and a national market 

system and, in general, to protect 

investors and the public interest and 

because it is not designed to permit 

unfair discrimination between 

customers, issuers, brokers, or dealers. 

The Exchange believes that the 

proposed change would 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 because the amendments would 

update General Note 1 to reflect NYSE 

National’s provision of co-location 

services. By including the proposed 

reference to NYSE National, General 

Note 1 would provide that the fees a 

User pays for co-location services would 

not depend on whether the User 

connects to none, one, some, or all of 

the Exchange, the Affiliate SROs, and 

NYSE National. For example, to charge 

one User three times for a cage because 

that User connects to the Exchange, 

NYSE National, and an Affiliate SRO, 

when another User that buys the same 

size cage and only connects to the 

Exchange only pays once, would not 

promote just and equitable principles of 

trade. The Exchange also believes that 

the proposed amendments to General 

Note 1 are not designed to permit unfair 

discrimination between customers, 

issuers, brokers, or dealers because 

charging a User for co-location services 

based on how many markets to which 

a User connects could result in the 

Exchange, NYSE National and the 

Affiliate SROs receiving the proceeds 

from multiple fees despite only 

providing a service once. 

The Exchange believes that the 

proposed amendments would 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 because the amendments would 

update General Note 4 to reflect NYSE 

National’s provision of co-location 

services. By expanding the definition of 

‘‘Exchange Systems’’ to include the 

NYSE National trading and execution 

system, incorporating references to 

NYSE National, and adding NYSE 

National to the list of Included Data 

Products, the Exchange would provide 

market participants with clarity as to 

what access and connectivity a User 

receives when it purchases access to the 

LCN or IP network, thereby making the 

description more accessible and 

transparent. 

Further, the Exchange believes that 

revising General Note 4 to provide a 

more detailed description of the access 

and connectivity to NYSE National that 

Users would receive with their purchase 

of access to the LCN or IP network 

would promote just and equitable 

principles of trade and remove 

impediments to, and perfect the 

mechanisms of, a free and open market 

and a national market system as it 

would make clear that all Users that 

voluntarily select to access the LCN or 

IP network would receive the same 

access to the NYSE National trading and 

execution systems and connectivity to 

NYSE National data and would not be 

subject to a charge above and beyond 

the fee paid for the relevant LCN or IP 

network access. In addition, a User 

would not be required to use any of its 

bandwidth to access the NYSE National 

trading and execution system or connect 

to NYSE National data unless it wishes 

to do so. A User only receives the access 

to Exchange Systems and connectivity 

to Included Data Products that it selects, 

and a User can change such access or 

connectivity it receives at any time, 

subject to authorization from the data 

provider or relevant Exchange or 

Affiliate SRO. 

The Exchange believes that the nonsubstantive change to remove obsolete 

text with respect to the wireless 

connection to TSX data would 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 because the amendment would 

clarify Exchange rules and alleviate any 

possible market participant confusion 

caused by the obsolete reference. 


sradovich on DSK3GMQ082PROD with NOTICES
28044 Federal Register / Vol. 83, No. 116 / Friday, June 15, 2018 / Notices 

17 15 U.S.C. 78f(b)(4). 

18 15 U.S.C. 78f(b)(8). 

19 15 U.S.C. 78s(b)(3)(A)(iii). 

20 17 CFR 240.19b–4(f)(6). 

21 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

4(f)(6) 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. 

22 17 CFR 240.19b–4(f)(6). 

23 17 CFR 240.19b–4(f)(6)(iii). 

24For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

The Exchange also believes that the 

proposed fee change is consistent with 

Section 6(b)(4) of the Act,17 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 Exchange believes that the 

proposed change 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, because the 

change would result in the Exchange 

offering co-location services related to 

access and connectivity to NYSE 

National, an affiliate of the Exchange, on 

the same terms and in the same manner 

as it offers access and connectivity to 

the Exchange and the Affiliate SROs. By 

adding NYSE National to General Notes 

1 and 4, the proposed change would 

ensure that the fees a User pays for colocation services would not depend on 

whether the User connects to none, one 

or more of the Exchange, the SRO 

Affiliates and NYSE National. For 

example, a User that connects to the 

Exchange, NYSE National, and an 

Affiliate SRO, and another User that 

only connects to the Exchange, would 

both receive the same services for the 

same fee, including the same access and 

connectivity with their purchase of 

access to the LCN or IP network. 

The Exchange believes that the 

proposed non-substantive change to 

remove obsolete text with respect to the 

wireless connection to TSX data would 

be reasonable because the change would 

have no impact on pricing. Rather, the 

change would remove obsolete 

information from the description of the 

pricing for the service, alleviating 

possible market participant confusion. 

For these reasons, the Exchange 

believes that the proposal is consistent 

with the Act. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

In accordance with Section 6(b)(8) of 

the Act,18 the Exchange believes that the 

proposed rule change will not impose 

any burden on competition that is not 

necessary or appropriate in furtherance 

of the purposes of the Act because, in 

addition to the use of co-location 

services being completely voluntary, 

they are available to all Users on an 

equal basis (i.e., the same range of 

products and services are available to all 

Users). 

The Exchange believes that the 

proposed change would not impose any 

burden on competition that is not 

necessary or appropriate in furtherance 

of the purposes of the Act because the 

change would result in the Exchange 

offering co-location services related to 

access and connectivity to NYSE 

National, an affiliate of the Exchange, on 

the same terms and in the same manner 

as it offers access and connectivity to 

the Exchange and the Affiliate SROs. By 

adding NYSE National to General Notes 

1 and 4, the proposed change would 

ensure that the fees a User pays for colocation services would not depend on 

whether the User connects only to none, 

one or more of the Exchange, the SRO 

Affiliates and NYSE National. Further, 

the Exchange believes that revising 

General Note 4 to provide a more 

detailed description of the access and 

connectivity to NYSE National that 

Users would receive with their purchase 

of access to the LCN or IP network 

would make clear that all Users that 

voluntarily select to access the LCN or 

IP network would receive the same 

access to the NYSE National trading and 

execution systems and connectivity to 

NYSE National data and would not be 

subject to a charge above and beyond 

the fee paid for the relevant LCN or IP 

network access. 

In addition, a User would not be 

required to use any of its bandwidth to 

access the NYSE National trading and 

execution system or connect to NYSE 

National data unless it wishes to do so. 

The Exchange believes that the nonsubstantive change to remove obsolete 

text with respect to the wireless 

connection to TSX data would not 

impose any burden on competition that 

is not necessary or appropriate in 

furtherance of the purposes of the Act 

because it would have no impact on 

pricing or existing services. Rather, the 

change would remove obsolete 

information from the description of the 

pricing for the service, alleviating 

possible market participant confusion. 

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 19 and Rule 

19b–4(f)(6) thereunder.20 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.21

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 19b4(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 requests that the Commission 

waive the 30-day operative delay so that 

the proposed rule changes may become 

operative immediately upon filing. The 

Exchange believes that waiver of the 

operative delay is consistent with the 

protection of investors and the public 

interest because it would allow the 

Exchange to offer co-location services 

related to access and connectivity to 

NYSE National to coincide with the 

relaunch of the NYSE National and its 

proposed co-location services. The 

Exchange also notes that waiver would 

alleviate the possibility of confusion 

that could be caused by inconsistencies 

between the Exchange’s Price List and 

NYSE National co-location services that 

are to be included in NYSE National’s 

price list. The Commission believes that 

waiving the 30-day operative delay is 

consistent with the protection of 

investors and the public interest as it 

would allow the Exchange to offer colocations services in the form of access 

and connectivity to NYSE National 

without undue delay. Accordingly, the 

Commission waives the 30-day 

operative delay and designates the 

proposed rule change operative upon 

filing.24


sradovich on DSK3GMQ082PROD with NOTICES
Federal Register / Vol. 83, No. 116 / Friday, June 15, 2018 / Notices 28045 

proposed rule’s impact on efficiency, competition, 

and capital formation. See 15 U.S.C. 78c(f). 

25 15 U.S.C. 78s(b)(2)(B). 

26 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

3 17 CFR 240.19b–4(f)(6). 

4See infra note 8. 

5See infra notes 10 and 11. The Commission 

notes that the exhibits referenced are exhibits to the 

proposed rule change, not to this Notice. 

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) 25 of the Act 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 

• Use the Commission’s internet 

comment form (http://www.sec.gov/ 

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include File Number SR– 

NYSEAMER–2018–23 on the subject 

line. 

Paper Comments 

• Send paper comments in triplicate 

to Brent J. Fields, Secretary, Securities 

and Exchange Commission, 100 F Street 

NE, Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–NYSEAMER–2018–23. 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 (http://www.sec.gov/ 

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 

10:00 a.m. and 3:00 p.m. Copies of the 

filing also will be available for 

inspection and copying at the principal 

office of the Exchange. All comments 

received will be posted without change. 

Persons submitting comments are 

cautioned that we do not redact or edit 

personal identifying information from 

comment submissions. You should 

submit only information that you wish 

to make available publicly. All 

submissions should refer to File 

Number SR–NYSEAMER–2018–23 and 

should be submitted on or before July 6, 

2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.26

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2018–12851 Filed 6–14–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83407; File No. SR–FINRA– 

2018–024] 

Self-Regulatory Organizations; 

Financial Industry Regulatory 

Authority, Inc.; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change To Amend Security 

Futures Risk Disclosure Statement To 

Reflect the T+2 Settlement Cycle, 

Incorporate Prior Supplements, and 

Make Other Non-Substantive Changes 

June 11, 2018. 

Pursuant to 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 June 7, 

2018, Financial Industry Regulatory 

Authority, Inc. (‘‘FINRA’’) filed with the 

Securities and Exchange Commission 

(‘‘SEC’’ or ‘‘Commission’’) the proposed 

rule change as described in Items I, II, 

and III below, which Items have been 

prepared by FINRA. FINRA has 

designated the proposed rule change as 

constituting a non-controversial rule 

change under paragraph (f)(6) of Rule 

19b–4 under the Act,3 which renders 

the proposal effective upon receipt of 

this filing by the Commission. The 

Commission is publishing this notice to 

solicit comments on the proposed rule 

change from interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

FINRA is proposing to update the 

2002 security futures risk disclosure 

statement (‘‘2002 Statement’’ or 

‘‘Statement’’) 4 that would incorporate 

prior supplements pertaining to 

Sections 5.2 (Settlement by Physical 

Delivery) and 8.1 (Corporate Events),5

make a technical change to Section 5.2 

to reflect that the normal clearance and 

settlement cycle for securities 

transaction is now two business days, 

amend Section 6.1 (Protections for 

Securities Accounts) to reflect the 

current address for the Securities 

Investor Protection Corporation 

(‘‘SIPC’’), and make other nonsubstantive and technical changes. 

FINRA is not proposing any textual 

changes to FINRA rules. 

The proposed updated Statement is 

attached as Exhibit 3a. The proposed 

supplement pertaining to changes to the 

specified paragraphs under Sections 5.2 

and 6.1, and the proposed nonsubstantive and technical changes to the 

other Sections as described herein are 

attached as Exhibit 3b. 

The text [sic] of the proposed rule 

change is available on FINRA’s website 

at http://www.finra.org, at the principal 

office of FINRA 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, 

FINRA 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. FINRA 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 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

Rule 2370(b)(11)(A) requires a 

member to deliver the current security 

futures risk disclosure statement to each 

customer at or prior to the time such 

customer’s account is approved for 


sradovich on DSK3GMQ082PROD with NOTICES