Federal Register / Vol. 83, No. 119 / Wednesday, June 20, 2018 / Notices 28687 

10See e.g., NYSE Arca Equities Fees and Charges, 

NYSE Arca Marketplace: Other Fees and Charges, 

Connectivity Fees. See also, Nasdaq Phlx LLC 

Pricing Schedule, Section XI, Direct Connectivity to 

Phlx. 

11 15 U.S.C. 78s(b)(3)(A). 

12 17 CFR 240.19b–4(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. 

through another participant or market 

center or taking that exchange’s data 

indirectly. Accordingly, if the Exchange 

charges excessive fees, it would stand to 

lose not only connectivity revenues but 

also revenues associated with the 

execution of orders routed to it, and, to 

the extent applicable, market data 

revenues. The Exchange believes that 

this competitive dynamic imposes 

powerful restraints on the ability of any 

exchange to charge unreasonable fees 

for connectivity. 

Furthermore, the proposed rule 

change is also an equitable allocation of 

reasonable dues, fees, and other charges 

as the Exchange believes that the 

proposed increased physical port fees 

will enable it to cover its infrastructure 

costs associated with establishing 

physical ports to connect to the 

Exchange’s systems. The additional 

revenue from the increased fees will 

also enable the Exchange to continue to 

maintain and improve its market 

technology and services. Similarly, the 

Exchange believes the proposed fees for 

the Disaster Recovery Physical Ports 

will allow the Exchange to maintain the 

Disaster Recovery Physical Ports in case 

they become necessary. 

Lastly, the Exchange believes the fees 

remain competitive with those charged 

by other venues and therefore continue 

to be reasonable and equitably allocated 

to Members.10

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change will impose 

any burden on competition not 

necessary or appropriate in furtherance 

of the purposes of the Act. As discussed 

above, the Exchange believes that fees 

for connectivity are constrained by the 

robust competition for order flow among 

exchanges and non-exchange markets. 

The Exchange does not believe that the 

proposed changes represent a significant 

departure from previous pricing offered 

by the Exchange or pricing offered by 

the Exchange’s competitors. 

Additionally, Members may opt to 

disfavor the Exchange’s pricing if they 

believe that alternatives offer them 

better value. Further, excessive fees for 

connectivity would serve to impair an 

exchange’s ability to compete for order 

flow rather than burdening competition. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

The Exchange has not solicited, and 

does not intend to solicit, comments on 

this proposed rule change. The 

Exchange has not received any 

unsolicited written comments from 

Members or other interested parties. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing rule change has become 

effective pursuant to Section 19(b)(3)(A) 

of the Act 11 and paragraph (f) of Rule 

19b–4 thereunder.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. 

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– 

CboeBZX–2018–038 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–CboeBZX–2018–038. 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 such 

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–CboeBZX–2018–038, and 

should be submitted on or before July 

11, 2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.13

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2018–13159 Filed 6–19–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83440; File No. SR– 

NYSENAT–2018–13] 

Self-Regulatory Organizations; NYSE 

National, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Amend Its Schedule of 

Fees and Rebates To Extend the 

Current Waiver of Certain Adding and 

Taking Tier Volume Requirements to 

July 1, 2018, and Make NonSubstantive Changes To Eliminate 

Obsolete Text 

June 14, 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 June 6, 

2018, NYSE National, Inc. (the 

‘‘Exchange’’ or ‘‘NYSE National’’) 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 selfregulatory organization. The 

Commission is publishing this notice to 


sradovich on DSK3GMQ082PROD with NOTICES
28688 Federal Register / Vol. 83, No. 119 / Wednesday, June 20, 2018 / Notices 

4The Exchange originally filed to amend the Fee 

Schedule on May 31, 2018 (SR–NYSENAT–2018– 

11) and withdrew such filing on June 6, 2018. This 

filing replaces SR–NYSENAT–2018–11 in its 

entirety. 

5The term ‘‘BBO’’ is defined in Rule 1.1 to mean 

the best bid or offer that is a Protected Quotation 

on the Exchange. The term ‘‘BB’’ means the best bid 

that is a Protected Quotation on the Exchange and 

the term ‘‘BO’’ means the best offer that is a 

Protected Quotation on the Exchange. 

6Order/quote entry ports provide connectivity to 

the Exchange’s trading systems (i.e., ports for entry 

of orders and/or quotes). Drop copy ports allow for 

the receipt of ‘‘drop copies’’ of order or transaction 

information. Firms receive confirmations of their 

orders and receive execution reports via the order/ 

quote entry port that is used to enter the order or 

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). Drop copies 

can only be sent via a drop copy port. Drop copy 

ports cannot be used to enter orders and/or quotes. 

7See SR–NYSENAT–2018–12. 

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

9 15 U.S.C. 78f(b)(4) & (5). 

10 15 U.S.C. 78f(b)(8). 

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 

The Exchange proposes to amend its 

Schedule of Fees and Rebates to (1) 

extend the current waiver of certain 

adding and taking tier volume 

requirements to July 1, 2018, and (2) 

make non-substantive changes to 

eliminate obsolete text. The Exchange 

proposes to implement the rule change 

on June 6, 2018.4 The proposed rule 

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 its 

Schedule of Fees and Rebates to (1) 

extend the current waiver of certain 

adding and taking tier volume 

requirements to July 1, 2018, and (2) 

make non-substantive changes to 

eliminate obsolete text. 

The Exchange proposes to implement 

the rule change on June 6, 2018. 

Extend Waiver of Adding and Taking 

Tier Volume Requirements 

Currently, under the Adding Tier, the 

Exchange charges fees of $0.0020 per 

share for displayed orders, $0.0022 per 

share for non-displayed orders, $0.0018 

per share for orders that set a new 

Exchange BBO,5 and $0.0005 per share 

for Mid-Point Liquidity (‘‘MPL’’) orders 

for transactions in stocks with a per 

share price of $1.00 or more when 

adding liquidity to the Exchange if the 

ETP Holder has at least 0.015% of 

Adding ADV as a percent of US CADV. 

Under the Taking Tier, the Exchange 

offers credits of ($0.0020) per share for 

orders and ($0.0002) per share for MPL 

orders for transactions in stocks with a 

per share price of $1.00 or more when 

removing liquidity from the Exchange if 

the ETP Holder has at least 50,000 

shares of Adding ADV. As reflected in 

footnote * of the Schedule of Fees and 

Rebates, the Exchange currently waives 

the volume requirements for both of 

these tiers until June 1, 2018. 

The Exchange proposes to extend the 

waiver of the volume requirements for 

the Adding Tier and Taking Tier until 

July 1, 2018, which would be reflected 

in footnote * of the Schedule of Fees 

and Rebates. 

Deletion of Obsolete Text 

Currently, the Exchange does not [sic] 

to charge for order/quote entry ports and 

for drop copy ports until June 1, 2018.6

Thereafter, as the Exchange noted in its 

filing adopting the port fees, the 

Exchange would charge $250 per port 

per month for both order/quote entry 

ports and drop copy ports, and the fees 

would apply to all market participants.7

Because the fee waivers expire on June 

1, 2018, and the Exchange does not 

propose to extend the waivers, the 

Exchange accordingly proposes to 

eliminate the waiver language in the 

Section III (Port Fees) of the Schedule of 

Fees and Rebates as obsolete. 

The proposed changes are not 

otherwise intended to address any other 

issues, and the Exchange is not aware of 

any problems that ETP Holders 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,8 in general, and 

furthers the objectives of Sections 

6(b)(4) and 6(b)(5) of the Act,9 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. 

Extend Waiver of Adding and Taking 

Tier Volume Requirements 

The Exchange believes it is reasonable 

to extend the waiver of the Adding Tier 

and Taking Tier volume requirements 

until July 1, 2018, because the 

continued waiver for a limited period of 

time will provide incentives for ETP 

Holders to submit increased volumes 

and enable the Exchange to improve its 

overall competitiveness and strengthen 

its market quality to the benefit of all 

market participants. The proposed 

extension of the volume requirements 

waiver is not unfairly discriminatory 

because it will apply equally to all 

similarly situated ETP Holders. 

Non-Substantive Changes 

The Exchange believes that the 

proposed deletion of waiver language 

expiring June 1, 2018, relating to port 

fees removes impediments to, and 

perfects the mechanism of, a free and 

open market by adding clarity as to 

whether waivers are operative and 

when, thereby reducing potential 

confusion that may result from having 

obsolete material in the Exchange’s 

rulebook, and making the Exchange’s 

rules easier to navigate. The Exchange 

believes that eliminating such obsolete 

material would not be inconsistent with 

the public interest and the protection of 

investors because investors will not be 

harmed and in fact would benefit from 

increased transparency, thereby 

reducing potential confusion. 

Finally, the Exchange believes that it 

is subject to significant competitive 

forces, as described below in the 

Exchange’s statement regarding the 

burden on competition. 

For the foregoing 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,10 the Exchange believes that the 

proposed rule change would not impose 

any burden on competition that is not 

necessary or appropriate in furtherance 


sradovich on DSK3GMQ082PROD with NOTICES
Federal Register / Vol. 83, No. 119 / Wednesday, June 20, 2018 / Notices 28689 

11 15 U.S.C. 78s(b)(3)(A). 

12 17 CFR 240.19b–4(f)(2). 

13 15 U.S.C. 78s(b)(2)(B). 

14 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. 

of the purposes of the Act. Instead, the 

Exchange believes that the proposed 

rule change would encourage the 

submission of additional liquidity to a 

public exchange, thereby promoting 

price discovery and transparency and 

enhancing order execution 

opportunities for ETP Holders. The 

Exchange believes that this could 

promote competition between the 

Exchange and other execution venues, 

including those that currently offer 

similar order types and comparable 

transaction pricing, by encouraging 

additional orders to be sent to the 

Exchange for execution. The Exchange 

also believes that the proposed rule is 

designed to provide the public and 

investors with a Schedule of Fees and 

Rebates that is clear and consistent, 

thereby reducing burdens on the 

marketplace and facilitating investor 

protection. 

Finally, 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 or rebate opportunities 

available at other venues to be more 

favorable. In such an environment, the 

Exchange must continually adjust its 

fees and rebates to remain competitive 

with other exchanges and with 

alternative trading systems that have 

been exempted from compliance with 

the statutory standards applicable to 

exchanges. Because competitors are free 

to modify their own fees and credits in 

response, and because market 

participants may readily adjust their 

order routing practices, 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 ETP Holders or 

competing order 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 

The foregoing rule change is effective 

upon filing pursuant to Section 

19(b)(3)(A) 11 of the Act and 

subparagraph (f)(2) of Rule 19b–4 12

thereunder, because it establishes a due, 

fee, or other charge imposed by the 

Exchange. 

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) 13 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– 

NYSENAT–2018–13 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–NYSENAT–2018–13. 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; 

the Commission does not edit personal 

identifying information from 

submissions. 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–NYSENAT–2018–13 

and should be submitted on or before 

July 11, 2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.14

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2018–13166 Filed 6–19–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83447; File No. SR– 

NYSEArca–2018–39] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change Relating To Changes in 

the Description of the Investments of 

the USCF Canadian Crude Oil Index 

Fund 

June14, 2018. 

Pursuant to Section 19(b)(1) 1 of the 

Securities Exchange Act of 1934 

(‘‘Act’’) 2 and Rule 19b–4 thereunder,3

notice is hereby given that, on May 31, 

2018, NYSE Arca, Inc. (‘‘Exchange’’ or 

‘‘NYSE Arca’’) filed with the Securities 

and Exchange Commission 

(‘‘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. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange proposes to reflect 

changes in the description of the 

investments of the USCF Canadian 

Crude Oil Index Fund (the ‘‘Fund’’). 


sradovich on DSK3GMQ082PROD with NOTICES