Federal Register / Vol. 88, No. 244 / Thursday, December 21, 2023 / Notices 88463 

15 15 U.S.C. 78s(b)(3)(A)(ii). 16 17 CFR 200.30–3(a)(12). 

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 

The foregoing rule change has become 

effective pursuant to Section 

19(b)(3)(A)(ii) of the Act.15 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: (i) 

necessary or appropriate in the public 

interest; (ii) for the protection of 

investors; or (iii) 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 (https://www.sec.gov/ 

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include file number SR– 

GEMX–2023–19 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–GEMX–2023–19. 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 (https://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 

a.m. and 3 p.m. Copies of the filing also 

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–GEMX–2023–19 and should be 

submitted on or before January 11, 2024. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.16

Sherry R. Haywood, 

Assistant Secretary. 

[FR Doc. 2023–28041 Filed 12–20–23; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–222, OMB Control No. 

3235–0233] 

Submission for OMB Review; 

Comment Request; Extension: Form 

2–E 

Upon Written Request, Copies Available 

From: Securities and Exchange 

Commission, Office of FOIA Services, 

100 F Street NE, Washington, DC 

20549–2736 

Notice is hereby given that, pursuant 

to the Paperwork Reduction Act of 1995 

(44 U.S.C. 3501 et seq.), the Securities 

and Exchange Commission (the 

‘‘Commission’’) has submitted to the 

Office of Management and Budget 

(‘‘OMB’’) a request for extension of the 

previously approved collection of 

information discussed below. 

Rule 609 (17 CFR 230.609) under the 

Securities Act of 1933 (15 U.S.C. 77a et 

seq.) requires small business investment 

companies and business development 

companies that have engaged in 

offerings of securities that are exempt 

from registration pursuant to Regulation 

E under the Securities Act of 1933 (17 

CFR 230.601 to 610a) to report semiannually on Form 2–E (17 CFR 239.201) 

the progress of the offering. The form 

solicits information such as the dates an 

offering commenced and was completed 

(if completed), the number of shares 

sold and still being offered, amounts 

received in the offering, and expenses 

and underwriting discounts incurred in 

the offering. The information provided 

on Form 2–E assists the staff in 

monitoring the progress of the offering 

and in determining whether the offering 

has stayed within the limits set for an 

offering exempt under Regulation E. 

Although there have been no filings of 

Form 2–E since 2017, for administrative 

purposes the Commission estimates 

that, on average, approximately one 

respondent submits a Form 2–E filing 

each year. The Commission further 

estimates that this information 

collection imposes an annual burden of 

four hours and imposes no annual 

external cost burden. 

The collection of information under 

Form 2–E is mandatory. The 

information provided by the form will 

not be kept confidential. An agency may 

not conduct or sponsor, and a person is 

not required to respond to, a collection 

of information unless it displays a 

currently valid OMB control number. 

Written comments continue to be 

invited on: (a) whether this collection of 

information is necessary for the proper 

performance of the functions of the 

agency, including whether the 

information will have practical utility; 

(b) the accuracy of the agency’s estimate 

of the burden imposed by the collection 

of information; (c) ways to enhance the 

quality, utility, and clarity of the 

information collected; and (d) ways to 

minimize the burden of the collection of 

information on respondents, including 

through the use of automated collection 

techniques or other forms of information 

technology. 

An agency may not conduct or 

sponsor, and a person is not required to 

respond to, a collection of information 

under the PRA unless it displays a 

currently valid OMB control number. 

The public may view background 

documentation for this information 

collection at the following website: 

www.reginfo.gov. Find this particular 

information collection by selecting 

‘‘Currently under 30-day Review—Open 

for Public Comments’’ or by using the 

search function. Written comments and 

recommendations for the proposed 

information collection should be sent 

within 30 days of publication of this 

notice by January 22, 2024 to (i) 

MBX.OMB.OIRA.SEC_desk_officer@

omb.eop.gov and (ii) David Bottom, 

Director/Chief Information Officer, 

Securities and Exchange Commission, c/ 

o John Pezzullo, 100 F Street NE, 

Washington, DC 20549, or by sending an 

email to: PRA_Mailbox@sec.gov. 


khammond on DSKJM1Z7X2PROD with NOTICES
88464 Federal Register / Vol. 88, No. 244 / Thursday, December 21, 2023 / Notices 

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

2 17 CFR 240.19b–4. 

3The Exchange initially filed the proposed 

pricing changes on November 28, 2023 (SR– 

NASDAQ–2023–050). On December 5, 2023, the 

Exchange withdrew that filing and submitted this 

filing. 

4 ‘‘Specialized Quote Feed’’ or ‘‘SQF’’ is an 

interface that allows Market Makers to connect, 

send, and receive messages related to quotes and 

Immediate-or-Cancel Orders into and from the 

Exchange. Features include the following: (1) 

options symbol directory messages (e.g., underlying 

instruments); (2) system event messages (e.g., start 

of trading hours messages and start of opening); (3) 

trading action messages (e.g., halts and resumes); (4) 

execution messages; (5) quote messages; (6) 

Immediate-or-Cancel Order messages; (7) risk 

protection triggers and purge notifications; and (8) 

opening imbalance messages. The SQF Purge 

Interface only receives and notifies of purge 

requests from the Market Maker. Market Makers 

may only enter interest into SQF in their assigned 

options series. Immediate-or-Cancel Orders entered 

into SQF are not subject to the Order Price 

Protection, Market Order Spread Protection, or Size 

Limitation in Options 3, Section 15(a)(1) and (a)(2), 

and (b)(2), respectively. See Options 3, Section 

7(e)(1)(B). 

5SQF Purge is a specific port for the SQF 

interface that only receives and notifies of purge 

requests from the NOM Market Maker. 

6The Exchange also proposes a technical 

amendment to remove an extraneous period in 

Options 7, Section 3 in the second paragraph. 

7See NOM Options 2, Sections 4 and 5. 

8For example, a NOM Market Maker may desire 

to utilize multiple SQF Ports for accounting 

purposes, to measure performance, for regulatory 

reasons or other determinations that are specific to 

that NOM Participant. 

9NOM Market Makers have various regulatory 

requirements as provided for in Options 2, Section 

4. Additionally, NOM Market Makers have certain 

quoting requirements with respect to their assigned 

options series as provided in Options 2, Section 5. 

The Exchange notes that SQF Ports are the only 

quoting protocol available on NOM and only NOM 

Market Makers may utilize SQF Ports. The same is 

true for SQF Purge Ports. 

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

11 15 U.S.C. 78f(b)(4) and (5). 

12NetCoalition v. SEC, 615 F.3d 525, 539 (D.C. 

Cir. 2010) (quoting Securities Exchange Act Release 

No. 59039 (December 2, 2008), 73 FR 74770, 74782– 

83 (December 9, 2008) (SR–NYSEArca–2006–21)). 

Dated: December 18, 2023. 

Sherry R. Haywood, 

Assistant Secretary. 

[FR Doc. 2023–28116 Filed 12–20–23; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–99187; File No. SR– 

NASDAQ–2023–054] 

Self-Regulatory Organizations; The 

Nasdaq Stock Market LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change To Amend 

Options 7, Section 3 

December 15, 2023. 

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 December 

5, 2023, The Nasdaq Stock Market LLC 

(‘‘NASDAQ’’ or ‘‘Exchange’’) 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 the Exchange. 

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 amend The 

Nasdaq Options Market LLC’s (‘‘NOM’’) 

Rules at Options 7, Section 3, Nasdaq 

Options Market—Ports and Other 

Services.3

The text of the proposed rule change 

is available on the Exchange’s website at 

https://listingcenter.nasdaq.com/ 

rulebook/nasdaq/rules, 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 

Exchange 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 

Exchange 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 

The Exchange proposes to amend 

Options 7, Section 3, Nasdaq Options 

Market—Ports and Other Services. 

Specifically, the Exchange proposes to 

amend Options 7, Section 3(i) to 

increase the per port, per month SQF 

Port 4 and SQF Purge 5 Port Fees for all 

ports over 20 ports (21 and above) from 

$500 to $750.6

Today, NOM assesses SQF Ports and 

SQF Purge Ports a per port, per month 

fee based on a tiered fee schedule. 

Specifically, NOM assesses an SQF Port 

and an SQF Purge Port fee of $1,500 per 

port, per month for the first 5 ports (1– 

5), a $1,000 per port, per month fee for 

the next 15 ports (6–20), and a $750 per 

port, per month fee for all ports over 20 

ports (21 and above). 

The Exchange proposes to amend the 

per port, per month fee for SQF Ports 

and SQF Ports above 20 ports (21 and 

above) from $500 to $750 per port, per 

month. The Exchange is not amending 

the SQF Port and SQF Purge Port fees 

for ports below 20 ports. SQF Ports and 

SQF Purge Ports over 20 ports are 

unnecessary for a NOM Market Maker to 

fulfill its regulatory requirements.7 A 

NOM Market Maker requires only one 

SQF Port to submit quotes in its 

assigned options series into NOM. A 

NOM Market Maker may submit all 

quotes through one SQF Port and utilize 

one SQF Purge Port to view its purge 

requests. While a NOM Market Maker 

may elect to obtain multiple SQF Ports 

and SQF Purge Ports to organize its 

business,8 only one SQF Port and SQF 

Purge Port is necessary for a NOM 

Market Maker to fulfill its regulatory 

quoting obligations.9

2. Statutory Basis 

The Exchange believes that its 

proposal is consistent with Section 6(b) 

of the Act,10 in general, and furthers the 

objectives of Sections 6(b)(4) and 6(b)(5) 

of the Act,11 in particular, in that it 

provides for the equitable allocation of 

reasonable dues, fees, and other charges 

among members and issuers and other 

persons using any facility, and is not 

designed to permit unfair 

discrimination between customers, 

issuers, brokers, or dealers. 

The Exchange’s proposed pricing 

change to increase fees for certain SQF 

Ports and SQF Purge Ports is reasonable 

in several respects. As a threshold 

matter, the Exchange is subject to 

significant competitive forces in the 

market for options securities transaction 

services that constrain its pricing 

determinations in that market. The fact 

that this market is competitive has long 

been recognized by the courts. In 

NetCoalition v. Securities and Exchange 

Commission, the D.C. Circuit stated as 

follows: ‘‘[n]o one disputes that 

competition for order flow is ‘fierce.’ 

. . . As the SEC explained, ‘[i]n the U.S. 

national market system, buyers and 

sellers of securities, and the brokerdealers that act as their order-routing 

agents, have a wide range of choices of 

where to route orders for execution’; 

[and] ‘no exchange can afford to take its 

market share percentages for granted’ 

because ‘no exchange possesses a 

monopoly, regulatory or otherwise, in 

the execution of order flow from broker 

dealers’. . . .’’ 12

The Commission and the courts have 

repeatedly expressed their preference 


khammond on DSKJM1Z7X2PROD with NOTICES