75612 Federal Register / Vol. 89, No. 179 / Monday, September 16, 2024 / Notices 

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

2 17 CFR 240.19b–4. 

3The proposed rule change establishing the 

NYSE Arca Integrated Feed was immediately 

effective on November 2, 2011. See Securities 

Exchange Act Release No. 65669 (November 2, 

2011), 76 FR 69311 (November 8, 2011) (SR– 

NYSEArca–2011–78) (Notice of Filing and 

Immediate Effectiveness of Proposed Rule Change 

Offering a Market Data Product to Vendors and 

Subscribers That Combines Three Existing Market 

Data Feeds as Well as Additional Market Data From 

the Exchange Into One Integrated Product, the 

NYSE Arca Integrated Data Feed). 

4See Securities Exchange Act Release Nos. 66128 

(January 10, 2012), 77 FR 2331 (January 17, 2012) 

(SR–NYSEArca–2011–96) (establishing access fee 

and redistribution fee for NYSE Arca Integrated 

Feed); 69315 (April 5, 2013), 78 FR 21668 (April 11, 

2013) (SR–NYSEArca–2013–37) (establishing nondisplay use fees for NYSE Arca Integrated Feed); 

and 76914 (January 14, 2016), 81 FR 3484 (January 

21, 2016) (SR–NYSEArca–2016–03) (amending fees 

for NYSE Arca Integrated Feed by adopting a 

multiple data feed fee and discontinuing fees 

relating to managed non-display). 

5The Exchange proposes to exclude the NonDisplay Declaration Late Fee and the Multiple Data 

Feed Fee from the proposed fee increase because 

unlike the other fees for subscribing to the NYSE 

Arca Integrated Feed, the Non-Display Declaration 

Late Fee and the Multiple Data Feed Fee are 

administrative fees and are uniform across all of the 

Exchange’s market data products. The Exchange 

also proposes to exclude the Non-Professional User 

fees from the proposed fee increase because these 

fees are applicable to retail investors. 

6Category 1 Fees apply when a data recipient’s 

Non-Display Use of real-time market data is on its 

own behalf as opposed to use on behalf of its 

clients. Category 2 Fees apply when a data 

recipient’s Non-Display Use of real-time market 

data is on behalf of its clients as opposed to use on 

its own behalf. Category 3 Fees apply when a data 

recipient’s Non-Display Use of real-time market 

data is for the purpose of internally matching buy 

and sell orders within an organization, including 

matching customer orders on a data recipient’s own 

behalf and/or on behalf of its clients. 

Dated: September 11, 2024. 

Vanessa A. Countryman, 

Secretary. 

[FR Doc. 2024–21061 Filed 9–12–24; 11:15 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–100994; File No. SR– 

NYSEARCA–2024–79] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Amend Certain Fees 

for the NYSE Arca Integrated Data 

Feed 

September 10, 2024. 

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 

September 9, 2024, NYSE Arca, Inc. 

(‘‘NYSE Arca’’ or the ‘‘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 

certain fees for the NYSE Arca 

Integrated data feed. 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 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to amend the 

NYSE Arca Equities Proprietary Market 

Data Fees Schedule (‘‘Fee Schedule’’) to 

amend certain fees for the NYSE Arca 

Integrated data feed (‘‘NYSE Arca 

Integrated Feed’’) that would be 

operative November 1, 2024. 

Specifically, the Exchange proposes a 

one-time adjustment to certain of its fees 

for subscribing to the NYSE Arca 

Integrated Feed,3 with certain 

exceptions. The Fee Schedule includes 

the Exchange’s fees for subscribing to 

the NYSE Arca Integrated Feed, 

including an Access Fee, Redistribution 

Fee, Per User fees for Professional and 

Non-Professional Users, various 

categories of Non-Display Fees, a NonDisplay Declaration Late Fee and a 

Multiple Data Feed Fee.4 With the 

exception of the Non-Professional User 

Fee, the Non-Display Declaration Late 

Fee and the Multiple Data Feed Fee, the 

Exchange proposes to increase the 

remaining fees by up to 8.07% on a onetime basis.5

The Exchange currently charges the 

following fees to subscribe to the NYSE 

Arca Integrated Feed on a monthly 

basis: an Access Fee of $3,000; a 

Redistribution Fee of $3,750; a 

Professional User Fee and NonProfessional User Fee, on a per user 

basis, of $60 and $20, respectively; a 

Non-Display Fee of $10,500, whether 

the use is for category 1, category 2 or 

category 3, with a category 3 cap of 

$31,500; 6 a Non-Display Declaration 

Late Fee of $1,000; and a Multiple Data 

Feed Fee of $200. The Exchange 

proposes to increase the aforementioned 

fees on a one-time basis as follows: the 

Access Fee, from $3,000/month to 

$3,200/month; the Redistribution Fee 

from $3,750/month to $4,000/month; 

the Professional User Fee (Per User) 

from $60/month to $64/month; and the 

Non-Display Fee from $10,500/month to 

$11,300/month, whether the use is for 

category 1, category 2 or category 3, 

with a category 3 cap of $33,900/month. 

The Exchange’s proposal to adjust fees 

excludes the Non-Professional User fee, 

the Non-Display Declaration Late fee 

and the Multiple Data Feed fee. 

The NYSE Arca Integrated Feed was 

established more than a dozen years 

ago. Between the last price adjustment 

for the NYSE Arca Integrated Feed in 

January 2018 and 2023, there was a 

remarkable increase in the number of 

messages processed by the Exchange. 

The following message rate metrics 

illustrate this increase in throughput: 

• Peak Rate by Millisecond: up 

approximately 59% 

• Average Rate per Millisecond: up 

approximately 26% 

• Peak Rate per Second: up 

approximately 127% 

• Average Rate per Second: up 

approximately 47% 

• Peak Total Messages: up 

approximately 31% 

• Average Total Messages: up 

approximately 47% 

• Average Daily Volume: up 

approximately 42% 

With this increase in message traffic 

the Exchange expended significant 

resources to improve its market data 

products to meet customer expectations, 

including continued investment in all 

aspects of the technology ecosystem 

(e.g., software, hardware, and network). 

During the period between 2018 and 

2023, advancements in system 

performance as measured by latency not 

only accommodated the high message 

traffic volumes, but stayed well ahead of 


lotter on DSK11XQN23PROD with NOTICES1
Federal Register / Vol. 89, No. 179 / Monday, September 16, 2024 / Notices 75613 

7These measurements compare the time 

difference between events on the NYSE Arca 

matching engine and the time these events are 

published on the NYSE Arca Integrated Feed. 

8See https://fred.stlouisfed.org/series/ 

PCU51825182#0. 

9See https://www.bls.gov/ppi/overview.htm. 

10 Id. 

11NAICS appears in table 5 of the PPI Detailed 

Report and is available at https://data.bls.gov/ 

timeseries/PCU518210518210. 

12See https://www.bls.gov/ppi/factsheets/ 

producer-price-index-for-the-data-processing-andrelated-services-industry-naics-518210.htm. 

13See https://www.usinflationcalculator.com/ 

inflation/consumer-price-index-and-annualpercent-changes-from-1913-to-2008/. 

14See supra discussion of system performance 

advancements. Additionally, other exchanges have 

filed for increases in certain fees, based in part on 

comparisons to inflation. See, e.g., Securities 

Exchange Act Release Nos. 34–100004 (April 22, 

2024), 89 FR 32465 (April 26, 2024) (SR–CboeBYX– 

2024–012); and 34–100398 (June 21, 2024), 89 FR 

53676 (June 27, 2024) (SR–BOX–2024–16). 

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

16 15 U.S.C. 78f(b)(4), (5). 

it. The following latency metrics 7

illustrate the increase in message 

processing speed, despite the significant 

message traffic growth: 

• Median: down approximately 76% 

• Average: down approximately 84% 

• Max: down approximately 42% 

The Exchange continues to invest 

heavily in enhancing its technology for 

the benefit and often at the behest of its 

customers, and these investments have 

increased the performance of the NYSE 

Arca Integrated Feed. Yet the Exchange 

has not adjusted any of the fees 

included in this proposal since 2018, to 

even partially offset the costs of 

maintaining and enhancing its market 

data offerings. 

As discussed below, the Exchange 

proposes to adjust its fees by an 

industry- and product-specific 

inflationary measure. It is reasonable 

and consistent with the Act for the 

Exchange to recoup its investments, at 

least in part, by adjusting its fees. 

Continuing to operate at fees frozen at 

2018 levels impacts the Exchange’s 

ability to enhance its offerings and the 

interests of market participants and 

investors. 

The fee increases the Exchange 

proposes are based on an industryspecific Producer Price Index (PPI), 

which is a tailored measure of 

inflation.8 As a general matter, the 

Producer Price Index is a family of 

indexes that measures the average 

change over time in selling prices 

received by domestic producers of 

goods and services. PPI measures price 

change from the perspective of the 

seller. This contrasts with other metrics, 

such as the Consumer Price Index (CPI), 

that measure price change from the 

purchaser’s perspective.9 About 10,000 

PPIs for individual products and groups 

of products are tracked and released 

each month.10 PPIs are available for the 

output of nearly all industries in the 

goods-producing sectors of the U.S. 

economy—mining, manufacturing, 

agriculture, fishing, and forestry—as 

well as natural gas, electricity, and 

construction, among others. The PPI 

program covers approximately 69 

percent of the service sector’s output, as 

measured by revenue reported in the 

2017 Economic Census. 

For purposes of this proposal, the 

relevant industry-specific PPI is the 

Data Processing and Related Services 

PPI (‘‘Data PPI’’), which is an industry 

net-output PPI that measures the 

average change in selling prices 

received by companies that provide data 

processing services. 

The Data PPI was introduced in 

January 2002 by the Bureau of Labor 

Statistics (BLS) as part of an ongoing 

effort to expand Producer Price Index 

coverage of the services sector of the 

U.S. economy and is identified as 

NAICS-518210 in the North American 

Industry Classification System.11

According to the BLS ‘‘[t]he primary 

output of NAICS 518210 is the 

provision of electronic data processing 

services. In the broadest sense, 

computer services companies help their 

customers efficiently use technology. 

The processing services market consists 

of vendors who use their own computer 

systems—often utilizing proprietary 

software—to process customers’ 

transactions and data. Companies that 

offer processing services collect, 

organize, and store a customer’s 

transactions and other data for recordkeeping purposes. Price movements for 

the NAICS 518210 index are based on 

changes in the revenue received by 

companies that provide data processing 

services. Each month, companies 

provide net transaction prices for a 

specified service. The transaction is an 

actual contract selected by probability, 

where the price-determining 

characteristics are held constant while 

the service is repriced. The prices used 

in index calculation are the actual 

prices billed for the selected service 

contract.’’ 12

The Exchange believes the Data PPI is 

an appropriate measure to be considered 

in the context of the proposed rule 

change to modify the fee for its 

proprietary market data products 

because the Exchange uses its ‘‘own 

computer systems’’ and ‘‘proprietary 

software,’’ i.e., its own data center and 

proprietary matching engine software, 

respectively, to collect, organize, store 

and report customers’ transactions in 

U.S. equity securities on Pillar, the 

Exchange’s proprietary trading platform. 

In other words, the Exchange is in the 

business of data processing and related 

services. 

For purposes of this proposed rule 

change, the Exchange examined the 

Data PPI value for the period from 

January 2018 to December 2023. The 

Data PPI had a starting value of 106.7 in 

January 2018 and an ending value of 

115.312 in December 2023, an 8.07% 

increase. This indicates that companies 

who are also in the data storage and 

processing business have generally 

increased prices for a specified service 

covered under NAICS 518210 by an 

average of 8.07% during this period. 

Based on that percentage change, the 

Exchange proposes to make a one-time 

fee increase by up to 8.07% for the 

NYSE Arca Integrated Feed, which 

reflects an increase covering the entire 

period since the last adjustment was 

made. 

The Exchange further believes the 

Data PPI is an appropriate measure for 

purposes of the proposed rule change on 

the basis that it is a stable metric with 

limited volatility, unlike other 

consumer-side inflation metrics. In fact, 

the Data PPI has not experienced a 

greater than 2.16% increase for any one 

calendar year period since Data PPI was 

introduced into the PPI in January 2002. 

The average calendar year change from 

January 2002 to December 2023 was 

.62%, with a cumulative increase of 

15.67% over this 21-year period. The 

Exchange believes the Data PPI is 

considerably less volatile than other 

inflation metrics such as CPI, which has 

had individual calendar-year increases 

of more than 6.5%, and a cumulative 

increase of over 73% over the same 

period.13

The Exchange believes the Data PPI, 

and significant investments into, and 

enhanced performance of, the Exchange 

support the reasonableness of the 

proposed fee increases.14

2. Statutory Basis 

The Exchange believes the proposed 

rule change is consistent with the 

provisions of Section 6 of the Act,15 in 

general, and Sections 6(b)(4) and 6(b)(5) 

of the Act,16 in particular, in that it 

provides an equitable allocation of 

reasonable fees among users and 

recipients of the data and is not 

designed to permit unfair 

discrimination among customers, 

issuers, and brokers. 

This belief is based on two factors. 

First, the current fees do not properly 

reflect the quality of the services and 


lotter on DSK11XQN23PROD with NOTICES1
75614 Federal Register / Vol. 89, No. 179 / Monday, September 16, 2024 / Notices 

17See https://www.officialdata.org/us/inflation/ 

2019?endYear=2023&amount=1. 

18See, e.g., Securities Exchange Act Release No. 

99713 (March 12, 2024), 89 FR 19381 (March 18, 

2024) (SR–NYSEARCA–2024–22) (Notice of Filing 

and Immediate Effectiveness of Proposed Rule 

Change To Establish the NYSE Arca Aggregated Lite 

Market Data Feed). 19 15 U.S.C. 78s(b)(3)(A). 

products, as fees for the services and 

products in question have been static in 

nominal terms, and therefore falling in 

real terms due to inflation. Second, the 

Exchange believes that investments 

made in enhancing the capacity and 

speed of Exchange systems increase the 

performance of the services and 

products. 

The Proposed Rule Change Is 

Reasonable 

As noted above, the Exchange has not 

increased any of the fees included in the 

proposal since 2018. However, in the 

years following the last fee increase the 

Exchange has made significant 

investments in upgrades to Exchange 

systems, enhancing the quality of its 

services, as measured by, among other 

things, increased throughput and faster 

processing speeds. In other words, 

Exchange customers have greatly 

benefitted, while the Exchange’s ability 

to recoup its investments has been 

hampered. 

Between 2018 and 2023, the inflation 

rate is 3.93% per year, on average, 

producing a cumulative inflation rate of 

21.28%.17 Using the more targeted 

inflation number of Data PPI, the 

cumulative inflation rate was 8.07%. 

The exchange believes the Data PPI is a 

reasonable metric to base this fee 

increase on because it is targeted to 

producer-side increases in the data 

processing industry, which based on the 

definition adopted by BLS would 

include the Exchange’s market data 

products. 

Notwithstanding inflation, as noted 

above, the Exchange has not increased 

its fees at all for over six years for the 

subject services. The proposed fee 

changes represent a modest increase 

from the current fees. 

The Exchange believes the proposed 

fee increase is reasonable in light of the 

Exchange’s continued expenditure in 

maintaining a robust technology 

ecosystem. Furthermore, the Exchange 

continues to invest in maintaining and 

enhancing its market data products—for 

the benefit and often at the behest of its 

customers and global investors. Such 

enhancements include refreshing all 

aspects of the technology ecosystem 

including software, hardware, and 

network while introducing new and 

innovative products.18 The goal of the 

enhancements discussed above, among 

other things, is to provide faster and 

more consistent market data products, 

while ensuring quicker processing time. 

Accordingly, the Exchange continues to 

expend resources to innovate and 

modernize technology so that it may 

benefit its members in offering its 

market data products. 

The Proposed Fees Are Equitably 

Allocated and Not Unfairly 

Discriminatory 

The Exchange believes that the 

proposed fee increases are equitably 

allocated and not unfairly 

discriminatory because they would 

apply to all data recipients that choose 

to subscribe to the NYSE Arca 

Integrated Feed. Any subscriber that 

chooses to subscribe to the NYSE Arca 

Integrated Feed would be subject to the 

same Fee Schedule, regardless of what 

type of business they operate or the use 

they plan to make of the data feed. 

Additionally, the fee increase would be 

applied uniformly to subscribers 

without regard to Exchange membership 

status or the extent of any other 

business with the Exchange or affiliated 

entities. 

The Exchange also believes that the 

proposal represents an equitable 

allocation of reasonable dues, fees and 

other charges because Exchange fees 

have fallen in real terms during the 

relevant period. 

Finally, the Exchange believes that 

the proposed fee changes are not 

unfairly discriminatory because the fees 

would be assessed uniformly across all 

market participants, in the same manner 

they are today, that voluntarily 

subscribe to the NYSE Arca Integrated 

Feed, which would remain available for 

purchase by all market participants. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed fees will impose any 

burden on competition that is not 

necessary or appropriate in furtherance 

of the purposes of the Act. 

Intramarket Competition. The 

Exchange believes that the proposed 

fees do not put any market participants 

at a relative disadvantage compared to 

other market participants. As noted 

above, the fee schedule would continue 

to apply to all subscribers of the NYSE 

Arca Integrated Feed in the same 

manner as it does today albeit at 

inflation-adjusted rates for certain fees, 

and customers may choose whether to 

subscribe to the feed at all. The 

Exchange also believes that the level of 

the proposed fees neither favor nor 

penalize one or more categories of 

market participants in a manner that 

would impose an undue burden on 

competition. 

Intermarket Competition. The 

Exchange believes that the proposed 

fees do not impose a burden on 

competition or on other SROs that is not 

necessary or appropriate. In determining 

the proposed fees, the Exchange utilized 

an objective and stable metric with 

limited volatility. Utilizing Data PPI 

over a specified period of time is a 

reasonable means of recouping the 

Exchange’s investment in maintaining 

and enhancing the NYSE Arca 

Integrated Feed. The Exchange believes 

utilizing Data PPI, a tailored measure of 

inflation, to increase certain fees for 

NYSE Arca Integrated Feed to recoup 

the Exchange’s investment in 

maintaining and enhancing its market 

data products would not impose a 

burden on competition. 

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 has become 

effective upon filing pursuant to Section 

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

(f) thereunder. 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 (https://www.sec.gov/ 

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include file number SR– 

NYSEARCA–2024–79 on the subject 

line. 

Paper Comments 

• Send paper comments in triplicate 

to Secretary, Securities and Exchange 


lotter on DSK11XQN23PROD with NOTICES1
Federal Register / Vol. 89, No. 179 / Monday, September 16, 2024 / Notices 75615 

20 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3The Exchange initially filed the proposed 

pricing change on March 1, 2024 (SR–GEMX–2024– 

05). On April 29, 2024, the Exchange withdrew that 

filing and submitted SR–GEMX–2024–09. On June 

27, 2024, the Exchange withdrew SR–GEMX–2024– 

09 and submitted SR–GEMX–2024–15. The instant 

filing replaces SR–GEMX–2024–15, which was 

withdrawn on August 26, 2024. 

4The Exchange proposes to exclude the GPS 

Antenna fees from the proposed fee increase 

because, unlike the other fees in General 8, the 

Exchange recently increased its GPS Antenna fees. 

See Securities Exchange Act Release No. 34–99129 

(December 11, 2023), 88 FR 87017 (December 15, 

2023) (SR–GEMX–2023–17). The Exchange also 

proposes to exclude the Cabinet Proximity Option 

Fee for cabinets with power density >10kW from 

the proposed fee increase because the Exchange 

recently established such fee. See Securities 

Exchange Act Release No. 34–100210 (May 22, 

2024), 89 FR 46476 (May 29, 2024) (SR–GEMX– 

2024–11). 

5The term ‘‘Remote Hands Services’’ refers to the 

use of Nasdaq engineers to perform on-site 

technical support tasks in its Data Center on behalf 

of its co-located customers, including the following: 

(1) power cycling of equipment; (2) patching and 

plugging in cabling and circuits; (3) observing, 

describing or reporting on display indicators; (4) 

configuration of hardware components instructed 

by the customer; (5) diagnosis and repairs as 

instructed by the customer; (6) swapping hardware 

components with customer-supplied spares or 

upgrades; (7) troubleshooting heat related issues as 

instructed by the Customer; and (8) returning 

defective equipment to the manufacturer or 

customer. 

Commission, 100 F Street NE, 

Washington, DC 20549–1090. 

All submissions should refer to file 

number SR–NYSEARCA–2024–79. 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 

10:00 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. 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–NYSEARCA–2024– 

79, and should be submitted on or 

before October 7, 2024. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.20

Vanessa A. Countryman, 

Secretary. 

[FR Doc. 2024–20910 Filed 9–13–24; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–100992; File No. SR– 

GEMX–2024–33] 

Self-Regulatory Organizations; Nasdaq 

GEMX, LLC; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Amend Its Fees for 

Connectivity and Co-Location Services 

September 10, 2024. 

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 August 

30, 2024, Nasdaq GEMX, LLC (‘‘GEMX’’ 

or ‘‘Exchange’’) filed with the Securities 

and Exchange Commission 

(‘‘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 

Exchange’s fees for connectivity and colocation services, as described further 

below. 

The text of the proposed rule change 

is available on the Exchange’s website at 

https://listingcenter.nasdaq.com/ 

rulebook/gemx/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 purpose of the proposed rule 

change is to amend the Exchange’s fees 

relating to connectivity and co-location 

services.3 Specifically, the Exchange 

proposes to raise its fees for 

connectivity and co-location services in 

General 8 as well as certain fees related 

to its Testing Facilities in Options 7, 

Section 6 by 5.5%, with certain 

exceptions. 

General 8, Section 1 includes the 

Exchange’s fees that relate to 

connectivity, including fees for cabinets, 

external telco/inter-cabinet connectivity 

fees, fees for connectivity to the 

Exchange, fees for connectivity to third 

party services, fees for market data 

connectivity, fees for cabinet power 

install, and fees for additional charges 

and services. General 8, Section 2 

includes the Exchange’s fees for direct 

connectivity services, including fees for 

direct circuit connection to the 

Exchange, fees for direct circuit 

connection to third party services, and 

fees for point of presence connectivity. 

With the exception of the Exchange’s 

GPS Antenna fees and the Cabinet 

Proximity Option Fee for cabinets with 

power density >10kW,4 the Exchange 

proposes to increase its fees throughout 

General 8 by 5.5%, with the exception 

that for Remote Hands Services, at 

General 8, Section 1, the Exchange 

proposes to increase its fee by 1%, from 

$150 to $151.50 per hour.5

In addition to increasing fees in 

General 8, the Exchange also proposes 

to increase certain fees in Options 7, 

Section 6, which relate to the Testing 

Facility. Options 7, Section 6(H) 

provides that subscribers to the Testing 

Facility located in Carteret, New Jersey 

shall pay a fee of $1,000 per hand-off, 

per month for connection to the Testing 

Facility. The hand-off fee includes 

either a 1Gb or 10Gb switch port and a 

cross connect to the Testing Facility. In 

addition, Options 7, Section 6(H) 

provides that subscribers shall also pay 

a one-time installation fee of $1,000 per 

hand-off. The Exchange proposes to 


lotter on DSK11XQN23PROD with NOTICES1