Federal Register / Vol. 87, No. 67 / Thursday, April 7, 2022 / Notices 20485 

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

2 17 CFR 240.19b–4. 

3OCC’s By-Laws and Rules can be found on 

OCC’s website: https://www.theocc.com/CompanyInformation/Documents-and-Archives/By-Lawsand-Rules. 

4Current OCC Rule 706(b) allows OCC to specify 

the settlement time for cross-margin accounts with 

Participating CCOs. As of the date of this filing, 

OCC only maintains cross-margin accounts with 

one Participating CCO, the Chicago Mercantile 

Exchange (‘‘CME’’). OCC’s Operations Manual 

specifies that the settlement time for OCC/CME 

cross margin debits is 7:30 a.m. CT. This filing will 

not change the start-of-day settlement time for OCC/ 

CME cross-margin debits. For the avoidance of 

doubt, the settlement time for OCC’s internal crossmargin program under Article VI, Section 25 of 

OCC’s By-Laws will be 8:00 a.m. CT. 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–94587; File No. SR–OCC– 

2022–004] 

Self-Regulatory Organizations; The 

Options Clearing Corporation; Notice 

of Filing of Proposed Rule Change by 

The Options Clearing Corporation 

Concerning Settlement Timing 

April 1, 2022. 

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

Securities Exchange Act of 1934 

(‘‘Exchange Act’’ or ‘‘Act’’),1 and Rule 

19b–4 thereunder,2 notice is hereby 

given that on March 22, 2022, The 

Options Clearing Corporation (‘‘OCC’’ or 

‘‘Corporation’’) 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 primarily by OCC. The 

Commission is publishing this notice to 

solicit comments on the proposed rule 

change from interested persons. 

I. Clearing Agency’s Statement of the 

Terms of Substance of the Proposed 

Rule Change 

This proposed rule change by OCC 

would revise the required settlement 

time from 9:00 a.m. Central Time (‘‘CT’’) 

to 8:00 a.m. CT. In order to make this 

change, OCC is proposing changes to the 

OCC By-Laws (‘‘By-Laws’’) and Rules. 

The proposed changes to OCC’s ByLaws and Rules are included as Exhibits 

5A–5C to file number SR–OCC–2022– 

004. Material proposed to be added is 

underlined and material proposed to be 

deleted is marked in strikethrough text. 

All terms with initial capitalization that 

are not otherwise defined herein have 

the same meaning as set forth in the 

OCC By-Laws and Rules.3

II. Clearing Agency’s Statement of the 

Purpose of, and Statutory Basis for, the 

Proposed Rule Change 

In its filing with the Commission, 

OCC 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. OCC has prepared 

summaries, set forth in sections (A), (B), 

and (C) below, of the most significant 

aspects of these statements. 

(A) Clearing Agency’s Statement of the 

Purpose of, and Statutory Basis for, the 

Proposed Rule Change 

(1) Purpose 

OCC is filing this proposed rule 

change to change the time frame for 

collecting Margin 4 and Clearing Fund 

deficits as well as increases in the 

Clearing Fund cash requirement 

(‘‘Settlement Funds’’). The proposed 

changes are generally intended to 

shorten the collection period for 

Settlement Fund deficits and align the 

time for satisfying start of day 

settlement to 8:00 a.m. CT (‘‘SOD 

Settlement Time’’). OCC believes the 

proposed changes will reduce 

operational complexity by creating a 

more uniform settlement time for 

Clearing Fund deficits. The earlier SOD 

Settlement Time will also provide OCC 

with additional time to address a default 

event and implement protective actions. 

To provide increased transparency, the 

proposal also grants OCC discretion to 

extend funding deadlines when 

warranted by the circumstances (e.g., 

operational or system difficulties). 

The contents of the proposed rule 

change are summarized as follows. 

Background 

Under OCC’s Rules, there are different 

windows for the collection of 

Settlement Funds depending on the 

reason for the deficit, and the settlement 

time for satisfying such deficits may 

vary. For example, OCC Rule 1005(a) 

currently requires Clearing Members to 

satisfy any general deficits within one 

hour of receiving notice from OCC; OCC 

Rule 1005(b) currently requires Clearing 

Members to satisfy any deficits related 

to a monthly or intra-month resizing of 

the Clearing Fund by 9:00 a.m. CT on 

the second business day following 

notice from OCC; and whenever an 

amount is paid out of the Clearing Fund, 

OCC Rule 1006(h) requires Clearing 

Members to replenish the Clearing Fund 

following a charge thereto by 9:00 a.m. 

CT on the first business day following 

notice from OCC. In certain cases, such 

as the monthly Clearing Fund sizing 

process, the current Rules provide a two 

day period for Clearing Members to 

deposit any additional required Clearing 

Fund assets, while simultaneously 

Clearing Members are eligible to 

withdraw any excess contributions 

based upon the new requirement. To 

address these issues, OCC proposes to 

change OCC’s rules concerning the 

collection of Settlement Funds. The 

proposed changes would, in general, 

allow OCC to reduce operational 

complexity by creating a more uniform 

settlement time for Clearing Fund 

deficits. 

In addition, OCC proposes to align the 

collection of Settlement Funds with a 

consistent SOD Settlement Time. OCC’s 

current SOD Settlement Time is 9:00 

a.m. CT; however, the Board approved 

changing the SOD Settlement Time to 

8:00 a.m. CT. By aligning the SOD 

Settlement Time for margin and 

Clearing Fund deficiencies, OCC 

believes the proposed change would 

provide a clear and consistent process 

for collecting Settlement Funds. Moving 

to an earlier settlement time would also 

provide OCC with more time to address 

a default event and implement 

necessary protective actions, including 

securing funds from its liquidity 

providers. 

Changes to By-Laws 

Currently, two definitions in OCC’s 

By-Laws (Article I, Definitions; Article 

XV, Foreign Currency Options, 

Definitions) refer to the term 

‘‘settlement time’’ as 9:00 a.m. CT (10:00 

a.m. Eastern Time (‘‘ET’’)). OCC 

proposes moving the definition in 

Article I of OCC’s By-Laws to Chapter I, 

Rule 101 of OCC’s Rules. This defined 

term does not appear elsewhere in the 

By-Laws, but is routinely used in OCC’s 

Rules. OCC also proposes updating both 

definitions to instead provide for 

‘‘settlement time’’ to be 8:00 a.m. CT 

(9:00 a.m. ET). Additionally, OCC 

proposes to clarify in the definition that 

would move to OCC’s Rules that 

‘‘settlement time’’ does not include 

settlements related to any cross-margin 

program with a Participating CCO. OCC 

Rule 706 allows OCC to specify the 

settlement time for cross-margin 

accounts with Participating CCOs. This 

filing will not change the start-of-day 

settlement time for the OCC/CME crossmargin account, which is currently 7:30 

a.m. CT, but will clarify any potential 

ambiguity about the start-of-day 

settlement time for these accounts. 

Changes to Rules 

Daily Margin Report 

OCC Rule 605 currently requires 

Clearing Members to satisfy margin 

deficits by 9:00 a.m. CT (10:00 a.m. ET). 


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20486 Federal Register / Vol. 87, No. 67 / Thursday, April 7, 2022 / Notices 

5Under Rule 1004, Clearing Fund contributions 

may be adjusted due to a Clearing Member merger, 

consolidation, position transfer, business 

expansion, membership approval or other similar 

event. 

OCC proposes to update Rule 605 to 

reference the above referenced defined 

term ‘‘Settlement Time.’’ 

Interpretation and Policy .01 to Rule 

605 currently provides that the Daily 

Margin Report will not include the 

amount of margin required for variance 

futures and requires OCC to advise 

Clearing Members of margin 

requirements for variance futures by 

9:00 a.m. CT (10:00 a.m. ET). When OCC 

clears variance futures, the margin 

requirements for such products would 

be included in the Daily Margin Report. 

Accordingly, OCC proposes to delete 

Interpretation and Policy .01 to Rule 

605. 

Monthly and Intra-Month Resizing 

OCC Rule 1005(b) currently requires 

that Clearing Members satisfy any 

deficits due to a monthly or intra-month 

Clearing Fund resizing by the SOD 

Settlement Time on the second business 

day following notification of the 

resizing. The two-day collection period 

was intended to provide Clearing 

Members with sufficient notice of any 

changes to their Clearing Fund 

contribution requirements. However, 

this two-day collection period 

complicates the monitoring of OCC’s 

prefunded credit and liquidity 

resources. 

To address these issues, Management 

proposes to amend Rule 1005(b) to 

require that deficits due to the standard 

monthly resizing of the Clearing Fund 

be satisfied by the SOD Settlement Time 

on the first business day of each month. 

The proposed change would reduce the 

time to collect Clearing Fund deficits 

required to meet the new monthly 

Clearing Fund size. This change would 

reduce operational complexity related to 

the monitoring of OCC’s prefunded 

credit and liquidity resources by 

providing transparency and certainty to 

OCC around OCC’s available liquidity 

resources during the resizing process. 

Management also proposes to shorten 

the collection period for intra-month 

resizing to the next SOD Settlement 

Time following notification of the resizing to align with the monthly resizing 

period and other Clearing Fund deficit 

collection times and help ensure that 

OCC maintains adequate prefunded 

financial resources at all times. To 

provide additional transparency, Rule 

1005(b) also grants OCC discretion to 

extend funding deadlines when 

warranted by the circumstances (e.g., 

operational or system difficulties). 

General Deficits 

OCC Rule 1005(a) currently requires 

that general Clearing Fund deficits (e.g., 

deficits caused by a decrease in the 

value of a Clearing Member’s 

contribution or due to an adjusted 

contribution pursuant to Rule 1004 5) 

must be satisfied within one hour of 

being notified of the deficit. As a 

practical matter, these deficits are 

currently generally collected in the 

morning each business day but outside 

of the start of day settlement cycle, 

which means that OCC currently 

processes two separate collections from 

certain Clearing Members. 

OCC proposes to revise its rules to 

align the collection of general Clearing 

Fund deficits with the proposed SOD 

Settlement Time to provide consistency 

in settlement times throughout OCC’s 

rules. Under revised Rule 1005(a), OCC 

would collect a general deficit arising 

under Rule 1005(a) at the Settlement 

Time, provided that it notified the 

Clearing Member of such deficit at least 

one hour prior to the Settlement Time 

on the day the notice was provided. 

Notice of general deficits under Rule 

1005(a) would typically be provided to 

Clearing Members through OCC’s 

overnight reporting process but may 

also be issued in response to market 

conditions or adjustments arising from 

mergers, consolidations, position 

transfers, business expansions, 

membership approval or other similar 

events. To achieve the operational 

efficiency contemplated by the 

proposal, the proposed revisions to Rule 

1005(a) would align the collection 

period for general deficits to the 

Settlement Time in the ordinary course, 

and continue to provide Clearing 

Members with one hour to satisfy a 

deficit if notice was not provided at 

least one hour before the Settlement 

Time on a particular day. To provide 

additional transparency, Rule 1005(a) 

also grants OCC discretion to extend 

funding deadlines when warranted by 

the circumstances (e.g., operational or 

system difficulties). 

Adjustments to Clearing Fund 

Contributions 

Rule 1004 provides that any 

deficiency arising from an adjustment 

due to a Clearing Member merger, 

consolidation, position transfer, 

business expansion, membership 

approval or other similar event shall be 

satisfied in accordance with Rule 

1005(a). Rule 1004 currently provides 

an exception that allows a Clearing 

Member to satisfy an obligation that 

would be due on the first business day 

of a calendar month to be satisfied on 

the second business day if the deficit 

coincides with a regular monthly sizing 

collection. The proposal would 

eliminate this exception because regular 

monthly sizing deficits would no longer 

be collected two business days after 

notification under the proposed 

formulation of Rule 1005. 

Replenishment and Assessments 

OCC Rule 1006(h) currently requires 

that Clearing Members make good any 

charges to the Clearing Fund, whether 

in the form of replenishments or 

assessments, by 9:00 a.m. the following 

business day. OCC proposes to amend 

Rule 1006(h) to align the collection 

period for replenishments and 

assessments with the proposed SOD 

Settlement Time. OCC believes that 

using the defined term ‘‘Settlement 

Time’’ rather than stating a specific time 

in Rule 1006(h) will help achieve the 

consistency intended by this proposal. 

As described above, aligning the time 

for satisfying settlement and Clearing 

Fund obligations to the new definition 

of Settlement Time will reduce 

operational complexity by creating a 

more uniform settlement time. Moving 

to the earlier time (i.e., 8:00 a.m. CT) 

would also provide OCC with more time 

to address a default event and 

implement necessary protective actions, 

including securing funds from its 

liquidity providers. OCC also proposes 

to make corresponding changes to Rule 

1006(h)(B), which reiterates that each 

Clearing Member shall have and shall at 

all times maintain the ability to make 

good any deficiency described in Rule 

1006(h) during a cooling-off period. 

OCC also proposes to amend Rule 

1006(h)(A) and Rule 1006(h)(B) to allow 

the Corporation to specify a later time 

for which Clearing Members must make 

good on any charges to the Clearing 

Fund. The purpose of this change is to 

provide increased transparency by 

granting OCC discretion to extend 

funding deadlines when warranted by 

the circumstances (e.g., operational or 

system difficulties). 

Deficits Due to Amendment of OCC’s 

Rules 

Currently, under Rule 1002(e), if a 

Clearing Member’s contribution to the 

Clearing Fund increases due to an 

amendment of OCC’s Rules, the increase 

shall not become effective until the 

Clearing Member is given at least two 

business days prior written notice of the 

amendment. This notification period 

provides time for any Clearing Member 

to notify OCC in writing that it wishes 

to terminate its clearing membership 

and close out or transfer its open 

positions before the effective date of the 


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Federal Register / Vol. 87, No. 67 / Thursday, April 7, 2022 / Notices 20487 

6 15 U.S.C. 78q–1. 

7 15 U.S.C. 78q–1(b)(3)(A). 

8 17 CFR 240.17Ad–22(e)(3)(i). 9 15 U.S.C. 78q–1(b)(3)(I). 

amendment. Clearing Members that do 

not notify OCC of such termination 

must satisfy the increased contribution 

by 9:00 a.m. CT on the second business 

day following notification of the 

amendment. 

OCC proposes to allow a five-business 

day notification period to allow Clearing 

Members additional time to determine 

whether to terminate clearing 

membership as a result of any such rule 

change and close out or transfer all open 

positions before the effective date of the 

amendment. The purpose of this change 

is to update Rule 1002(e) to better reflect 

OCC’s current practice pursuant to 

which Clearing Members are generally 

afforded more than five-business days’ 

notice of any change in Clearing Fund 

requirements that result from an 

amendment of OCC’s Rules through the 

regulatory filing process. As this change 

codifies an existing practice, OCC does 

not believe it will modify Clearing 

Member behavior or otherwise have an 

adverse impact on OCC. 

OCC also proposes to revise Rule 

1002(e) to align with the proposed SOD 

Settlement Time. As described above, 

this change is intended to reduce 

operational complexity by creating a 

more uniform settlement time for 

Clearing Fund deficits, including those 

described in Rule 1002(e), that aligns 

with the current collection period for 

other obligations to OCC. 

Temporary Increase in Clearing Fund 

Cash Requirement 

Interpretation and Policy .03 to Rule 

1002 requires Clearing Members to 

satisfy any increase in their required 

cash contribution resulting from an 

increase in overall Clearing Fund Cash 

Requirement no later than the second 

business day following notification of 

the increase. OCC proposes to revise 

Rule 1002 to require that Clearing 

Members satisfy an increase in required 

cash contributions by the first SOD 

Settlement Time following notification 

of the increase. The purpose of this 

change is to reduce operational 

complexity by creating a more uniform 

settlement time that aligns with the 

current collection period for other 

obligations to OCC. 

Conforming Changes to Policies and 

Agreements 

In connection with the proposed 

changes described above, OCC will need 

to make conforming changes to the 

Clearing Fund Methodology Policy. 

These changes include updating the 

policy to reflect the timing for satisfying 

an increase to the Clearing Fund Cash 

Requirements and eliminating the 

policy language describing the 

exception set forth in Rule 1004 as 

described more fully above. These 

changes are intended to update the 

Clearing Fund Methodology Policy to 

conform with the proposed changes to 

OCC’s rules described above and 

support the reduced operational 

complexity that OCC expects to achieve 

by creating a more uniform SOD 

Settlement Time. 

(2) Statutory Basis 

OCC believes the proposed rule 

change is consistent with Section 17A of 

the Act 6 and the rules thereunder 

applicable to OCC. Section 17A(b)(3)(A) 

of the Act 7 requires, among other 

things, that a clearing agency be so 

organized and have the capacity to be 

able to facilitate the prompt and 

accurate clearance and settlement of 

securities transactions and derivatives 

agreements, contracts, and transactions 

for which it is responsible. OCC believes 

the proposed rule change is consistent 

with this requirement because the 

change would improve OCC’s capacity 

to facilitate clearance and settlement by 

allowing OCC to collect financial 

resources consistent with its calculated 

requirements as soon as reasonably 

possible. OCC believes this change will 

facilitate the prompt and accurate 

settlement of the transactions for which 

it is responsible by harmonizing various 

settlement deadlines thereby reducing 

operational complexity. The change 

would also facilitate the prompt and 

accurate settlement of transactions by 

providing OCC assurance about 

available funds earlier on each business 

day. 

OCC also believes that the proposed 

rule change is consistent with the 

requirement in Rule 17Ad–22(e)(3)(i) 8

to establish, implement, maintain and 

enforce written policies and procedures 

reasonably designed to maintain a 

sound risk management framework for 

managing legal, credit, liquidity, 

operational, general business, 

investment, custody and other risks that 

arise in or are borne by OCC. OCC 

believes the proposed SOD Settlement 

Time changes will contribute to OCC’s 

sound risk management framework for 

managing the risks borne by OCC. For 

example, OCC believes the proposed 

changes will reduce its liquidity risk by 

assuring start of day settlement 

requirements are met earlier on each 

business day. Additionally, OCC 

believes adding consistency to its start 

of day settlement time requirements will 

reduce operational risk by simplifying 

the requirements around settlement for 

both Clearing Members and OCC. While 

cross-margin deficits will still be 

required to be met by 7:30 a.m. CT, all 

other Settlement Funds will be required 

by 8:00 a.m. CT. OCC believes this 

reduction in complexity around 

required settlement timing will reduce 

risk and contribute to OCC’s sound risk 

management framework. The proposal 

would also improve OCC’s process for 

addressing delays arising from 

operational issues or system difficulties 

by granting OCC discretion to extend 

certain funding deadlines when 

warranted by the circumstances. 

The proposal is also consistent with 

the requirement in Rule 17Ad–22(e)(8) 

to establish, implement, maintain, and 

enforce policies and procedures 

reasonably designed to define the point 

at which settlement is final to be no 

later than the end of the day on which 

the payment or obligation is due. Under 

the proposal, settlement finality for 

transactions cleared by OCC occurs 

when a settlement bank either accepts 

or confirms the settlement instruction. 

Moving to the earlier time would 

promote settlement finality by allowing 

OCC to more quickly identify issues that 

could potentially impact its ability to 

settle transactions (e.g., a Clearing 

Member default) and providing OCC 

with additional time to take protective 

actions, including securing funds from 

its liquidity providers. 

The proposed rule change is not 

inconsistent with the existing rules of 

OCC, including any other rules 

proposed to be amended. 

(B) Clearing Agency’s Statement on 

Burden on Competition 

Section 17A(b)(3)(I) of the Exchange 

Act requires that the rules of a clearing 

agency not impose any burden on 

competition not necessary or 

appropriate in furtherance of the 

purposes of the Act.9 OCC does not 

believe that the proposed rule change 

would impact or impose any burden on 

competition. In connection with these 

changes, OCC will continue to provide 

daily reporting to Clearing Members 

with projected requirements to provide 

notice and transparency. While the 

proposed rule changes would reduce the 

time that Clearing Members have to 

respond to start of day settlement 

requirements, OCC does not believe the 

proposed change would present an 

undue burden on OCC’s Clearing 

Members. 

Additionally, the proposed rule 

changes would apply to all Clearing 

Members consistently and would not 


khammond on DSKJM1Z7X2PROD with NOTICES
20488 Federal Register / Vol. 87, No. 67 / Thursday, April 7, 2022 / Notices 

10 17 CFR 200.30–3(a)(12). 

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

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

provide any Clearing Member with a 

competitive advantage over any other 

Clearing Member. Further, the proposed 

rule change would not affect Clearing 

Member’s access to OCC’s services or 

impose any direct burdens on Clearing 

Members. Accordingly, the proposed 

rule change would not unfairly inhibit 

access to OCC’s services or disadvantage 

or favor any particular user in 

relationship to another user. 

For the foregoing reasons, OCC 

believes that the proposed rule change 

is in the public interest, would be 

consistent with the requirements of the 

Act applicable to clearing agencies, and 

would not impact or impose a burden 

on competition. 

(C) Clearing Agency’s Statement on 

Comments on the Proposed Rule 

Change Received From Members, 

Participants or Others 

Written comments on the proposed 

rule change were not and are not 

intended to be solicited with respect to 

the proposed rule change and none have 

been received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Within 45 days of the date of 

publication of this notice in the Federal 

Register or within such longer period 

up to 90 days (i) as the Commission may 

designate if it finds such longer period 

to be appropriate and publishes its 

reasons for so finding or (ii) as to which 

the self-regulatory organization 

consents, the Commission will: 

(A) By order approve or disapprove 

such proposed rule change, or 

(B) institute proceedings to determine 

whether the proposed rule change 

should be disapproved. 

OCC shall post notice on its website 

of proposed changes that are 

implemented. The proposal shall not 

take effect until all regulatory actions 

required with respect to the proposal are 

completed. 

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– 

OCC–2022–004 on the subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Vanessa Countryman, Secretary, 

Securities and Exchange Commission, 

100 F Street NE, Washington, DC 

20549–1090. 

All submissions should refer to File 

Number SR–OCC–2022–004. 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 OCC and on OCC’s website at 

https://www.theocc.com/CompanyInformation/Documents-and-Archives/ 

By-Laws-and-Rules. 

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–OCC–2022–004 and should 

be submitted on or before April 28, 

2022. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.10

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–07341 Filed 4–6–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–94575; File No. SR– 

NYSEArca–2022–15] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Amend the NYSE Arca 

Equities Fees and Charges 

April 1, 2022. 

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

Securities Exchange Act of 1934 (the 

‘‘Act’’) 2 and Rule 19b–4 thereunder,3

notice is hereby given that, on March 

21, 2022, NYSE Arca, Inc. (‘‘NYSE 

Arca’’ 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. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange proposes to amend the 

NYSE Arca Equities Fees and Charges 

(‘‘Fee Schedule’’) to introduce a new 

credit that would apply to transactions 

executed on the Exchange using 

Discretionary Pegged Orders. The 

Exchange proposes to implement the fee 

change effective March 21, 2022. 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. 


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