Federal Register / Vol. 81, No. 22 / Wednesday, February 3, 2016 / Notices 5803 

13See supra n. 5. 

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

15 17 CFR 240.19b–4(f)(2). 

16 15 U.S.C. 78s(b)(2)(B). 

17 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. 

introducing new products to the 

marketplace and encouraging 

Specialists to make a market in these 

products, which would in turn, benefit 

market participants. 

To the extent that there is an 

additional competitive burden on 

market participants that are not eligible 

for the credit (i.e., non-Specialists), the 

Exchange believes that this is 

appropriate because the proposal would 

incent Specialists to quote and trade in 

options on ByRDs which would 

enhance the quality of the Exchange’s 

markets and increases the volume of 

contracts traded here. To the extent that 

this purpose is achieved, all of the 

Exchange’s market participants should 

benefit from the improved market 

liquidity. Enhanced market quality and 

increased transaction volume that 

results from the anticipated increase in 

order flow directed to the Exchange will 

benefit all market participants and 

improve competition on the Exchange. 

Moreover, the Exchange believes it is 

appropriate to offer the credit to 

Specialists (and not to other types of 

Market Makers) as Specialists are 

subject to heightened continuous 

quoting obligations that exceed those 

required of other Market Makers.13

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) 14 of the Act and 

subparagraph (f)(2) of Rule 19b–4 15

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) 16 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– 

NYSEMKT–2016–10 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–NYSEMKT–2016–10. 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 Web site (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 Web site 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; 

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– 

NYSEMKT–2016–10, and should be 

submitted on or before February 24, 

2016. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.17

Robert W. Errett, 

Deputy Secretary. 

[FR Doc. 2016–01928 Filed 2–2–16; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–76996; File No. SR– 

NYSEMKT–2016–12] 

Self-Regulatory Organizations; NYSE 

MKT LLC; Notice of Filing of Proposed 

Rule Change Amending the NYSE MKT 

Company Guide To Create a New 

Section 146 Under Which a Certain 

Category of Newly Listed Issuers 

Would Be Entitled To Receive 

Complimentary Products and Services 

From the Exchange 

January 28, 2016. 

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 January 

14, 2016, NYSE MKT LLC (the 

‘‘Exchange’’ or ‘‘NYSE MKT’’) 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 MKT Company Guide (the 

‘‘Company Guide’’) to create a new 

Section 146 under which a certain 

category of newly listed issuers would 

be entitled to receive complimentary 

products and services from the 

Exchange. The proposed rule change is 

available on the Exchange’s Web site 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, 

mstockstill on DSK4VPTVN1PROD with NOTICES

5804 Federal Register / Vol. 81, No. 22 / Wednesday, February 3, 2016 / Notices 

4For purposes of the proposed rule, ‘‘equity 

securities’’ means common stock or common share 

equivalents such as ordinary shares, New York 

shares, global shares, American Depository 

Receipts, or Global Depository Receipts. 5See Nasdaq Stock Market Rule IM–5900–7(b). 

6The Exchange believes that NYSE Governance 

Services is not a ‘‘facility’’ of the Exchange. 15 

U.S.C. 78c(a)(2). The Act defines ‘‘facility’’ to 

include an exchange’s ‘‘premises, tangible or 

intangible property whether on the premises or not, 

any right to the use of such premises or property 

or any service thereof for the purpose of effecting 

or reporting a transaction on an exchange 

(including, among other things, any system or 

communication to or from the exchange, by ticker 

or otherwise, maintained by or with the consent of 

the exchange), and any right of the exchange to the 

use of any property or service.’’ NYSE Governance 

Services is a distinct entity that is separate from the 

Exchange and engages in a discrete line of business 

that is not ‘‘for the purpose of effecting or reporting 

a transaction’’ on an exchange. While this proposal 

is being filed with the Commission under Section 

19(b)(2) of the Act because it relates to services 

offered in connection with a listing on the 

Exchange, the Exchange does not believe it is 

required to file NYSE Governance Services’ price 

schedule or changes that do not relate to services 

offered in connection with a listing on the 

Exchange. 

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 the 

Company Guide to create a new Section 

146 under which a certain category of 

newly listed issuers would be entitled to 

receive complimentary products and 

services from the Exchange. The 

Exchange proposes to offer such 

complimentary products and services 

for a period of 24 calendar months from 

the date of initial listing to (i) any U.S. 

company that lists common stock on the 

Exchange for the first time and any nonU.S. company that lists an equity 

security 4 on the Exchange under 

Section 101 or 110 of the Company 

Guide for the first time, regardless of 

whether such U.S. or non-U.S. company 

conducts an offering, (ii) any U.S. or 

non-U.S. company that transfers its 

listing of common stock or equity 

securities, respectively, to the Exchange 

from another national securities 

exchange or (iii) any U.S. or non-U.S. 

company emerging from a bankruptcy, 

spinoff (where a company lists new 

shares in the absence of a public 

offering), and carve-out (where a 

company carves out a business line or 

division, which then conducts a 

separate initial public offering) (each, an 

‘‘Eligible New Listing’’). 

Historically, the Exchange has served 

as an alternative listing venue to the 

New York Stock Exchange (the ‘‘NYSE’’) 

for small capitalization companies 

unable to meet the NYSE’s heightened 

initial listing standards. In this respect, 

the Exchange regularly competes with 

the Nasdaq Capital Market tier of the 

Nasdaq Stock Market and, in some 

cases, with the Nasdaq Global Market 

tier of the Nasdaq Stock Market. Like 

the Exchange, Nasdaq Capital Market 

and Nasdaq Global Market each have 

initial listing standards that can more 

readily accommodate small 

capitalization companies than the 

NYSE. The Exchange hopes in the 

future to compete for new listings to a 

greater degree with the Nasdaq Global 

Market. One way that the exchanges 

compete with each other is to offer 

companies services that aid their 

transition to being public or listed on a 

new exchange. For example, the Nasdaq 

Global Market currently offers newly 

listed companies the following services 

for a period of 24 calendar months 

following their listing: whistleblower 

hotline, investor relations Web site, 

press releases, interactive webcasting 

and market analytic tools.5 The total 

retail value of these services is 

approximately $70,000 per year. 

To enable it to compete for listings 

with the Nasdaq Global Market, the 

Exchange proposes to offer Eligible New 

Listings Web-hosting products and 

services (with a commercial value of 

approximately $16,000 annually), webcasting services (with a commercial 

value of approximately $6,500 

annually), whistleblower hotline 

services (with a commercial value of 

approximately $4,000 annually), news 

distribution products and services (with 

a commercial value of approximately 

$20,000 annually) and corporate 

governance tools (with a commercial 

value of approximately $15,000 

annually) for a period of 24 calendar 

months from the date of initial listing on 

the Exchange. 

The Exchange believes that each of 

the services it proposes to offer to 

Eligible New Listings on the Exchange 

may be valuable to companies that are 

listing publicly for the first time or 

transferring their listing to the 

Exchange. Web-hosting products and 

services assist Eligible New Listings in 

engaging with their shareholders by 

providing them with a Web site that 

contains business content that can be 

viewed by investors. Similarly, webcasting services are an important tool 

utilized by listed companies to 

communicate with shareholders in 

connection with their quarterly earnings 

release process. A whistleblower hotline 

assists Eligible New Listings in 

complying with, among other things, the 

requirements of the Sarbanes-Oxley Act, 

Foreign Corrupt Practices Act and UK 

Bribery Act. News distribution products 

and services assist Eligible New Listings 

in complying with Exchange disclosure 

requirements. Lastly, corporate 

governance tools will help educate the 

board of directors of each Eligible New 

Listing about corporate governance best 

practices. 

The Exchange proposes to codify in 

the new Section 146 of the Company 

Guide that all companies listed on the 

Exchange are entitled to certain 

complimentary products and services 

via the Exchange’s Market Access 

Center. The Market Access Center is a 

market information analytics platform 

that is a combination of technologyenabled market intelligence insight and 

a team of highly skilled market 

professionals. The platform was created 

to provide issuers with better market 

insight and information across all 

exchanges and trading venues. The 

Market Access Center includes products 

and services that were (i) developed by 

the Exchange using proprietary data 

and/or intellectual property or (ii) built 

by a third-party expressly for the 

Exchange’s listed companies. Within 

this platform all issuers have access to 

tools and information related to market 

intelligence, education, investor 

outreach, media visibility, corporate 

governance, and advocacy initiatives. 

For example, the Market Access Center 

offers daily trading summaries; a trading 

alert system highlighting user-defined 

trading or market events; a Web site 

featuring timely content for Exchangelisted senior executives featuring 

trading information, market data, and 

institutional ownership. All issuers 

listed on the Exchange have access to 

the Exchange’s Market Access Center on 

the same basis. The products and 

services currently available through the 

Exchange’s Market Access Center have a 

commercial value of approximately 

$50,000. 

The specific tools and services offered 

by the products discussed herein will be 

developed by the Exchange or by thirdparty vendors. NYSE Governance 

Services 6 will offer and develop the 

corporate governance tools discussed 

herein, but will not provide any other 

service discussed herein. NYSE 

Governance Services is an entity that is 

owned by the Exchange’s parent 

mstockstill on DSK4VPTVN1PROD with NOTICES

Federal Register / Vol. 81, No. 22 / Wednesday, February 3, 2016 / Notices 5805 

7 15 U.S.C. 78f(b). 

8 15 U.S.C. 78f(b)(4). 

9 15 U.S.C. 78f(b)(5). 

company and is a leading provider of 

corporate governance, risk and 

compliance services to a diverse set of 

customers, including, among others, 

companies listed on the Exchange. 

Companies that are offered these 

products are under no obligation to 

accept them and a company’s listing on 

the Exchange is not conditioned upon 

acceptance of any product or service. 

The Exchange notes that, from time to 

time, companies elect to purchase 

products and services from other 

vendors at their own expense rather 

than accepting comparable products and 

services offered by the Exchange. 

The Exchange believes that 

companies listing on the Exchange for 

the first time often require a period of 

time after listing to complete the 

contracting and training process with 

vendors providing the complimentary 

products and services. Therefore, many 

companies are not able to begin using 

the suite of products offered to them 

immediately on the date of listing. To 

address this issue, the Exchange 

proposes to specify in Section 146 that 

if an Eligible New Listing begins using 

a particular service within 30 days after 

the date of listing, the complimentary 

period begins on such date of first use. 

In all other instances, the 

complimentary period will begin on the 

listing date. 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

Section 6(b) of the Act,7 in general, and 

furthers the objectives of Sections 

6(b)(4) 8 of the Act, in particular, in that 

it is designed to provide for the 

equitable allocation of reasonable dues, 

fees, and other charges among its 

members and issuers and other persons 

using its facilities. The Exchange also 

believes that the proposed rule change 

is consistent with Section 6(b)(5) 9 of the 

Act in that it is not designed to permit 

unfair discrimination between 

customers, issuers, brokers, or dealers. 

The Exchange believes that it is 

reasonable to offer complimentary 

products and services to attract new 

listings and respond to competitive 

pressures. The Exchange faces 

competition in the market for listing 

services and it competes, in part, by 

improving the quality of the services 

that it offers to listed companies. By 

offering products and services on a 

complimentary basis and ensuring that 

it is offering the services most valued by 

its listed issuers, the Exchange will 

improve the quality of the services that 

listed companies receive. 

The Exchange believes it is 

appropriate to offer a package of 

complimentary products and services to 

Eligible New Listings because such 

services will ease the transition of 

companies that are becoming public for 

the first time or transferring their listing 

to a new exchange. Further, Nasdaq 

offers a comparable suite of 

complimentary products and services to 

new listings and transfers and the 

proposed rule change will enable the 

Exchange to more effectively compete 

for listings. 

Allowing companies up to 30 days 

after their listing to start using the 

complimentary products and services is 

a reflection of the Exchange’s 

experience that it can take companies a 

period of time to review and complete 

necessary contracts and training for 

services following their listing. 

Allowing this modest 30 day period, if 

the company needs it, helps ensure that 

the company will have the benefit of the 

full period permitted under the rule to 

actually use the services, thus giving 

companies the full intended benefit. 

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. The 

proposed rule change enables the 

Exchange to compete for listings by 

offering Eligible New Listings a package 

of complimentary products and services 

that assist their transition to being 

publicly listed for the first time or 

transferring their listing to the 

Exchange. All similarly situated 

companies are eligible for the same 

package of services. Further, the 

Exchange notes that the Nasdaq Global 

Market already offers a similar suite of 

complimentary products and services to 

companies initially listing or 

transferring their listing from the New 

York Stock Exchange to its market. 

Therefore, the proposed creation of 

Section 146 of the Company Guide will 

increase competition by enabling the 

Exchange to more effectively compete 

for listings. 

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 

Within 45 days of the date of 

publication of this notice in the Federal 

Register or 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 

the proposed rule change, or 

(B) institute proceedings to determine 

whether the proposed rule change 

should be 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– 

NYSEMKT–2016–12 on the subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Brent J. Fields, Secretary, Securities 

and Exchange Commission, 100 F Street 

NE., Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–NYSEMKT–2016–12. 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 Web site (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 Web site 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 

mstockstill on DSK4VPTVN1PROD with NOTICES

5806 Federal Register / Vol. 81, No. 22 / Wednesday, February 3, 2016 / Notices 

10 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3The term ‘‘Market Makers’’ refers to 

‘‘Competitive Market Makers’’ and ‘‘Primary Market 

Makers’’ collectively. See Rule 100(a)(25). 

4The fee is waived in FX Options, Flash Orders, 

and for Complex Orders in all symbols. The PFOF 

fee is rebated proportionately to the members that 

paid the fee such that on a monthly basis the PFOF 

fund balance administered by a Primary Market 

Maker for a Group of options established under 

Rule 802(b) does not exceed $100,000 and the PFOF 

fund balance administered by a preferenced 

Competitive Market Maker for such a Group does 

not exceed $100,000. A preferenced Competitive 

Market Maker that elects not to administer a fund 

will not be charged the PFOF fee. 

The Exchange assesses an administrative fee of 

0.45% on the total amount of the funds collected 

each month. 

5A ‘‘Priority Customer’’ is a person or entity that 

is not a broker/dealer in securities, and does not 

place more than 390 orders in listed options per day 

on average during a calendar month for its own 

beneficial account(s), as defined in Rule 

100(a)(37A). 

6 ‘‘Non-Select Symbols’’ are options overlying all 

symbols excluding Select Symbols. The Schedule of 

Fees currently states that PFOF is applicable to 

‘‘Non-Penny Pilot Symbols,’’ which is an outdated 

term. The Exchange therefore proposes to update 

the Schedule of Fees to refer instead to ‘‘Non-Select 

Symbols.’’ 

7 15 U.S.C. 78f(b). 

8 15 U.S.C. 78f(b)(5). 

9 15 U.S.C. 78f(b)(8). 

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– 

NYSEMKT–2016–12 and should be 

submitted on or before February 24, 

2016. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.10

Robert W. Errett, 

Deputy Secretary. 

[FR Doc. 2016–01932 Filed 2–2–16; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–76990; File No. SR–ISE– 

2016–04] 

Self-Regulatory Organizations; 

International Securities Exchange, 

LLC; Notice of Filing and Immediate 

Effectiveness of Proposed Rule 

Change To Amend the Schedule of 

Fees 

January 28, 2016. 

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 

19, 2016 the International Securities 

Exchange, LLC (the ‘‘Exchange’’ or the 

‘‘ISE’’) filed with the Securities and 

Exchange 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 ISE proposes to amend the 

Schedule of Fees to rename its Payment 

for Order Flow program. The text of the 

proposed rule change is available on the 

Exchange’s Web site (http://

www.ise.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 these statements may be examined at 

the places specified in Item IV below. 

The self-regulatory organization 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 the 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange administers a payment 

for order flow (‘‘PFOF’’) program that 

helps Market Makers 3 establish PFOF 

arrangements with Electronic Access 

Members (‘‘EAMs’’) in exchange for 

those EAMs routing some or all of their 

order flow to the Market Maker. This 

PFOF program is funded through a fee 

of $0.70 per contract,4 which is paid by 

ISE Market Makers for each regular 

Priority Customer 5 contract executed in 

Non-Select Symbols.6 The Exchange 

now proposes to rename the PFOF fee 

to ‘‘marketing fee’’ to keep the name of 

this program consistent with usage on 

other options markets that have adopted 

this terminology. The Exchange is not 

proposing any substantive changes to 

this program. 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

the requirements of the Act and the 

rules and regulations thereunder that 

are applicable to a national securities 

exchange, and, in particular, with the 

requirements of Section 6(b) of the Act.7

In particular, the proposal is consistent 

with Section 6(b)(5) of the Act,8 because 

it is designed to promote just and 

equitable principles of trade, to remove 

impediments to and perfect the 

mechanisms of a free and open market 

and a national market system and, in 

general, to protect investors and the 

public interest. The proposed rule 

change makes a non-substantive change 

to the name of the PFOF program 

operated by the Exchange. The 

Exchange believes that this change will 

be beneficial for members and investors 

who already use this term with respect 

to trading on other options markets that 

have already adopted this terminology. 

The Exchange further notes that the 

marketing fee program will continue to 

operate exactly as it does today. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

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

the Act,9 the Exchange does not believe 

that the proposed rule change will 

impose any burden on intermarket or 

intramarket competition that is not 

necessary or appropriate in furtherance 

of the purposes of the Act. The 

proposed rule change is a nonsubstantive name change and is 

therefore not designed to have any 

competitive impact. 

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 proposed rule change. The 

Exchange has not received any 

unsolicited written comments from 

members or other interested parties. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

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 

mstockstill on DSK4VPTVN1PROD with NOTICES