[Federal Register Volume 89, Number 181 (Wednesday, September 18, 2024)]
[Notices]
[Pages 76526-76530]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-21174]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-101018; File No. SR-IEX-2024-17]


Self-Regulatory Organizations; Investors Exchange LLC; Notice of 
Filing and Immediate Effectiveness of Proposed Rule Change To Amend IEX 
Rules 11.190 and 11.510 To Remove References to the Latency Applicable 
to Outbound Communications From IEX's System in Connection With IEX's 
Planned Migration of its System From a Data Center Located in 
Weehawken, New Jersey to a Data Center Located in Secaucus, New Jersey

September 12, 2024.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 
1934 (``Act'') and Rule 19b-4 thereunder,\2\ notice is hereby given 
that, on September 4, 2024, the Investors Exchange LLC (``IEX'' or the 
``Exchange'') 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 Exchange. The 
Commission is publishing this notice to solicit comments on the 
proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    Pursuant to the provisions of Section 19(b)(1) under the Act,\3\ 
and Rule 19b-4 thereunder,\4\ the Exchange is filing with the 
Commission a proposed rule change to amend IEX Rules 11.190 and 11.510 
to remove references to the latency applicable to outbound 
communications \5\ from IEX's System \6\ in connection with IEX's 
planned migration of its System from a data center located in 
Weehawken, New Jersey to a data center located in Secaucus, New Jersey.
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    \3\ 15 U.S.C. 78s(b)(1).
    \4\ 17 CFR 240.19b-4.
    \5\ Outbound communications include, without limitation, 
execution report messages found in the Exchange's FIX Specification, 
quote and trade update messages found in the Exchange's TOPS and 
DEEP Specifications and DROP messages. See IEX Rule 11.510(b)(2).
    \6\ See IEX Rule 1.160(nn).
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    The Exchange has designated this rule change as ``non-
controversial'' under Section 19(b)(3)(A) of the Act \7\ and provided 
the Commission with the notice required by Rule 19b-4(f)(6) 
thereunder.\8\
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    \7\ 15 U.S.C. 78s(b)(3)(A).
    \8\ 17 CFR 240.19b-4(f)(6).
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    The text of the proposed rule change is available at the Exchange's 
website at www.iextrading.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 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
    In connection with IEX's planned migration of its System from a 
data center located in Weehawken, New Jersey to a data center located 
in Secaucus, New Jersey, the Exchange proposes to amend IEX Rules 
11.190 and 11.510 to remove references to the latency applicable to 
outbound communications from IEX's System (``outbound latency'') to its 
Users \9\ (defined as Members \10\ and Sponsored Participants \11\), 
Data Recipients,\12\ and Service Bureaus \13\ (collectively, 
``Participants'' \14\). In addition, IEX proposes to add Temporary 
Supplementary Material .01 to IEX Rule 11.510(a) to describe the minor 
temporary change in inbound latency during the data center migration. 
The Exchange also proposes to make a clarifying change to IEX Rule 
11.190 described below.
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    \9\ See IEX Rule 1.160(qq).
    \10\ See IEX Rule 1.160(s).
    \11\ See IEX Rule 1.160(ll).
    \12\ See IEX Rule 11.130(c).
    \13\ See IEX Rule 11.130(d).
    \14\ See IEX Rule 11.130(a).
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Background
    IEX's System is currently located at the NJ2 data center in 
Weehawken, New Jersey. Participants access the IEX System through the 
Exchange-provided network interface at the IEX Point-of-Presence \15\ 
or ``POP,'' located at the NY5 data center in Secaucus, New Jersey. 
After entering through the POP, a Participant's inbound communications 
\16\ sent to the System traverse the IEX ``coil'' which is a box 
containing approximately 38 miles of compactly coiled optical fiber 
cable. After exiting the coil, the inbound messages travel an 
additional geographic distribution to the System at NJ2. The time 
required for a message to traverse the coil combined with the 
geographic distribution (and related networking) to the System equates 
to an equivalent 350 microseconds of latency, referred to as the 
``inbound latency.'' \17\ All inbound messages (e.g., orders to buy or 
sell and any modification to a previously sent open order) from any 
Participant traverse this connectivity infrastructure, including the 
coil, in the same manner regardless of the type of message or whether 
the Participant is seeking to buy, sell, make or take liquidity.
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    \15\ A Point-of-Presence is the location at which customers of 
an exchange (or other technological system) can connect to the 
exchange.
    \16\ Inbound communications include, without limitation, order 
messages and cancel messages found in the Exchange's FIX 
Specification. See IEX Rule 11.510(b)(1).
    \17\ See IEX Rule 11.510(b)(1).
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    Additionally, IEX's affiliated broker-dealer, IEX Services LLC 
(``IEXS''), is a Member of the Exchange and is subject to the same 
inbound and outbound latency as other Members, as described in IEX 
Rules 2.220 and 11.510. If a Participant sends a routable order to the 
Exchange it utilizes IEXS for order routing to IEX and away venues. 
After traversing the inbound latency to reach the System, it is 
directed to the System routing logic rather than the IEX matching 
engine.\18\ Upon receipt of a routable order, the System routing logic 
may route all or a portion of the order to the IEX Order Book or to 
another national securities exchange. Any such orders routed to the IEX 
Order Book by the System routing logic are subject to an additional 350 
microsecond inbound latency between the IEX routing logic and the IEX 
Order Book.\19\
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    \18\ See IEX Rule 11.230(b).
    \19\ See IEX Rule 11.510, Supplementary Material .03.
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    IEX is not proposing to make any changes to its inbound latency 
(including the additional latency for routable orders) or the rules 
specifying

[[Page 76527]]

such latency, except with respect to the brief period of time during 
the migration of the Exchange's primary data center, as discussed 
below.
    Separately, all outbound messages from IEX back to a Participant 
(e.g., confirmations of an execution that occurred on IEX) currently 
travel from the IEX System at NJ2 to the POP at NY5 without traversing 
the coil, referred to as the ``outbound latency.'' \20\ The outbound 
latency that presently applies to all messages sent from IEX back to 
Participants is determined by the actual geographic distribution and 
related network connectivity \21\ between the Exchange's System and 
POP, and equates to an equivalent of 37 microseconds of latency.\22\ In 
addition, outbound messages from IEX back to a Participant with respect 
to a routable order are subject to 37 microseconds of additional 
latency between the Order Book and the System routing logic, and are 
then subject to the outbound latency back to the Participant.\23\
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    \20\ See IEX Rule 11.510(b)(2).
    \21\ Ordinary course network connectivity includes switches and 
cabling to connect the network access point at the POP to the 
System.
    \22\ IEX previously subjected all outbound messages traveling 
from the System to the POP to a 350-microsecond latency. However, 
since February 2021, IEX's outbound latency has only reflected the 
actual geographic distribution and related network connectivity 
between the System and the POP. See Securities Exchange Act Release 
No. 90645 (December 11, 2020), 85 FR 81982 (December 17, 2020) (SR-
IEX-2020-18) (``Outbound Coil Removal Proposal''); Securities 
Exchange Act Release No. 91016 (January 29, 2021), 86 FR 8238 
(February 4, 2021) (SR-IEX-2020-18) (``Outbound Coil Removal 
Approval Order''); see also IEX Trading Alert #2021-006, available 
at https://iextrading.com/alerts/#/138. The Commission received no 
comments on that proposed rule change. See Outbound Coil Removal 
Approval Order, 86 FR 8238.
    \23\ See supra note 20.
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    IEX plans to relocate its System to a new data center in Secaucus, 
New Jersey (NY6), which is in the same data center complex as the POP 
data center (NY5), i.e., in separate buildings within the same data 
center complex. This configuration is comparable to the technological 
footprints of other national securities exchanges whereby the POP and 
trading system are in close physical proximity. Because the System will 
be in close proximity to the POP, the duration of the outbound latency 
will become negligible after the data center migration.\24\ Thus, IEX 
understands that, as proposed, the duration of the outbound latency 
would be in the range of what market participants currently experience 
when receiving outbound messages from other national securities 
exchanges. IEX also notes that as part of its data center migration, it 
will increase the length of the inbound coil to account for the reduced 
physical distance between the POP and the System, in order to retain 
the 350-microsecond inbound latency without any changes. The additional 
350 microsecond inbound latency between the IEX routing logic and the 
IEX Order Book will be unchanged as well.
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    \24\ As described above, IEX's current technological footprint 
requires all outbound messages from the System back to Participants 
to travel the geographic distribution between two data centers in 
two separate cities in New Jersey, thereby subjecting outbound 
messages to a non-negligible outbound latency.
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Proposal
    Currently, IEX's Rule Book contains nine references to the 37-
microsecond outbound latency. These references were included in the 
relevant IEX Rules in 2021 when IEX amended its rules to eliminate the 
outbound coil and thereby reduce the outbound latency from 350 to 37 
microseconds to reflect that because of the geographic distance between 
the System and the POP, outbound messages from IEX's System were still 
subject to a non-negligible delay.\25\ These rule references are unique 
to IEX; no other national securities exchange references either their 
inbound or outbound latencies in their rules. IEX believes that 
including any reference to an outbound latency in its rules will be 
unnecessary once the data center migration occurs because IEX's 
operations in this regard will be consolidated in close proximity to 
each other in the same manner as most other national securities 
exchanges, and the latency applicable to outbound messages from the 
System to Participants will be negligible and in the range of what 
market participants experience receiving messages from other national 
securities exchanges. As proposed, IEX would also delete references to 
the outbound latency between the Order Book and System routing logic so 
that IEXS is subject to the same outbound latency as other Members.
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    \25\ See supra note 23.
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    Thus, IEX proposes to remove all references to outbound latencies 
in its rules, and proposes to amend IEX Rules 11.190(b)(17) and 11.510 
as follows:
    <bullet> To make the description about how market maker pegged 
orders adjust shorter and clearer, without a substantive change, modify 
the twelfth sentence of IEX Rule 11.190(b)(17) to remove all references 
to outbound latency so that it reads: ``Each time a Market Maker Peg 
order is automatically adjusted by the System in accordance with this 
rule, it is subject to 350 microseconds of latency prior to posting on 
the Order Book at the adjusted price.'' With this proposed change, the 
rule will continue to describe the 350-microsecond latency applied 
whenever the System automatically adjusts a Market Maker Peg order's 
price. This additional 350 microsecond latency is designed so that a 
market maker using a Market Maker Peg order to facilitate compliance 
with the Exchange's continuous quoting and pricing obligations is in 
the same position as a market maker updating its own quote, whose 
orders and order modification instructions would be subjected to a 350-
microsecond inbound latency.\26\
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    \26\ See Securities Exchange Act Release No. 93800 (December 16, 
2021), 86 FR 72650, 72652 (December 22, 2021) (SR-IEX-2021-17).
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    <bullet> Make a clarifying change to the thirteenth sentence of IEX 
Rule 11.190(b)(17), by changing the reference to ``the proposed rule'' 
to instead read ``this rule.''
    <bullet> Modify the third sentence of IEX Rule 11.510(a) to remove 
the description of the outbound latency.
    <bullet> Remove the fourth sentence of IEX Rule 11.510(b), which 
describes the outbound latency.
    <bullet> Remove subparagraph (2) of IEX Rule 11.510(b) to remove 
the definition of outbound latency.
    <bullet> Modify the third sentence of IEX Rule 11.510(c)(1) to 
remove the semicolon and the remainder of the text following the 
semicolon. This proposed change will retain the description of the 
additional inbound 350-microsecond latency the Exchange applies to 
messages from the System routing logic to the Order Book, while 
deleting language describing the outbound latency from the Order Book 
to the System routing logic because that latency will now be 
negligible.
    <bullet> Modify the fourth sentence of IEX Rule 11.510(c)(1) 
immediately after the reference to ``each time a Market Maker Peg order 
is automatically adjusted by the System'' to change it from: ``all 
inbound communications related to the modified order instruction are 
subject to 350 microseconds of latency and all outbound communications 
related to the modified order instruction are subject to 37 
microseconds of latency between the Market Maker Peg order repricing 
logic and the Order Book.'' to ``it is subject to 350 microseconds of 
latency prior to posting on the Order Book at the adjusted price.'' 
This proposed change reflects that there will no longer be a non-
negligible outbound latency affecting Market Maker Peg orders, but that 
they will continue to be subject to an additional 350

[[Page 76528]]

microseconds of latency if they are automatically adjusted by the 
System. As described above, this additional 350 microsecond latency is 
designed so that a market maker using a Market Maker Peg order to 
facilitate compliance with the Exchange's continuous quoting and 
pricing obligations is in the same position as a market maker updating 
its own quote, whose orders and order modification instructions would 
be subjected to a 350-microsecond inbound latency.
    <bullet> Remove the third sentence of IEX Rule 11.510(c)(2)(A) to 
reflect that there will no longer be a non-negligible outbound latency 
affecting IEX's data products.
    <bullet> Remove the words ``In addition to the connectivity 
described in paragraph (b)(2) of this IEX Rule 11.510,'' from the 
beginning of the second sentence of IEX Rule 11.510(c)(3)(A) to delete 
the reference to the now-deleted subparagraph (b)(2) of IEX Rule 11.510 
(which had defined the outbound latency). And capitalize the ``C'' in 
``Communications'', which will become the beginning of the second 
sentence.
    <bullet> Modify the first sentence of IEX Rule 11.510 Supplementary 
Material .02 to remove the words ``and 37 microseconds of outbound 
latency'' because outbound messages will no longer be subject to a non-
negligible outbound latency.
    <bullet> Delete the fifth sentence of IEX Rule 11.510 Supplementary 
Material .03 because outbound messages from the Order Book to the 
System routing logic will no longer be subject to a non-negligible 
outbound latency.
Implementation
    The data center migration will be implemented over several weeks 
and will involve relocating the client gateways and trading system 
matching engines from the Weehawken, New Jersey data center to the 
Secaucus, New Jersey data center. During this transition period, 
Participants will temporarily experience 387 microseconds of inbound 
latency rather than 350 microseconds. Accordingly, IEX proposes to add 
Temporary Supplementary Material .01 to Rule 11.510(a) to provide as 
follows:

    Data Center Migration. During the 2024 migration of the 
Exchange's primary data center from a data center located in 
Weehawken, New Jersey to a data center located in Secaucus, New 
Jersey, Participants will experience 387 microseconds of inbound 
latency between the network access point of the POP and the System 
at the primary data center. Consequently, during the migration, each 
reference to 350 microseconds of inbound latency in this rulebook, 
including this Rule 11.510 and Rule 11.190, shall be read as 387 
microseconds of inbound latency. Notwithstanding the foregoing, a 
routable child order handled by IEXS that is routed to the Order 
Book as described in Supplementary Material .03 to this Rule 11.510 
will be subject to 424 microseconds of latency between the System 
routing logic to the Order Book, in addition to the 387 microseconds 
of inbound latency for the parent order between the network access 
point of the POP and the System routing logic at the primary data 
center, described above. IEX will issue a Trader Alert in advance of 
the migration describing the transition, schedule, and impact on 
Participants.

    IEX will issue a Trading Alert at least 30 days in advance of the 
migration (and within 120 days of effectiveness of this proposed rule 
change) describing the transition, schedule, and impact.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with Section 6(b) of the Act,\27\ in general, and furthers the 
objectives of Section 6(b)(5),\28\ in particular, in that 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 facilitating transactions in 
securities, and to remove impediments to and perfect the mechanism of a 
free and open market and a national market system, and, in general, to 
protect investors and the public interest. Specifically, the Exchange 
believes that the proposed rule change is consistent with the 
protection of investors and the public interest because it is designed 
to reflect a material change to the location of the IEX System 
following the planned data center migration that will result in the 
outbound latency becoming negligible and in the range of what market 
participants experience receiving messages from other national 
securities exchanges, as discussed in the Purpose section. Accordingly, 
IEX believes that removing references to the outbound latency and its 
duration will reduce any potential confusion in its rules regarding its 
operations and the manner in which Participants will receive outbound 
communications from the Exchange. As discussed in the Purpose section, 
following the data center migration and consolidation of IEX's System 
and POP in close proximity, its operations in this regard will be 
comparable to most other national securities exchanges. Since such 
other exchanges do not include references to their outbound latency, or 
its duration, in their rules, continued inclusion in IEX's rules would 
be disparate and could lead to confusion as to IEX's outbound latency.
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    \27\ 15 U.S.C. 78f(b).
    \28\ 15 U.S.C. 78f(b)(5).
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    As discussed in the Purpose section, outbound latency information 
was previously relevant to market participants when IEX subjected 
outbound messages to a 350-microsecond delay which could impact how 
Members made order routing decisions and processed data from IEX. And 
when IEX eliminated the coil from its outbound latency in 2021, IEX 
determined that it remained appropriate to include the new lower 
latency metric in its rules to provide clarity to market participants 
regarding the change. However, IEX believes that market participants 
are now fully aware that IEX's outbound latency is attributable only to 
the actual distance and related network connectivity between the System 
and the POP. Because the data center migration will consolidate IEX's 
System and POP in close proximity in the same data center complex, as 
discussed in the Purpose section and above, virtually all of the 
existing latencies attributable to the physical distance between the 
System in NJ2 and the POP in NY5 will be eliminated. As a result, 
notwithstanding that the POP and System will be in separate buildings 
(NY5 and NY6, respectively) in the same data center complex, IEX's 
outbound messages to Participants will be subject to only negligible 
latency in a substantially comparable manner to other national 
securities exchanges, attributable to the negligible distance between 
the System and POP. The Exchange notes in this regard that system 
processing, geography/transit times, and technology all create latency 
in sending messages from an exchange to a participant. IEX believes 
that, as proposed, its outbound latency is within the range of the 
outbound latencies of other national securities exchanges. Accordingly, 
IEX believes that including any references to outbound latencies in its 
rules is no longer necessary.
    Further, the Exchange believes that the proposed rule change is 
consistent with the protection of investors and the public interest 
because it will apply to all Members in the same manner. All outbound 
communications will continue to be subject to the same negligible 
outbound latency on a fair and nondiscriminatory basis.
    With respect to IEXS, its routing broker, the Exchange notes that 
it will continue to be on a level playing field compared to all other 
Members, as it will be subject to the same inbound and outbound latency 
as other Members

[[Page 76529]]

except for the brief several week period of time during implementation 
when IEXS will be subject to increased inbound latency of 424 
microseconds while other Members will be subject to inbound latency of 
387 microseconds, as described above.\29\ With respect to this time 
period, the Exchange notes that the Act generally does not prohibit an 
exchange from treating its affiliated routing broker in a manner that 
is less preferential than other Members. Moreover, use of IEXS by other 
Members is optional and any Member that does not want to use IEXS may 
use other routers to route orders to away trading centers or IEX 
itself.\30\
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    \29\ The 424 microseconds of latency is attributable to the 
additional geographic distance that a routable order will traverse 
between the old and new primary data centers as well as the standard 
inbound latency during the migration period.
    \30\ See IEX Rule 2.220(a)(3).
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    And the Exchange believes that the proposed non-substantive 
clarifying change to IEX Rule 11.190(b)(17) is consistent with the 
protection of investors and the public interest because it will have no 
impact on the Exchange's functionality, but rather simply provide 
consistency and clarity in IEX's description of the Market Maker Peg 
order type, thereby reducing the potential for confusion of any market 
participants.
    As discussed in the Purpose section and above, the Exchange also 
notes that no other national securities exchanges currently describe 
their outbound message latencies in their rules. IEX does not believe 
that the proposed changes raise any new or novel issues that have not 
already been considered by the Commission in connection with the 
operations of other national securities exchanges.
    Finally, IEX believes that it is consistent with the protection of 
investors and the public interest to add the Temporary Supplementary 
Material to IEX Rule 11.510(a) describing the temporary minor change to 
inbound latency during the data center migration to provide 
transparency to market participants. This change will apply to all 
Members in the same manner in a fair and nondiscriminatory basis.

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 that is not necessary or appropriate 
in furtherance of the purposes of the Act. To the contrary, the 
proposal is designed to reflect that with the data center migration, 
the latency applicable to outbound communications from the System to 
Participants will be negligible, as described in the Purpose and 
Statutory Basis sections.
    The Exchange does not believe that the proposed rule change will 
impose any burden on intermarket competition that is not necessary or 
appropriate in furtherance of the purposes of the Act because after the 
data center migration, IEX's outbound communications will be subject to 
only a negligible latency. As discussed in the Purpose section, upon 
completion of the data center migration, IEX's outbound latency will be 
in the range of what market participants currently experience when 
receiving outbound messages from other national securities exchanges. 
Moreover, the proposed rule change would benefit other such exchanges 
because it would enable them to receive outbound communications from 
IEX (including IEX's Data Products) sooner than is currently the case. 
Similarly, as with other Exchange Members, other exchanges' outbound 
routing brokers would receive order messages from IEX sooner than is 
currently the case and could more quickly incorporate such information 
into any further routing decisions.
    The Exchange also does not believe that the proposed rule change 
will impose any burden on intramarket competition because it will apply 
to all Members in the same manner. All Members will continue to connect 
to IEX at the POP and receive outbound communications from IEX subject 
to the same negligible latency. With respect to the brief several week 
period of time during implementation when IEXS will be subject to 
increased inbound latency of 424 microseconds while other Members will 
be subject to inbound latency of 387 microseconds, as noted in the 
Statutory Basis section, the Exchange notes that the Act generally does 
not prohibit an exchange from treating its affiliated routing broker in 
a manner that is less preferential than other Members. Moreover, use of 
IEXS by other Members is optional and any Member that does not want to 
use IEXS may use other routers to route orders to away trading centers 
or to IEX itself. And as with intermarket competition, IEX believes 
that the data center migration and related proposed rule change will 
benefit IEX Members because they will receive outbound communications 
from IEX (including IEX's Data Products) sooner than is currently the 
case, thereby enabling them to more quickly incorporate such 
information into further trading and routing decisions. Moreover, the 
temporary minor change to inbound latency will also apply to all 
Members in the same manner.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    Written comments were neither solicited nor received.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The Exchange has designated this rule filing as non-controversial 
under Section 19(b)(3)(A) \31\ of the Act and Rule 19b-4(f)(6) \32\ 
thereunder. 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, it has become 
effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b-
4(f)(6) thereunder.
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    \31\ 15 U.S.C. 78s(b)(3)(A).
    \32\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii) 
requires the self-regulatory organization to give the Commission 
written notice of the self-regulatory organization'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. IEX has satisfied this requirement
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    The Exchange does not believe that the proposed rule change raises 
any new or novel issues. Indeed, no other national securities exchange 
includes outbound latency information in its rules. As discussed in the 
Purpose and Burden on Competition sections, IEX does not believe that 
this proposed change will impose any burdens on inter or intra market 
competition because IEX's technological footprint and related rules 
will be comparable to other national securities exchanges. 
Additionally, as noted in the Purpose section, the SEC received no 
comments about IEX's 2020 proposal to stop subjecting outbound messages 
to a 350-microsecond latency, indicating that reducing IEX's outbound 
latency imposes no burden on intermarket competition.\33\
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    \33\ See supra note 23.
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    At any time within 60 days of the filing of the proposed rule 
change, the Commission summarily may temporarily suspend such rule 
change if it appears to the Commission that such action is necessary or 
appropriate in the public interest, for the protection of investors, or 
otherwise in furtherance of the purposes of the Act. If the Commission 
takes such action, the

[[Page 76530]]

Commission shall institute proceedings under Section 19(b)(2)(B) \34\ 
of the Act to determine whether the proposed rule change should be 
approved or disapproved.
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    \34\ 15 U.S.C. 78s(b)(2)(B).
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IV. Solicitation of Comments

    Interested persons are invited to submit written data, views and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. Comments may be submitted by any of 
the following methods:

Electronic Comments

    <bullet> Use the Commission's internet comment form (https://www.sec.gov/rules/sro.shtml); or
    <bullet> Send an email to <a href="/cdn-cgi/l/email-protection#88fafde4eda5ebe7e5e5ede6fcfbc8fbedeba6efe7fe"><span class="__cf_email__" data-cfemail="5022253c357d333f3d3d353e2423102335337e373f26">[email protected]</span></a>. Please include 
file number
    SR-IEX-2024-17 on the subject line.

Paper Comments

    <bullet> Send paper comments in triplicate to Secretary, Securities 
and Exchange Commission, 100 F Street NE, Washington, DC 20549-1090.

All submissions should refer to file number SR-IEX-2024-17. 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-IEX-2024-17 and should be 
submitted on or before October 9, 2024.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\35\
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    \35\ 17 CFR 200.30-3(a)(12).
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Vanessa A. Countryman,
Secretary.
[FR Doc. 2024-21174 Filed 9-17-24; 8:45 am]
BILLING CODE 8011-01-P


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