12512 Federal Register / Vol. 87, No. 43 / Friday, March 4, 2022 / Notices 

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

16 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

4(f)(6) requires a self-regulatory organization to give 

the Commission written notice of its intent to file 

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. The Exchange has satisfied this 

requirement. 

17 17 CFR 240.19b–4(f)(6)(iii). 

18For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposed rule change’s impact on efficiency, 

competition, and capital formation. 15 U.S.C. 78c(f). 19 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 

The Exchange has not solicited, and 

does not intend to solicit, comments on 

this proposal. No written comments 

were solicited or received on the 

proposed rule change. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Because the foregoing 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 after the date of 

the filing, or such shorter time as the 

Commission may designate, it has 

become effective pursuant to Section 

19(b)(3)(A) of the Act 15 and Rule 19b– 

4(f)(6) 16 thereunder. 

The Exchange has asked the 

Commission to waive the 30-day 

operative delay such that Exchange 

Users will be able to more quickly 

benefit from the proposed Drill through 

protections that are designed to: (1) 

Prevent potentially erroneous 

executions and (2) more closely align 

the execution prices of Stop Orders and 

Stop Limit Orders that become eligible 

for potential execution at the same time 

due to the same price triggering event.17

The Commission finds that waiving the 

30-day operative delay is consistent 

with the protection of investors and the 

public interest. Specifically, waiver of 

the operative delay should allow 

Exchange Users to utilize Stop Orders 

and Stop Limit Orders with an 

increased likelihood that the execution 

price of such orders will be more closely 

related to the market at the time the 

order is triggered for entry onto the BZX 

Book. Accordingly, the Commission 

designates the proposal operative upon 

filing.18

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 

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– 

CboeBZX–2022–009 on the subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Secretary, Securities and Exchange 

Commission, 100 F Street NE, 

Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–CboeBZX–2022–009. 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. All comments 

received will be posted without change; 

the Commission does not edit personal 

identifying information from 

submissions. You should submit only 

information that you wish to make 

available publicly. All submissions 

should refer to File Number SR– 

CboeBZX–2022–009 and should be 

submitted on or before March 25, 2022. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.19

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–04565 Filed 3–3–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

Sunshine Act Meetings 

TIME AND DATE: Notice is hereby given, 

pursuant to the provisions of the 

Government in the Sunshine Act, Public 

Law 94–409, that the Securities and 

Exchange Commission Investor 

Advisory Committee will hold a public 

meeting on Thursday, March 10, 2022. 

The meeting will begin at 10:00 a.m. 

(ET) and will be open to the public. 

PLACE: The meeting will be conducted 

by remote means. Members of the public 

may watch the webcast of the meeting 

on the Commission’s website at 

www.sec.gov. 

STATUS: This Sunshine Act notice is 

being issued because a majority of the 

Commission may attend the meeting. 

PUBLIC COMMENT: The public is invited 

to submit written statements to the 

Committee, which should be received 

on or before March 9, 2022. 

Written statements may be submitted 

by any of the following methods: 

Electronic Statements 

• Use the Commission’s internet 

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

rules/other.shtml); or 

• Send an email message to rulescomments@sec.gov. Please include File 

No. 265–28 on the subject line; or 

• Paper Statements. Send paper 

statements to Vanessa A. Countryman, 

Secretary, Securities and Exchange 

Commission, 100 F Street NE, 

Washington, DC 20549–1090. 

All submissions should refer to File 

No. 265–28. This file number should be 

included on the subject line if email is 

used. To help us process and review 

your statement more efficiently, please 

use only one method. 

Statements also will be available for 

website viewing and printing in the 

Commission’s Public Reference Room, 

100 F Street NE, Room 1503, 

Washington, DC 20549, on official 

business days between the hours of 

10:00 a.m. and 3:00 p.m. All statements 

received will be posted without change. 


lotter on DSK11XQN23PROD with NOTICES1
Federal Register / Vol. 87, No. 43 / Friday, March 4, 2022 / Notices 12513 

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

2 17 CFR 240.19b–4. 

3 15 U.S.C. 78s(b)(3)(A). A proposed rule change 

may take effect upon filing with the Commission if 

it is designated by the exchange as ‘‘establishing or 

changing a due, fee, or other charge imposed by the 

self-regulatory organization on any person, whether 

or not the person is a member of the self-regulatory 

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

4See Securities Exchange Act Release No. 93937 

(January 10, 2022), 87 FR 2466 (‘‘Notice’’). 

5See Letter from Tyler Gellasch, Executive 

Director, Healthy Markets Association, dated 

January 26, 2022. The commenter asserts that the 

Exchange did not address the Exchange’s 

ownership structure (where a number of brokerdealers own interests in the holding company that 

controls the Exchange), which the commenter states 

can result in Member-owners recouping the costs of 

the new fees, as well as the additional revenues 

collected from non-owners, which the commenter 

characterized as a ‘‘disparate impact.’’ 

6 15 U.S.C. 78s(b)(3)(C). 

7See Notice at 2466. The Exchange explained that 

‘‘[t]he objective of this approach was to eliminate 

any fee-based barriers to connectivity for Members 

when MEMX launched as a national securities 

exchange in 2020, and it was successful in 

achieving this objective in that a significant number 

of Members are directly or indirectly connected to 

the Exchange.’’ Id. at 2467. 

8See id. at 2467. 

9See id. The Exchange is not proposing to charge 

for: (1) Order Entry Ports or Drop Copy Ports in the 

Secondary Data Center, or (2) Test Facility Ports or 

MEMOIR Gap Fill Ports. Id. at 2470. A ‘‘drop copy’’ 

refers to information on trades executed on the 

Exchange. 10See id. at n.12. If a product is cancelled by a 

Member’s submission of a written request or via the 

MEMX User Portal prior to such fee being assessed 

then the Member will not be obligated to pay the 

applicable product fee. See id. 

11See id. at 2469. 

12See id. at 2472. 

13See id. at 2466. 

14 15 U.S.C. 78s(b)(3)(C). 

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

16Notice, supra note 4 at 2471. 

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. 

MATTER TO BE CONSIDERED: The agenda 

for the meeting includes: Welcome and 

opening remarks; departure remarks 

from J.W. Verret and Paul Mahoney; 

approval of previous meeting minutes; a 

panel discussion regarding ethical 

artificial intelligence and ‘‘roboadviser’’ 

fiduciary responsibilities; a panel 

discussion regarding cybersecurity; 

subcommittee reports; and a non-public 

administrative session. 

CONTACT PERSON FOR MORE INFORMATION: 

For further information and to ascertain 

what, if any, matters have been added, 

deleted or postponed; please contact 

Vanessa A. Countryman from the Office 

of the Secretary at (202) 551–5400. 

Authority: 5 U.S.C. 552b. 

Dated: March 1, 2022. 

Vanessa A. Countryman, 

Secretary. 

[FR Doc. 2022–04695 Filed 3–2–22; 11:15 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–94332; File No. SR–MEMX– 

2021–22] 

Self-Regulatory Organizations; MEMX 

LLC; Suspension of and Order 

Instituting Proceedings To Determine 

Whether To Approve or Disapprove 

Proposed Rule Change To Amend the 

Exchange’s Fee Schedule To Adopt 

Connectivity Fees 

February 28, 2022. 

I. Introduction 

On December 30, 2021, MEMX LLC 

(‘‘MEMX’’ or ‘‘Exchange’’) filed with the 

Securities and Exchange Commission 

(‘‘Commission’’), pursuant to Section 

19(b)(1) of the Securities Exchange Act 

of 1934 (‘‘Exchange Act’’ or ‘‘Act’’),1 and 

Rule 19b–4 thereunder,2 a proposed rule 

change (File Number SR–MEMX–2021– 

22) to amend the Exchange’s Fee 

Schedule (‘‘Fee Schedule’’) to adopt 

certain connectivity fees. The proposed 

rule change was immediately effective 

upon filing with the Commission 

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

Act.3 The proposed rule change was 

published for comment in the Federal 

Register on January 14, 2022.4 The 

Commission received one comment 

letter on the proposed rule change.5

Under Section 19(b)(3)(C) of the Act,6

the Commission is hereby: (i) 

Temporarily suspending File Number 

SR–MEMX–2021–22; and (ii) instituting 

proceedings to determine whether to 

approve or disapprove File Number SR– 

MEMX–2021–22. 

II. Description of the Proposed Rule 

Change 

MEMX provides Members and certain 

non-Members (i.e., service bureaus and 

extranets) with physical connectivity 

and application sessions (also known as 

‘‘logical ports’’) to access and participate 

on its market (collectively, 

‘‘connectivity services’’). Prior to 

implementation of the proposed rule 

change, the Exchange did not impose a 

fee for such connectivity services.7 The 

Exchange now proposes to amend its 

Fee Schedule to adopt fees for 

connectivity services. Specifically, the 

Exchange proposes to charge $6,000 per 

month for each physical connection in 

the data center where the Exchange 

primarily operates under normal market 

conditions (‘‘Primary Data Center’’) and 

$3,000 per month for each physical 

connection in the Exchange’s backup 

data center (‘‘Secondary Data Center’’).8

In addition, the Exchange proposes to 

charge a fee of $450 per month for each 

application session used for order entry 

(‘‘Order Entry Port’’) and $450 per 

month for each application session used 

for receipt of drop copies (‘‘Drop Copy 

Port’’) in the Exchange’s Primary Data 

Center.9 As proposed, fees for 

connectivity services would be assessed 

based on each active connectivity 

service product at the close of business 

on the first day of each month.10 The 

Exchange represents that it will 

periodically review the costs applicable 

to providing connectivity services and 

propose changes to its fees as 

appropriate.11

While the Exchange states its belief 

that there is ‘‘competition for 

connectivity to the Exchange’’ that acts 

to constrain its ability to set pricing for 

connectivity services,12 it also believes 

that ‘‘each exchange should take extra 

care to be able to demonstrate that [fees 

for connectivity services] are based on 

its costs and reasonable business 

needs.’’ 13

III. Suspension of the Proposed Rule 

Changes 

Pursuant to Section 19(b)(3)(C) of the 

Act,14 at any time within 60 days of the 

date of filing of an immediately effective 

proposed rule change pursuant to 

Section 19(b)(1) of the Act,15 the 

Commission summarily may 

temporarily suspend the change in the 

rules of a self-regulatory organization 

(‘‘SRO’’) 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. As discussed below, the 

Commission believes a temporary 

suspension of the proposed rule changes 

is necessary and appropriate to allow for 

additional analysis of the proposed rule 

changes’ consistency with the Act and 

the rules thereunder. 

The Exchange states that the proposal 

‘‘reflects a simple, competitive, 

reasonable, and equitable pricing 

structure designed to permit the 

Exchange to cover certain fixed costs 

that it incurs for providing connectivity 

services, which are discounted when 

compared to products and services 

offered by competitors.’’ 16 With respect 

to competition, the Exchange states that 

it ‘‘believes that competitive forces are 

in effect and that if the proposed fees for 

connectivity services were unreasonable 

that the Exchange would lose current or 

prospective Members and market 


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