3138 Federal Register / Vol. 87, No. 13 / Thursday, January 20, 2022 / Notices 

5 Id. 

6 17 CFR 200.30–3(a)(31). 

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

2 17 CFR 240.19b–4. 

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

4 17 CFR 240.19b–4(f)(2). 

5See Securities Exchange Act Release No. 90176 

(October 14, 2020), 85 FR 66592 (October 20, 2020) 

(SR–FINRA–2020–032) (Notice of Filing and 

Immediate Effectiveness of a Proposed Rule Change 

To Adjust FINRA Fees To Provide Sustainable 

Funding for FINRA’s Regulatory Mission). See also 

SR–FINRA–2021–034. 

6The Exchange notes that this proposed 

implementation date coincides with the date FINRA 

proposes to implement the MQP Fee, as eligible 

individuals can begin making their election to 

participate in the MQP on January 31, 2022. The 

annual MQP fee is set forth in proposed Section 

4(f)(2) of Schedule A to the FINRA By-Laws. See 

SR–FINRA–2021–034. See also FINRA Rule 1240(c) 

(Continuing Education Program for Persons 

Maintaining Their Qualification Following the 

Termination of a Registration Category). 

7The Exchange notes that this proposed 

implementation date coincides with the date FINRA 

has designated the proposed annual Regulatory 

Element fee to go into effect. FINRA has designated 

January 1, 2023 as the effective date of the 

transition to the annual Regulatory Element 

requirement. See SR–FINRA–2021–034. The 

Regulatory Element Fee is set forth in Section 4(f)(1) 

of Schedule A to the FINRA By-Laws. See SR– 

FINRA–2021–034. See also See also FINRA Rule 

1240(a) (Regulatory Element). 

8FINRA operates Web CRD, the central licensing 

and registration system for the U.S. securities 

industry. FINRA uses Web CRD to maintain the 

qualification, employment and disciplinary 

histories of registered associated persons of brokerdealer. 

9FINRA noted in its rule change that it was 

adjusting its fees to provide sustainable funding for 

FINRA’s regulatory mission. See Securities 

Exchange Act Release No. 90176 (October 14, 2020), 

85 FR 66592 (October 20, 2020) (SR–FINRA–2020– 

032). 

Section 19(b)(2) of the Act,5 the 

Commission designates March 3, 2022, 

as the date by which the Commission 

shall either approve, disapprove, or 

institute proceedings to determine 

whether to disapprove the proposed 

rule change (File No. SR–MIAX–2021– 

58). 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.6

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–00978 Filed 1–19–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–93982; File No. SR–BOX– 

2022–03] 

Self-Regulatory Organizations; BOX 

Exchange LLC; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change To Amend the Fee 

Schedule on the BOX Options Market 

LLC (‘‘BOX’’) Facility 

January 14, 2022. 

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

Securities Exchange Act of 1934 (the 

‘‘Act’’) 1 and Rule 19b–4 thereunder,2

notice is hereby given that on January 

12, 2022, BOX Exchange LLC (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 

Exchange filed the proposed rule change 

pursuant to Section 19(b)(3)(A)(ii) of the 

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

which renders the proposal effective 

upon filing with the Commission. The 

Commission is publishing this notice to 

solicit comments on the proposed rule 

change from interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of the Substance 

of the Proposed Rule Change 

The Exchange is filing with the 

Securities and Exchange Commission 

(‘‘Commission’’) a proposed rule change 

to amend the BOX Options Fee 

Schedule at Section VI, Regulatory Fees 

to reflect adjustments to sub-section B. 

FINRA Fees and sub-section C. 

Registration and Continuing Education 

Fees.5

While changes to the fee schedule 

pursuant to this proposal will be 

effective upon filing, the Exchange has 

designated that the proposed annual 

Maintaining Qualifications Program 

(‘‘MQP’’) fee will be implemented on 

January 31, 2022 6 and the proposed 

revised fee for the Regulatory Element 

will be implemented on January 1, 

2023.7

The text of the proposed changes is 

attached [sic] as Exhibit 5. 

The text of the proposed rule change 

is available from the principal office of 

the Exchange, at the Commission’s 

Public Reference Room and also on the 

Exchange’s internet website at http://

boxexchange.com. 

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 the 

Fee Schedule for trading on the BOX 

Options Market at Section VI.B. (FINRA 

Fees) and Section VI.C. (Registration 

and Continuing Education) to make 

clarifying changes to the section and 

reflect adjustments to FINRA 

Registration Fees.8 The FINRA fees are 

collected and retained by FINRA via 

Web CRD for the registration of 

employees of BOX Participants that are 

not FINRA members (‘‘Non-FINRA 

members’’). The Exchange is merely 

listing these fees on its Pricing 

Schedule. The Exchange does not 

collect or retain these fees. Today, 

Sections VI.B. and VI.C., of the BOX 

Options Fee Schedule, provide a list of 

FINRA Web CRD Fees, Fingerprint 

Processing Fees, and Continuing 

Education Fees. The Exchange proposes 

to amend the introductory paragraph of 

Section VI.B. to add a sentence to make 

it clear that FINRA collects the fees 

listed within this section. The Exchange 

also proposes to add the heading, 

General Registration Fees, before the list 

of fees collected by FINRA. The fees 

listed within Section VI.B., reflect fees 

set by FINRA. Specifically, with respect 

to the General Registration Fees, the 

Exchange proposes to increase the $100 

fee to $125 for each initial Form U4 

filed for the registration of a 

representative or principal. This 

amendment is made in accordance with 

a recent FINRA rule change to adjust to 

its fees.9 The Exchange is proposing 

additional technical and conforming 

amendments to the Fee Schedule, 

including updating the footnote 

numbering in Section VII, Billing, and 

Section VIII, Participant Fees. 

The proposed rule change also makes 

non-substantive clarifying changes to 

certain provisions of the Fee Schedule 

at Section VI, Regulatory Fees, VI.B. 

(FINRA Fees) and VI.C. (Registration 

and Continuing Education). The 

Exchange proposes to add clarifying 

language to Section VI.B. Specifically, 

the Exchange is proposing to add 


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Federal Register / Vol. 87, No. 13 / Thursday, January 20, 2022 / Notices 3139 

10See SR–FINRA–2021–034 (December 30, 2021). 

FINRA notes that the proposed $18 annual fee is 

comparable to the current $55 fee over a three-year 

period. 

11See SR–FINRA–2021–034 (December 30, 2021). 

FINRA notes that the proposed MQP is a voluntary 

program. 

12The Exchange notes that other options 

exchanges have recently filed similar proposals to 

increase the fee from $100 to $125 for each initial 

Form U4 filed for the registration of a representative 

or principal in accordance with a recent FINRA rule 

change to adjust to its fees. See Securities Exchange 

Release No. 34–93582 (November 16, 2021), 86 FR 

66373 (November 22, 2021) (SR–ISE–2021–24) 

(Notice of Filing and Immediate Effectiveness). See 

also Securities Exchange Release No. 34–93583 

(November 16, 2021), 86 FR 66356 (November 22, 

2021) (SR–GEMX–2021–10) (Notice of Filing and 

Immediate Effectiveness). See also Securities 

Exchange Release No. 34–93602 (November 17, 

2021), 86 FR 66604 (November 23, 2021) (SR– 

NASDAQ–2021–087) (Notice of Filing and 

Immediate Effectiveness). See also Securities 

Exchange Release No. 34–93584 (November 16, 

2021), 86 FR 66363 (November 22, 2021) (SR–MRX– 

2021–11) (Notice of Filing and Immediate 

Effectiveness). See also Securities Exchange Release 

No. 34–93587 (November 16, 2021), 86 FR 66375 

(November 22, 2021) (SR–BX–2021–052) (Notice of 

Filing and Immediate Effectiveness). See also 

Securities Exchange Release No. 34–93577 

(November 15, 2021), 86 FR 64976 (November 19, 

2021) (SR–PHLX–2021–68) (Notice of Filing and 

Immediate Effectiveness). 

13 15 U.S.C. 78f(b)(4) and (5). 

14See supra note 5. 

15See supra note 10. 

16See supra note 11. 

footnote 26 to clarify that the FINRA 

Web CRD Processing Fee is paid directly 

to FINRA for each initial Form U4 filed 

for the registration of a representative or 

principal. The Exchange is also 

proposing to adopt footnote 27, to make 

clear that the FINRA Disclosure 

Processing Fee is paid directly to FINRA 

for the additional processing of each 

initial or amended Form U4, Form U5 

or Form BD that includes the initial 

reporting, amendment, or certification 

of one of more disclosure events or 

proceedings. The Exchange proposes to 

add language to make it clear that the 

FINRA Annual System Processing Fee is 

assessed only during renewals and that 

the Fingerprinting Fees are processing 

fees. 

The Exchange also proposes to amend 

Section VI.C., to reflect the current fees 

assessed by FINRA and add clarifying 

language to provide more transparency 

to the FINRA Fees listed within the 

BOX Fee Schedule. The Exchange 

proposes to decrease the $55 fee per 

session to $18 per session. This fee is 

assessed to each individual who 

completes the Regulatory Element of the 

Continuing Education requirements 

pursuant to FINRA rules. This 

amendment is made in accordance with 

a recent FINRA rule change to adjust to 

its fees.10

The Exchange proposes to remove the 

reference to the S101 within Section 

VI.C.2., the Continuing Education Fee 

and the corresponding footnote 29. This 

amendment will clarify that the 

Continuing Education Fees that FINRA 

assesses applies to each individual who 

is required to complete the Regulatory 

Element of the Continuing Education 

requirements. The Exchange also 

proposes to add clarifying language to 

footnote 28 to make it clear that the 

referenced $120 fee to be paid to FINRA 

includes the fees for the Securities 

Industry Essentials Exam, and the Series 

57 exam. 

The Exchange proposes to add 

Section VI.C.3., Maintaining 

Qualifications Program Fee, to adopt the 

proposed annual MQP Fee of $100. The 

Exchange also proposes to adopt 

footnote 30 to specify that the MQP Fee 

will be paid directly to FINRA and will 

be assessed annually to each individual 

electing to participate in the continuing 

education program under FINRA Rule 

1240(c). This amendment is made in 

accordance with a recent FINRA rule 

change to adjust to its fees.11

The FINRA Web CRD Fees are userbased and there is no distinction in the 

cost incurred by FINRA if the user is a 

FINRA member or a Non-FINRA 

member. Accordingly, the proposed fees 

mirror those currently assessed by 

FINRA.12

2. Statutory Basis 

The Exchange believes that the 

proposal is consistent with the 

requirements of Section 6(b) of the Act, 

in general, and Section 6(b)(4) and 

6(b)(5) of the Act,13 in particular, in that 

it provides for the equitable allocation 

of reasonable dues, fees, and other 

charges among BOX Participants and 

other persons using its facilities and 

does not unfairly discriminate between 

customers, issuers, brokers or dealers. 

The Exchange believes it is reasonable 

to increase the $100 fee for each initial 

Form U4 filed for the registration of a 

representative or principal to $125 in 

accordance with an adjustment to 

FINRA’s fees.14 The Exchange’s rule text 

will reflect the current registration rate 

that will be assessed by FINRA as of 

January 2, 2022. Additionally, adding 

language that makes it clear that FINRA 

will bill and collect these general 

registration fees will bring greater 

transparency to the FINRA fees as listed 

within the BOX Fee Schedule. The 

Exchange believes it is reasonable to 

decrease the $55 per session fee to $18 

per session in accordance with a recent 

FINRA rule change to adjust to its 

fees.15 Also, amending the Continuing 

Education Fees to remove the reference 

to the S101 will bring greater clarity to 

the Continuing Education fees currently 

assessed by FINRA and listed within the 

BOX Fee Schedule. Noting that the fees 

are paid directly to FINRA and the 

addition of the other proposed clarifying 

changes will provide more information 

to Participants regarding the fees for 

Continuing Education. The Exchange 

also believes it is reasonable to add 

Section VI.C.3. to list the proposed MQP 

Fee of $100 in accordance with a recent 

FINRA rule change to adjust to its 

fees.16 Finally, making clear that the 

FINRA Annual System Processing Fee is 

assessed only during renewals, the 

Fingerprinting Fees are processing fees, 

and that Series 57 Exam fee includes the 

fee for the Securities Industry Essentials 

Exam, will provide greater transparency 

regarding the fees collected by FINRA 

and listed in the BOX Fee Schedule. 

The proposed fees are identical to those 

adopted by FINRA for use of Web CRD 

for disclosure and the registration of 

FINRA members and their associated 

persons. These costs are borne by 

FINRA when a Non-FINRA member 

uses Web CRD. 

The Exchange believes that its 

proposal to increase the $100 fee for 

each initial Form U4 filed for the 

registration of a representative or 

principal to $125 is equitable and not 

unfairly discriminatory as the 

amendment will reflect the current fee 

that will be assessed by FINRA to all 

Participants who require Form U4 

filings as of January 2, 2022. The 

Exchange also believes that its proposal 

to decrease the Continuing Education 

fee from $55 per session to $18 per 

session is not unfairly discriminatory as 

the amendment will reflect the current 

fee that will be assessed by FINRA to all 

Participants who complete the 

Regulatory Element of the Continuing 

Education requirements pursuant to 

FINRA rules. Additionally, reflecting 

the current Continuing Education Fees 

for the S101 or S201 is equitable and not 

unfairly discriminatory as FINRA 

currently assesses these rates to all 

Participants that are required to have 

those registrations. The Exchange also 

believes that its proposal to list the MQP 

Fee of $100 is not unfairly 

discriminatory as the amendment will 

reflect the annual fee that will be 

assessed by FINRA to all Participants 

who elect to participate in the MQP 

pursuant to FINRA rules. Finally, 

making clear that FINRA will bill and 

collect these fees will bring greater 


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3140 Federal Register / Vol. 87, No. 13 / Thursday, January 20, 2022 / Notices 

17 15 U.S.C. 78s(b)(3)(A)(ii). 

18 17 CFR 240.19b–4(f)(2). 19 17 CFR 200.30–3(a)(12). 

transparency to FINRA’s fees as listed 

within the BOX Fee Schedule. Further, 

the proposal is also equitable and not 

unfairly discriminatory because the 

Exchange will not be collecting or 

retaining these fees, therefore, the 

Exchange will not be in a position to 

apply them in an inequitable or unfairly 

discriminatory manner. 

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. The 

Exchange does not believe that this 

proposal creates an unnecessary or 

inappropriate inter-market burden on 

competition as FINRA’s fees apply to all 

market participants. Additionally, the 

Exchange does not believe that this 

proposal creates an unnecessary or 

inappropriate intra-market burden on 

competition as the increased fee for 

each initial Form U4 filed for the 

registration of a representative or 

principal will be assessed by FINRA to 

all Participants who require Form U4 

filings as of January 2, 2022. 

The Exchange does not believe that 

this proposal creates an unnecessary or 

inappropriate intra-market burden on 

competition as the decreased 

Continuing Education fee from will be 

assessed by FINRA to all Participants 

who complete the Regulatory Element of 

the Continuing Education requirements 

pursuant to FINRA rules. Also, 

clarifying that the Continuing Education 

Fees apply to all individual required to 

complete the Regulatory Element of the 

Continuing Education requirements 

does not impose an undue burden on 

competition as FINRA currently 

assesses these rates to all Participants 

that are required to have those 

registrations. The Exchange also does 

not believe that its proposal to list the 

proposed annual MQP Fee of $100 

creates an unnecessary or inappropriate 

intra-market burden on competition as 

this annual fee that will be assessed by 

FINRA to all Participants who elect to 

participate in the MQP pursuant to 

FINRA rules. Additionally, making clear 

that FINRA will bill and collect these 

fees will bring greater transparency to 

the FINRA fees listed within the BOX 

Fee Schedule. Finally, clarifying that 

the FINRA Annual System Processing 

Fee is assessed only during renewals, 

the Fingerprinting Fees are processing 

fees, and that Series 57 exam fee 

includes the fee for the Securities 

Industry Essentials Exam, will provide 

more information to Participants 

regarding the fees collected by FINRA 

and listed within the BOX Fee 

Schedule. Further, the proposal does 

not impose an undue burden on 

competition because the Exchange will 

not be collecting or retaining these fees, 

therefore, the Exchange will not be in a 

position to apply them in an inequitable 

or unfairly discriminatory manner. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

No written comments were either 

solicited or received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action Effectiveness 

The foregoing rule change has become 

effective pursuant to Section 

19(b)(3)(A)(ii) of the Exchange Act 17

and Rule 19b–4(f)(2) thereunder,18

because it establishes or changes a due, 

or fee. 

At any time within 60 days of the 

filing of the proposed rule change, the 

Commission summarily may 

temporarily suspend the rule change if 

it appears to the Commission that the 

action is necessary or appropriate in the 

public interest, for the protection of 

investors, or would otherwise further 

the purposes of the Act. If the 

Commission takes such action, the 

Commission shall institute proceedings 

to determine whether the proposed rule 

should be approved or disapproved. 

IV. Solicitation of Comments 

Interested persons are invited to 

submit written data, views, and 

arguments concerning the foregoing, 

including whether the proposed rule 

change is consistent with the Act. 

Comments may be submitted by any of 

the following methods: 

Electronic Comments 

• Use the Commission’s internet 

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

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include File Number SR– 

BOX–2022–03 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–BOX–2022–03. 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–BOX–2022–03 and should 

be submitted on or before February 10, 

2022. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.19

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–01069 Filed 1–19–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–441, OMB Control No. 

3235–0497] 

Proposed Collection; Comment 

Request 

Upon Written Request, Copies Available 

From: Securities and Exchange 

Commission, Office of FOIA Services, 

100 F Street NE, Washington, DC 

20549–2736 

Extension: 

Rule 15c3–4 

Notice is hereby given that pursuant 

to the Paperwork Reduction Act of 1995 

(44 U.S.C. 3501 et seq.) (‘‘PRA’’), the 

Securities and Exchange Commission 

(‘‘Commission’’) is soliciting comments 

on the collection of information 


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