75206 Federal Register / Vol. 79, No. 242 / Wednesday, December 17, 2014 / Notices 

17 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

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

4 17 CFR 240.19b–4(f)(2). 

5A Member is defined as ‘‘any registered broker 

or dealer that has been admitted to membership in 

the Exchange.’’ See Exchange Rule 1.5(n). 

6See Securities Exchange Act Release No. 73411 

(October 23, 2014), 79 FR 64452 (October 29, 2014) 

(SR–BYX–2014–028). 

7See Securities Exchange Act Release No. 73472 

(October 30, 2014), 79 FR 65735 (November 5, 2014) 

(SR–BYX–2014–018). 

8The Exchange notes that this proposed fee is 

$0.0010 less for executions in the opening process 

than on EDGX and the same as executions in the 

opening process on EDGA. 

9 15 U.S.C. 78f. 

10 15 U.S.C. 78f(b)(4) and (5). 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.17

Kevin M. O’Neill, 

Deputy Secretary. 

[FR Doc. 2014–29493 Filed 12–16–14; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–73812; File No. SR–BYX– 

2014–037 

Self-Regulatory Organizations; BATS 

Y-Exchange, Inc.; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change Related to Fees for Use 

of BATS Y-Exchange, Inc. 

December 11, 2014. 

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 December 

1, 2014, BATS Y-Exchange, Inc. (the 

‘‘Exchange’’ or ‘‘BYX’’) 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 by the Exchange. The 

Exchange has designated the proposed 

rule change as one establishing or 

changing a member due, fee, or other 

charge imposed by the Exchange under 

Section 19(b)(3)(A)(ii) of the Act 3 and 

Rule 19b–4(f)(2) thereunder,4 which 

renders the proposed rule change 

effective upon filing with the 

Commission. The Commission is 

publishing this notice to solicit 

comments on the proposed rule change 

from interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange filed a proposal to 

amend the fee schedule applicable to 

Members 5 and non-members of the 

Exchange pursuant to BYX Rules 15.1(a) 

and (c). Changes to the fee schedule 

pursuant to this proposal are effective 

upon filing. 

The text of the proposed rule change 

is available at the Exchange’s Web site 

at http://www.batstrading.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 

Exchange included statements 

concerning the purpose of and basis for 

the proposed rule change and discussed 

any comments it received on the 

proposed rule change. The text of these 

statements may be examined at the 

places specified in Item IV below. The 

Exchange has prepared summaries, set 

forth in Sections A, B, and C below, of 

the most significant 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 modify its 

fee schedule effective immediately in 

order to adopt pricing for ROOC orders 

and to adopt pricing for orders that 

execute pursuant to Rule 11.23, titled 

‘‘Opening Process.’’ 

ROOC 

The Exchange recently filed a rule 

change to adopt a new routing strategy, 

ROOC, which provides that orders 

entered on the Exchange may be 

designated for participation in the 

opening, re-opening (following a halt 

suspension or pause), or closing process 

(collectively, an ‘‘Auction’’) of a primary 

listing market other than the Exchange 

if received before the opening/reopening/closing time of such market.6

As such, the Exchange proposes to 

adopt pricing related to this new routing 

strategy: the Exchange is proposing to 

charge $0.0015 per share for ROOC 

orders routed and executed in the listing 

market’s opening or re-opening cross 

and charge $0.0010 per share for orders 

routed and executed in the listing 

market’s closing process. 

Opening Process 

The Exchange recently filed and the 

Commission approved a proposed rule 

change to adopt Rule 11.23, establishing 

an opening and re-opening process on 

the Exchange in all securities (the 

‘‘Opening Process’’).7 The Opening 

Process is substantially similar to the 

opening processes on EDGA Exchange, 

Inc. (‘‘EDGA’’) and EDGX Exchange, Inc. 

(‘‘EDGX’’). The Exchange proposes that 

securities executed in the new Opening 

Process will be executed free of charge.8

The Exchange proposes to implement 

the amendments to its fee schedule 

effective immediately. 

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 of the Act.9

Specifically, the Exchange believes that 

the proposed rule change is consistent 

with Sections 6(b)(4) of the Act and 

6(b)(5) of the Act,10 in that it provides 

for the equitable allocation of reasonable 

dues, fees and other charges among 

members and other persons using any 

facility or system which the Exchange 

operates or controls. The Exchange 

notes that it operates in a highly 

competitive market in which market 

participants can readily direct order 

flow to competing venues if they deem 

fee levels at a particular venue to be 

excessive. 

The Exchange believes that the 

proposed changes to the Exchange’s fee 

schedule to add fees for the ROOC 

routing strategy when routed and 

executed in the listing market’s Auction 

represent a reasonable and equitable 

allocation of fees because they are equal 

to or roughly equivalent to the fees that 

will be charged pursuant to the 

applicable exchange’s fee schedule for 

participation in an Auction. The 

Exchange further believes that the 

proposed fees for ROOC are nondiscriminatory because they apply 

uniformly to all Members and, again, 

because they approximate the fees at the 

away venue. 

The Exchange also believes that its 

proposed pricing for the Opening 

Process is reasonable and equitable 

because the Exchange is proposing for 

executions in the Opening Process to be 

free of charge, which is the same price 

charged on EDGA for participation in its 

analogous opening process and $0.0005 

[sic.] cheaper than such analogous 

opening process on EDGX, as noted 

above. The Exchange also believes that 

the proposal to provide free executions 

in the Opening Process on the Exchange 

is non-discriminatory because such 

proposed pricing would apply 

uniformly to all Members and, again, 

because other venues are providing 

mstockstill on DSK4VPTVN1PROD with NOTICES

Federal Register / Vol. 79, No. 242 / Wednesday, December 17, 2014 / Notices 75207 

11 15 U.S.C. 78s(b)(3)(A). 

12 17 CFR 240.19b–4(f)(2). 

13 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

executions without charge in their 

respective analogous processes. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change will result in 

any burden on competition that is not 

necessary or appropriate in furtherance 

of the purposes of the Act, as amended. 

To the contrary, the Exchange believes 

that the proposed changes will allow the 

Exchange to compete more ably with 

other execution venues by providing 

additional competitive services at 

competitive prices, including the 

addition of Opening Process executions 

free of charge. Also, because the market 

for order execution is extremely 

competitive, Members may readily opt 

to disfavor the Exchange’s routing 

services if they believe that alternatives 

offer them better value. For orders 

routed through ROOC, the proposed fees 

approximate the cost to the Exchange of 

executing the orders on away trading 

venues. As stated above, the Exchange 

notes that it operates in a highly 

competitive market in which market 

participants can readily direct order 

flow to competing venues if the deem 

fee structures to be unreasonable or 

excessive. 

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 written 

comments from members or other 

interested parties. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing rule change has become 

effective pursuant to Section 19(b)(3)(A) 

of the Act 11 and paragraph (f)(2) of Rule 

19b–4 thereunder.12 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 (http://www.sec.gov/

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include File Number SR– 

BYX–2014–037 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–BYX–2014–037. 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–BYX– 

2014–037 and should be submitted on 

or before January 7, 2015. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.13

Kevin M. O’Neill, 

Deputy Secretary. 

[FR Doc. 2014–29491 Filed 12–16–14; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–73823; File No. SR– 

NASDAQ–2014–119] 

Self-Regulatory Organizations; The 

NASDAQ Stock Market LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change To Modify 

Certain NASDAQ Options Market 

Professional User and Enterprise 

License Fees 

December 11, 2014. 

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

Securities Exchange Act of 1934 

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

notice is hereby given that on November 

28, 2014, The NASDAQ Stock Market 

LLC (‘‘NASDAQ’’) 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 by NASDAQ. The Commission 

is publishing this notice to solicit 

comments on the proposed rule change 

from interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of the Substance 

of the Proposed Rule Change 

NASDAQ proposes to amend Chapter 

XV, entitled ‘‘Options Pricing,’’ at 

Section 4 governing pricing for 

NASDAQ members using the NASDAQ 

Options Market (‘‘NOM’’), NASDAQ’s 

facility for executing and routing 

standardized equity and index options. 

Specifically, the Exchange proposes to 

amend certain NOM professional user 

(‘‘Professional User’’) and enterprise 

license (‘‘Enterprise License’’) fees. 

While the changes proposed herein 

are effective upon filing, the Exchange 

has designated that the amendments be 

operative on January 1, 2015. 

II. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

In its filing with the Commission, 

NASDAQ included statements 

concerning the purpose of and basis for 

the proposed rule change and discussed 

mstockstill on DSK4VPTVN1PROD with NOTICES