35818 Federal Register / Vol. 87, No. 113 / Monday, June 13, 2022 / Notices 

62 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. 

4See, e.g., Securities Exchange Act Release No. 

69793 (July 18, 2013), 78 FR 37865, 37866 (July 24, 

2013) (SR–BATS–2013–034) (excluding the Russell 

Reconstitution Day from the definition of ADV); 

Securities Exchange Act Release No. 72002 (April 

23, 2014), 79 FR 24028, 24029 (April 29, 2014) (SR– 

EDGX–2014–10) (same). 

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–NYSEAMER–2022–20. 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 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. 

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–NYSEAMER–2022–20 and 

should be submitted on or before July 5, 

2022. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.62

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–12643 Filed 6–10–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–95059; File No. SR– 

NYSEAMER–2022–21] 

Self-Regulatory Organizations; NYSE 

American LLC; Notice of Filing and 

Immediate Effectiveness of Proposed 

Change To Amend the NYSE American 

Equities Price List 

June 7, 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 May 25, 

2022, NYSE American LLC (‘‘NYSE 

American’’ 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 selfregulatory organization. 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 American Equities Price List 

(‘‘Price List’’) to specify that the 

Exchange may exclude from its average 

daily volume and quoting calculations 

the date of the annual reconstitution of 

the Russell Investments Indexes. The 

proposed change is available on the 

Exchange’s website at www.nyse.com, at 

the principal office of the Exchange, and 

at the Commission’s Public Reference 

Room. 

II. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

In its filing with the Commission, the 

self-regulatory organization included 

statements concerning the purpose of, 

and basis for, the proposed rule change 

and discussed any comments it received 

on the proposed rule change. The text 

of those statements may be examined at 

the places specified in Item IV below. 

The Exchange has prepared summaries, 

set forth in sections A, B, and C below, 

of the most significant parts of such 

statements. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to amend its 

Price List to specify that the Exchange 

may exclude from its average daily 

volume and quoting calculations the 

date of the annual reconstitution of the 

Russell Investments Indexes (the 

‘‘Russell Rebalance’’). 

Proposed Rule Change 

The Exchange’s Price List currently 

provides that, for purposes of 

determining transaction fees and credits 

based on quoting levels, average daily 

volume (‘‘ADV’’), and consolidated ADV 

(‘‘CADV’’), the Exchange may exclude 

shares traded any day that (1) the 

Exchange is not open for the entire 

trading day and/or (2) a disruption 

affects an Exchange system that lasts for 

more than 60 minutes during regular 

trading hours. The Exchange proposes 

to specify that the Exchange may also 

exclude from its quoting levels, ADV, 

and CADV calculations the date of the 

annual Russell Rebalance. 

The Russell Rebalance, which 

typically occurs in June, is characterized 

by high trading volumes, much of which 

derive from market participants who are 

not generally as active entering the 

market to rebalance their holdings inline with the Russell Rebalance.4 The 

Exchange believes that the high trading 

volumes during the Russell Rebalance 

can significantly impact ADV, CADV 

and quoting calculations. The Exchange 

believes that excluding the date of the 

Russell Rebalance will mitigate the 

uncertainty faced by ETP Holders as to 

their quoting, ADV, and CADV levels 

and the corresponding rebate amounts 

during the month of the Russell 

Rebalance, thereby providing ETP 

Holders with an increased certainty as 

to that month’s cost for trades executed 

on the Exchange. The Exchange further 

believes that removing this uncertainty 

will encourage ETP Holders to 

participate in trading on the Exchange 

during the remaining trading days in the 

month of the Russell Rebalance in a 

manner intended to be incented by the 

Exchange’s Price List. 

To effectuate this change, the 

Exchange proposes to add a clause to 

the second bullet following ‘‘NYSE 


khammond on DSKJM1Z7X2PROD with NOTICES
Federal Register / Vol. 87, No. 113 / Monday, June 13, 2022 / Notices 35819 

5See, e.g., NYSE Arca Equities Fees and Charges, 

available at https://www.nyse.com/publicdocs/nyse/ 

markets/nyse-arca/NYSE_Arca_Marketplace_

Fees.pdf (‘‘the date of the annual reconstitution of 

the Russell Investments Indexes does not count 

toward volume tiers’’); NYSE Price List, available at 

https://www.nyse.com/publicdocs/nyse/markets/ 

nyse/NYSE_Price_List.pdf (‘‘the Exchange may 

exclude shares traded on any day that . . . is the 

date of the annual reconstitution of the Russell 

Investments Indexes’’ for purposes of determining 

transaction fees and credits based on volumes, 

quoting, ADV and CADV’’); NYSE National, Inc. 

Schedule of Fees and Rebates, available at https:// 

www.nyse.com/publicdocs/nyse/regulation/nyse/ 

NYSE_National_Schedule_of_Fees.pdf (‘‘the 

Exchange may exclude shares traded any day that 

. . . is the date of the annual reconstitution of the 

Russell Investments Indexes’’ for purposes of 

determining transaction fees and credits based on 

quoting levels, ADV, and CADV); Cboe BZX U.S. 

Equities Exchange Fee Schedule, available at 

https://markets.cboe.com/us/equities/membership/ 

fee_schedule/bzx/ (‘‘The Exchange excludes from 

its calculation of ADAV and ADV shares added or 

removed on . . . the last Friday in June (the 

‘Russell Reconstitution Day’)’’). 

6 15 U.S.C. 78f(b). 

7 15 U.S.C. 78f(b)(4) & (5). 8See notes 4–5, supra. 9 15 U.S.C. 78f(b)(8). 

American Trading Fees and Credits.’’ As 

proposed, the new clause would 

provide that the Exchange may exclude 

shares traded any day that ‘‘is the date 

of the annual reconstitution of the 

Russell Investments Indexes.’’ The 

proposed change is similar to, and 

consistent with, the rules of the 

Exchange’s affiliates and other selfregulatory organizations.5

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

Section 6(b) of the Act,6 in general, and 

furthers the objectives of Sections 

6(b)(4) and 6(b)(5) of the Act,7 in 

particular, because it provides for the 

equitable allocation of reasonable dues, 

fees, and other charges among its 

members, issuers and other persons 

using its facilities and does not unfairly 

discriminate between customers, 

issuers, brokers or dealers. The 

Exchange notes that it operates in a 

highly fragmented and competitive 

market in which competitive forces 

constrain the Exchange’s transaction 

fees, and market participants can readily 

trade on competing venues if they deem 

pricing levels at those other venues to 

be more favorable. 

The Proposed Change is Reasonable 

The Exchange believes that it is 

reasonable to permit the Exchange to 

eliminate from the calculation of 

quoting levels, ADV, and CADV the date 

of the annual Russell Rebalance because 

it will provide ETP Holders with a 

greater level of certainty as to their level 

of rebates and fees for trading in the 

month of the Russell Rebalance. By 

eliminating a trading day that would 

almost certainly lower an ETP Holder’s 

ADV as a percentage of CADV, the 

Exchange believes that the proposal will 

make the majority of ETP Holders more 

likely to meet the minimum thresholds 

of higher tiers, which will provide 

additional incentive for ETP Holders to 

increase their participation on the 

Exchange and earn more favorable rates. 

As noted above, other self-regulatory 

organizations have adopted rules that 

are substantially similar to the change 

being proposed by the Exchange.8

The Proposal is an Equitable Allocation 

of Fees 

The Exchange believes its proposal 

equitably allocates its fees among its 

market participants. Specifically, the 

Exchange believes that the proposal 

constitutes an equitable allocation of 

fees because the exclusion would apply 

equally to all ETP Holders and market 

participants and to all volume tiers. 

Further, the Exchange believes that 

removing a single known day of atypical 

trading behavior would allow all ETP 

Holders to more predictably calculate 

the costs associated with their trading 

activity on the Exchange on the Russell 

Rebalance day, thereby enabling such 

participants to operate their business 

without concern of unpredictable and 

potentially significant changes in 

revenues and expenses. 

The Proposal is Not Unfairly 

Discriminatory 

The Exchange believes that the 

proposal is not unfairly discriminatory 

because the exclusion would apply 

equally to all ETP Holders, to all market 

participants and to all volume tiers. 

Moreover, the proposal neither targets 

nor will it have a disparate impact on 

any particular category of market 

participant. Rather, as discussed above, 

the Exchange believes that removing a 

single known day of atypical trading 

behavior would allow all ETP Holders 

to more predictably calculate the credits 

and fees associated with their trading 

activity on the Russell Rebalance day, 

thereby enabling such participants to 

operate their business without concern 

of unpredictable and potentially 

significant changes in expenses. 

Finally, the Exchange believes that it 

is subject to significant competitive 

forces, as described below in the 

Exchange’s statement regarding the 

burden on competition. 

For the foregoing reasons, the 

Exchange believes that the proposal is 

consistent with the Act. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

In accordance with Section 6(b)(8) of 

the Act,9 the Exchange believes that the 

proposed rule change would not impose 

any burden on competition that is not 

necessary or appropriate in furtherance 

of the purposes of the Act. Rather, as 

noted above, by eliminating a trading 

day that would almost certainly result 

in lowering an ETP Holder’s ADV as a 

percentage of CADV, the Exchange 

believes that the proposal will benefit 

the majority of ETP Holders by making 

it more likely for them to meet the 

minimum thresholds of higher tiers, 

which will provide additional incentive 

for ETP Holders to increase their 

participation on the Exchange and earn 

more favorable rates. The Exchange 

believes that the proposal thus fosters 

competition by providing an additional 

incentive to ETP Holders to submit 

orders to the Exchange. The proposed 

exclusion would be available to all 

similarly-situated market participants, 

and, as such, the proposed change 

would not impose a disparate burden on 

competition among market participants 

on the Exchange. 

Intramarket Competition. The 

proposed change is designed to 

eliminate a trading day that would 

almost certainly result in lowering an 

ETP Holder’s ADV as a percentage of 

CADV. The Exchange believes that the 

proposal would provide additional 

incentive for ETP Holders to increase 

their participation on the Exchange. 

Greater liquidity benefits all market 

participants on the Exchange by 

providing more trading opportunities 

and encourages ETP Holders to send 

orders, thereby contributing to robust 

levels of liquidity, which benefits all 

market participants. The proposed 

exclusion would be available to all 

similarly-situated market participants, 

and, as such, the proposed change 

would not impose a disparate burden on 

competition among market participants 

on the Exchange. 

Intermarket Competition. The 

Exchange operates in a highly 

competitive market in which market 

participants can readily choose to send 

their orders to other exchange and offexchange venues if they deem fee levels 

at those other venues to be more 

favorable. In such an environment, the 

Exchange must continually adjust its 

fees and rebates to remain competitive 

with other exchanges and with offexchange venues. By providing ETP 

Holders with a greater level of certainty 

as to their level of rebates and costs for 


khammond on DSKJM1Z7X2PROD with NOTICES
35820 Federal Register / Vol. 87, No. 113 / Monday, June 13, 2022 / Notices 

10 15 U.S.C. 78s(b)(3)(A). 

11 17 CFR 240.19b–4(f)(2). 

12 15 U.S.C. 78s(b)(2)(B). 

13 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. 

trading in the month of the Russell 

Rebalance, the Exchange believes that 

the proposed change could promote 

competition between the Exchange and 

other execution venues by encouraging 

ETP Holders to increase their 

participation on the Exchange in order 

to earn more favorable rates. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

No written comments were solicited 

or received with respect to the proposed 

rule change. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing rule change is effective 

upon filing pursuant to Section 

19(b)(3)(A) 10 of the Act and 

subparagraph (f)(2) of Rule 19b–4 11

thereunder, because it establishes a due, 

fee, or other charge imposed by the 

Exchange. 

At any time within 60 days of the 

filing of such 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 

under Section 19(b)(2)(B) 12 of the Act to 

determine whether the proposed rule 

change 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– 

NYSEAMER–2022–21 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–NYSEAMER–2022–21. 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 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. 

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–NYSEAMER–2022–21, and 

should be submitted on or before July 5, 

2022. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.13

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–12646 Filed 6–10–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–95065; File No. SR– 

NYSEARCA–2022–32] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change of Amendments to the 

Exchange’s Rules Regarding 

Continuing Education Requirements 

June 7, 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 May 25, 

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 and II 

below, which Items have been prepared 

by the self-regulatory organization. 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 amendments 

to the Exchange’s rules regarding 

continuing education requirements 

(Rules 2.23 and 2.24) applicable to 

Equity Trading Permit (‘‘ETP’’) Holders, 

Options Trading Permit (‘‘OTP’’) 

Holders and OTP Firms (collectively, 

‘‘members’’). The proposed rule change 

also makes conforming amendments to 

the Exchange’s rules regarding 

registration requirements (Rule 2.1210). 

Among other changes, the proposed rule 

change requires that the Regulatory 

Element of continuing education be 

completed annually rather than every 

three years and provides a path through 

continuing education for individuals to 

maintain their qualification following 

the termination of a registration. The 

proposed rule change is available on the 

Exchange’s website at www.nyse.com, at 

the principal office of the Exchange, and 

at the Commission’s Public Reference 

Room. 

II. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

In its filing with the Commission, the 

self-regulatory organization included 

statements concerning the purpose of, 

and basis for, the proposed rule change 

and discussed any comments it received 

on the proposed rule change. The text 

of those statements may be examined at 

the places specified in Item IV below. 

The Exchange has prepared summaries, 

set forth in sections A, B, and C below, 

of the most significant parts of such 

statements. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and the 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to amend its 

continuing education requirements in 

Rules 2.23 and 2.24 and amend related 


khammond on DSKJM1Z7X2PROD with NOTICES